Policies & Procedures


 

Section: ACT
Part: PRO
Statement No.: 6.1
Date: 07/01/08
University of North Carolina - General Administration
Administrative Policies and Procedures Manual
Title: Bank Statement and Outstanding Check Reconciliation

 

1.            Cash disbursements are made through the FRS Accounts Payable system. Check data is collected by the same system for reconciling purposes. As Accounts Payable checks clear the State Treasurer's Office (for funds held by the State Treasurer) the cleared check data is collected and is made available to UNC-CH ITS at the end of every month.

 

2.            Each month the State Treasurer's Office provides cleared check files(one for the State account and one for each Trust account) noting the check micro number, amount cleared, batch number and batch position.

 

3.            When the bank statements are received, the outstanding check programs are requested. These programs compare checks disbursed by General Administration Accounting with checks cleared by the State Treasurer's Office.

 

4.           The following reports are received by General Administration for reconciling purposes.

 

      AP300 - This report lists all checks cleared by the State Treasurer's Office.

      VBM001 – This report lists all checks reconciled by the outstanding check program inclusive of errors/exceptions, if any.

      VBM094 – This report lists all outstanding checks.

 

5.            The VBM001 errors/exceptions listings should be reviewed for needed corrections.

 

6.            Formatted templates are used to prepare bank reconciliations to ensure consistency

               and identification of outstanding items.

 

7.            Bank statement account balances, FBM090 reports, and Accounting Ledgers are used to compile 

               outstanding items and beginning/ending cash balances.

  

8.            Manual Corrections needed to adjust the outstanding check list (VBM094) are entered by the  accounting technician using screen GAFR, option 03 FRS File Update, option 14 for state funds, and option 16 for trust funds. 

 

9.            Bank Statement and Outstanding Check reconciliation for funds held outside the State Treasurer are prepared using a formatted template to ensure consistency and identification of outstanding items along with detailed comparison of the Accounting Office ledger, FBM090 report, and the bank statement issued by the financial institution.

 

10.           After the accounting technician completes the bank statement reconciliations, he/she signs the template as completed and reconciled.  The statements and supporting documentation are forwarded to the accountant for review and approval.

 

 

 

 

 

 

 

11.          Following approval by the accountant, the statements are filed chronologically.