Cash Management is the tracking and monitoring of cash, covering a range of activities from monitoring cash position to managing trust accounts. It assists managers in maximizing the earning potential of each dollar invested, both short-term and long-term. Cash Management provides the capability to return cash immediately after cancelling a warrant, use undistributed receipt accounts, and provide automated cash flow forecasting.
Cash Management - Criteria for Measuring Success:
- Cash Deposits are recorded with banks on a timely basis (e.g., date received) and recorded and distributed per standard processes.
- Cash Deposit exceptions (e.g., Non-Sufficient Funds) are recognized in an integrated fashion and recorded on a timely basis.
- Disbursement events are recorded on a timely basis (e.g., date paid) and the full accounting impact recognized (payments, cancellations, undeliverable, etc.).
Examples: How it might affect you …
|Current Process||Statewide Process|
|The current process for certain scenarios of warrant cancellations such as stop payments waits for the expiration process to execute in the six-month window rather than immediately.||The recommendation is to not wait 6 months for stop payment scenarios and put monies back in the agencies fund immediately.|