Financial Information

Policies and Practices Booklet

FINANCIAL INFORMATION As a school we are required to operate within SA Government Treasury Instructions, DECD Financial Policy and Australian Taxation Office (ATO) requirements. As with any business we are required to comply with these requirements and are audited each year by an external agency to ensure we meet these requirements. Our school is a big business with a multi-million dollar turnover and to meet all our requirements we have established clear guidelines and processes to support the efficient and effective operation of the school. Your support in helping us to adhere to these processes is appreciated.

Business Manager – Shauna Kay

Ph: Ext 132

Finance Manager – Chris Lewis

Ph: Ext 149

Finance Officer – Peter Robinson

Ph: Ext 147

Finance Officer – Jenna Harkness

Ph: Ext - tbc

BUDGET PROCESSES The budget process commences in Term 3 of each year and is run in conjunction with the setting of Materials & Services charges for the following year.

Budget Managers will be required to prepare and consider budget submissions for the following year.

Budget submissions for the following year will need to be provided to the Business Manager by 15 th October each year. Please include as much information as possible including specifications and costs of any machinery and equipment purchases. If your budget submission requires additional staff please discuss with the Principal and Business Manager to ensure all options/costs/compliance is considered and correct processes are followed in terms of employing staff. The Principal and Personnel Advisory Committee (PAC) may need to approve any additional staffing requirements.

An interim draft budget is prepared prior the close of the school year and approved by Governing Council to allow the school to commence operating at the start of the school year. Following confirmation of student numbers on the Day 6 census a final budget is prepared and submitted to Governing Council for approval prior to Budget Managers being able to commence expenditure.

Budget managers receive a report at the end of each month that indicates the budget position and any activity in the budget are during the month. These reports need to be checked to ensure all orders completed, income and expenditure is related to their budget area. If there are any concerns or questions please see the Business Manager or Finance Manager for clarification.

Budget Managers are able to request information from the Finance Office or Business Manager on the state of their budget area of responsibility at any time. We recommend that you establish a budget folder for you to retain your monthly budget reports and to keep any information related to your budget or budget requests that you may like to include in future budgets.

Budget expenditure closes each year at the end of October. This allows for all accounts to be finalized and the school to establish a picture of our final financial position to support preparation of the budget for the

Policies and Practices Booklet following year. Budget Managers will receive email notification and reminders of when budget submissions are due and when budget expenditure is closing to support your planning and ensure programs can continue to the end of the year for students.

The Business Manager and the Finance Office are able to support you in your budget management. If you need help interpreting your budget reports, need information on where to source items from and any queries about your budget area please see us and we will support you as best we can.

FINANCIAL PROCEDURES Declaration of Conflict of Interest and the Code of Conduct     

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The Code of Conduct requires that as a Public Servant you declare to the Principal if you, a member of your family or a friend will benefit from any commercial arrangements that the school enters into with a supplier.

Further information is available in the Code of Conduct.

Forms declaring a conflict of interest are available from Admin or the Finance Office to be completed prior to entering into any supplier arrangements with a supplier.

Additional information required includes any employment outside of DECD that you undertake.

These forms need to be completed at the beginning of each year and are held by the school and available to DECD on request.

Approval is required from the Principal prior to commencing supply arrangements where there is a potential conflict of interest.

Purchase Order Policy and Procedure - DECD Policy and Treasury Instructions Treasury Instructions issued by The Department of Treasury and Finance require the supply of goods or services to the school must be authorised with an official school purchase order or authority to purchase as the funds being spent are public funds for which the school is accountable.

Purchase of Goods and Services  

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Purchases should be undertaken which achieve value for money by taking into account the best possible combination of price and quality for goods or services.

Irrespective of value a written agreement must be established where the contractor and/or its personnel are required to comply with Child Protection Obligations. Further information is available on the Purchase Order Terms and Conditions generated when the purchase order requirements are entered into EDSAS. Regardless of the financial value of a purchase, risk should be considered in the purchase process. Please see the Business Manager for further information.

‘Purchase Order Requisition’ form MUST be completed in full and signed by the budget manager. Please attach any quotes or additional information that will support your order. The School will not approve purchases that are made without a purchase order and goods may be returned to the supplier at the discretion of the Principal.

