Everyone in the UB community has the responsibility to safeguard
cash and cash equivalents.
This policy provides guidance for the administration of and
internal controls over university cash handling operations.
University at Buffalo (UB, university) departments that handle
cash and cash equivalents must have both an awareness of and
commitment to strong internal controls. Internal controls encourage
good stewardship, safeguard assets, promote accurate financial
reporting, prevent mishandling and loss of funds, and protect
employees from allegations of impropriety.
The university’s objective is to minimize handling cash
and cash equivalents across all departments and affiliates. To
reduce risk and prevent theft, loss, or misappropriation of funds,
whenever practical, acceptance of cash and checks should be
avoided. The university’s preferred method for receiving
payments is via the ePay process, collection through a student
account for student-related charges, electronic funds transfer
(EFT), and credit or debit cards. Cash transfers between affiliates
(State, Research Foundation (RF), University at Buffalo Foundation
(UBF), Faculty Student Association (FSA)) will be conducted via EFT
and credited to departmental accounts.
University departments that collect cash and cash equivalents
are responsible for implementing strong internal controls.
- All cash receipts must be deposited daily into an approved
university, RF, UBF, or FSA bank account.
- Maintain proper segregation of duties as outlined below.
- Establish written procedures for receiving, depositing, and
reconciling cash or checks.
- Access to cash and checks must be restricted to individuals
with authorized fiscal responsibility.
- Accurately record all cash collected at the time of receipt
with record of receipt documentation.
- Safeguard all cash and checks:
- immediately upon receipt
- by restrictively endorsing all checks immediately
- by storing in a locked and secured location until the funds are
Controls and safeguards must be adequate to provide management
with reasonable assurance that cash and cash related transactions
are properly accounted for and controlled.
This policy applies to all cash collected by university
departments and deposited into a state, Research Foundation, or
University at Buffalo Foundation account.
Armored Car Service
Service operated by a security firm
to transport cash deposits from the university to a financial
Currency, coin, checks, credit/debit
card recordings, bank notes, bullion, traveler’s checks,
registered checks, and money orders.
Includes the responsibility for
receiving cash, maintaining accounting records, preparing deposit
slips, making bank deposits, disbursing cash, and reconciling
Payments received in return for goods
or services; includes cash, checks, debit/credit card payments.
Machine used to regulate money
transactions with customers.
Currency that is made in imitation,
so as to be passed off fraudulently or deceptively as genuine.
Electronic Funds Transfer (EFT)
The electronic transfer of money from
one back account to another over a computerized network without any
paper money changing hands or direct intervention of bank
staff. Examples of EFT include credit or debit card payments,
direct deposit, wire or ACH transfers.
A slip of paper or cardboard that
serves as evidence that the holder has paid a fare or admission or
is entitled to a service. Event tickets are pre-numbered and
tracked in sequential order for seating and reconciliation
The integration of the activities,
plans, attitudes, policies, and efforts of the people of a
department working together to provide reasonable assurance that
the department will achieve its mission. An action or procedure
designed to promote efficiency, assure the implementation of a
policy, or safeguard assets to avoid fraud and error.
A deposit bag with a lock to
transport cash and checks securely between locations. While no bag
is completely theft proof, lock bags offer a higher degree of
security due to their locking system and construction of the
A post office box established for
receiving payments. A lockbox service with a financial institution
may be established to process payments and deposit them directly
into the university’s bank account.
Payment Card Industry Data Security Standard (PCI
An information security standard for
organizations that handle cardholder information, defined by the
Payment Card Industry Security Standards Council.
Post Dated Check
A check written for disbursement at a
future date from the date the check is written because payment is
not due until the later date.
A press numbered, triplicate form
that acts as a record of receipt when cash is received. The
original is given to the payer and copies are retained for
An accounting process that compares
two separate sets of records to ensure the figures are accurate and
Record of Receipt
A document or form that provides an
acknowledgement of having taken into possession a specified amount
To reimburse or give back money that
was paid previously for goods or services.
Remote Deposit Capture
Ability to deposit a check remotely
through scanning a digital image of the check and transmitting the
image to the bank.
The action that limits the
negotiability of a check or money order to the deposit of a bank
Check that is returned by the bank to
the depositor due to reasoning such as insufficient funds, improper
endorsement, amount mismatch between words and numbers, post dated
or stale dated checks, or stop payment orders.
Segregation of Duties
The means by which no one person has
sole control over the lifespan of a transaction. No one person
should be able to initiate, record, authorize, and reconcile a
Stale Dated Check
A check that was written more than
six months prior to being deposited to the bank. The bank is no
longer obligated to process this check after this time period.
State accounts include:
• Dormitory Income Fund
Reimbursable (DIFR) – self-supporting accounts used to
administer room rental fees and charges.
• Income Fund Reimbursable
(IFR) – self-supporting accounts used to track cash
collections and the matching expenditures associated with the
educational and related activities provided to students and other
customers. An IFR account differs from a State Operating account in
that it is supported by cash receipts.
• State Operating –
accounts that are a combination of allocation from state tax
dollars and campus revenue from tuition and certain other
• State University Tuition
Reimbursable Account (SUTRA) – self-supporting programs
funded from tuition revenue related to overseas programs, contract
courses, summer session, and enrollment overflow. SUTRA accounts
operate similar to IFR accounts.
Buffalo, NY 14260
Buffalo, NY 14214
Sponsored Project Services
520 Lee Entrance, Suite 211
Amherst, NY 14228-2576
Buffalo, NY 14260
Student Response Center (SRC)
Buffalo, NY 14260
University at Buffalo Foundation (UBF)
Buffalo, NY 14260
Buffalo, NY 14260