Returned Check Policy

November 25, 2014

Title: Returned Check Policy
Policy Owner: Office of the Bursar
Applies to: Faculty and Staff
Campus Applicability: UConn Storrs and Regional Campuses
Effective Date: August 19, 2014
For More Information, Contact Office of the Bursar
Contact Information: (860) 486-4830
Official Website: http://bursar.uconn.edu/

PURPOSE

The purpose of this policy is to ensure compliance with state guidelines on processing and accounting for returned checks. (State of CT Accounting Manual, Receipts, Section 4.1).

APPLIES TO

This policy applies to all departments receiving checks on behalf of the University as well as all customers and students paying the University for goods and/or services.

POLICY STATEMENT

Checks deposited by the University and then returned by the bank for insufficient funds or any other reason are the responsibility of the depositing department to recover any money still owed to the University.  The department or student is charged back, including any bank fees as applicable.

ENFORCEMENT

The Office of the Bursar charges customers/students a $25 fee for a check returned by the bank for any reason.  The Office of the Bursar will notify students with multiple returned checks that check payments will no longer be accepted and all future payments must be made in the form of money order, certified or cashier’s check or Western Union wire payment.  For non-student returned checks, it is the department’s responsibility to pursue collection of the funds and fees with the customer, and the individual department has the discretion to accept future checks.

PROCEDURES/FORMS

The Office of the Bursar Cash Operations unit is notified by the bank if a check is returned to the University. Cash Operations sends the notification to the appropriate depositing department. It is the department’s responsibility to then submit the appropriate entry in the general ledger system to reflect the returned payment. Cash Operations approves the entry based on the debit to the University’s bank account.

POLICY HISTORY

Revisions:  Reviewed; Procedures updated, January 24, 2022

Opening a Merchant Account for Credit Card Acceptance

Title: Opening a Merchant Account for Credit Card Acceptance
Policy Owner: Office of the Bursar
Applies to: Faculty and Staff
Campus Applicability: Storrs and Regional Campuses
Effective Date: August 19, 2014
For More Information, Contact Office of the Bursar
Contact Information: (860) 486-4830
Official Website: http://bursar.uconn.edu/

PURPOSE:

The purpose of this policy is to ensure University compliance with the Payment Card Industry Standards which can be found at www.pcisecuritystandards.org.  Credit card transactions are monetary transactions and therefore are subject to the same control and reconciliation policies as cash transactions.  No department may open a merchant account to accept credit card transactions without the approval of the Controller and Bursar.

APPLIES TO:

This policy applies to any department seeking to accommodate customers wanting to pay by credit or debit card and thereby opening a merchant account.

DEFINITIONS:

Payment Card Industry Standards:

PCI security standards are technical and operational requirements set by the Payment Card Industry Security Standards Council to protect cardholder data.  The standards globally govern all merchants and organizations that store, process, or transmit this data – with new requirements for software developers and manufacturers of applications and devices used in those transactions.  Compliance with the PCI set of standards is mandatory for their respective stakeholders, and is enforced by the major payment card brands who established the Council:  American Express, Discover Financial Services, JCB International, MasterCard Worldwide, and Visa Inc.

POLICY STATEMENT:

All University approved accounts must adhere to the Payment Card Industry Security Standards including the performance of the SAQ (Self-Assessment Questionnaire), annual attestation and successful University computer and network scans.

ENFORCEMENT:

The Controller’s Office may at any time terminate the department’s merchant account for a policy/procedure violation.  In addition, payment card industry compliance violations may result in fines from the payment brands (VISA, MasterCard, Discover, American Express, JCB, BC Card, DinaCard and Diner’s Club) to the acquiring bank, at their discretion, from $5,000 to $100,000 per month which may be charged back to the department in noncompliance.  Fines are dependent on volume of credit cards breached and remediation efforts required.

Violations of this policy may result in appropriate disciplinary measures in accordance with University Laws and By-Laws, General Rules of Conduct for All University Employees, applicable collective bargaining agreements, and the University of Connecticut Student Conduct Code.

PROCEDURES/FORMS:

The Office of the Bursar has the authority to recommend approval from any department to the Controller of an application for opening and operating a merchant account.  These transactions are monetary transactions and subject to the same governance as cash.

Detailed procedures and resource documentation may be found on our website at:  http://bursar.uconn.edu/cash-operations/.