Forms are available from the Finance Office and are also located in the pigeon hole area.

For ordering of books, the requisition must be signed by the Library staff to ensure there is no duplication of resources.

Complete supplier details in full including address, fax and phone number.

Policies and Practices Booklet          

All goods must have a GST inclusive cost entered as this is a mandatory requirement of EDSAS. Ledger Account – enter the ledger account from those available on your budget report. If you are not sure of the ledger accounts please check with the Budget Manager responsible for the budget area or see the Business Manager.

Orders involving chemicals or equivalent type of goods MUST have completed the MSDS component of the form.

For purchases of equipment the ‘Plant Pre-Purchase Checklist’ on the reverse of the Purchase order form must be completed.

Purchase order forms not completed correctly will be returned to the Budget Manager for completion.

Orders will be processed within approximately 3 working days of receipt unless there are changed circumstances such as end of month. If the order is urgent please discuss with the Business Manager.

Quotations – in alignment with DECD / Whole of Government Procurement Regulations, quotations must be obtained as per the ‘Whole of Government / DECD Procurement Regulations. These regulations are attached for your reference.

If you are unsure of who and where to purchase goods and services from please see the Finance Manager or the Business Manager.

Purchases made without an official school purchase order can only be made in exceptional circumstances – please see the Business Manager for further information.

Goods that are ordered and invoiced to the school prior to completing a Purchase order will be returned to the supplier.

Delivery of Goods     

Goods are instructed to be delivered to Reception and will then be forwarded to faculty areas.

Where invoices are attached to deliveries a copy of the invoice will stay with the goods and on receipt of the goods in your faculty area the delivery is to be checked immediately to ensure the correct items have been received.

Once goods have been checked the invoice is to be signed and dated where indicated and returned to the Finance Office for prompt payment.

Invoices that are received by email or post need to be signed, dated and forwarded to the Finance Office for prompt payment.

It is important that all invoices are authorised and forwarded to the Finance Office without delay to ensure that the school maintains good relationships with our suppliers.

Goods on Approval 

Please see the Business Manager prior to arranging for goods to be received for approval. It is important Budget Managers understand the responsibility of accepting goods on approval and the school’s liability in terms of care of goods and the terms of approval.

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Once details of goods to be received are confirmed the acceptance form can be faxed to the supplier.

Goods not being kept are to be returned promptly. It is the responsibility of the person who ordered the goods to ensure that those being returned are packaged and addressed correctly.

Arrangements must be made with the supplier to provide a tax invoice and a credit (adjustment) note for goods returned.

Goods supplied to the school without an authority will be returned immediately and freight costs charged to the faculty concerned.

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Policies and Practices Booklet Purchases Where Goods Unknown 

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In some cases staff may not know what they are going to purchase until they are at the supplier’s business premises. In this case a Purchase Order can be obtained from the Finance Office with a nominated value approved by the Budget Manager.

A copy of the authority remains in the school.

On Line and Credit Card Purchases  

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The school has credit card facilities for the purchase of goods on line. Please liaise with the Business Manager to purchase goods on line.

The school will not be responsible for credit card purchases on personal credit/debit cards and no reimbursement will be available for purchase of goods for use at school made on personal credit/debit cards.

Purchase of goods using personal cash is only permitted by prior arrangement with the Principal or Business Manager. If a staff member uses personal cash to purchase goods etc, a ‘Payment Request and Authorisation’ form must be completed in full which will be attached to the authority. Without the authority no reimbursement will be issued.

Reimbursements The School does not allow reimbursements for purchases made by an individual staff member on behalf of the school.

The school has commercial purchasing arrangements with suppliers and retail purchases are not a cost effective way of managing school funds – which are public funds.

There are a number of ways that the school can purchase and the Business Manager or Finance Manager can support this process for you.

In the event that there is no alternative then any purchase made on behalf of the school will require pre approval from the Principal or Business Manager.  Petty Cash reimbursement will be up to a maximum of $ 10.00. This will require tax compliance invoices/receipts to be provided to the Finance Office with a completed ‘Payment Request & Authorisation’ form.  For amounts greater than $ 10.00 where reimbursement has been pre-approved by the Business manager or Principal payment will be by bank transfer. This will also require completion in full of a ‘Payment Request & Authorisation including current bank account details and the attachment of correct tax compliance receipts.  No reimbursements will be given if the receipt indicates that a rewards scheme has been used to gain points for purchases. Examples include Flybuys, Frequent flyers, Woolworths & Coles Cards.  All receipts are to be attached to the back of the authorisation / request forms. Receipts are not to be kept for months and then a large claim lodged for reimbursements. Claims will need to be less than$100.

