PETTY CASH POLICIES AND PROCEDURES

In order to expedite departmental purchasing procedures, a petty cash system is in effect at UTSA.  This system is intended to enhance efficiency and to reduce the cost of small purchases; however, it is not intended to replace official purchasing procedures.  Specific rules govern the use of the petty cash system, to include a dollar limit.  At this time, the limit for petty cash purchases is being decreased from $250 to $50.00.  This change is in an effort to streamline purchasing procedures at UTSA.  In addition to lowering the Petty Cash limit, dollar limits for purchases made on the University Procard will be raised and certain restrictions on items purchased will also be lifted.

SPECIFIC RULES GOVERNING THE PETTY CASH REIMBURSEMENT SYSTEM:

All State of Texas, grantor or donor purchase and expenditure restrictions and regulations apply to petty cash purchases.  However, competitive bids are not required.  In addition, the following specific rules govern petty cash reimbursements.

1.       Each purchase may not exceed $50.00 in total.  “Each Purchase” is defined as the total amount purchased at a given store on a single trip to that store.  Making several trips to a given store, or making trips to several stores to avoid compliance with the $50.00 limit violates the intent of the above definition and is not allowable.

2.       State and Local Sales Tax CANNOT be reimbursed.  A Tax Exemption Certificate may be obtained online under UTSA Forms for presentation to the vendor.

3.       Proof of purchase in the form of a valid itemized receipt must be obtained from the vendor.  A “valid receipt” is defined as an original sales slip, cash register receipt or credit card slip which contains the following information:

a.       The name of the vendor to whom payment was made.

b.       The date of the purchase.

c.       The amount of the purchase.

d.       A description of the items received.

Obtaining several receipts for less than $50.00 each in order to avoid the “Each Purchase” limitation is not allowable; even if these receipts are submitted to the Bursar’s Office on different days, by different individuals, or charged to different accounts.        

4.       Petty cash purchases must be submitted for reimbursement on a timely basis.  Only receipts dated during the current fiscal year can be reimbursed through petty cash.

TYPES OF PETTY CASH PURCHASES:

Purchases that qualify for reimbursement through petty cash include purchases of lab supplies, office supplies, as well as shop and industrial supplies and parts.  Purchases that do not qualify for reimbursement through petty cash include travel expenditures such as taxi fares, items that will not remain the property of UTSA, payments to individual for services performed, and entertainment expenditures.  Entertainment includes, but is not limited to, any food or drink purchases whether for preparation or already prepared, takeout, or eat in.  Employees making petty cash purchases will not be reimbursed for mileage. 

PROCEDURES FOR OBTAINING PETTY CASH REIMBURSEMENT:

To obtain reimbursement for petty cash purchases, the following must be submitted to the Bursar’s Office:

1.       A Petty Cash Reimbursement Form (available online) with the following information:

a.       The name of the person to be reimbursed,

b.       The total amount of the reimbursement,

c.       The account number from which the reimbursement is to be made,

d.       An original signature and printed name) of the individual authorized to sign for expenditures form the account be charged, and

e.       A description of the item(s) purchased,

2.       A valid receipt totaling the amount to be reimbursed.

Petty cash reimbursements will be checked by the cashier at the time they are presented at the Bursar’s Office.  They will be also be reviewed by the Disbursements Manager.  Any person found in violation of these procedures will be required to return the funds to the University regardless of any time lapse.  Departments are responsible for determining that funds are available in the account to be charged.  If funds are not available, the department is then responsible for returning the money, or finding an alternative source of funds.

Please remember that this procedure was established to expedite the reimbursement if “out of pocket” expenses to employees.  It is, however, a privilege, not a right.  Anyone abusing the reimbursement process will be required to submit purchase requests or utilize the Procard.

If you have any questions regarding these procedures, call the Disbursements Office at ext. 4213.