Bank Reconciliation – LR 305.5

Back to Business

University of Arkansas at Little Rock
Policy Name: Bank Reconciliations
Policy Number: LR 305.5
Effective Date: May 31, 2016

Policy

The university maintains a number of bank accounts to support the activities of the institution. The Office of Financial Services is responsible for reconciling each bank account monthly and tracking all reconciliation items, including discrepancies, to satisfy resolution in a timely manner, as follows:

  1. Each bank account shall be reconciled to the general ledger within thirty (30) days of the receipt or electronic release of the bank statement.
  2. Reconciliation items resulting from timing differences should be monitored for settlement in the subsequent month.
  3. Reconciliation items that require corrective actions should be settled within fifteen (15) days after completion of the reconciliation. Supporting documentation for all reconciling items shall be maintained with the current reconciliation until the items are cleared.
  4. All bank reconciliations, including resolution of discrepancies, must be completed prior to fiscal year end close.

All reconciliations must be signed and dated by the preparer and approver within seven (7) days of completion. The director of financial services and assistant director of financial services are the designated approvers in the Office of Financial Services.

Exceptions and extensions to deadlines can only be approved by the vice chancellor for finance and administration or his/her designee.


Source:
Revised: June 1, 2015; May 31, 2016
Approved By: Vice Chancellor Steve McClellan, May 31, 2016
Custodian: Office of Finance and Administration