The Department Property Administrator (DPA) is responsible for notifying Property Control of capital asset location changes. A move to a different room or building, but staying in the custody of the same department, is considered a location change. See Procedure 3008.9 – Change in Custody to Another Department if the location change is due to a permanent change in department custody.
The following steps represent the overall process:
The responsible employee or user of the capital equipment is responsible for notifying the DPA of a location change (e.g. room and/or building) of capital equipment through written notice via email.
The DPA completes the Property Transaction Form with the information related to the change in room and/or building location of the capital equipment.
The Property Control Office updates the records in the asset management system.
When capital equipment is transferred to another UW–Madison department it is a change in custody. This type of occurrence is not reported as a disposal because the equipment is still in use by another department. Revenue is not generated in the transfer of equipment to another department. If the current custody department has expenses related to the transfer (e.g. packing/unpacking, setting up, re-calibrating, training, etc.) to the new department, the reasonable costs for these expenses may be transferred to the new department.
To record a change of custody between UW–Madison departments, departments must notify Property Control in writing via email. The department initiating the change must indicate the new department, responsible employee, and location for the piece of equipment. Property Control will update the records in the asset management system.
The following steps represent the overall process:
The responsible employee sends written notice to the DPA requesting the change in custody of equipment. The email should indicate the intended recipients name and department.
The DPA forwards the request, via email, to the Department/Division Chair and Property Control for review and authorization of the change in custody.
If the equipment is funded by 133/144 funds, Property Control will contact the Office of Research and Sponsored Programs to verify change of custody is acceptable.
Property Control will notify both the current and new departments and DPAs of approval.
For costs related to packing/unpacking, setting up, re-calibrating, training, etc., the department may initiate cost transfer journal entries or internal billing to recover costs of the change in custody. Capital account codes in the 46xx series are not authorized for these cost transfers. Example of accounting for the capital equipment department transfer: EXAMPLE: Cost transfer (ALLOWABLE)
Debit: Transfer Cost to the New Custodial Department
$XXXX
Credit: Transfer Cost from the Prior Custodial Department
$XXXX
Capital account code, series 46xx, is not permitted for the allowable cost transfers. Departments may recover direct costs incurred to move equipment to a new custodial department (such as decommissioning, transportation, set-up, or recalibration). Direct costs may include, for example, an average hourly rate for a staff member multiplied by the number of hours it took to transport an item. Direct costs should not include administrative overhead. Direct costs should be supported by reasonable estimate and coded to an expense account.
EXAMPLE: Internal sale (NOT ALLOWABLE)
Debit: Internal Bill to the New Custodial Department
$XXXX
Credit: Internal Sale for the Prior Custodial Department
$XXXX
It is NOT ALLOWABLE for departments to “sell” equipment in their custody to other departments by processing an internal billing. Such transactions lack economic substance because they do not represent arm’s length transactions between independent parties. UNDER NO CIRCUMSTANCES may a change in custody be recorded as a revenue transaction in the ledger.
Property Control will update the records in the asset management system.
Gift in Kind (GIK) refers to a non-monetary donation received by the University, including tangible items, goods, and/or services. Examples of a GIK include, but are not limited to the following: vehicles, equipment, gift cards, supplies, artwork, books, etc.
It is the responsibility of UW-Madison Colleges, Schools, and Divisions/Departments to complete the Gift in Kind Routing Form, obtain approval from the Dean/Director/Divisional Business office, and send the form along with supporting documentation to the Division of Business Services, Accounting Services, Gift Management department prior to taking custody of the donation. After the form has been received, reviewed and approved by Gift Management, the Gift in Kind is reported to the University of Wisconsin System Board of Regents.
If the donor is interested in establishing the estimated value of the gift for tax donation reporting purposes, support for an estimated value of the item must be included with the Gift in Kind Routing Form. If valuation has not been sufficiently established, Gift Management may advise the recipient of further procedures to be followed when accepting the donated gift. For Gift in Kind donations that are valued at $5,000 or more, acceptable source documentation includes an appraisal of the item(s), inventory list, invoice, or a print out of a catalog or website page of the item.
