Monitoring and Oversight — Permanent Working Funds

Departments in possession of a Permanent Working fund are responsible for the monitoring and oversight of the funds. The custodian is ultimately responsible for the safety and accountability of the funds, but the department is responsible for ensuring proper cash handling procedures are written and followed by all that have access to the funds. Texas A&M System Regulation 21.01.11 Working Funds provides information about the procedures and responsibilities for holding a working fund.

To enhance departmental monitoring and oversight of the funds, FMO and FMS submit annual certification letters to the custodians and conduct surprise cash counts.

Annual Certification letters are mailed out to the custodians in September of each fiscal year. These letters have the custodian verify that the funds are still needed and that the purpose of the funds has not changed. The custodian is asked to review the need for the funds and if the amount is still appropriate. These letters must be signed by the department head and the custodian. If the custodian of the funds is different than what FMO or FMS has indicated in the letter, a Permanent Working Fund Transfer of Custody Request form will need to be retuned with the signed certification letter.

Surprise cash counts are conducted on a regular basis. These visits are meant to help departments view their operations from another perspective. FMO and FMS representatives observe the department's cash environment and operations. FMO and FMS representatives then provide feedback of their observations and make recommendations for improvements through an email to the custodian and department head.