Cash and Payments Handling Policy – April 7, 2008
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CASH AND PAYMENTS HANDLING POLICY
Policy Type:
Management
Initially
Approved:
April 7, 2008
Policy Sponsor:
Vice-President,
Finance &
Administration
Last
Revised:
April 7, 2008
Primary Contact:
AVP, Finance &
Commercial
Operations
Review
Scheduled: May 2025
Approver:
Board of Governors
A.
OVERVIEW
Mount Royal University receives Cash and other forms of tender in payment for goods and/or
services provided to students and clients. The authority to receive and handle such payments is
delegated to specified Organizational Units throughout Mount Royal University. This delegation
requires clearly defined, strong and consistent internal controls.
B.
PURPOSE
The Cash and Payments Handling Policy and associated procedures protect the resources,
reputation, integrity and personnel of Mount Royal University involved in the processes of handling
of Cash and payments. This Policy and its related procedures are provided to ensure that:
•
Cash and payment proceeds are adequately safeguarded and deposited;
•
Cash and payment proceeds are accurately recorded in Mount Royal’s financial records;
•
management and operational personnel have direction on the appropriate handling of Cash
and payments;
•
risk to individuals is minimized; and
•
an environment of strong internal controls exists.
C.
SCOPE
This Policy applies to all Mount Royal Organizational Units, employees and other individuals acting
on behalf of the University, involved in the collection, receipt or management of Cash and other
forms of payment.
D.
POLICY STATEMENT
The Board of Governors delegates the responsibility and authority for the implementation and
management of a Cash handling procedure to the Vice-President, Finance and Administration.
1. Mount Royal has delegated to specified Organizational Units the operational authority to
receive and handle Cash and/or payments. Where a Mount Royal Organizational Unit requires
Cash and Payments Handling Policy – April 7, 2008
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establishment of a system for collecting Cash payments or plans to receive Cash payments
from a new source, the Department of Finance and Commercial Operations must be contacted
by the Organizational Unit and must provide guidance and advice in the development of
appropriate procedures.
2. The Department of Finance and Commercial Operations must ensure that the Policy and
Organizational Unit responsibilities for Cash handling are clearly documented and current.
Where assistance in establishing or review of Organizational Unit controls is needed, the
Department of Finance and Commercial Operations must be available for guidance.
3. It is the responsibility of management in the Organizational Units that handle Mount Royal
funds to review and understand the policies applicable to them, document and implement
procedures to ensure adherence to the Policy requirements and demonstrate the appropriate
environment of internal controls. This requirement includes but is not limited to:
3.1
maintaining current written procedures and communicating the same to all staff
members involved in handling Cash.
3.2
maintaining a complement of personnel for handling Cash which provide competent,
experienced, trustworthy oversight for such service. As well, to resource, hire
appropriately and obtain adequate training on Cash handling procedures and internal
controls where necessary.
3.3
being accountable for all Cash and/or payments received by that unit and its secure
delivery for ultimate deposit to the Authorized Mount Royal Account.
3.4
determining the most appropriate forms of payment to be accepted by the
Organizational Unit.
4. Where an employee has concerns about the possible misappropriation of Cash or misuse of
Cash-related information, that employee should consult the Employees Safe Disclosure of
Wrongdoing and Public Interest Disclosure Policy.
5. Mount Royal Cash and payment handing procedures define the standard for Cash handling.
These procedures will identify the specific Organizational Unit responsibilities and required
processes related to:
•
the safeguarding of Cash;
•
segregation of duties involving Cash handling;
•
the processing of Cash;
•
ensuring the completeness of Cash transactions in the official financial record of Mount
Royal; and
•
the safety of individuals.
E.
DEFINITIONS
(1)
Authorized Mount
Royal Account:
means the specific bank accounts authorized as per banking
resolutions of the Board of Governors of Mount Royal
University or the Board of Directors of the Mount Royal
University Foundation. These accounts are established for
financial operations of Mount Royal University and The Mount
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Royal University Foundation. For information on the
Authorized Mount Royal Account, all operational areas are
directed to contact the Department of Finance and
Commercial Operations.
(2)
Cash:
refers to all authorized methods of payment acceptable to
Mount Royal. This includes cash (bank notes and coin),
electronic transfers, personal cheques, traveler's cheques,
bank drafts, money orders, gift certificates and credit and debit
cards.
(3)
Organizational Unit: a department, faculty, institute, or centre of ongoing
operational activity generally involving both staff and
budgetary resources, with an Associate Vice-President, Dean,
Director, Manager, Coordinator or Supervisor responsible for
that unit
(4)
Policy:
means the Cash and Payments Handling Policy
(5)
University:
means Mount Royal University
F.
RELATED POLICIES
•
Protected Disclosure (“Whistleblower”) Policy
G.
RELATED LEGISLATION
H.
RELATED DOCUMENTS
•
Internal Control Environment, Cash and Payment Handling Procedures
•
Petty Cash and Cash Floats Procedures
I.
REVISION HISTORY
Date
(mm/dd/yyyy)
Description of
Change
Sections
Person who
Entered Revision
(Position Title)
Person who
Authorized
Revision
(Position Title)
04/07/2008
NEW
08/31/2017
Reformatted;
name/title changes
University Secretary
01/21/2020
Editorial
Template Update
Policy Specialist
University Secretary
02/21/2021
Editorial
Titles and policy
reference updates
University Secretary University Secretary