Procedure # 3009.1; Rev.: 0 (Effective December 12, 2017) Related Policy:UW-3009 Gift In Kind Policy Functional Owner: Financial Information Management, Business Services Contact: Gift Management Accountant, Gift Management Mailbox: giftmgt@bussvc.wisc.edu
Gift in Kind (GIK) refers to a non-monetary donation received by the University, including tangible items, goods, and/or services. Examples of a GIK include, but are not limited to the following: vehicles, equipment, gift cards, supplies, artwork, books, etc.
It is the responsibility of UW–Madison Colleges, Schools, and Divisions/Departments to complete the Gift in Kind Routing Form, obtain approval from the Dean/Director/Divisional Business office, and send the form along with supporting documentation to the Division of Business Services, Accounting Services, Gift Management department prior to taking custody of the donation. After the form has been received, reviewed, and approved by Gift Management, the Gift in Kind is reported to the University of Wisconsin System Board of Regents.
If the donor is interested in establishing the estimated value of the gift for tax donation reporting purposes, support for an estimated value of the item must be included with the Gift in Kind Routing Form. If valuation has not been sufficiently established, Gift Management may advise the recipient of further procedures to be followed when accepting the donated gift. For Gift in Kind donations that are valued at $5,000 or more, acceptable source documentation includes an appraisal of the item(s), inventory list, invoice, or a print out of a catalog or website page of the item.
The following steps represent the overall process of accepting a Gift in Kind. If the Gift in Kind is real property, please contact WFAA development personnel prior to beginning with step 1.
A Gift in Kind Routing Form is to be completed by the department receiving the Gift in Kind prior to taking custody of the donation. Follow these steps when filling out the form:
Enter Contact Information: This is the information for the employee completing the Gift in Kind Routing Form.
Use the “Search/Change Contact” button to find and select your name. This information will auto-fill the Contact Information boxes.
Enter Donor Information: This is the information about the Donor.
Enter the Donor’s Name, City and State.
Enter Gift Information: Provide details regarding the Gift in Kind.
Description of Gift in Kind: Please provide a detailed description of the Gift in Kind item. This is the information that will be provided to the University of Wisconsin System Board of Regents.
If the Gift in Kind is a vehicle or equipment and its estimated value is $5,000 or more, select the “yes” button and provide the following information, which will be shared with Property Control. If more than one piece of equipment is being included on the form, attach a list that includes all of the following for each piece:
Name of Manufacturer
Serial number
Model number
Building number (or location if NA) where the equipment will be located/stored
Room where the equipment will be located/stored
Estimated Value: This is the measurable and determinable fair market value at the anticipated receipt date of the Gift in Kind.
Source of estimated value: Provide a copy of supporting documentation explaining how the value was derived. An acceptable form of supporting documentation is one of the following:
Third Party Appraisal
Itemized Inventory List
Invoice
Published Value of Gift (i.e. catalog or website print out)
Enter Recipient Information: Identify who is responsible for receiving the Gift in Kind.
Select the type of individual receiving the Gift in Kind (e.g. Faculty, Director, Chair or Dean) and permanent versus limited employment status.
Enter the Name, Employee ID, email, phone number, and Department ID (the unit name will automatically populate based on the Department ID)
Select the program code
Enter the anticipated receipt date
Answer questions related to informational clearances. Informational clearances consider the following:
Action involving space, remodel, or construction.
If answer is “yes,” Gift Management will provide the information to the Director of Financial Information Management. The information will be used for financial reporting requirements.
Potential environmental impacts, which require review under the Wisconsin Environmental Policy Act.
Funding primarily dedicated to building, renovations, or equipment.
If answer is “yes,” Gift Management will provide the information to the Director of Financial Information Management. The information will be used for Financial Reporting requirements.
Protocols for biosafety, use of human subject, use of vertebrate animals, or pluripotent stem cell.
If the answer is “yes,” attach the applicable protocol approval documentation.
Select “Print” and the Gift in Kind Routing Form will be created as a PDF.
Obtain the required signatures on the Gift in Kind Routing Form.
Recipient, Department, and Dean/Director/Divisional Business Office acknowledge that the gift has been reviewed for the considerations listed in the Gift in Kind policy.
The department routes all supporting documentation with the Gift in Kind Routing Form to Gift Management. Supporting documentation should include the following:
A completed Gift in Kind Routing Form with required signatures.
A copy of the Donor Intent Letter or similar document.
