School Generated Funds
Procedures Manual 102-A
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1.
Governance
Director of Education
April 2004
June 2009, June 2013
2018 - 2019 School Year
Definitions
1.1
School Generated Funds
School Generated Funds are funds that are raised and collected in the
school or broader community in the name of the school by School
Councils or other school or parent administered groups. These funds
are administered by the Principal, and are raised or collected from
sources other than the Board’s operating and capital budgets.
1.2
Fundraising
Fundraising is any activity, permitted under a school board’s policy, to
raise money or other resources, that is approved by the school
principal, in consultation with, and upon the advice of, the School
Council, and/or a school fundraising organization operating in the name
of the school, and for which the school provides the administrative
processes for collection.
1.3
School Community
The school community is defined as students, parents, guardians,
School Councils, Trustees, school administrators, staff, members of the
broader community and partners, as well as others, who support the
local school and student achievement.
2.
Sources of School Generated Funds
Sources of School Generated Funds may include:
•
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student activity fees that are used to supplement a student’s school
experience such as fees for student agendas, yearbooks,
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extracurricular activities (teams or clubs), school
dances, theme days, etc.
3.
•
staff-led school and class fundraising for recognized charities and
community causes, or to provide funds for specific school events,
activities and initiatives
•
School Councils, Student Councils and recognized student groups
(such as Arts Councils, school teams, clubs, classes) raising funds
for charitable and community causes, and to provide funds for
specific school events, activities and initiatives
•
donations to schools and/or the Board through registered charitable
organizations and/or recognized local service clubs and
organizations
•
other school activities (such as pizza days, milk sales, school
clothing sales, dances, etc.)
•
Families of Schools joint fundraising activities (approved by the
appropriate Superintendents)
•
Board-wide initiatives approved by the Director of Education
Procedures for Generating Funds
3.1
All fundraising activities will have a designated purpose that falls within
the overall objectives of the Board, benefits students, enhances the
development of educational programs and supports school initiatives.
3.2
The Principal will approve all school fundraising activities.
3.3
The Principal or designate(s) will supervise all school fundraising
activities.
3.4
All groups involved in fundraising will work in co-operation with the
Principal, school staff, and the School Council.
3.5
Participation in fundraising activities will be voluntary for students, staff
and parents.
3.6
School fundraising activities will ensure the dignity of and not exploit
students.
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3.7
School fundraising will reflect the values and
expectations of the school community.
3.8
School fundraising will reflect the purposes and principles of public
education including diversity, accessibility, and inclusivity.
3.9
The following will be considered in approving fundraising activities:
• notification of and/or consultation and communication with
participants, parents and the school community
• the socio-economic make up of the school community
• health, safety and supervision of students
• age appropriateness of activities involving students
• activities that support student achievement and do not detract from
the learning environment
• impact on time for students, teachers and administrative time for
Principals and support staff
• co-ordination with other schools and community events
• proposed use of funds
• type of activity
• appropriateness of incentives for students
• sensitivity to local businesses
• timing and frequency of fundraising
• Municipal and Provincial regulations regarding licenses and permits
• insurance and liability issues
• compliance with the Ministry’s Food and Beverage Policy (PPM
150)
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3.10 The Principal will be responsible for ensuring all
insurance and liability issues arising from contracts for goods, services
and/or equipment are adequately addressed.
3.11 In order to avoid unnecessary expenditures, violation of any existing
Board agreements, or possible litigation, all contractual agreements
required to obtain goods and/or services will be forwarded to the
Purchasing Manager for review, as appropriate.
3.12 Any contractual agreement required to obtain goods and/or services
will be approved by the Superintendent of Finance or designate.
3.13 To ensure accountability, complete and accurate financial records will
be kept for all fundraising activities and will follow the reporting
procedures outlined in this policy and the School Generated Funds
Resource Handbook.
3.14 The Principal, in consultation with the fundraising group, will approve
incentives for student participation. Class and group incentives are
preferred over individual student incentives. Incentives based on total
sales by individual students are discouraged.
3.15 School fundraising should not involve games of chance (bingos,
lotteries, Nevada tickets).
3.16 Organizers of fundraising activities will comply with all Municipal and
Provincial laws and obtain licenses and permits as required. (See the
School Generated Funds Resource Handbook for information.)
3.17 The Principal will be responsible for ensuring that proper licensing is in
place.
3.18 All fundraising activities will respect the privacy of personal information
of staff, students, and other individuals.
4.
Use of Proceeds
4.1
School Generated Funds are considered “non-Board funds” in that they
are not part of Board revenues received from the Ministry of Education
through grants.
4.2
School Generated Funds will be used for the benefit of the school
environment and students, or to support recognized charitable
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organizations and community causes.
4.3
School Generated Funds may be used to complement but not replace
the Board’s budget.
4.4
Expenditures for items purchased from School Generated Funds will be
determined jointly by the Principal and the group involved in the
fundraising event or activity.
4.5
The proceeds will be used for the intended purpose of the fundraising
activity.
4.6
School Generated Funds should normally be used within a two-year
period unless designated for a specific, approved longer-term use.
4.7
All items purchased with School Generated Funds will become the
property of the Upper Grand District School Board.
4.8
Goods and services purchased from School Generated Funds will meet
the policy standards and guidelines of the Board’s Purchasing Policy
#302 and Handbook.
4.9
All purchases will meet Board specifications and standards, be
compatible with other Board equipment and any current and/or future
plans of the Board for the school building and its grounds.
