10.6.2 Responsibilities of a Change Fund Custodian

Policy Statement

The Change Fund custodian is responsible for the safekeeping and proper use of the fund.

Reason for the Policy

To provide for the safekeeping and proper use of Change Funds.

Applicability of the Policy

All units that have a Change Fund.

Procedure

The custodian is personally liable for cash losses and discrepancies in the Change Fund. Funds lost due to circumstances beyond the control of the custodian must be repaid from the unit's budget or other available operating funds.

The Change Fund custodian must reconcile the fund each day it is used. Change Funds must also be verified monthly by the unit head, supervisor, or delegate. The fund custodian cannot, under any circumstances, perform the monthly counting of the change fund. The custodian may fill out the Change Fund Verification form.

To serve as a Change Fund custodian:

1. Complete Level I and Level II of the Cash Handling Certificate online training prior to serving as a custodian. In following years, Level II training must be completed annually to remain compliant.
2. Exercise caution in the administration and protection of the fund in your possession. Do not permit anyone, other than your designated backup, to access cash in the Change Fund. Always keep the Change Fund secure in a fireproof safe or locked cabinet.
3. Do not mix personal funds with the Change Fund or place personal funds in the same fireproof safe or locked cabinet in which the Change Fund is stored.
4. Deposit overages with the University Bursar Cashier Office. The custodian should personally repay any shortages if they were negligent in safeguarding the fund or allowed it to be improperly used.
5. Do not use the Change Fund to resolve overages and/or shortages in cash sales or money received.
6. Balance the fund each day it is used. To balance the fund:
   1. Subtract the amount of the original Change Fund from the cash sales received.
   2. We offer the Change Fund Verificationform to use for balancing your Change Fund.
   3. Print a copy for your records or save to your desktop by using the explore tool option in the upper right corner of the screen. You can ”File”, ”Save As”, or ”Print” using this tool.
7. All Change Funds must be renewed and approved by July 15. In June, the University Bursar Cashier Office will send an email to each custodian detailing the website address where renewals should be submitted. Delegate authority to disburse funds to another staff member if you are going to be absent for a short period of time.
8. Use the Change Custodian and Change Fund Verification forms to appoint a new custodian if you are going to be absent for a long period of time.
9. Notify University Bursar Cashier Operations immediately when you are no longer the custodian or change your office address.

Forms Used in this Procedure

Annual Renewal
Change Custodian
Change Fund Verification
Close Fund

Related Policies and Procedures

10.6.1 Establish a Change Fund
10.6.4 Change the Amount of a Change Fund
10.6.6 Close a Change Fund

Additional Resources

University Bursar Petty Cash and Change Funds
Change Fund Training
University Bursar office locations and hours:
   Urban-Champaign
   Chicago
   Springfield

Last Updated: June 25, 2022 | Approved: Senior Associate Vice President for Business and Finance | Effective: February 2008