All requests for reimbursement are examined and approved by the Principal prior to being processed.  Reimbursements are not able to be done on demand. They will occur within the month of request where possible, allowing for end of month and year processes.  No reimbursement can be processed if the receipt includes private purchases or the tax invoice/receipt is not compliant with Australian Taxation Office requirements (please see below the requirements for a tax compliant receipt)

Policies and Practices Booklet  Receipts that contain private purchases WILL NOT be accepted.

All purchases that require reimbursement via petty cash must be on separate receipts.  A credit card receipt is not a complaint receipt and you will need to request a compliant receipt from the supplier.  Without the provision of a tax compliant invoice/receipt we are unable to claim the GST component of your purchase which becomes an additional cost to the school.

Information below is provided so support your understanding of what a tax compliant receipt will need to include:

Australian Taxation Office - GST Compliant Invoices / Receipts For each of the following, the requirements specified underneath MUST be met. (a) Purchases over $ 1000  Supplier Name, Address, ABN  School Name, Address, ABN  The words “TAX INVOICE”  The words “GST Inclusive” or equivalent  A brief description of each item supplied (b) Purchases between $ 50 and $ 1000 which include GST  Supplier Name, Address, ABN  School Name, Address  The words “TAX INVOICE”  The words “GST Inclusive” or equivalent  A brief description of each item supplied (c) Purchases under $ 50 with GST  Supplier Name, Address, ABN  The words “TAX INVOICE”  The words “GST Inclusive” or equivalent (d) Purchase under $ 50 without GST  Supplier Name, Address, ABN (may need to be stamped on the back of the receipt).

The ATO can impose fines to school for incorrect treatment of the Goods & Services Tax. Cash Floats and Travel Cards for Events  

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Cash Floats must be discussed with the Finance Office two weeks in advance of being required.

The staff member responsible for the event will be required to sign a ‘Cash Float Authorisation and Acceptance’ form before the float will be handed over. It is essential that you read and understand your responsibilities for having a cash float issued to you.

All monies spent MUST have compliance receipts kept.

Within one week of completion of the event, a ‘Cash Float Analysis’ form is to be completed and, along with any cash, returned to the Finance Office.

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For school events which involve taking students intrastate/interstate/overseas the school will arrange a Travel Card with adequate funds loaded to cover required expenses while away.

A request for a Travel Card must be provided to the Finance Office a minimum of 2 weeks prior to the event.

Travel Cards must be returned to the Finance Office after the event with all receipts.

A reconciliation of expenses must also be completed and templates are available for this process.

Purchases on a Travel Card are not for personal items.

Unused funds MUST be returned to the school and do not become personal funds.

Billing for Services   

Staff are NOT PERMITTED to generate accounts to any supplier, customer or parent.

The Business Manager or Finance Office MUST generate accounts from EDSAS to meet accounting and GST regulations.

If you require an account to be sent, please supply full details in writing to the Finance Office for processing.

Booking events and organising events If you are taking students out of the school on any event for which the school will be charged, you MUST book this event via a SCHOOL PURCHASE ORDER. If you are arranging an event to be held in the school during school hours or out of hours please ensure you do the following:     

If the event is during school hours check with Michal Black that the venue is available.

If the event is after hours check with Shauna Kay that the venue is available. We have School of Language classes Mon – Thurs evenings and a number of other user groups who hire various parts of the school after hours and on weekends.

If the event is after hours check with Shauna that you have access to alarms and know how to use the alarm system If the event is after hours check with Jim Dounas that you have access to the required areas using your access card and /or keys.

If your event involves catering please see further information below.

Catering for School Events If you are organising an event that involves catering/refreshments for staff, students, parents or visitors to the school please see Shauna for support and further information.