Documentation supporting the valuation of the Gift in Kind if the estimated value of the item is $5,000 or more. (E.g. Third party appraisal, invoice, inventory list, catalog or website print out.)
A copy of Tax Form 8283 if the Donor wishes to report the donation for tax purposes.
Gift Management reviews all Gift in Kind Routing Forms and supporting documentation for compliance. Gift Management will contact the department and recipient if valuation has not been sufficiently established or documented. Additionally, Gift Management will advise if further procedures are necessary in accepting the Gift in Kind.
If a Tax Form 8283 is provided with the Gift in Kind documentation, Gift Management will provide a copy of the form to the Tax Compliance Manager for review.
Gift Management obtains remaining approvals as necessary:
For a Gift in Kind under $5,000:
Accounting Services, Director of Financial Information Management confirms the donation is compliant with the Gift in Kind policy.
For a Gift in Kind $5,000 or greater (see the related Capital Equipment procedure 3008.2 Gift in Kind):
When necessary, Gift Management will request the Director of Risk Management to review the Gift in Kind to determine proper insurance protection and inventory control.
When necessary, Gift Management will request assistance from the Office of Legal Affairs to review any terms and conditions of a Gift in Kind agreement required in accepting the donation.
Accounting Services, Director of Financial Information Management confirms that the donation is compliant with the Gift in Kind policy.
Gift Management notifies the department contact, recipient and Dean’s office via email that the Gift in Kind and supporting documentation complies with the policy and that the donation can be accepted. This applies to all Gift in Kind donations, no matter what the estimated value.
The Department notifies Gift Management after the Gift in Kind is received and sends a copy of the Donor Acknowledgement letter to Gift Management.
Gift Management records the Gift in Kind and generates a UW System Board of Regents Notice.
Gift Management sends the Gift in Kind supporting documentation to the Wisconsin Foundation and Alumni Association (WFAA) for informational purposes and Donor tracking.
Procedure # 3010.1; Rev.: 0 (Effective December 12, 2017) Related Policy:UW-3010 Gift Funds Policy Functional Owner: Financial Information Management, Business Services Contact: Gift Management Accountant, Gift Management Mailbox: giftmgt@bussvc.wisc.edu
All UW- Madison employees accepting and receiving gift funds. Campus and Divisional Leadership have a formal responsibility to ensure individuals within their Division(s) accepting gift funds are fully informed and understand gift acceptance procedures.
The following steps represent the overall process for receiving and processing gifts:
Donors who wish to make gifts to the WFAA should be advised to make the check payable to “UW Foundation” or to make payment to the WFAA through the WFAA website. This is done by visiting The Support UW website and clicking on “Give Now” or by contacting the WFAA at uwf@supportuw.org. If the donor would like to make a donation to WFAA via ACH or wire, contact the WFAA gift processing team at help@uwadvancement.org for assistance.
It is acceptable to deposit checks payable to other names with the WFAA if there is clear documentation that the donor intended the check to be a gift to the WFAA or deposited into a fund at the WFAA. That documentation must be forwarded to the WFAA with the check.
A University of Wisconsin Foundation Gift Deposit Form must be forwarded with the checks when they are sent to the WFAA. This form is available on the WFAA’s Advancement Resources web site for those with authorized access.
This form must be printed and routed for signature through the appropriate school/college/auxiliary Dean’s/Director’s Office before it goes to the WFAA.
Where correspondence with the donor will be useful in documenting the intent to give the gift, the correspondence should be attached to the form. Questions regarding the deposit of WFAA checks should be directed to the WFAA’s gift processing team at help@uwadvancement.org.
All gifts made directly to the University and other receipts that will not be routed to WFAA for deposit must be deposited to University accounts. (Example: check received from another University for collaboration on a project):
For checks, complete a UW-Madison Gift Deposit Routing Form, and route to your Dean’s office for processing. Appropriate University deposit procedures should be followed to deposit such funds (Refer to UW-3029 Revenue Accounting Policy).
Questions regarding deposit of gift funds directly to University accounts should be directed to Accounting Services, Gift Management at giftmgt@bussvc.wisc.edu.
Donors may also provide the University with goods/services as in-kind donations. All tangible property gifts received by the University from a donor are to be reported on a Gift in Kind Routing Form. See the UW-3009 Gift in Kind Policy and Procedure 3009.1 for more information.
