5/7 ASSOCIATED STUDENT BODY YEAR-END CLOSE PROCEDURES

 

TO:                     Principals, Elementary School Assistants, and Financial Clerks
FROM:               Sarah Kidder, Financial Accounting Manager
DATE:                May 1, 2019
SUBJECT:         ASSOCIATED STUDENT BODY YEAR-END CLOSE PROCEDURES

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As the end of the 2018-19 school year approaches, follow the below guidelines for closing the Associated Student Body (ASB) books.  Below is a checklist of items required to properly close the books for both elementary (items 1 -12) and secondary schools (all items).  Note the date for each item completed and retain this list at your site for audit purposes. 

1)    Bank Reconciliations                                                                             Date Completed _____

Complete the June 2019 Monthly Bank Reconciliations by 8/31/2019 and submit along with the June Balance Sheet to Tiffany Lilley, Financial Accounting, Room 3244 no later than 9/6/2019. See attached Bank Reconciliation Checklist for items required for the monthly reconciliation process.  Retain all reports at your site for audit purposes.                         

2)    Outstanding Checks at Year-End                                                          Date Completed _____

For all ASB checksoutstanding over six months, follow-up with the payee to confirm if you need to reissue check. If no contact can be made, prepare a journal entry to write-off stale dated checks, reversing the original entry. 

3)    Abatements to District                                                                         Date Completed _____

Clear the balances for the below accounts by sending a check with the District Daily Remittance Advice to the District Cashier, Fiscal Control Department, Room 3251 by 6/14/19 (Administrative Procedures 2165, 2170, 2205). Retain a small balance in the Damaged/Lost Instructional Materials accounts for any refunds during the next school year.

1.     Library Fines for Lost/Damages Books and late fees

2.     Collections for Damaged or Lost Instructional Materials - Centrally Purchased

3.     Collections for Damaged or Lost Instructional Materials - Site Purchased

4.     Collections for Damaged or Lost Instructional Materials - ITSS Instructional Materials   

4)    Inactive Trust Account Balances                                                          Date Completed _____

Identify any trust account balances for clubs that have been disbanded or inactive for one year, and provide a list to the student council (organized ASBs) and principal/designee for review.  If the student council and principal/designee approve closing the account, prepare a journal entry to transfer the balance to Account 4###*, Inactive Accounts/Transfer of Dormant Accounts.  The transfer must be approved in the minutes of the student council meeting.  Refer to the following link.  https://www.sandi.net/staff/secondary-schools-office/inactive-accounts

* For elementary schools, transfer to Account 3000 General ASB Account

5)    Inventory Count                                                                                    Date Completed _____

Before leaving for the year-end break, complete a physical inventory count for ASB merchandise on hand which was purchased for resale.  Prepare a journal entry in QuickBooks to adjust the inventory account balances to actual.  Attached is a file to assist in the inventory calculations.  Please refer to Administrative Procedure 2360, Inventory of Student Body Merchandise, for journal entry instructions. Keep this information on file in the Finance Office for audit purposes.

6)    Second Quarter Sales Tax/Use Tax Reports                                        Date Completed _____

Prepare and send the second quarter (April thru June 2019) sales tax and/or use tax reports to Tiffany Lilley, Financial Accounting, Room 3244, no later than 7/12/19.

7)    Change Fund                                                                                          Date Completed _____

Reconcile any change funds and secure the money in the safe or another secured location.  These funds are not required to be deposited, but must be secured.

8)     Accounting Records                                                                              Date Completed _____

Advise your Principal where the ASB accounting records are located. If kept in a locked area, communicate with your principal where the key can be accessed. 

9)     Complete the following and retain with your accounting records:    Date Completed _____

Note below any unused Student Body and District Funds Receipts

      From Receipt No. ____________     To Receipt No. ____________

            Note below any unused Supplementary Receipts

      From Receipt No. ____________     To Receipt No. ____________

      Note below any unused Student Body Checks

      JP Morgan Chase ASB Checks No. ____________   To No. ____________

 10)  Income and Expense Summary Closing                                                Date Completed _____

This guideline is only applicable for schools with 4000 and 6000 Accounts. These accounts will be closed out automatically by QuickBooks to the Income and Expense Summary account (3900) at the end of the fiscal year. When you return for the next school year, prepare a journal entry dated 7/31/19 (complete before 9/06/19) as follows:  If Account 3900 shows a profit, debit Account 3900 and credit Account 3000. For a loss, debit Account 3000 and credit Account 3900.