The school has a canteen and we support the canteen by offering them the opportunity to cater for events in the first instance. There is a Catering Form available outlining options the canteen can offer for events and their cost – costs are charged to budget areas. Catering must be approved by the Principal prior to any arrangements being made. Please allow a minimum of one week’s notice for catering to allow for ordering any requirements.

Policies and Practices Booklet If DECD staff will be attending a catered event then an Entertainment Form (yellow) must be completed as part of the approval process. This is an audit requirement. Entertainment Forms are available from the Front Office or the Business Manager and are retained in the Finance Office when completed.

Requests for Cheques If you require a cheque to take with you for any reason, you must advise the Finance Office in writing providing full details of your requirements and submit to the Finance Office at least three days in advance.

Cheques are not able to be issued on demand.

Student Payments for Events Planning for excursions, incursions and camps requires the completion of all required documentation. Please see the Camps & Excursions process in Section 2 of the Staff Handbook. Planning must include providing the Finance Office with information in writing regarding the cost of any event. The Finance Office must check the consent form being sent home to parents to ensure it complies with Australian Tax Office requirements in terms of GST. Under no circumstances are staff to collect or hold cash from students for excursions and camps. All payments are to be received in Student Services or the Finance Office. No money can be taken from students until the event is approved by Daily Operations and a copy of the final approval is received by the Finance Office, including a copy of the letter to parents/caregivers signed by the Principal.

Booking Of Buses, Venues, Registrations etc    

‘Purchase Order’ form MUST be completed in full for all such events.

Supplier Codes – if the supplier is on the ‘List of Suppliers’ from EDSAS, enter the code only. If not, complete the supplier details in full.

All items must have a GST inclusive cost entered as this is a mandatory requirement of EDSAS. Ledger Account – enter the ledger account from those available on your faculty printout or from the Budget Manager in charge of the faculty.

 Orders will be processed within approximately three days of receipt unless there are changed circumstances such as end of month.

Note : If you require a permanent booking for the entire year please see the Business Manager.

Policies and Practices Booklet DECD Procurement Governance Policy Procurement Framework VERSION 2.46 October 2017 Purchases cannot be split to enable individual parts/phases to fall under a particular threshold.

4.5.1 For purchases less than $33,000 (GST inclusive) Applicable to all Worksites including Schools, Preschools, DECD Ministerial Committees and Child Protection and Guardianship business units: A minimum of one verbal or written quote should be obtained (recorded at local level). Ensure that potential suppliers receive sufficiently clear information to base their quote on.

The purchase should be process locally via an EDSAS order unless exempt from this requirement as per the Purchase Order Exemption Policy.

4.5.2 For purchases at $33,000 and up to $220,000 (GST inclusive) Schools and Preschools: A minimum of three written quotes are to be sought for goods and services over $33,000 and up to & including $220,000 (GST inclusive) and construction/minor works up to & including $165,000 (GST inclusive)*. To ensure compliance with the IPP, sites are required to seek at least one quote from a local source.

All potential suppliers must receive the same information to base their quote on and it is preferable to invite offers in writing. The Procurement Unit can assist in developing a formal Request for Quote (RFQ) if required, particularly for the purchase of services. Sites will generally develop the specification component of the RFQ. If quotations cannot be obtained from at least three bona fide suppliers the reasons must be documented and recorded for audit purposes.

The requirement for at least three quotes is considered to have been met if three or more suppliers are approached but less than three responses are received. Any successful suppliers that submitted a quote must be3 offered the opportunity to receive feedback on their quote.

Purchases should be process locally via an EDSAS order unless exempt from this requirement as per the Purchase Order Exemption Policy.

SAPs and SPRs are not required to be completed by schools and preschools in this threshold.

However, schools and preschools should process orders locally in accordance with all other requirements outlined above, and ensure that appropriate documentation is maintained to enable the Chief Executive to submit annual compliance statements and other procurement activity information to the SPB as required.

Schools and Preschools must ensure all documentation is readily available at the department’s request.

Refer construction/minor works over $165,000 (GST inclusive) to Asset Services.

4.5.3 For purchases at $220,000 and less than $550,000 (GST inclusive) Applicable to all Schools and Preschools : A minimum of five written quotes are to be sought for goods and services valued at $220,000 and less than $550,000 (GST Inclusive).

Policies and Practices Booklet Please see the Business Manager for support to manage purchases in this range.