POLICY HISTORY

Reviewed with no revisions January 14, 2022.

Non-Student Receivables Invoicing Policy

Title: Non-Student Receivables Invoicing Policy
Policy Owner: Office of the Bursar
Applies to: Faculty, Staff
Campus Applicability: Storrs and Regional Campuses
Approval Date: August 8, 2025
Effective Date: August 8, 2025
For More Information, Contact: Office of the Bursar
Contact Information: 860-486-5995
Official Website: https://bursar.uconn.edu/departments/accounts-receivable/

PURPOSE

University departments provide goods and/or services to the general public and organizations world-wide.  In accordance with the State of Connecticut Office of the State Comptroller Management of Receivables, it is the responsibility of the University to invoice customers and notify them of their financial obligation to the University.

APPLIES TO

This policy applies to departments, faculty, and staff that provide goods and/or services to customers on credit.

POLICY STATEMENT

University departments and units must invoice customers at the time goods and/or services are rendered using the Kuali Financial System (KFS).  The Office of the Bursar may grant exceptions to this policy after assessing the department or unit’s alternative billing methods for adherence to proper internal control procedures.

ENFORCEMENT

Violations of this policy and any related procedures may result in appropriate disciplinary measures in accordance with University Laws and By-Laws, General Rules of Conduct for All University Employees, and applicable collective bargaining agreements.

PROCEDURES

For additional information, access the KFS Cash and Accounts Receivable Procedure Guide at: https://bursar.uconn.edu/departments/accounts-receivable/.

REFERENCES

State of Connecticut Office of the State Comptroller Management of Receivables

POLICY HISTORY

Policy created: 08/18/2014

Revisions:
08/08/2025 (Approved by the Senior Policy Council)
01/24/2022 (Editorial revision)

 

Cash Collection and Deposit

Title: Cash Collection and Deposit
Policy Owner: Office of the Bursar
Applies to: Faculty, Staff
Campus Applicability: Storrs and Regional Campuses
Approval Date: August 8, 2025
Effective Date: August 8, 2025
For More Information, Contact: Office of the Bursar
Contact Information: cashoperations@uconn.edu
Official Website: https://bursar.uconn.edu/departments/cash-operations/

PURPOSE

To ensure compliance with Title 4 Chapter 47 Section 4-32 of the Connecticut General Statutes for accounting and depositing of any Cash received by the University.

APPLIES TO

This policy applies to any University department receiving Cash.

DEFINITIONS

Cash: Includes currency, checks, money orders, electronic payments, and all other negotiable instruments.

POLICY STATEMENT

Any department or unit at the University receiving Cash must deposit funds within 24 hours of receipt if the total amount is $500 or more; lesser amounts may be held until total receipts reach $500 but not for a period of more than seven calendar days.  All cash must be deposited into a University bank account.  Funds must be accounted for daily in the University’s general ledger system, regardless of total amount collected.

Any missing funds must be immediately reported to the University Police Department and the Office of the Controller. The results of the investigation will determine the subsequent actions. See also the Policy on the Prevention and Reporting of Fraud and Fiscal Irregularities.

ENFORCEMENT

Violations of this policy and any related procedures may result in appropriate disciplinary measures in accordance with University By-Laws, General Rules of Conduct for All University Employees, and applicable collective bargaining agreements.

PROCEDURES

Consult the Cash Operations and Accounts Receivable procedures in KnowledgeBase for proper cash handling controls for your department. Additional information is available on the Office of the Bursar website.

REFERENCES

Connecticut General State Statute Title 4 Chapter 47 Section 4-32. State Revenue Accounting

POLICY HISTORY

Revisions:
08/08/2025 (Approved by the Senior Policy Council)
01/14/2022
08/19/2014

Service Center Policy

Title: Service Center Policy
Policy Owner: Accounting Office
Applies to: Faculty, Staff and Designated Affiliates
Campus Applicability: UConn Storrs and Regionals
Effective Date: December 26, 2014
For More Information, Contact Associate Controller & Director of Accounting
Contact Information: (860) 486-1366
Official Website: https://accountingoffice.uconn.edu/

PURPOSE

To ensure that the University is in compliance with the cost principles and accounting standards set forth by the federal government.

APPLIES TO

This policy applies to faculty, staff and designated affiliates of the University of Connecticut, Storrs and Regional Campuses.