Whether checks are payable to the University or the WFAA, good internal control procedures must be followed. These include:
Restrictively endorsing checks “for deposit only” immediately upon receipt.
Depositing checks within five days of receipt.
Logging and tracking receipts and verifying posting following processing.
Storing un-deposited funds in a locked desk or safe overnight.
Segregating duties of handling and depositing physical checks with separately assigned review and monitoring duties.
In accordance with the IRS regulations and good donor relationships, all gifts must be acknowledged in writing. The organization that is the recipient of the gift is responsible for providing the donor with the gift acknowledgment (i.e., gifts made to the WFAA must be acknowledged by the WFAA, and gifts made directly to the University must be acknowledged by the University). A sample gift acknowledgment letter can be found on the Gift Management website.
In situations where the donor makes a gift and receives any goods or services in exchange for the gift, such as an alumni dinner or golf outing, the gift is classified by the IRS as a quid pro quo transaction that is partly a gift and partly the purchase of goods and/or services. All solicitation materials produced by the University or the WFAA for donations involving quid pro quo are required to contain information about the tax effect of the contribution as well as a reasonable estimate of the value of the goods and services being delivered to the donor in exchange for the gift.
For joint University-WFAA fundraising activities, work with WFAA personnel in any situation where gifts involve an element of quid pro quo before solicitation materials are distributed.
University Divisions are to develop a budget of fee for service revenues and expenses in advance of the event and to share that information with their financial leadership personnel and the applicable development personnel at the WFAA.
Procedure # 131.2; Rev.: 0 (Effective December 12, 2017) Related Policy:UW-3010 Gift Funds Policy Functional Owner: Financial Information Management, Business Services Contact: Gift Management Accountant, Gift Management Mailbox: giftmgt@bussvc.wisc.edu
This procedure describes the processes for accessing and expending funds deposited in Wisconsin Foundation and Alumni Association (WFAA) funds, and provides examples of typically appropriate and typically inappropriate payments from gift funds.
All UW–Madison employees using gift funds. Campus and Divisional Leadership have a formal responsibility to ensure individuals within their Division(s) using gift funds are fully informed and understand gift use procedures.
The following steps represent the overall process for receiving and processing gifts from the WFAA:
Requests to draw funds from WFAA accounts to the University in payment of expenditures must be made on a WFAA Check Request Form available on the WFAA Advancement Resources web site for those with authorized access.
A Gift Deposit Routing Form must be completed when requesting funds from the WFAA to be deposited into a Fund 233 project. See Section VII of this procedure for further details related to the forms and routing process.
Each form must be printed and routed for signature through the appropriate school/college/auxiliary Dean’s/Director’s Office before it goes to the WFAA.
Both forms are submitted to WFAA for review and approval.
It is recognized that there are events held with the sole purpose of fundraisings, such as an alumni dinner or golf outing.
For fundraising events held, University Divisions are to develop a budget of event proceeds and expenses in advance of the event, and share that information with their financial leadership personnel and the applicable development personnel at the WFAA. (Event proceeds in this context refers to any fees charged for participation in the event. It does not include the estimated donation revenue to be generated by the event. )
The Division will set up a registration merchant account with the WFAA. The event registration will be coordinated and arranged by the WFAA recognizing the registration portal can include the option for the participant to provide additional donor gift funds when paying for the registration fee.
Event expenses that are incurred and allowed to be paid using University funds will be charged to University gift funding projects (e.g. a specific 233 or 533 (Athletics) project) by the Division. Event expenses incurred that are not allowed to be paid using University funds will be submitted to the WFAA for payment to the extent allowable under WFAA policies.
Following the event, the Division will complete and submit a WFAA Check Request Form and a University Gift Deposit Routing Form, and post funds received to the University 233/533 project to cover the expenses charged.
Only in accordance with UW-Madison and WFAA policies and procedures may the WFAA be requested to pay funds directly to a vendor for a University program or purpose. (See table below for examples of appropriate and inappropriate expenditures.)
In such cases, the WFAA will make payment based on a request from the University custodian of the related WFAA fund from which disbursement is requested. This would generally be a School or College Principal Investigator, Department Chair, or Administrative Director.
