The funds raised by the student body are to be spent for the students, by the students, not as the teachers, administrators or advisors want. The money of the Associated Student Body (ASB), including clubs, trust accounts and scholarships, belongs to the students. All expenditures should be made in accordance with an established system that includes sound internal control procedures, good accounting practices and conforms to the regulations of the governing board.
All expenditures must have the approval in writing of the following three persons:
- an employee or official of the school district designated by the governing board (usually the principal)
- the certificated employee who is the designated adviser
- a representative of the student body (California Education Code Section 48934(b))
Additionally, all expenditures made by the student body must be approved by the student council and so noted in the minutes of the meeting. The checks can be written before the meeting and a copy of the check register attached to the minutes. The checks must not be mailed or distributed until after the meeting. The bookkeeper or ASB clerk should keep a copy of the minutes as proof of approval.
All checks must be pre-numbered and voided checks retained. Two signatures should be required on all checks. Usually those authorized to sign are listed in board policy and/or the student body's constitution by-laws. Checks should never be written to "cash" or issued without a name or an amount (blank check).
All student body expenditures should have appropriate backup before they are paid. This backup should also be retained and filed in an orderly manner for use during the annual audit. Appropriate backup would include an invoice or other receipt showing the amount due, date and vendor. Payment should never be made from a statement.
Persons receiving merchandise should verify the quantity that was received is the same as listed on the invoice then sign the invoice as received. Once the check is written, the invoice or other back up should be marked "PAID" and the date and check number of payment noted on the invoice. If no invoice or receipt is available, a Check Request
form should be used so that there is some form of backup in the files. This form should not be used as the normal routine but as the exception.