Policies and Procedures
Learning Objective
In this section, we will describe and discuss the administrative policies and procedures, and related
documentation, required for CNCS grantees.
General Policies and Procedures
Policies and procedures provide an operational framework for an organization. They provide guidance to
employees so they can perform their duties in the strategic manner that management had envisioned. A
well-written and comprehensive set of policies and procedures can help your organization run more
efficiently and effectively, while also ensuring compliance with regulatory requirements. While all the
policies and procedures identified below are not required, they will assist the organization in developing an
internal control system that will help ensure that assets are safeguarded and operations are conducted in
accordance with Generally Accepted Accounting Principles (GAAP).
The need for, and the level and extent of policies and procedures can vary considerably from organization
to organization.
Some factors that influence the variance include:

statutory guidelines and restrictions,

size of organization,

type of organization,

number of funding sources,

complexity of reporting requirements,

size of staff,

number of locations, and

number of transactions.
Some policies and procedures are necessitated by Congressional appropriation language or the original
title for CNCS for both DVSA (Domestic Volunteer Service Act of 1973, amended 1999) and NCSA
(National and Community Service Act of 1990) awards. OMB circulars, known as common rules, also
require that certain administrative requirements or controls be in place.
Some of the written policies that should be in place and specific aspects that should be addressed include:
Approval Documentation
Payroll: Compensation
Travel Policies
Authority chain and levels of
delegated authority
Time/attendance process,
expectations and reconciliation
Travel authorization
Authorization of contracts,
budgets, proposals
Payroll deductions
Reimbursement policies
Approval of financial reports
Administrative processing
Approval process
Authorization of checks
Paycheck distribution
Meal reimbursement or per diem
Purchase approvals
Reconciliation of payroll
documents to general ledger
Mileage reimbursement rates
Consultants
Advances
Examples of additional policies that should be in place and aspects that should be addressed include:
Accounts Receivable
Procurement Policies
Financial Reporting
Cash draw downs, frequency,
and reconciliation
Purchase
orders/vouchers/requests for
payment
Document what reports are
needed
Billing (if applicable)
Petty cash, amount limits,
reconciliation, and replenishment
How often reports are needed,
e.g., quarterly
A/R aging/collections
Approval amounts (items under or
over a specific amount)
Reports by funding source
Fee establishment
Check processing (who prepares,
reviews, and authorizes)
Review/approval process
Cash receipts (who opens mail,
deposits receipts, and so on)
Purchasing
Audits/compliance
Bank reconciliation, (who, when,
and other controls)
Guardianship of void/unused
checks
federal/state filings, including
taxes and other regulations
Finally, each organization should have written policies and procedures, including any needed forms and
documents for the following situations or circumstances:

Organizational charts;

Personnel action forms;

Job descriptions;

Voucher/check requests;

Purchase orders;

Travel reimbursement;

Travel policies and procedures that include such things as pre-approval, advances, and use of
federal per diem rates;

List of board members, types of committees, frequency of meetings, and meeting minutes;

Organizational documents, e.g., IRS Determination Letter and Articles of Incorporation;

Conflict of interest policy for board, management, and staff;

Sub-contracts/cooperative agreements, if there is a monetary relationship with community partners
or others; and

Records, equipment, and property management and disposition.