Requests require appropriate Dean or Director’s office approval prior to submitting the request for payment to the WFAA.
If payment is for the School/College Dean or Auxiliary Director, request for payment requires Chancellor or VCFA office approval, respectively.
The University Division requesting the payment is responsible for maintaining adequate justification of why University funds could not be used to pay for the expenditure. Such justification as well as supporting documentation are considered open University records, subject to public inspection as provided in the Wisconsin Public Records Law. The level of documentation held by the initiator of the payment should be similar to that required for payment through regular University channels.
This listing is illustrative; it is not intended to be an exhaustive list of all potential University operational situations.
Appropriate Expenditures Made by the Foundation These expenses require pre-approval prior to incurring the expense.
Inappropriate Expenditures the Foundation Will Not Pay
Travel reimbursements exceeding University rates, to the extent they cannot be processed by the University with appropriate explanations. (See Hosted meal in excess of University limits visit UW-3039 Business Meals.)
Faculty and graduate student candidate hosting cost when not allowable using University funds.
Moving expenses for new employees allowable under IRS rules and regulations that are not allowable using University funds.
Costs related to school or college board of visitors meetings that are not allowable using University funds.
Cost of alcohol served at events at which other costs of the event are allowable using University funds.
Payment for goods or services to avoid the state bidding process.
Reimbursing travel expenses of employees not in compliance with University policies and procedures (i.e. University employee travel was not booked using the University travel vendor, Fox World Travel or Concur.)
Paying for University events, which are merely social, such as parties, unless the Foundation fund to be used to pay for the event has explicit donor documentation that the funds are intended for such a purpose.
If there is a University business purpose related to the instruction, research and/or service mission of the University, the expenses can generally be paid by the University.
Paying for retirement dinners or flowers for funerals of former department employees, unless the Foundation fund or donor documentation is explicit that the donor intended the funds to be used for such purposes.
Paying for retirement gifts.
Paying for parking tickets of visitors and employees.
Making donations or memorial gifts to non-profit organizations.
Paying for upgrades to first class travel where such upgrades are not allowable under University travel regulations.
Payment for significant others/guests’ attendance at events lacking a legitimate business purpose.
Payments to University employees for services, including awards or honoraria. These must be made through the University’s payroll system.
If the University can process the items being requested for payment under State procurement and travel rules, they must be processed through the University.
Requests by the University for the WFAA to purchase goods and services for University use will be rejected if the goods and services can be obtained through the State purchasing process.
Requests for employee travel expense reimbursement will be rejected if the expenses are reimbursable under University travel policies.
The WFAA will not make payments directly to UW employees for services or honoraria, or make payment directly to recipients for scholarships, fellowships, prizes and similar awards. Such payments must be made through the University.
Some direct payments made by the WFAA will result in taxable income to the recipient.
As required by the Internal Revenue Code, the WFAA will report certain payments to recipients on forms 1099-MISC. In certain cases, the IRS rules deem the University the payer of amounts disbursed by the WFAA. In these cases, payments made by the WFAA will be combined with the payments made by the University for tax reporting purposes.
The parties requesting and approving reimbursement or direct payment must be comfortable that the reimbursement or payment was necessary to support University programs and in compliance with applicable policies and procedures such that they would be comfortable talking to the donor or the press about the reimbursement or payment.
Any requests for payments from the WFAA, whether for transfer to a University account or a direct payment request, which are not clearly appropriate under Section IV of this Procedure will be referred back to the requesting Dean or Director’s Office, and may not be resubmitted for payment without authorization from the Vice Chancellor for Finance and Administration (VCFA) (or designee).
Any resubmission must include supporting documentation justifying why the submission requires reconsideration.
In addition to approval of the Divisional Dean or Director (or his/her financial designee) and the VCFA (or designee), the VCFA (or designee) may require that a resubmission request undergo University legal review and/or review and approval by the Foundation President (or designee)
The University of Wisconsin–Madison conducts research studies that are 1 year or longer and the research participants are compensated with payment by check. Replenishable Bank Accounts are used for these research participant studies.
This procedure applies to all Deans, Directors, Financial Officers, and staff involved with research participant studies that provide payments by check to research participants.
Custodian obtains the NR Number from the NR Number Generator. The NR Number from the NR Number Generator is required on some of the necessary forms for opening a Replenishable Checking Account.
