ERIC ED435328: Administrative Procedures for Small Institutions. Second Edition.

232 Pages·1999·4.3 MB·English

by  ERIC

DOCUMENT RESUME
HE 032 548
ED 435 328
Mathews, Keith W., Ed.
AUTHOR
Administrative Procedures for Small Institutions. Second
TITLE
Edition.
National Association of Coll. and Univ. Business Officers,
INSTITUTION
Washington, DC.
1999-00-00
PUB DATE
NOTE
231p.
National Association of College and University Business
AVAILABLE FROM
Officers, P.O. Box 362, Annapolis Junction, MD 20701-0362.
Tel: [phone].
Descriptive (141)
Reports
Non-Classroom (055)
PUB TYPE Guides
MF01/PC10 Plus Postage.
EDRS PRICE
Accounting; *Administration; Administrator Guides;
DESCRIPTORS
*Budgeting; *Educational Finance; Employment Practices;
*Facilities; Fringe Benefits; Higher Education; *Human
Resources; Personnel Management; Personnel Policy;
Purchasing; Small Colleges
*Administrative Services; Facility Management
IDENTIFIERS
ABSTRACT
This guide offers sample administrative procedures and
policies that can be used by small colleges and universities to prepare or
revise administrative procedures manuals. The sample procedures and policies
offered here have been compiled from a review of many manuals from many
different institutions, and vary from the general to the specific. Material
"Billing, Collections, and Cash
is presented in six sections:
(1)
"Employee Benefits";
"Budgeting and Accounting";
Management";
(4)
(3)
(2)
"Purchasing and
"Human Resources;" and (6)
"Facilities Management";
(5)
General Services." Examples of some of the specific procedures outlined
include the following: bookstore transactions; delinquent account collections
and bad debt write-offs; monthly payment options and loan plans; budget
preparation process; capital budgeting; overhead; travel expenses; employee
benefits for independent colleges; health insurance; nondiscrimination rules;
parental and adoption leave; retiree and survivor group health insurance;
employment termination, retirement benefits; tax-sheltered annuities;
construction administration, parking, remodeling and reallocation request;
use of campus facilities; affirmation action; conflict of interest; grievance
procedure and problem-referral procedure; job classification systems; job
posting and job hotline, promotion, sexual harassment; copying and
copyrights; independent contractor payments; mail services; printing and
graphic services, records management; telecommunication services.
(CH)
Reproductions supplied by EDRS are the best that can be made
from the original document.
00
c\I
SMALL INSTITUTIONS
U.S. DEPARTMENT OF EDUCATION
Office of Educational Research and Improvement
jilt 111
EDUCATIONAL RESOURCES INFORMATION
CENTER (ERIC)
NACUBO
his document has been reproduced as
received from the person or organization
National
.ficaiciation
originating it.
of College and Vniversily
Minor changes have been made to
Rosiness OffirP11
improve reproduction quality.
Points of view or opinions stated in this
EDITOR
document do not necessarily represent
official OERI position or policy.
Keith W. Mathews
Vice President for Finance
PERMISSION TO REPRODUCE AND
DISSEMINATE THIS MATERIAL HAS
Baldwin-Wallace College
BEEN GRANTED BY
to
D. Klinger
Berea, Ohio
1/41
4L.
bid
TO THE EDUCATIONAL RESOURCES
INFORMATION CENTER (ERIC)
LI)
1
First Edition copyrighted © 1997
Second Edition published 1999
National Association of College and University Business Officers
2501 M Street, N.W., Suite 400
Washington, DC 20037
Phone: [phone]
Fax: [phone]
Internet: http://www.nacubo.org
All rights reserved
Printed in the United States of America
3
ADMINISTRATIVE PROCEDURES
SMALL INSTITUTIONS
CONTENTS
Preface
7
Acknowledgments
8
Billing, Collections, and Cash Management
9
Introduction
9
Billing Procedures for Students
11
Bookstore Transactions
11
Campus Card Use and Billing (Students)
12
Campus Card Use and Billing (Employees)
14
Cash Management
16
Check Cashing
16
Credit Line for Students (Community College)
17
Delinquent Account Collections and Bad Debt Write-Offs
18
Miscellaneous Accounts Receivable
20
Monthly Payment Options and Loan Plans
20
Payments by Students at Registration (State College)
21
Refunds to Students (Community College)
22
Refunds to Students (Independent College)
24
Returned Checks
24
Tours and Trips for Students
25
Budgeting and Accounting
26
Introduction
26
Budget Changes (1)
26
Budget Changes (2)
28
Budget Preparation Process
28
Budget Request Instructions
29
Capital Budgeting
31
Capital Equipment Purchases
36
Capitalization Policies and Procedures
36
Endowment Levels and Minimum Requirements
36
Gift Acceptance and Processing
37
Journal Entries
40
Matching Gifts
40
Moving Expense Reimbursement
40
New Account Requests
44
Overhead (Indirect Costs)
44
Petty Cash
45
Payment of Invoices
49
Payment or Check Requests
49
Personal Service Payments
52
Travel Expenses
52
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ADMINISTRATIVE PROCEDURES
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SMALL INSTITUTIONS
III
Employee. Benefits
58
Introduction
58
Employee BenefitsIndependent College
58
Eligibility
58
Health Insurance
59
Uninsured Medical Reimbursement Account
60
Dependent Care Reimbursement Account
60
Leave for Death in Family
61
Retirement
61
Eligibility
61
Hours of Service
61
Break in Service
62
Tax-Deferred Annuities
62
Non-Discrimination Rules
62
Life Insurance Plan
62
Tuition Benefit
62
Full -Time Employees
62
Part-Time Employees
63
Guidelines for Tuition Benefits
63
Definition
64
Paid Vacation and Holidays
64
Paid Sick Leave
65
Short Term Disability Insurance
65
Parental and Adoption Leave
65
Eligibility
66
Long-Term Disability Insurance
66
Faculty/Staff Housing
66
Mortgage Loan Funds
67
Courtesy Fund Policy
67
Educational Assistance
67
Retirees and Survivors Group Health Insurance
67
Other Benefits
67
Employee BenefitsState-Supported College
68
Educational Privilege
68
Preface
68
Registration
68
Employment Termination
68
Program Eligibility
68
Limitation to Academic Service
68
Educational Reciprocity
68
Retirement Benefits
69
Public Employee Retirement System
69
Benefit Eligibility for Part-Time Employees
69
Preface
69
Policy
69
Savings Bonds, Deferred Compensation, and Tax-Sheltered Annuities
70
U.S. Savings Bonds
70
Deferred Compensation
70
Tax-Sheltered Annuities
70
Social Security and Employee Insurance
70
Life and Accidental Death and Dismemberment Insurance
70
Medical Insurance
71
Disability Income Protection
72
General Information
72
Athletic Activity Tickets
72
Employee Use of Campus Facilities
72
ADMINISTRATIVE PROCEDURES
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SMALL INSTITUTIONS
Facilities Management
73
Introduction
73
Asbestos Management
73
Construction Administration
75
Crisis Communications
76
Keys
79
Maintenance Responsibilities
81
Parking
82
Recycling
86
Remodeling and Reallocation Request
87
Repair or Service Requests
90
Safety
91
Service Chargebacks
93
Surplus Material
94
Use of Campus Facilities
94
Vehicles
99
Human Resources
102
Introduction
102
AIDS, HIV Hepatitis B
102
Affirmative Action
104
Americans with Disabilities Act of 1990
107
Conflict of Interest
107
Consensual Relationships
108
Discipline
109
Drug- and Alcohol-Free Workplace
114
Education and Training
121
Educator's Legal Liability Insurance
123
Equal Employment Opportunity
124
Federal Family and Medical Leave Act
124
Grievance Procedure and Problem-Referral Procedure
126
Hiring and Recruitment
127
Identification Cards
132
Job Classification Systems
133
Job Posting and Job Hotline
137
Jury Duty
137
Separation of Classified Employees
138
Nepotism
140
Outside Employment
141
Overtime Pay
142
Pay Level Steps
142
Performance Evaluation
146
Position Evaluation
146
Probationary Period and Review
149
Promotion
150
Safety and Health
151
Sexual Harassment
153
Smoking
158
Termination of Employment
160
Weather Conditions
161
111
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ADMINISTRATIVE PROCEDURES
SMALL INSTITUTIONS
Purchasing and General Services
162
Introduction
162
Air Travel Reservations
162
Bids and Quotations
164
Conflict of Interest (1)
165
Conflict of Interest (2)
167
Copying and Copyrights
167
Credit Cards for Travel
171
Independent Contractor Payments
172
Hazardous Materials and Waste
172
Logo or Name, Use of
175
Long Distance Telephone Charges and Credit Cards
176
Mail Services
176
Minority and Women-Owned Enterprises
177
Moving Expense Reimbursements
185
Printing and Graphic Services
185
Procurement: Comprehensive Statements
187
Records Management
220
Telecommunications Services
224
Vehicles Provided by the Institution
226
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ADMINISTRATIVE PROCEDURES
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SMALL INSTITUTIONS
PREFACE
Administrative Procedures for Small Institutions, first published in 1985, was conceived and planned to
encourage small colleges and universities that do not have manuals to initiate them, to help small institutions
that have outdated manuals to update them, and to persuade small institutions that have incomplete manu-
als to complete them.
Nothing in the sample procedures presented here should be construed as being mandated or required, but
rather as being suggested policies that would be helpful. Publication of these policies does not necessarily
imply that they are endorsed by NACUBO.
Institutions are encouraged to pick and choose the procedures that fit their institution's needs and to modify
those presented to conform to local policies, procedures, or conditions. The manual is divided into six
sections:
Billing, Collections, and Cash Management
Budgeting and Accounting
Employee Benefits
Facilities Management
Human Resources
Purchasing and General Services
The policies in each section are listed in the drop down box to the right of the section title. To view a policy,
simply select title of the particular policy and click on the "Go" button. To print the selected policy, simply
choose print from the file menu. To download a chapter, choose this option and follow the instructions. To
peruse the policies of another section, simply click on the section title as it appears to the right of the text.
The many colleges that have procedural manuals find them of immense value to new employees, for employ-
ees with longer service who may need to refer to policies and procedures on occasion, and for those who need
"proof' that policies and procedures do indeed exist.
The procedures presented here originated from review of many manuals from different institutions and vary
considerably from the general to the specific. They are offered as useful, practical examples that certain insti-
tutions have found applicable to their own environment.
Just as an institution may not find every procedure presented here applicable to its particular situation, so too
the placement of these procedures in the various sections may not be appropriate for everyone. Each institu-
tion should determine how best to organize the materials for its own procedures manual.
There is no assurance that any particular procedure included here will work at an institution other than the
one where it originated. This manual simply provides a starting point, and it is hoped, a time saver for those
institutions that need to produce a manual or to revise an existing one.
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ADMINISTRATIVE PROCEDURES
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SMALL INSTITUTIONS
ACKNOWLEDGMENTS
various busi-
The editor of this manual wishes to thank everyone who helped with its compilation, including
of NACUBO's Small Colleges and Minority Institutions
ness officers of colleges and universities, members
Committee, and staff members of NACUBO's Communications Department.
College, who pro-
Special thanks goes to Tom Kingston, Vice President for Finance at Franklin and Marshall
Burns, C.P.M., who
vided early guidance on the topics covered by this manual. Thanks also goes to Eugene J.
selected much of the material in the Purchasing and General Services section.
procedures. We
Numerous colleges and universities provided examples of their policies and administrative
adapted for
extend our thanks to all of these institutions, but especially to the following, whose materials were
this manual:
Baldwin-Wallace College
Bryn Mawr College
Case Western Reserve University
Colorado College
Hiram College
Lane Community College
Lewis-Clark State College
Lorain County Community College
Loyola College in Maryland
Loyola Marymount University
Moravian College
Rollins College
St. Edward's University
Stanford University
Trinity University
University of California, San Francisco
Worcester Polytechnic Institute
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ADMINISTRATIVE PROCEDURES
8
SMALL INSTITUTIONS
BILLING, COLLECTIONS, AND CASH MANAGEMENT
Introduction
Cash flow patterns for higher education institutions typically reflect deep fluctuations in balances available for
spending and short-term investing. While expenditures may be relatively steady throughout the year, tuition
and other student fee collections are concentrated at the beginning of each academic term, and gifts are usu-
ally heavy at the end of the calendar and fiscal years. While billing, collections, and cash forecasting and
investing are important management responsibilities in any organization, the unusual pattern in higher edu-
cation requires extra care and concern by financial managers in colleges and universities.
Student fee collection practices range from requiring payment as part of the registration process to sending
revolving credit billings to the students' or parents' homes. In between are a variety of formalized deferred
payment arrangements and monthly payment plans. This section includes a variety of such policies from
independent and public two- and four-year colleges and universities.
The awarding of student financial aid on the basis of either financial need or academic merit is a specialized
responsibility typically found outside the business and finance area. It is a business and finance responsibili-
ty, however, to credit such awards to students' accounts or to provide cash payments. In addition, many insti-
tutions facilitate the processing and handling of loan plans, government or private, that are unrelated to doc-
umented family need. Some of the billing policy statements included here reference these matters.
With fees assessed at the beginning of an academic term, the matter of cancellations and refunds for students
who drop out during the term becomes an issue. If the institution is operating at capacity, such students will
have occupied places that cannot, in mid-term, be filled by applicants who were not admitted. For this
reason,
education finance officers have long believed that a full pro rata refund was not appropriate. However, insti-
tutions receiving federal student aid funds have lost much of their discretion over refund policy and must
pro-
vide refund schedules at least as generous as federal regulations specify.
A recently developing area of much interest is electronic use of campus identification cards for a variety of
financial transactions and for admission to specialized facilities or events. Such
use of cards often developed
in the food service area and is now spreading throughout the campus, even for use of vending machines,
copiers, washers and dryers, video games, and computer services. Policies concerning use of both debit and
credit cards for students and for employees appear in this section.
Other matters covered are bad-debt write-off policies, check cashing, miscellaneous accounts (nonstudent
receivables), and off -campus tours.
Billing Procedures for Students (1)
To assist you in planning the financial aspects of the upcoming academic year, we are furnishing
you with an
explanation of the Business Office procedures for billing and collecting fees, a billing calendar, the semester
schedule of tuition and fees as of this date, and an explanation of the charges and credits that will
appear on
your student bills throughout the year. For your reference, a sample student statement and an annualized
schedule of tuition and fees are attached to this packet.
BILLING CALENDAR
Fall Semester
August 1: Statements are mailed
August 20: Payment due in the Business Office
Spring Semester (following year)
December 15: Statements are mailed
January 10: Payment due in the Business Office
10
ADMINISTRATIVE PROCEDURES
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SMALL INSTITUTIONS