Outstanding Check Policy

Introduction

An outstanding check list is maintained to account for any checks that have not cleared the bank at the end of the month when a cash reconciliation is completed. A reconciliation is a monitoring control that ensures accountability for all expenditures and payments. This policy is established to properly account for long outstanding checks and to remove unsupported reconciling items and inaccurate reporting.

Procedures

1. Once every 180 days, beginning with the first business day of January each year, the Finance Department shall run a report of outstanding checks reflected on the Library’s books. When the check becomes stale dated (180 days from the issue date) an entry will be made to void the check and a corresponding entry will be made to the Agency Fund. Checks will be printed with the statement "Void After 180 Days."
2. In the event the original check can’t be returned and a stop payment occurs a processing fee of twenty-five dollars ($25.00) will be deducted from every reissued check.
3. Section 9.39 of the Revised Code provides that unclaimed money shall be deposited to the credit of an Agency Fund and shall be retained there until claimed by its lawful owner.
4. If the rightful owner claims the unpaid money, a warrant/check will be paid from the Agency Fund. If the monies remain unclaimed for a period of five years from the date the money was placed in the Agency Fund, the money shall then be paid to the General Fund.
5. If, after the five-year period, the rightful owner claims the unpaid money, a warrant/check will be paid from the General Fund.