Custodian composes a Letter of Justification explaining the purpose of the study and how it is linked to the project.
Custodian completes the following forms and obtains the necessary departmental approvals:
Custodian e-mails the Cash Management Office (cstdnfnd@bussvc.wisc.edu) to obtain a US Bank Authorized Signature Form. Custodian then provides the Signers with the US Bank Authorized Signature Form.
Signers sign the US Bank Authorized Signature Form and provides it to the Custodian.
Custodian routes the Letter of Justification and signed forms to the Dean/Director’s office.
Dean/Director’s office verifies that the Custodian needs a Replenishable Checking Account by verifying that:
The research study will be for 1 year or longer.
The research study has an Institutional Review Board (IRB) Number or self-certification paperwork showing that no IRB approval or certification is necessary.
Each payment to a research participant will be $249 or less.
The payment(s) to the research participants will be made by check.
At least 10 checks will be written per month.
Dean/Director’s office verifies accurate funding information.
Dean/Director’s office reviews the documentation and signs the necessary forms.
Dean/Director’s office keeps a copy of the forms for internal records.
Dean/Director’s office sends the original forms to via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Cash Management processes the request.
Cash Management will notify the department and Dean/Director’s office when the US Bank checking account is set up and checks are ordered.
The Custodian can check WISER using account code 6167, on the balance sheet, to see if the request has been processed. On the Transaction Search page in WISER, ensure the Show Balance Account checkbox is checked.
Maintaining Replenishable Checking Account
Reconciliations
Reconciler completes and documents monthly bank reconciliations between the US Bank SinglePoint bank statement and the check register on the Bank Reconciliation Worksheet within 30 days of month end.
Reconciler submits the monthly bank reconciliation and check register, and all supporting documentation via the Custodian Fund System and their Dean’s/Business Office within 30 days of month end.
Replenishments
Reconciler obtains the research participant log, without HIPAA or sensitive information, and completes the Custodian Fund Accounting Form to replenish the Replenishable Checking Account at least every 90 days, based on activity.
Reconciler obtains necessary departmental approvals for the Custodian Fund Accounting Form.
Custodian routes the completed/signed Custodian Fund Accounting Form, along with the research participant log, reconciliation(s), bank statement(s), list of outstanding check(s), and stop payment report from US Bank SinglePoint to the Dean/Director’s office for review and approval.
Dean/Director’s office reviews the documents and signs the Custodian Fund Accounting Form.
Department keeps a copy of the forms for internal records. Department is the official record holder.
Dean/Director’s office sends the original forms via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Cash Management processes the replenishment request.
Other
Any errors on the bank account are to be reported by the Reconciler via e-mail to Cash Management (cstdnfnd@bussvc.wisc.edu) and their Dean’s/Business Office within 30 days of month end.
Reconciler is to ensure stop payments are placed for 24 months on all checks older than 90 days old by using US Bank SinglePoint.
Notify the Dean/Director’s office and Cash Management when there is a change in Custodian, Reconciler, and/or Signers and prepare applicable Custodian Fund forms.
Respond to Cash Management’s periodic review request.
Closing Replenishable Checking Account
Custodian completes the Custodian Fund Accounting Form and obtains the research participant log.
Custodian obtains the necessary departmental approvals for the Custodian Fund Accounting Form.
The remaining checks are shredded by two individuals and the Check Shred Confirmation statement is signed by both individuals and provided to the Custodian.
Custodian routes the completed/signed Custodian Fund Accounting Form, research participant log, and check shred confirmation to the Dean/Director’s office.
Dean/Director’s office reviews the documents and signs the Custodian Fund Accounting Form.
Dean/Director’s office keeps a copy of the documents for internal records.
Dean/Director’s office sends the original documents via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Custodian: UW–Madison employee who is responsible for monitoring the cash advance for research participant studies.
Signer: UW–Madison employee responsible for writing and signing checks to the appropriate recipient and responsible for ensuring all checks are logged and accounted for.
Reconciler: UW–Madison employee who is responsible for performing and submitting monthly reconciliations.
The University of Wisconsin–Madison conducts research studies that are less than 1 year and the research participants are compensated with payment by cash or gift cards. Temporary Funds are used when the research participant study will be for less than 1 year. Thus, it is not feasible to set up a UW–Madison checking account.
