Associated Student Body Financial Activities Paula McCoy, CFE Director of Business Services April 18 & 19, 2017

Objectives Objectives of this training: Provide an overview of the purpose of ASB funds Communicate applicable state laws and district policy surrounding ASB fundraising requirements Communicate applicable state laws and district policy for expenditures of ASB monies Gain and understanding of how to read and interpret financial reports

Overview of ASB

ASB Funds WAC 392-138-010 (1) defines Associated student body organization as “a formal organization of students, including subcomponents or affiliated student groups such as student clubs, which is formed with the approval, and operated subject to the control, of the board of directors of a school district . . .” Associated Student body funds are public money generated in the student interest for cultural, athletic, recreational and social uses.

ASB Funds State law (WAC 392-138-010 (2))defines ASB activities as: “any activity which (a) is conducted in whole or in part by or on behalf of an associated student body during or outside regular school hours and within or outside school grounds or facilities, and (b) is conducted with the approval, and at the direction or under the supervision, of the school district.“

ASB Funds The ASB fund is for the extracurricular benefit of the students and their involvement in the decision-making process and is an integral part of the associated student body government. The following events must show evidence of student approval: Budget Collection of private money Contracts Constitution and bylaws Disbursements & purchase orders Election of student officers Fundraisers Transfers

Fundraising Requirements

ASB Fundraising Requirements District policy 3530 and related procedures 3530P outline the District’s requirements for conducting fundraisers. Approved fundraising activities are identified in District procedure 3530P. Any activities not specifically listed in 3530P must be approved in advance by the Superintendent. Any fundraisers where online/electronic payments will be taken must be pre-approved by the Business Office. Proceeds must be deposited intact and not netted against expenses.

ASB Fundraising Requirements Booster/PTO/PTA vs. ASB? The following are indicators that a fundraiser should be considered ASB: The cash receipts are given to the school ASB Secretary and/or stored in the school safe The students handle the cash receipting and reconciliation process during the school day; or A majority of the work is performed by students The inventory is purchased by ASB The school district holds and inventories the goods for resale The parent group uses the school name (without at least adding the word “boosters”) School district personnel are involved during staff time

ASB Fundraising Requirements Process for Conducting a Fundraiser: Complete and submit Request for Fundraiser form – This must be approved by building administration and the student body council. Contracts – Must be reviewed and signed by the District Administration. Purchase Order – Must be requested and approved by both student council and building administration. Depository Requirements – RCW 43.09.240 – Deposits must be made once every 24 hours. Inventory Check Out form – This must be used to assign responsibility for inventory to students.

ASB Fundraising Requirements Process for Conducting Fundraiser (continued): Revenues deposited intact – Revenues from fundraisers must be deposited intact to the ASB Secretary. We are not permitted to net expenses against fundraiser revenues – RCW 43.09.220; 43.09.230; WAC 392-138-014.

ASB Fundraising Requirements Process for Conducting a Fundraiser (continued): Fundraiser Reconciliation – Must be completed at the conclusion of all fundraisers. Attach copies of all receipts for deposits of revenues. Compare actual revenues received from receipts to expected revenues. Attach invoices from related expenses which are used to determine profit/loss. Perform ending inventory of remaining unsold merchandise. Document any unaccounted for inventory items or revenue shortages on the reconciliation form. Missing inventory or receipts must be assigned to the responsible student and included as a fine on their account. Unsold inventory must remain in the possession of the ASB Central Office

ASB Fund Expenditures

ASB Fund Expenditures Budgetary Requirements – No disbursement shall be made except as provided for in the budget approved by the school board and associated student body organization (WAC 392-138-040; WAC 392-138-125; RCW 28A.505.150; RCW 28A.505.170) Purchase Orders Required – District Policy 6210 & 6210P require that purchase orders be in place prior to any payment being issued. “Staff who obligate the district without prior authorization may be held personally responsible for payment of such obligations.”

ASB Fund Expenditures Procurement Requirements – ASB purchases are subject to state procurement requirements. See Policy 6210. Expenditures are reviewed in aggregate (not on an individual basis) to determine which requirements to follow. Under $40,000 no specific requirements Over $40,000, under $75,000 – at least 3 competitive quotes Over $75,000 – Competitive bidding required Approval of Expenditures – All disbursements from the ASB program fund shall have the prior approval of the appropriate student body. Supporting documentation shall bear evidence of this approval. (WAC 392-138-125)

ASB Fund Expenditures Expenditures in excess of Fund Balance – Expenditures of any student body account cannot exceed the available fund balance (cash on hand). WAC 392-138-125 A transfer of fund balance can be performed subject to the approval of the student council to prevent an account from going negative. Can a private party (PTO, PTA, Boosters, Parent, etc.) pay expenses on behalf of the District ASB and get reimbursed later? No, WAC 392-138-125 says all disbursements shall be made by warrant except for disbursements from imprest bank accounts. All expenses must also comply with Policy 6215.

ASB Financial Reports

ASB Financial Reports Financial Reports available for monitoring ASB activities include: Fund Balance Summary – Shows beginning fund balance, revenues received, expenditures paid, any transfers, and ending fund balance. Revenue & Expense budget to actual – Shows the original budget, year to date actual revenues/expenses, any encumbrances, and remaining available budget. Revenue & Expense Detail – Shows individual transaction level information (invoices paid, receipts deposited, manual corrections).

CR indicates positive fund balance ASB Financial Reports Fund Balance Summary Example: CR indicates positive fund balance

Revenues received year to date as of the date of the report ASB Financial Reports Revenue Summary Budget to Actual Example: Revenues received year to date as of the date of the report

ASB Financial Reports Expenditure Summary Budget to Actual Example: Encumbrance represents open purchase orders that have not been fully paid Represents expenses paid (warrants issued) through the date of the report

ASB Financial Reports Expenditure Detail Example: See Page 4 of reports handouts

Additional Resources ASB Procedures Manual (WASBO) www.wasbo.org/?179 Activity Coordinator’s Handbook (WASBO) www.wasbo.org/resource/resmgr/imported/ActivityCoordinatorsRevised2007.pdf Fundraising Coordinator’s Handbook (WASBO) www.wasbo.org/resource/imported/FundraisingHandbookRevisedJuly07.pdf Ridgefield School District Policies and Procedures 3510-3530 and 3510P-3530P