GAP 200.026, Deposits to the University

Contents

1. General
2. Where to Deposit
3. GL Account to Use
4. Definitions
5. Foreign Receipts
6. Wire Transfers
7. Gifts In-Kind Receipts
8. Gifts of Securities, etc.

I. General

All cash and checks received by a University department or agency, and belonging to Duke University, must be deposited within three days of receipt if over $250 in total. The proper office for deposit is listed in Section II of this procedure. Deposit amounts less than $250 must be deposited at least once a week. Amounts kept in a department overnight must be stored in a secure location. All non-cash receipts (i.e., property and securities) must be deposited within one day of receipt.

Do not send currency or checks through the mail. All deposits must be deposited in person at the University Cashiering Office or Accounts Receivable Office.  Procedures for the handling of cash and checks for University Cashiering and ADR can be found in GAP 200.025, Procedures for Handling Cash and Check for Deposit, and on the ADR website for charitable donations.

Credit card payments should be processed electronically using pre-established departmental merchant accounts. Bank card transactions must be “closed out” or “batched” at least once per day. Bank card activity posted at the bank is automatically posted to one cost object by the Endowment/Investment Accounting Office.

If a new cost object must be established, do not hold the check or cash. Deposit it with the appropriate office listed below in Section II, telling them the cost object has not yet been established. The funds will be deposited in a holding account.  When the new cost object is established, notify the office where the deposit was taken, in writing, of the date and amount of the deposit and the new cost object. They will prepare a journal voucher to transfer the funds.

II. Where to Deposit?

When depositing cash and checks the nature of the receipt and the receiving cost object determine where the funds should be sent.

DEPOSITS TO RESTRICTED (3XX) WBS ELEMENTS

* For clinical trial payments (except DCRI), sponsors should be instructed to mail checks to the Clinical Research Units (CRU).  CRUs are responsible for depositing these payments with the Accounts Receivable Office with the cost object clearly noted.

DEPOSITS TO ALL OTHER COST OBJECTS

If in doubt as to whether a receipt is a Gift or Grant/Contract, contact the appropriate Pre-Award Office (Campus: Office of Research Support, Medical Center: Office of Research Administration) for help.

DEPOSIT LOCATIONS

University Cashiering

Smith Warehouse
Bay 8, Room B-103
114 South Buchanan Boulevard

Alumni & Development Records

c/o University Cashiering
Smith Warehouse
Bay 8, Room B-103
114 South Buchanan Boulevard

PRMO Cash Management

4101 N. Roxboro Road

Accounts Receivable Office

Erwin Square
2200 West Main St
Suite 300 (in Office of Sponsored Programs suite)

III. G/L Account to Use

For deposits of Gifts or Grants/Contracts, the department does not need to assign a G/L account. The Office of Alumni & Development Records or the Accounts Receivable Office will assign the appropriate G/L account. When making the deposit, indicate the purpose of the check, e.g., Grant Payment, Grateful Patient Gift, Payment for Services, etc. The purpose of the check will assist in determining the correct G/L account.

For deposits at the University Cashiering Office, the department must assign the proper G/L account; if unsure; call Accounting Systems Administration (919 684-2752) for help in choosing the proper G/L account.

IV. Definitions

Gift

An unconditional contribution received by the University for either unrestricted or restricted use in the operation of the University, and for which the University has made no commitment of resources or services, other than possible agreement to the designation of the use of the gift by the donor. The contribution is a nonreciprocal transfer; therefore the University has no obligation to report results to the donor, or to provide them with a financial accounting of the usage.

Normal recommended interactions for the purposes of donor relations are not considered to be required reporting of results or financial accounting.

For further information regarding the administering of commercially-sponsored gifts and the differences in restricted and unrestricted funds, please consult GAP 200.440, Administering Commercially-Sponsored Gifts and Projects.

Grant

Refers to revenues received by the University for the support of University programs and projects.  Grants normally fall into two categories.

Non-specific grants

Those received by the University in support of specific programs or projects, but which did not result from a specific grant proposal. No specific resources or services are committed, and no accounting for the use of the funds is required.

Specific grants

Those received by the University resulting from approved grant proposals for specific programs and projects. The University commits resources or services as a condition of the grant; the grantor may require an accounting of the use of funds and reporting of results.

Clinical Trial

An organized medical study of a new or existing drug, medical device or biological treatment on human subjects, for the purpose of identifying the potential beneficial effect on treating human illness and/or determining safety and efficacy. In order for a grant or contract to be considered a Clinical Trial, the following aspects must all be true:

1. Testing a device, drug or biological compound on human subjects.
2. Has a protocol reviewed and approved by the Institutional Review Board (IRB).
3. Focuses on clinical pharmacological, pharmacokinetic and/or other pharmacodynamic effects and/or seeks to identify the agent's safety and efficacy.

Contract

An agreement between the University and another entity to provide an economic benefit for compensation paid. The agreement is binding and creates a quid pro quo relationship between the University and the entity.

If in doubt as to whether a receipt is a Gift or Grant/Contract, contact the appropriate Pre-Award Office (Campus: Office of Research Support, Medical Center: Office of Research Administration) for help.

V. Foreign Receipts

Entities in foreign countries sending payments to the University should be instructed to use one of the following forms of payment:

• International Wire Transfer
• United States Postal Order
• Cashier's Check drawn on a U.S. bank
• Check payable in U.S. dollars drawn on a U.S. bank or bank located in a U.S. Territory (Puerto Rico, Guam, U.S. Virgin Islands, American Samoa)

If payments are received in the following forms, they must be deposited as a separate deposit. Bank requirements state that these checks cannot be included with standard US check deposits.

• Checks payable in a foreign currency
• Checks payable in U.S. dollars but drawn on a foreign banking institution
• Checks payable in U.S. dollars, but not showing a MICR line or encoded ABA routing number at the bottom of the check.

For foreign currency deposits, the amount will be converted to U.S. dollars. A collection fee (charged by the bank) will be charged to the cost object receiving the deposit except for collection fees on gifts.

Bank fees have been exceeding the face value of smaller foreign checks, thereby requiring the University to establish a $100.00 minimum on all foreign checks.

VI. Wire Transfers

When an entity wishes to make a payment to Duke via wire transfer, the department should contact the Endowment/Investment Accounting Office, the University Cashiering Office, or the Accounts Receivable Office if the wire transfer is for payment on a sponsored project, to receive specific information needed for the wire transfer. If this is a gift to Duke, contact the Office of Alumni & Development Records.

VII. Gifts-In-Kind Receipts

Gifts-in-kind (books, equipment, art, etc.) received in accordance with the University's Gift Acceptance Policy should be reported in writing within one day of receipt to the Office of Alumni & Development Records. Include a written valuation of the gift, but do not send the actual gift there. Contact the Office of Alumni & Development Records with any questions about Gifts-in-Kind.

VIII. Gifts of Securities, etc.

Gifts of stocks, bonds, and similar instruments such as Trusts, Pooled Income Funds, Annuities, Insurance Policies and Bequests should be sent to the Office of Alumni & Development Records immediately.