This procedure applies to all Deans, Directors, Financial Officers, and staff involved with research participant studies that provide payments by cash or gift card to research participants.
Custodian obtains the NR Number from the NR Number Generator. The NR Number from the NR Number Generator is required on some of the necessary forms for opening a Temporary Fund.
Custodian completes the following forms and obtains the necessary departmental approvals:
Custodian Fund Request Form, including the justification on the form explaining the purpose of the study and how it is linked to the project.
If 133 or 144 funds will be used to purchase gift cards, the Custodian or Dean/Director’s office needs to obtain written approval from Research and Sponsored Programs (RSP).
Custodian routes the signed forms and if applicable written approval from RSP to purchase gift cards and/or the exempt self-certification paperwork from the Institutional Review Board (IRB) to the Dean/Director’s office.
Dean/Director’s office verifies that the Custodian needs a Temporary Fund by verifying that:
The research study will be for less than 1 year.
The research study has an IRB Number or self-certification paperwork showing that no IRB approval or certification is necessary.
Each payment to a research participant will be $249 or less.
The payment to each research participant is by cash or gift cards.
Dean/Director’s office verifies accurate funding information.
Dean/Director’s office reviews the documentation and signs the necessary forms.
Dean/Director’s office keeps a copy of the forms for internal records.
Dean/Director’s office sends the original forms via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Cash Management processes the request. Custodian Fund Requests will be processed no sooner than 15 business days before the beginning date indicated on the Custodian Fund Request Form. Accounting Services will either mail a check to the address indicated on the Custodian Fund Request Form or the check will be available for pick-up. See UW-3007 Check Distribution Policy for more information.
Note: Once Cash Management receives the request, it takes 7 to 15 business days for a request to route through the system before a check is issued.
The Custodian can check WISER using account code 6167, on the balance sheet, to see if the request has been processed. On the Transaction Search page in WISER, ensure the Show Balance Account checkbox is checked. Further instructions on checking the status of a Temporary Fund Request: Checking Status of Temporary Fund Request (Training Video)
Custodian obtains the necessary departmental approvals for the Custodian Fund Accounting Form.
If the full amount of the Temporary Fund is not used, the Custodian writes a personal check to the University of Wisconsin – Madison for the remainder of the Temporary Fund that was not distributed to research participants.
Custodian routes the completed/signed Custodian Fund Accounting Form, research participant log, and if necessary the personal check to the Dean/Director’s office.
Dean/Director’s office reviews the documents and signs the Custodian Fund Accounting Form.
Dean/Director’s office keeps a copy of the documents for internal records.
Dean/Director’s office sends the original documents and if necessary a personal check from the Custodian to the Cash Management Office. Ensure the personal check is restrictively endorsed “For Deposit Only” on the back of the check.
Dean/Director’s office sends the original documents and if necessary a personal check from the Custodian to the Cash Management Office. Ensure the personal check is restrictively endorsed “For Deposit Only” on the back of the check. Documents can also be sent via email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
The following steps represent the overall process for closing a Temporary Fund remotely:
Custodian completes Custodian Fund Accounting Form and supporting documents then prints to pdf. These together would be the “Closing Documents.”
Custodian sends Closing Documents to the Department for approval.
The Department reviews the Closing Documents then forwards them over to the Dean/Director’s Office stating in the email the Closing Documents have been reviewed and are approved.
Dean/Director’s Office reviews the Closing Documents. Once approved, the Dean/Director’s Office sends an email to the Custodian saying the Closing Documents have been reviewed and approved.
The Custodian then writes a check for the unused funds and sends it to 21 N Park St. The Custodian should include the NR number of the Temporary Fund on the check.
The Custodian can include the Closing Documents and the approvals if they have the ability to print them out or the Dean/Director’s office keeps a copy of the documents for internal records.
Dean/Director’s office sends the Closing Documents via e-mail to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
If the Custodian cannot include the closing documents, they can send the check for the unused funds to 21 N Park St. and closing Cash Management will just need to be notified about this closed out Temporary Fund so that we can match up to it when the check comes through in our daily check deposit.
