i. To set up Petty Cash - The BT/PCC shall:
(1) prepare in the name of the BT/PCC the DV for the amount of the petty cash on the basis of the authority issued by the SB;
(2) submit DV for processing and issuance of check;
(3) acknowledge the receipt of the check for the petty cash by signing in the receipt portion of the DV; and
(4) in case the PCC is other that the BT, the PCC shall maintain a separate cashbook and record the receipt of the petty cash in the “Petty Cash Receipt/Replenishment/(Payments)” column.
j. Disbursements from the Petty Cash
(1) Disbursements out of petty cash shall be documented by a PCV and supported with invoices, OR, or other evidence of payments, as required under applicable accounting and auditing rules and regulations.
(2) The BT/PCC shall record each PCV in the cashbook maintained under the “Petty Cash - Replenishment/(Payments)” column of the Cashbook in parenthesis.
k. Replenishment of the Petty Cash
(1) The petty cash shall be replenished as soon as disbursements reach at least 75 per cent of the petty cash or as needed.
(2) Replenishment of the petty cash shall be made through a DV prepared by the BT/PCC, supported by a SPCD, paid PCVs and supporting documents.
(3) The BT/PCC shall prepare the SPCD in two copies to be distributed as follows:
Original - to the COA Auditor concerned, through the C/M Accountant to be attached to DV for replenishment)
Duplicate copy - BT file
(4) The BT/PCC shall acknowledge the receipt of the replenishment check by signing in the receipt portion of the DV.
(5) The BT/PCC shall record the replenishment in the Cashbook in the “Petty Cash - Receipt/ Replenishment/(Payments)” and in the “Cash in Bank - Check Issued” column in case the BT is the PCC. The “Balance” columns of the Petty Cash and Cash in Bank shall always be updated.
l. Full liquidation of the Petty Cash
There are two instances when full liquidation of petty cash is required: 1) in case the BT/PCC ceases to be one or resigns and 2) at the end of the year. In no case shall the remaining cash of the former BT/PCC be transferred to the incoming BT/PCC.
(1) The outgoing PCC shall:
i. return the balance of the petty cash to the BT and the latter shall issue an OR to acknowledge receipt of the cash;
ii. record in his cashbook the returned cash under the Petty Cash - Receipt/Replenishment/ (Payments)” column in parenthesis using the OR as reference; and
iii. prepare the SPCD and LR to be submitted to the BT.
(2) The outgoing BT shall:
i. return the balance of the petty cash to the incoming BT and the latter shall issue an OR to acknowledge receipt of the cash;
ii. record in his cashbook the returned cash under the Petty Cash - Receipt/Replenishment/(Payments)” column in parenthesis using the OR as reference; and
iii. prepare the SPCD and LR to be submitted to the incoming BT.
(3) The BT/incoming BT shall submit the LR together with the supporting documents to the C/M Accountant.
(4) The C/M Accountant shall record the SPCD and LR in the books of accounts.