RECEIPTS

1.0 GENERAL INFORMATION
1.1 Statutory References: Sections 3-17, 3-112, 3-114, 4-32, 4-33, 4-37 and 4-69.
1.2 Definitions
 
"Receipt" means sums actually received in cash from all sources unless otherwise described; Section 4-69(29).
 
"Revenue" means additions to cash or other current assets which neither increase any liability or reserve nor represent the recovery of an expenditure; Section 4-69(32). Restricted grant receipts are not "revenues" under this definition although the terms "restricted revenue" and "unrestricted revenue" are commonly used and understood.
 
"Pending Receipts" are monies received by State agencies that are to be held in suspense until the final disposition is determined. See paragraph 6.0 for detailed procedures.
 
1.3 Transfer Certificate Receipts
 
The Transfer Certificate, Form CO-607, functions basically the same as a Deposit Slip, Form CO-39. Procedures for the preparation and processing of Transfer Certificates are contained in the Transfers and Adjustments section of this manual.
 
1.4 Questions
 
Much of the information in this section relating to Bank Deposits (paragraph 2.0) and Bad Check Charge-Backs (5.1) is the responsibility of the State Treasurer and is included here as a convenience for the agencies. Questions in these areas should be addressed to the Treasurer's Office.
 
Questions relating to other areas should be addressed to Accounting Services.
 
ACCOUNTING MANUAL 2-1 OCTOBER 1998
 
2.0 BANK DEPOSITS
 
2.1 Opening Bank Accounts
 
Any account, be it a State account, petty cash, clearing account, agency, trustee account, etc., must have prior written permission from both the Treasurer and Comptroller.
 
Requests should be submitted on Form CO-929, Bank Account Establishment Request and Form TR-01, Bank Account Identification, and be forwarded to the Office of the Treasurer: Attention - Assistant Treasurer, Cash Management Division. If approved by the Treasurer, the request will be forwarded to the Comptroller's Administrative Services Division for final review and approval.

Upon final approval of the CO-929 and receipt of the TR-01, the Treasurer will submit the proper paperwork to the designated bank. The banks have been instructed to open State accounts only upon the Treasurer's approval. At this point, the agency will be contacted by bank personnel and the deposit slips, checks, and endorsement stamps, if required, will be ordered. The CO-929 and TR-01 must be submitted together.

All Petty Cash accounts must be opened with the Comptroller's tax identification number: 06-6000798. All other accounts must be opened with the agency's tax identification number (FEIN OR TIN).
 
All agency, department and institution accounts should have the department name prefixing the name of the account. It should be made very clear so that the bank will recognize the account as a State agency account. No employee names should appear in account names; however, statements may be mailed to an individual's attention, care of the particular State agency (no personal residences).

The agency must exercise rigid control over who may sign checks for an agency checking account as well as who may make withdrawals from savings accounts, or cash in certificates of deposit.
 
2.2 Time Limits for Deposits
 
All monies received for the State will be deposited and paid to the State Treasurer within the following time limitations:
 
a. Within 24 hours of receipt when the receipts total $500 or more.
b. Receipts of lesser amounts may be held until they equal $500, but for not more than 7 calendar days.

Only the Treasurer is authorized to approve waivers to the above limitations. A written waiver request from an agency head giving the reasons that compliance

ACCOUNTING MANUAL   MARCH  2010
 
would be impractical must be submitted to the Office of the Treasurer, Attention: Assistant Treasurer, Cash Management.
 
If coding information is not available to make a proper deposit within the time limitations, see Paragraph 6.0, Funds Awaiting Distribution.
 
2.3 Endorsement of Checks for Deposit
 
An endorsement is required on the back of each check being deposited. This endorsement is usually applied with a rubber stamp or with an endorsing machine. Agencies should contact the Treasurer for specifications of a proper endorsement.

All endorsements must include Bank Name, Bank Account Number, Agency Name and Agency Number.
 
2.4 Bank Deposit Tickets
 
The deposit ticket is used by the Treasurer's Office as the originating document and is the media for posting to the Treasurer's ledgers. The bank date required by the Treasurer's Office is the date that the bank actually posts the credit to the account. Generally, if a deposit is made after 3:00 p.m., the credit is posted the following day.
 
2.5 Foreign Checks and Money Orders
 
All checks should be drawn on a United States bank and made payable in United States currency.
 
Any check drawn on a foreign bank, other than a Canadian bank, should not be accepted, even if payable in United States currency.
 
Noncompliance with these procedures will result in foreign exchange and collection fees which will be charged to the agency as a bad check charge or debit adjustment. The agency or department will then follow the procedures for recording and recovering bad check charge-backs in paragraph 5.1.

ACCOUNTING MANUAL   MARCH  2010
 
3.0 DEPOSIT SLIPS, CO-39
 
Form CO-39, Deposit Slip (Exhibits 2-4, 2-5, 2-6, and 2-6a) will be used for reporting to the Treasurer and to the Comptroller deposits of money received for the State. The serial number of this form is prefixed by an alphabetic code which is changed each fiscal year.
 
