Question: A district asked for assistance in responding to an audit finding from their independent audit. The wording of the finding is:

"Finding - ASB Disbursements - 60000

In prior years we have recommended that the board pass a policy that gives directions to ASBs as to what a proper expenditure is and what it is not. This policy has not been implemented yet. In the current year we noted incidents where expenditures were questionable for ASB funds.

Recommendation: We recommend that the district pass a policy to determine what is an appropriate expenditure for ASBs to help prevent these types of questionable costs."

The district has asked the county office for assistance in the wording of a policy that would be responsive to the finding's recommendation and could be written up and presented to the board at their January regular meeting to approve.

Could you please recommend wording?

Response: The Associated Student Body Accounting Manual & Desk Reference, a concise guide to successful student body business management, developed and distributed by FCMAT, can be found at http://www.fcmat.org. You will find references to a variety of issues and subjects related to ASB’s and will be able to find many different things you may want to include in a district policy to protect the district in the future from ASB issues.  

A sample board policy for purchasing materials may state:

The governing board of the district recognizes that associated student bodies may need to procure supplies, materials, services, and equipment.

All ASB's must follow the guidelines established by the California Department of Education relating to the procurement of supplies, materials, services, and equipment.

All procurement of supplies, materials, services and equipment shall receive prior approval from the associated student body and shall be recorded in the minutes. All purchases made by the student body shall be for activities and services on behalf of the students.

All requests for procurement shall be submitted and processed according to approved regulations.

The board policy may address certain expenditures that are prohibited, including the purchase of:

1. Equipment, supplies, forms and postage for curricular or classroom use or district business.

2. Repairs and maintenance of district-owned equipment.

3. Salaries or supplies which are the responsibility of the district.

4. Articles for the personal use of district employees.

5. Gifts, loans, credit, or the purchase of accommodations for district employees or others.