DEFINITIONS

Service Center: a unit which charges a rate to recover the full allowable cost of goods or services provided.  This differs from a unit which charges another area for the cost of the goods or services only, without consideration of other recoverable costs such as overhead costs.  A unit of this type is defined as a “Recharge Center”.

OMB Uniform Guidance: publication of the Office of Management and Budget titled “Cost Principles and Audit Requirements for Federal Awards.”

Governmental Cost Accounting Standards (CAS): standards and rules administered by the federal government for use in achieving uniformity and consistency under federal contracts.

Service Center and Cost Recovery Committee (SCCRC): a University committee responsible for approving the establishment of and rates charged by University Service Centers.

POLICY STATEMENT

The Office of Cost Analysis (OCA), a unit within the University’s Accounting Office, is responsible for ensuring that the establishment of and the rates charged  by  University Service Centers are approved by the SCCRC in accordance with OMB Uniform Guidance.  The Office of Cost Analysis reviews the rates charged by Service Centers, and ensures that the rates are consistent with good business practice and comply with all applicable regulatory and legal requirements, including those outlined in OMB Uniform Guidance and the Governmental Cost Accounting Standards (CAS).  The OCA will ensure that federal grants and contracts are not charged a rate that is higher than what any other internal or external customer may be charged for goods and services.  External rates include indirect costs or overhead, whereas internal rates include only direct costs.  Departments operating Service Centers must have the Center and the rates used by the Center, approved by the SCCRC in advance of commencing operations.

Additional information on Service Centers and cost accounting principles at the University can be found in the Cost Accounting Disclosure Statements (CADS):

Direct and Indirect Costs of Federal Grants and Contracts https://accountingoffice.uconn.edu/wp-content/uploads/sites/143/2018/04/CADS1-Uconn-policies-updated-for-UG.pdf

Cost Sharing https://accountingoffice.uconn.edu/wp-content/uploads/sites/143/2015/08/CADS2.pdf

Financial Management of Service Centers https://accountingoffice.uconn.edu/wp-content/uploads/sites/143/2015/08/University-of-Connecticut.pdf

ENFORCEMENT

Violations of this policy may result in appropriate disciplinary measures in accordance with University Laws and By-Laws, General Rules of Conduct for All University Employees, applicable collective bargaining agreements, and the University of Connecticut Student Conduct Code.

PROCEDURES/FORMS

For more information on OMB Uniform Guidance, please see

https://www.whitehouse.gov/omb/

POLICY HISTORY

Revisions:  Review and editorial revisions August 27, 2021

Personal Services Fringe Rate Calculation for Grants/Research

Title: Personal Services Fringe Rate Calculation for Grants/Research
Policy Owner: Accounting Office
Applies to: Faculty, staff and designated University affiliates
Campus Applicability: Storrs and Regional Campuses
Effective Date: December 26, 2014
For More Information, Contact Associate Controller & Director of Accounting
Contact Information: (860) 486-1366
Official Website: https://accountingoffice.uconn.edu/

PURPOSE

To ensure that the University is in compliance with the cost principles and accounting standards set forth by the federal government.

APPLIES TO

This policy applies to faculty, staff and designated affiliates of the University of Connecticut, Storrs and Regional Campuses.

DEFINITIONS

Personal Services Fringe Rates are calculated to cover the cost of employer-paid contributions for retirement, health care, life insurance and other fringe benefits on grants.  The rates vary because the calculation is based on a percentage of salaries for different categories of personnel.

OMB Uniform Guidance – publication of the Office of Management and Budget titled “Cost Principles and Audit Requirements for Federal Awards.”

Governmental Cost Accounting Standards (CAS) – standards and rules administered by the federal Government for use in achieving uniformity and consistency under federal contracts.

POLICY STATEMENT

The Office of Cost Analysis (OCA), a unit within the University’s Accounting Office, is responsible for calculating personal services fringe rates that are charged to research grants in accordance with OMB Uniform Guidance and the Government Cost Accounting Standards (CAS).  Federal grants may not be charged personal services fringe rates unless approved by the Department of Health and Human Services, our cognizant federal agency. University departments charging personal services to grants must use the approved fringe rates.

ENFORCEMENT

Violations of this policy or associated procedures may result in appropriate disciplinary measures in accordance with University By-Laws, General Rules of Conduct for All University Employees, and applicable collective bargaining agreements.