The document number (serial number) for the electronic CO-39 consists of 10 digits. The first two represent the fiscal year, the next four, the agency number, and the next four, a sequential number beginning with 0001.
 
Any questions regarding transmissions of electronic CO-39 information should be directed to the Office of the State Treasurer, Cash Management Division, at 702-3122.
 
3.1 Obtaining Deposit Slips - Paper Form CO-39
 
No later than January 20 of each year each major agency will submit a report in the form of a memorandum addressed to Accounting Services, Office of the State Comptroller. This memorandum should indicate the total number of deposit slips issued to the agency as of the date of the memorandum for the current fiscal year. In addition you should estimate and request your needs for the following fiscal year. The estimate should be for the entire agency with no breakdown required for office, branch, functions, etc. The allocation of deposit slips to offices, branches, functions, etc. is the responsibility of the agency. No added "reserves" should be included in the estimated requirements since additional slips will be available from Accounting Services. Your estimate of needs should be based on your experience of the current fiscal year as well as any known changes that are expected in the coming fiscal year.
 
Before the start of each fiscal year, the Comptroller's Office distributes a supply of deposit slips, Form CO-39, to all of the agencies requesting them. The agencies, in turn, will distribute these forms to each of their subagencies, offices, branches, etc. that are required to make deposits. If additional forms are required during the year, they may be ordered directly from Accounting Services, Office of the State Comptroller by means of a memorandum.
 
3.2 Accounting For Deposit Slips
 
The agencies must account for all Form CO-39s issued to them. Spoiled forms should be marked "VOID". The agency should retain the white copy of the voided Form CO-39 so that they will have a complete record of all CO-39s and forward the green and canary copies to the Comptroller's Accounting Services. Agencies using electronic CO-39's must keep a file of all CO-39's transmitted along with a copy of voided (deleted) electronic CO-39's.
 
At the end of each fiscal year agencies must retain all used and unused deposit slips that have been issued to them. After the fiscal year has been audited by the Auditors of Public Accounts and the auditors indicate that they have no further need to examine the deposit slips, they may be destroyed.
 
ACCOUNTING MANUAL 2-4 OCTOBER 1998
 
3.3 Transmittal of Completed Deposit Slips
 
Both the canary and green copies of the paper Deposit Slip, CO-39, will be transmitted directly to the State Treasurer. Agencies should not send any portion of these forms directly to the State Comptroller. Agencies using electronic CO-39's will attach the bank deposit slip to supporting documents and a hard copy of the electronic CO-39 and keep it in their agency.
 
Please, remember to detach the large white portion for your records and to remove the carbons before sending the CO-39 forms to the State Treasurer.
 
3.4 Federal Letter of Credit Deposits
 
Deposits to Revenue Object 95400, Federal Receivables - Letter of Credit, must be submitted on a separate form CO-39; they may not be included with other types of receipts.
Indicate the applicable "Letter of Credit" number on the deposit slip and attach the "Payment Voucher on Letter of Credit" to the CO-39.
 
See the Grants section, paragraph 3.5, for further information on Letters of Credit.
 
ACCOUNTING MANUAL 2-5 OCTOBER 1998
 
4.0 CODING DEPOSIT SLIPS - REVENUE OBJECTS
 
4.1 General Information
Revenue Object is a five digit code to account for all receipts. These codes are assigned by Accounting Services and unauthorized coding may not be used. All authorized codes are shown in the Coding section, Revenue Objects Table 3.3.
The first two digits represent the general type of receipt and the final three digits the specific receipts.
00---Taxes
10---Licenses
20---Permits
30---Fees
40---Fines, Penalties, Forfeitures and Escheats
50---Grants and Donations*
60---Rents
70---Interest, Dividends, Premium and Discount
80---Proceeds of Sales of Commodities and Services
90---Miscellaneous, including non-revenue receipts (see the Coding section for a detailed discussion of these receipts).
 
* 5XXXX Grants and Donations are used for unrestricted revenues and should not be confused with restricted grants which are coded to non-revenue codes and are also identified by appropriations (special identification codes) in the 300, 400, 500, 800 or 900 series.
 
ACCOUNTING MANUAL 2-6 OCTOBER 1998
 
4.2 Requesting New Revenue Objects
 
If a new revenue object is required a written request should be sent to Accounting Services. The request should contain all of the following that may be pertinent:
4.3 Proprietary (4000 and 6000) and Fiduciary (7000) Fund Receipts
 
Receipts in Proprietary Funds (4000 and 6000) and Fiduciary Funds (7000) are not actually revenue of the State. Therefore, the receipts for these funds will use as the revenue object the specific fund code with an additional "0" at the end (e.g. 6004 fund = Revenue Object 60040) rather than one of the revenue object codes shown in the codes table. For all deposits, the fund code will be shown twice: once to represent the fund (positions 1-4 of the cost center) and once to represent the revenue object (plus a "0").
ACCOUNTING MANUAL 2-7 OCTOBER 1998

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