|School City of East Chicago|
|Bylaws & Policies|
6610 - EXTRA-CURRICULAR FUNDS
The School Board shall establish financial controls for the administration of the normal, legitimate, curricular-related and extra-curricular activities of the Corporation in accordance with guidelines of the State Board of Accounts.
Each fund covered by this policy must be recognized by the School Board before monies can be collected or disbursed in the name of said fund. Each fund shall be managed by a school administrator designated by the Superintendent and a bonded Treasurer approved by the Board.
The Superintendent is directed to submit annually a list of any new accounts along with a brief description of its objectives.
All student activity funds will be managed by the bonded School Treasurer in accordance with the guidelines established by the State Board of Accounts in its Handbook of Instruction for extra-curricular accounts. The Superintendent shall be responsible for ensuring that the Corporation has the current edition of this handbook.
A person who has charge of the collection, custody, and disbursement of funds collected and expended to pay expenses incurred in conducting any athletic, social, or other school function, the cost of which is not paid from public funds, shall: 1) keep an accurate account of all money received and expended, showing the: (A) sources of all receipts; (B) purposes for which the money was expended; and (C) balance on hand; and 2) file a copy of the account.
The funds of all accounts of any organization, class, or activity shall be accounted separately from all others. Funds may not be transferred from the accounts of any organization, class, or activity except by a majority vote of its members, if any, and by the approval of the principal, sponsor, and Treasurer of the organization, class, or activity. However, in the case of athletic funds: 1) approval of the transfer must be made by the athletic director, who is regarded as the sponsor; and 2) participating students are not considered members. All expenditures of the funds are subject to review by the governing body of the school corporation.
The Treasurer shall give a bond in an amount fixed by the Superintendent and principal of the school approximating the total amount of the anticipated funds that will come into the possession of the Treasurer at any one (1) time during the regular school year. Bonds shall be filed with the trustee or Board of School Trustees.
The surety on the bonds must be a surety company authorized to do business in Indiana. However, the requirement for giving the bond and the requirement to deposit the receipts in a separate bank account, as required by I.C. 20-41-1-9, does not apply to any school for which the funds, as estimated by the principal, will not exceed $300 during a school year.
The principal or teacher in charge of the school shall designate a collecting authority to be in charge of the collection of any funds described in this section. This designation must be made immediately upon the opening of the school term or the vacating of the office of Treasurer. Upon collection of any funds, the collecting authority shall deliver the funds, together with an accounting of the funds, to the custody of the school Treasurer. The principal may designate different collecting authorities for each separate account of funds.
The Treasurer shall keep an accurate account of all money received by the collecting authority and expended, showing: 1) the sources of all receipts; 2) the purposes for which the money was expended; and 3) the balance on hand. A copy of the report, together with all records and files of extracurricular activities, shall be filed as required under I.C. 20-41-1-3.
However, in a school that has two (2) or more semesters in any one (1) school year, the Treasurer of the school shall file a copy of the Treasurer's financial report of receipts and disbursements after the close of each semester. Records and files of extracurricular activities for the entire school year shall be filed with the last financial semester report of any one (1) school year. These records shall be kept for five (5) years, after which they may be destroyed, unless the school corporation’s records retention policy requires this category of records to be maintained for a longer period.
The Treasurer shall deposit all receipts in one (1) bank account. The receipts shall be deposited without unreasonable delay. The account shall be known as the school extracurricular account. The records of each organization, class, or activity shall be kept separate so that the balance in each fund may be known at all times.
The money in the school extracurricular account may be invested under the conditions specified in IC 5-13-10 and IC 5-13-10.5 for investment of state money. However, investments under this section are at the discretion of the principal. The interest earned from any investment may be credited to the school extracurricular account and need not be credited proportionately to each separate extracurricular fund. The interest earned from the investment may be used for any of the following:
a school purpose approved by the principal.
an extracurricular purpose approved by the principal.
Amounts expended from the extra-curricular account are in addition to any appropriation under I.C. 20-26-5-4-(3).
I.C. 5-11-1-24, 5-11-1-27
I.C. 5-13-10, 5-13-10.5
I.C. 20-26-5-4(3)(A) – Uniform Internal Control Standards for Political Subdivisions Accounting and Uniform Compliance Manual for Extra-Curricular Accounts
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