PROCEDURES/FORMS

The rates are calculated by the OCA based on current financial information and then adjusted annually in the future rates, based on actual costs.

For more information on OMB Uniform Guidance, please see

http://www.whitehouse.gov/omb/

POLICY HISTORY

Revisions:  Review and editorial revisions August 27, 2021

Integrity of Accounting Transactions

Title: Integrity of Accounting Transactions
Policy Owner: Accounting Office
Applies to: Staff
Campus Applicability:  All Campuses, except UConn Health
Effective Date: August 19, 2014
For More Information, Contact Associate Controller & Director of Accounting
Contact Information: (860) 486-1366
Official Website: https://accountingoffice.uconn.edu/

PURPOSE

The financial position of the University must be represented in conformity with Generally Accepted Accounting Principles (GAAP) in the United States of America and the Governmental Accounting Standards Board (GASB).

APPLIES TO

This policy applies to all staff of the University of Connecticut, Storrs and Regional Campuses.  Fiscal staff are responsible for adhering to this policy, and the Accounting Office staff ensure adherence.

DEFINITIONS

Basic accounting principles: follow the accounting equation where assets minus liabilities equal net position.  Due to basic double entry accounting, this equation needs to be in balance at all times.  Specific types of object code balance types have normal debit or credit balances.  For instance, expense object codes have a normal debit balance.
Net position: fund balance in governmental organizations.
Fiscal staff: are generally responsible in their respective areas for financial matters including but not limited to procurement, adhering to budgets, safeguarding assets, and completing transactions in the financial system.

POLICY STATEMENT

The Accounting Office is responsible for ensuring that all departments follow basic accounting principles when processing accounting entries, and have proper supporting documentation and approval.  All submissions of accounting entries by departments must be reviewed and approved by the Accounting Office to ensure they follow basic accounting principles.

ENFORCEMENT
Violations of this policy or associated procedures may result in appropriate disciplinary measures in accordance with University By-Laws, General Rules of Conduct for All University Employees, and applicable collective bargaining agreements.

PROCEDURES/FORMS

Accounting entries are routed to the Accounting Office via electronic workflow for review and approval.  These accounting entries include Distributions of Income and Expense, Transfers of Funds, General Ledger Transfers, Internal Billings, Adjustment/Accrual Vouchers, Journal Vouchers, Indirect Cost Adjustments, Salary and Benefit Expense Transfers, Labor Ledger Journal Vouchers, General Ledger Correction Processes and accounting entries done via collector feeds.  In addition, accounting entries of $100,000 or higher must be approved by the Director of Accounting.  Certain other approvals may be required such as in the case of UCONN 2000 funds (see Capital Projects Delivery Process).

POLICY HISTORY

Revisions:  Review and editorial revisions August 27, 2021

Capital Equipment Tagging and Physical Inventory Policy

Title: Equipment Tagging and Physical Inventory Policy
Policy Owner: Accounting Office
Applies to: Faculty, Staff and Designated Affiliates
Campus Applicability: Storrs and Regional Campuses
Effective Date: September 15, 2021
For More Information, Contact Associate Controller & Director of Accounting
Contact Information: (860) 486-1366
Official Website:  https://accountingoffice.uconn.edu/ 

PURPOSE

Accurate records of the location of University equipment are vital for compliance with the State of Connecticut Property Control Manual and for the proper valuation on the University’s financial statements.  A physical inventory will be completed in accordance with Section 4-36 of the General Statutes of Connecticut.

APPLIES TO

This policy applies to faculty, staff and designated affiliates of the University of Connecticut, Storrs and Regional Campuses.

DEFINITIONS

Capital Equipment: Tangible, non-expendable, personal property having an anticipated life of one year or more with an acquisition cost of $5,000 or greater.

POLICY STATEMENT

All capital equipment must be tagged with a University barcode at the time of receipt and a physical inventory must be completed annually.  Departments are responsible for assisting the Accounting Office in this process including recording moves of equipment, by updating the equipment data in the financial system.

ENFORCEMENT

Violations of this policy or associated procedures may result in appropriate disciplinary measures in accordance with University By-Laws, General Rules of Conduct for All University Employees, and applicable collective bargaining agreements.