11)Accrued Invoices                                                                                   Date Completed _____

If any 2018-19 invoices cannot be approved and processed in time for payment, prepare a journal entry dated 6/30/19 to accrue the unpaid invoices. Debit the appropriate account(s) and credit Accounts Payable. Prepare a journal entry dated 7/1/19 to reverse the accrual. In 2019-20, pay the accrued invoice(s) following your regular process for paying checks.

Prepare an Accounts Payable schedule with the information noted in the table below, for all invoices due as of 6/30/19.  This schedule should agree with the total reported on the trial balance.  Retain this Accounts Payable schedule for audit purposes.  For sites that pay for Blue Bear services, ensure the renewal bill will not arrive during the summer to prevent your services from being discontinued or lost.  Send a copy of the Accounts Payable schedule to Tiffany Lilley, Financial Accounting, Room 3244. 

School Name

AP Vendor

Invoice Date

Amount

12)Accounts Receivable                                                                             Date Completed _____

For any money owed to ASB not received by the close of school, set up an account called Accounts Receivable in QuickBooks.  Prepare a journal entry dated 6/30/19, debit Accounts Receivable and credit the appropriate revenue account(s). Prepare a journal entry dated 7/1/19, to reverse the Accounts Receivable entry. In 2019-20, when the funds are received, follow your regular process for depositing funds.

Prepare an Accounts Receivable schedule with the information noted in the table below as of 6/30/19.  This schedule should agree with the total reported on the trial balance.  Retain this Accounts Receivable schedule for audit purposes.  Send a copy of the Accounts Receivable schedule to Tiffany Lilley, Financial Accounting, Room 3244. 

School Name

AR Customer

Invoice Date

Amount

13)Deferred Revenue (Secondary Schools only)                                       Date Completed _____

For any schools that conduct registration prior 7/1/19, set up an account called Deferred Revenue under Other Liabilities in QuickBooks.  For all deposits received prior to 7/1/19 that apply to the next school year, record to Deferred Revenue.  Prepare a journal entry dated 7/1/19, to reverse the Deferred Revenue Entry.

14)AP and IB Fees(Secondary Schools only)                                             Date Completed _____

Prepare a check for the total fees collected and send to the District Cashier, Fiscal Control Department, Room 3251 with a District Daily Remittance Advice by 5/31/19. To be deposited to your site’s budget.Refer to Site Operations Circular 2009, Items D.7. and D.8.

 

15)ID Replacement Card Fees(Secondary Schools only)                          Date Completed _____

Prepare a check for the total fees collected and send to the District Cashier, Fiscal Control Department, Room 3251 with a District Daily Remittance Advice by 5/31/19. To be deposited to your site’s budget.  If your ASB is paying for the cost of the ID replacement cards and/or lanyards, then the fees collected should be credited to an ASB revenue account.

16)Athletics Reimbursement Claim (Secondary Schools only)                Date Completed _____

Clear your Athletic Clearing Account balances by submitting any remaining 2018-2019 Interscholastic Athletics Summary Reimbursement Claims to the Accounts Payable Department by 6/14/19.  An Interscholastic Athletics Summary Reimbursement Claim Form is attached.  If you would like the Fiscal Control Department to deposit the reimbursement check(s) to your account over the summer, please attach a note and deposit slip to your claim submitted to the Accounts Payable Department. 

17)ArbiterSports (High Schools with District Sponsored Athletics)         Date Completed _____

Any remaining balance in the school’s ArbiterSports account at the end of the school year will roll over to the following school year.  This balance will become part of the prefunded amount for the following school year. Your athletics clearing (AK clearing) account for officials should match the remaining prefunded balance in the ArbiterSports account. When reconciling, confirm that all Accounts Payable reimbursement amounts have been deposited to your athletic clearing account(s).