The University of Wisconsin–Madison maintains a series of funds, including Contingent Checking Accounts, to assist in situations where use of the accounts payable process or a University Purchasing Card is not appropriate. Contingent Checking Accounts are used to pay authorized vendors by check when the purchasing card cannot be used and when the accounts payable process is not an option.
Custodian obtains the NR Number from the NR Number Generator. The NR Number from the NR Number Generator is required on some of the necessary forms for opening a Contingent Checking Account.
Custodian composes a Letter of Justification explaining the purpose of the study and how it is linked to the project.
Custodian completes the following forms and obtains the necessary departmental approvals:
Custodian e-mails the Cash Management Office (cstdnfnd@bussvc.wisc.edu) to obtain a US Bank Authorized Signature Form. Custodian then provides the Signers with the US Bank Authorized Signature Form.
Signers sign the US Bank Authorized Signature Form and provides it to the Custodian.
Custodian routes the Letter of Justification and signed forms to the Dean/Director’s office.
Dean/Director’s office reviews the documents and signs the necessary forms.
Dean/Director’s office keeps a copy of the forms for internal records.
Dean/Director’s office sends the original via inter-d mail or e-mail to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Cash Management processes the opening request.
Cash Management will notify the department when the US Bank checking account is set up and funds are deposited.
The Custodian can check WISER using account code 6167, on the balance sheet, to see if the request has been processed.
Maintaining Contingent Checking Account
Reconciliations
Reconciler completes and documents monthly bank reconciliations between the US Bank SinglePoint bank statement and the check register on the Bank Reconciliation Worksheet within 30 days of month end.
Reconciler submits the monthly bank reconciliation and check register to Cash Management via the Custodian Funds System and their Business Office within 30 days of month end.
Replenishments
Reconciler obtains the expense log, invoices, and completes the Custodian Fund Accounting Form to replenish the Contingent Checking Account at least every 90 days, based on activity.
Reconciler obtains necessary departmental approvals for the Custodian Fund Accounting Form.
Custodian routes the completed/signed Custodian Fund Accounting Form, expense log, and invoices to the Dean/Director’s office for review and approval.
Dean/Director’s office reviews the documents and signs the Custodian Fund Accounting Form.
Dean/Director’s office keeps a copy of the forms for internal records.
Dean/Director’s office sends the original forms via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu) for processing.
Cash Management processes the replenishment request.
Other
Any errors on the bank account are to be reported by the Reconciler within 30 days of month end to Cash Management via e-mail to cstdnfnd@bussvc.wisc.edu and your units’ Business Office.
Reconciler is to ensure stop payments are placed for 24 months on all checks older than 90 days old by using US Bank SinglePoint.
Respond to Cash Management’s periodic review request.
Closing Contingent Checking Account
Custodian completes the Custodian Fund Accounting Form and obtains the expense log.
Custodian obtains the necessary departmental approvals for the Custodian Fund Accounting Form.
The remaining checks are shredded by two individuals and the Check Shred Confirmation statement is signed by both individuals.
Custodian routes the completed/signed Custodian Fund Accounting Form, expense log, and check shred confirmation to the Dean/Director’s office.
Dean/Director’s office reviews documents and signs the Custodian Fund Accounting Form.
Dean/Director’s office keeps a copy of the forms for internal records.
Dean/Director’s office sends the original forms via inter-d mail or email to the Cash Management Office (cstdnfnd@bussvc.wisc.edu).
Custodian: UW–Madison employee who is responsible for monitoring the bank account activity.
Signer: UW–Madison employee responsible for writing and signing checks to the appropriate recipient and responsible for ensuring all checks are logged and accounted for.
Reconciler: UW–Madison employee who is responsible for performing and submitting monthly reconciliations.
The University of Wisconsin–Madison maintains Transaction Balance Account (TBA) bank accounts for campus departments with a large volume of deposits. Thus, a TBA is a deposit bank account used for tracking a specific department’s deposits. The total daily deposit amount for a TBA is transferred to the UW-Madison’s main deposit account at the end of each day.
The University of Wisconsin–Madison maintains administrative bank accounts for departments within the Division of Business Services. For example, UW–Madison’s main deposit bank account is considered an administrative bank account.
Contact Cash Management via the Custodian Funds email address (cstdnfnd@bussvc.wisc.edu) to discuss the process of setting up an Administrative Bank Account.
The following forms will be required once the set up process is determined with Cash Management: