Resolution 08-024 Establishing Petty Cash & Working Funds •
CITY OF SPOKANE VALLEY
SPOKANE COUNTY,WASHINGTON
RESOLUTION NO.08-024
A RESOLUTION OF THE CITY OF SPOKANE VALLEY, SPOKANE COUNTY,
WASHINGTON, ESTABLISHING PETTY CASH, CHANGE, AND WORKING FUNDS FOR
SPECIFIC PURPOSES, AND CLOSING OPERATING CHECKING ACCOUNTS NO LONGER
NEEDED.
WHEREAS, Spokane Valley Municipal Code Section 3.30.030 authorizes the development of
rules and policies concerning the administration of petty cash funds; and •
WHEREAS, it is the general policy of the City to set aside small amounts of cash to make
change and reimburse employees for city operating costs;and
WHEREAS, the City has established small funds for these purposes in the past by motion,
resolution,or ordinance; and
WHEREAS,the Washington State Auditors Office has suggested the adoption of these funds by
City resolution; and
WHEREAS,the city no longer needs the recreation revolving program special checking account;
and
WHEREAS,the city no longer needs the code enforcement special checking account;and
WHEREAS, Council desires to close these two small checking accounts and adopt by council
resolution these new change and petty cash funds.
NOW THEREFORE,be it resolved by the City Council of the City of Spokane Valley, Spokane
County, Washington,as follows:
Section 1. The recreation program and code enforcement special checking accounts shall be
closed.
Section 2. The following petty cash/change accounts shall be established in the amounts shown
below and administered by the position identified. The specific custodians for these accounts shall be
appointed by the finance director.
Responsible Position Amount
Operations/Administration Receptionist $100
Building cash one -Permit Specialist $200
Building cash two- Permit Specialist $200
Building cash three- Office Assistant $200
Parks&Rec. Administrative Assistant $ 50
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The following are minimum requirements for establishment and operation of these accounts:
1. Each petty cash account shall be established by the governing body by resolution.
2. The custodian of each petty cash account who should be independent of invoice processing, check
signing,general accounting and cash receipts functions.
When it is not practical to hire additional personnel or to reallocate these duties among existing
personnel, a mechanism of review that accomplishes the objectives of the segregation of duties shall
be established. For example, periodic monitoring of cash receipts and/or independent performance
of the bank reconciliation add controls when complete segregation of duties is not possible.
3. The amount in petty cash shall be periodically counted and reconciled by someone other than the
custodian.
4. The custodian should assure the petty cash is kept in a locked location.
5. The authorized amount of all such petty cash shall be included in the local government's balance
sheet.
6. If petty cash is disbursed, it must be replenished at least monthly.
The replenishment should be subject to the same review and approval as processed invoices. The
replenishment must be by voucher with the appropriate receipts attached. The receipts should show
the date, recipient, purpose and amount of each cash disbursement. These receipts must be signed by
the person receiving the money, stamps, etc. At the time of replenishment, the custodian should
ensure that the balance remaining in petty cash, together with the amount of the replenishment
voucher,equals the authorized imprested amount.
7. The impress amount of petty cash should not exceed one month's salary or the surety bond covering
the custodian.
8. The fund may not be used for personal cash advances even if secured by check or other 1.O.U.'s.
9. Petty cash should always be replenished at the end of the fiscal year so that expenses will be
reflected in the proper accounting period.
10. Whenever an individual's appointment as custodian is terminated the fund must be replenished and
the imprested amount turned over to the treasurer or other disbursing officer.
Section 3. Repeal. To the extent that previous council motions, resolutions and ordinances are
inconsistent with those set forth herein,they are repealed.
Section 4.Effective Date. This Resolution shall be in full force and effect upon adoption.
Adopted this 30th day of December,2008.
ATTES CITY OF . '• A NE VALLEY
\NC /le /..7.•‘5. /L0
Christine Bainbridge,City Clerk ichard M. -en,Mayor
Approved as to form:
Office of the City Attorney
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