Financial transactions

The purpose of this policy is to outline the authority and responsibilities of university administrative personnel regarding the collection of funds and authorization of payments on behalf of Lynn University.

The Board of Trustees delegates to the President, the Chief Financial Officer and Treasurer, and their designees the authority to collect funds and to authorize payments on behalf of Lynn. Any such payments or collections must be consistent with the policies and procedures of Lynn (e.g., contract management policy, procurement card policy, purchasing policy, etc.) and must adhere to reasonable and prudent business principles. All funds, regardless of the source or the manner in which they are acquired, are considered to be Lynn funds.

Budget and cost center managers - persons assigned by the Chief Financial Officer and Treasurer have the responsibility for specific budget and/or cost centers, including grants and agency accounts, and are ultimately responsible for maintaining his/her budget organization’s budgetary integrity.

I. Expenditure authority
Lynn employees who have been authorized as budget and/or cost managers by the Chief Financial Officer and Treasurer are responsible for the adherence to published Lynn policies and procedures in the use of university funds under their management (e.g., contract management policy, procurement card policy, purchasing policy, etc.). Additional requirements may exist as a result of grant requirements, donor stipulations, or contract terms. Budget and/or cost center managers are responsible for compliance with any additional terms. Budget and/or cost center manager must comply with the university’s conflict of interest policy (as applicable). As outlined in the prohibited transactions section below, no employee may expend Lynn funds for personal gain.

II. Minimum acceptable guidelines and prohibited transactions
Lynn funds are to be used only to meet the mission of the university. The Chief Financial Officer and Treasurer has the responsibility to determine minimum acceptable guidelines for expenditures. This policy applies to all employees and student organizations in the expenditure of Lynn funds and sets university’s standard for prohibited transactions. Grants, contracts, and other activities may be subject to other requirements that may be more restrictive. Where other standards are more restrictive than Lynn standards, the other standards will be followed.

Prohibited transactions include, but are not limited to, the following:

1. Expenditures for personal gain of employees or their families;
2. Payments of political contributions;
3. Purchase, rental, repairs, cleaning or laundering of clothing, including formal wear and academic attire, for personal use. Exceptions are made in the case of employees who are required by Lynn to wear uniforms or personal protective equipment;
4. Payments or reimbursements for personal violations, fines, or stolen articles;
5. Payments or reimbursements for annual fees for personal credit cards;
6. Reimbursement of credit card delinquency assessments, interest or overdraft charges unless caused by the university's error. Requests for reimbursement of charges resulting from a Lynn University error require the signature of the Chief Financial Officer or Treasurer or a designee;
7. Purchases of gifts, flowers or greeting cards of a personal nature to employees unless approved by a Vice President;
8. Payments for personal membership in social, dining, airline and hotel clubs except as expressly approved by the President;
9. Reimbursements for use of personal airline miles/points for business related travel;
10. Reimbursement for personal travel expenses when a trip itinerary includes both personal and business-related travel;
11. Expenditures for computers or technology-related hardware or software unless explicitly authorized by the Chief Strategy and Technology Officer (see the university purchasing policy);
12. Any purchases of a personal nature; and
13. Repair to or replacement of personal property of an employee.

III. Review of expenditures
Budget and cost center managers are expected to conduct a review of all charges to their department(s) on at least a monthly basis, and ensure that any corrections are made in a timely manner. All corrections must be reported to the Chief Financial Officer or Treasurer.

IV. Records
The Chief Financial Officer or Treasurer maintains the official financial records of Lynn University in accordance with the university’s record retention policy. Supplemental financial records may also be retained, but must be consistent with and reconciled to the official information maintained by the Chief Financial Officer or Treasurer.

V. Internal controls
Internal controls are policies and procedures designed to safeguard assets, verify the accuracy and reliability of accounting information, promote operational efficiency, and ensure compliance with applicable laws and regulations. The Controller, Director of Accounting is responsible for the creation and implementation of Lynn University's internal controls.

VI. New revenue sources
Any request to establish a new revenue source or to substantially change the purpose of an existing revenue producing operation must be presented to the President’s Cabinet to ensure appropriate financial and legal review and that it adheres to existing policy and law. The President’s Cabinet will assure that the revenue source fits within Lynn University’s mission and goals.

To learn more about this policy or the supporting procedures, please contact Finance.