Cash Management Policy

The Gail Borden Public Library District Cash Management Policy is meant to provide direction for the collection, custody, and reporting of cash and cash equivalents, and outline specific cash handling requirements for staff and board. These strong internal controls are designed to safeguard and protect our Library.

The Gail Borden Public Library Board Treasurer and/or Library CEO are authorized to establish rules and procedures for the receipt, handling, and deposits of Library funds by staff or board members. Both the CEO and the Library Board Treasurer may conduct periodic reviews of cash handling procedures. If these practices are not followed, it is the responsibility of the CEO or the Library Board Treasurer to bring this to the attention of the Gail Borden Public Library Board of Trustees. It is the responsibility of the Board to rescind authorizations to any trustee who fails to comply with established rules or policies, and it is the responsibility of the CEO to rescind authorizations to any employee who fails to comply with established rules or policies.

All incoming cash or cash equivalents must:

• Be accounted for when received.
• Be added to the cash register after each transaction, and before the cash handler leaves their workstation.
• Never be left unattended or accessible to unauthorized persons.
• Be in a secure location by the end of each shift.
• Be always kept to a minimum. Excess funds should be stored in a secure location or deposited by authorized staff or board trustee as soon as possible.
• Be counted and handled out of sight of the public when reconciling.
• Be reconciled monthly by the Finance Department.

Below are the cash handling responsibilities:

• The Finance Staff are responsible for the care and liability of all cash and cash equivalents received by or for the library until deposit by authorized personnel.
• The Library Board Treasurer and the CEO provide for the safekeeping and timely, accurate deposit of cash and cash equivalents.
• The Library Board Treasurer and the CEO are responsible for assigning authorized personnel to receive cash or cash equivalents for reconciling and/or deposit.
• The Library Board is responsible for the adequate separation of duties and checks and balances, which include cash collecting, reconciling, depositing, and reporting.
• It is the responsibility of the CEO to inform the Library Board Treasurer of theft or loss immediately upon discovery.
• It is the responsibility of the board to approve, and the CEO to allow on-site inspections of cash handling procedures by the Treasurer or designated party.

• Cash Handlers must be authorized by the Board and/or CEO.
• Cash Handlers are responsible for the integrity of the cash or cash equivalents in their possession.
• Cash Handlers may be assigned the duty of depositing cash or cash equivalents for the library in a timely manner.
• Under no circumstances should a Cash Handler deposit cash or cash equivalents with their own personal funds.
• Cash Handlers must comply with cash handling operations according to policies outlined in this document.

• All receipts and reports of cash handled will be made available for the audit and stored for seven years except for petty cash receipts which are kept for two years, as required by the State of Illinois.
• All award-related information will be collected, transmitted, and stored in open and machine-readable formats.

• To request cash for any reason (such as event spare change and event financial), request must be submitted in writing to the Finance Department ideally one month in advance. Reimbursements must also be submitted in writing to the Finance Department but will be made via check or less than $50.00 which is paid out of petty cash.

Board Approved 2/13/2024