PROCEDURES/FORMS

Please see http://accountingoffice.uconn.edu/policy-procedures-general/ for general information on Inventory Control, http://accountingoffice.uconn.edu/equipment-tagging/ for information on tagging equipment and http://accountingoffice.uconn.edu/equipment-count-physical-inventory/ for information on the annual physical inventory of equipment.

POLICY HISTORY

Revisions:  July 1, 2015; Review and editorial revisions effective September 15, 2021

Financial Statements and Financial Reports Policy

Title: Financial Statements and Financial Reports Policy
Policy Owner: Accounting Office
Applies to: Staff
Campus Applicability: Storrs and Regional Campuses
Effective Date: August 19, 2014
For More Information, Contact Associate Controller & Director of Accounting
Contact Information: (860) 486-1366
Official Website: https://accountingoffice.uconn.edu/

PURPOSE

The financial position of the University must be represented in conformity with Generally Accepted Accounting Principles (GAAP) in the United States of America and the Governmental Accounting Standards Board (GASB).

APPLIES TO

This policy applies to all staff of the University of Connecticut, Storrs and Regional Campuses.  Fiscal staff are responsible for adhering to this policy, and the Accounting Office staff ensure adherence.

DEFINITIONS

Fiscal staff:  are generally responsible in their respective areas for financial matters including but not limited to procurement, adhering to budgets, safeguarding assets, and completing transactions in the financial system.

POLICY STATEMENT

The Accounting Office is responsible for ensuring that the financial statements of the University, as well as all financial reports produced by the Accounting Office and provided to internal or external parties of the University, are presented fairly in all material respects, and that they represent the financial position of the University in conformity with accounting principles generally accepted in the United States of America (GAAP) and the Governmental Accounting Standards Board (GASB). Fiscal staff are responsible for applying proper accounting principles which is the basis for accurate financial reporting.

ENFORCEMENT

Violations of this policy may result in appropriate disciplinary measures in accordance with University Laws and By-Laws, General Rules of Conduct for All University Employees, applicable collective bargaining agreements, and the University of Connecticut Student Conduct Code.

POLICY HISTORY

Revisions:  Review and editorial revisions August 27, 2021

Facilities and Administrative (F&A) Rate Calculation Policy

Title: Facilities and Administrative (F&A) Rate Calculation Policy
Policy Owner: Accounting Office
Applies to: Faculty, Staff and Designated Affiliates
Campus Applicability: Storrs and Regional Campuses
Effective Date: December 26, 2014
For More Information, Contact Associate Controller and Director of Accounting
Contact Information: (860) 486-1366
Official Website: https://accountingoffice.uconn.edu/

PURPOSE

To ensure that the University is in compliance with the cost principles and accounting standards set forth by the federal government.

APPLIES TO

This policy applies to faculty, staff and designated affiliates of the University of Connecticut, Storrs and Regional Campuses.

DEFINITIONS

Facilities & Administrative (F & A) Rate: overhead rate charged to federal research grants. It is synonymous with indirect costs, and refers to the actual operating costs for facilities and administrative personnel necessary to support externally funded research.

OMB Uniform Guidance: publication of the Office of Management and Budget titled “Cost Principles and Audit Requirements for Federal Awards.”

Governmental Cost Accounting Standards (CAS): standards and rules administered by the U.S. government for use in achieving uniformity and consistency under federal contracts.

POLICY STATEMENT

The Office of Cost Analysis (OCA), a unit within the Accounting Office, is responsible for calculating the Facilities and Administrative (F&A) rate charged to federal research grants every five years in accordance with OMB Uniform Guidance and the Government Cost Accounting Standards (CAS).  The OCA will ensure that federal grants and contracts are not charged a higher rate for goods and/or services that any other internal or external customer may be charged, and only the approved F&A can be charged to grants.  Departments cannot charge more on a grant than the rates approved by the Department of Health and Human Services, our cognizant federal agency.

ENFORCEMENT

Violations of this policy may result in appropriate disciplinary measures in accordance with University Laws and By-Laws, General Rules of Conduct for All University Employees, applicable collective bargaining agreements, and the University of Connecticut Student Conduct Code.

PROCEDURES/FORMS

For more information on OMB Uniform Guidance, please see:

http://www.whitehouse.gov/omb/

POLICY HISTORY

Revisions:  Review and editorial revisions August 27, 2021