4.10 Principals will inform and seek approval from the appropriate
Superintendent(s), and authorized Board Staff as required for plans to
purchase:
• furniture and equipment for the school and related goods and
services
• goods and services that will alter the school building and the school
grounds
4.11 The purchase of the following with School Generated Funds is not
permitted:
•
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goods and services from employees because such purchase would
contravene Section 217 of the Education Act
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•
goods and services from individuals and/or
companies where such purchase(s) would contravene the School
Council’s by-laws on conflict of interest
•
mileage reimbursements, and monetary payments to employees for
services or for professional development
•
investments other than those permitted by the Board and
Regulation 471/97 of the Education Act (Eligible Investments)
•
items funded through Provincial grants such as: textbooks and
classroom learning materials
•
facility renewal, maintenance, repairs or upgrades funded through
Provincial grants such as structural repairs, sanitation, emergency
repairs or replacing flooring due to wear and tear
•
infrastructure improvements or for capital projects that increase a
school’s capacity or will result in significantly increasing the school’s
or Board’s operating costs (such as classrooms, additions, gyms)
•
support for partisan activities, groups, or candidates
4.12 When planning and selecting capital projects which will be supported by
fundraising activities (such as school yard improvements including
playground equipment, gardens and other greening projects, upgrades to
sports facilities such as scoreboards) the following will be considered:
5.
•
the viability of the alignment with the Board’s overall capital priorities,
planning processes, school improvement plans and Ministry priorities
•
the cost of future maintenance and repairs
•
conflict of interest
•
the Board’s Purchasing Policy # 302
Accountability – Accounting and Control
5.1
Banking
5.1.1 Bank accounts will be established for School Generated Funds.
They will be either in the name of the school, the School Council,
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or the Student Council.
5.1.2 Elementary and Secondary schools should establish no more
than three (3) bank accounts, subject to item 5.1.3 below.
5.1.3 Under certain circumstances as described in the Handbook,
secondary schools may be allowed an additional account with
written permission from the Superintendent of Finance or
designate.
5.1.4 All cheques drawn on such bank accounts will require two (2)
signatures, one of which will be the Principal or designate.
5.1.5 Each bank account should generate a monthly statement with
returned cancelled cheques or cheque images.
5.1.6 It is recommended that such accounts be opened at a branch of
the Board’s bank, where possible.
5.2
Accounting Procedures
5.2.1 A general ledger that distinguishes each fundraising activity will
be maintained in a Bank Account, with appropriate back-up.
5.2.2 All deposits and disbursements will be recorded in the general
ledger and balanced monthly.
5.2.3 All accounting records including invoices will be kept on file for
seven (7) years to comply with the Canada Revenue Agency
Acts and Regulations.
5.2.4 All School Generated Funds are subject to internal and external
audits to ensure that all records are in proper order and that
policies and procedures are understood and correctly
implemented.
5.3
Harmonized Sales Tax (HST)
5.3.1 Schools and fundraising groups will collect HST on sales where
required, as described in the School Generated Funds Resource
Handbook.
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5.3.2 Schools and fundraising groups are eligible for an
HST rebate as outlined in the School Generated Funds
Resource Handbook.
5.3.3 HST reports will be prepared and signed by the Principal and
submitted to the Board Office, Finance Department at least
annually.
5.3.4 The Board will claim the rebate and provide a refund cheque to
the school or fundraising group.
5.4
Receipt of Funds
5.4.1 All School Generated Funds will be deposited in their entirety
into the appropriate account. Monies will not be withheld for
payment of related expenses or for petty cash.
5.4.2 Bank deposits will have sufficient detail/documentation to ensure
completeness of each deposit. All cash collected will be counted
and turned in directly to the treasurer or designated record
keeper for the event and be accompanied by a summary sheet
of monies collected.
5.4.3 All funds received will be entered into the general ledger in
chronological order.
5.4.4 Cheques and cash for deposits will be summarized on a bank
deposit slip.
5.4.5 Bank deposits and monies collected will be stored in a
designated secure location at all times.
5.4.6 Monies collected, and in particular, cash, will be deposited as
soon as possible.
5.5
Disbursement of Funds
5.5.1 All disbursements will have a supporting invoice or receipt to
substantiate incurred expenditure approval, and be paid by
cheque.
5.5.2 All invoices or receipts will be identified with the corresponding
cheque number, payment date and approval signature.
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5.5.3 All disbursements will be entered into the general
ledger in chronological order with brief descriptions along with
the names of payees.
5.5.4 All NSF cheques will be listed and investigated.
5.5.5 Voided cheques will be stated on the general ledger as such and
identified by the cheque number.
5.5.6 Petty cash funds will be replenished by cheque and recorded in
the general ledger. A receipt/invoice or petty cash voucher will
support distribution of petty cash. This fund should be balanced
on a regular basis.
5.6
Financial Reporting
5.6.1 A bank reconciliation will be prepared on a monthly basis.
5.6.2 Year End Financial Reports will be prepared annually for all
school fundraising accounts, “As At” June 30th. Information
needed to prepare these reports will be submitted to the Board
no later than July 31st of each year.
5.6.3 Schools are responsible for informing the school community as
to how proceeds from fundraising activities were used.
5.6.4 School Councils are required by Regulation #612/00 to report
financial details of all fundraising done by the School Council to
the Board on an annual basis.
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