FIN 203: Org Manager
To describe the responsibilities of org managers
Arizona Revised Statutes §§
38–501 to –511
An org manager, a faculty or staff employee, has overall
responsibility for each university agency/org. The responsibilities
of the org manager are to:
- Appoint other people as authorized signers for the agency/org.
It is recommended that agency/orgs have up to four authorized
signers, including the org manager.
- Process against the agency/org only expenditure transactions,
Personnel Action forms (PAFs), and budget changes/transfers
consistent with the agency/org’s purpose. For agency/orgs
having gift deposits, ensure that the gift funds are used in
accordance with the donor’s stipulations. For agency/orgs
having externally sponsored funding, expenditures must comply with
any externally imposed stipulations. The spending of donor- or
sponsor-provided funds contrary to the donor or sponsor
stipulations could also be a violation of state statutes, carrying
with it possible significant penalties to the person(s) incorrectly
spending the funds.
An org manager’s or authorized signer’s
approval/signature on a disbursement transaction is attestation to
Financial Services that:
- the transaction is valid within the context of the
- the documentation is sufficient for subsequent audit review,
e.g., there is sufficient indication of the public purpose served
if not inherently obvious
- the payment is for products/services already received except
for items normally paid in advance such as subscriptions,
maintenance contracts, and individual book purchases or
arrangements where documented significant economic advantages
accrue to ASU from such a payment arrangement.
||Org managers and authorized signers cannot authorize payments
- Recognize and be sensitive to the fact that an important part
of the delegated accountability for the financial management of
ASU’s resources is the establishment and implementation of
adequate internal controls. Internal control is the integrated
process of checks and balances established by a unit to provide
reasonable assurance to protect university assets; to prevent
unintentional errors; to detect intentional miscoding, misuse, or
misappropriation of university resources; and to reduce risk.
The basis of ASU’s internal control directive is that
primary and ultimate responsibility for the establishment and
maintenance of sound internal control systems rests with org
managers. A fundamental aspect of this stewardship is the
responsibility to provide Arizona taxpayers, ASU students, donors,
granting agencies, and others reasonable assurance that ASU’s
resources are adequately controlled and that financial statements
based upon expenses and revenues recorded in accounts are
Org managers, as well as all employees, are responsible for
communicating identified operational problems, deviations from
established standards, and suspected or actual violations of
university policies and procedures or state law to an appropriate
department (this can be, depending upon the circumstances,
Financial Services, Internal Audit, General Counsel, dean’s
office, Police Department, or a provost or vice president’s
General guidelines for internal control include:
- Segregation of duties. Individual duties should be separated so
that one person’s work routinely serves as a complementary
check on another person’s work. No one person should have
complete control over more than one key processing function or
activity, such as authorizing, approving, disbursing, receiving, or
- Authorization and approval. Transactions are authorized when
they are proper and consistent with university policies and
procedures and the unit’s approved purpose, plan, or mission.
Transactions are approved by a person who has formal approval
authority (e.g., authorized account signers).
- Custodial and security arrangements. The responsibility for the
physical security of assets is separated from the related record
keeping (accounting) for these assets. Unauthorized access to
assets and accounting records should not be allowed.
- Review and reconciliation. Departmental accounting records are
examined by employees who possess sufficient understanding of the
university’s financial system to verify that recorded
transactions actually took place, were made in accordance with
prescribed procedures, and are compared with the university’s
financial system (Advantage) reports to verify their
reasonableness, accuracy, and completeness.
A listing of specific internal control examples is available on
the ASU University Audit and Advisory
Services Web site.
- Each ASU manager needs to monitor adherence by their staff to
university policies and procedures. The Board of Regents have
indicated a desire for stringent personnel action for those that
may intentionally or flagrantly misuse or mismanage financial
transactions, or not follow financial policies and procedures. The
stringent personnel action includes sanctions for the
violator’s supervisor or, in the case of the ASU Purchasing
Card (P-Card), other departmental personnel entrusted with P-Card
- Control spending so that the agency/orgs do not go into deficit
status. While the Advantage financial accounting system does have
certain expenditure control features, charges for goods/services
already rendered are typically processed regardless of availability
of funds due to certain automatic override features that have been
established in Advantage financial accounting.
Some examples of charges that are subject to the automatic override are:
- all payroll charges, including those that are retroactively transferred from
one agency/org to another
- Departmental Limited Value Purchase Orders (PDLVPOs)
- payments to off-campus vendors, including use
taxes, freight, etc., once the purchase order has been written
- payments to ASU service departments.
- Determine timely funding sources for any agency/org deficits. If
the org manager does not indicate a funding source for the deficit,
the applicable provost/vice provost/vice president or dean is
responsible for determining a funding source (see FIN 215, “Vice Presidential and College
Area Responsibilities). If the agency/org becomes inactive,
instruct the appropriate accountant on the disposition of any
- It is inappropriate for a department to have a deficit
agency/org while the department has related funds on deposit at the
ASU Foundation or other financially related organization. Each
deficit agency/org at ASU represents lost investment income to the
university. A deficit agency/org can be assessed, upon notification
by Financial Services, a charge equivalent to the amount of
investment income lost during a given period due to that
agency/org’s deficit balance.
- Adhere to the policies and procedures presented in this manual
for maintaining agency/orgs and processing/coding transactions.
If the university incurs an IRS penalty as a result of
departmental coding errors or failure to follow prescribed policies
and procedures, the department may be assessed the
Violation of policies and procedures could subject the violator,
and his or her supervisor, to disciplinary action ranging from
reprimand to involuntary termination.
- Designate another person as org manager if transferring to
another position on campus or leaving university employment.
- Review the monthly Advantage financial accounting system detail
expense transaction reports to determine that all charges and
credits for the month are appropriate. The monthly expense review should also include the use of the BPC dashboard, MyReports queries, or other resources as necessary to verify salary and/or wage expenses for each employee. If the monthly review identifies an overpayment or underpayment of wages or salary, please contact your payroll specialist in Payroll Services to promptly correct the error. Best Practices related to reconciling payroll expense are available on the Financial Services Web site. Adopting these Best Practices ensures that adequate controls in compliance with this university policy are in place. Review the monthly Advantage
detail revenue transaction reports to determine that all revenue
has been recorded. Review monthly Advantage summary reports for
reasonableness. These duties may be performed by the org manager or
other personnel in the office (e.g., administrative
associate/assistant or business manager).
For org managers having responsibility for Auxiliary Enterprises
(third digit of area code is a 2), reconcile on a timely basis
balance sheet accounts (e.g., deferred revenue and deferred
expenses) to supporting internal documentation.
- Contact the accountant in Financial Services or the sponsored
projects officer (SPO) in the Office for Research and Sponsored
Projects Administration (ORSPA) assigned to the agency/org to
answer questions or provide further clarifications.
||The accountant or SPO for each agency/org is listed in the
upper right-hand corner on the monthly Advantage
- Ensure that any lobbying-related expense—including the
payment of membership fees for which a portion of the fee has been
designated to be used for lobbying—has written approval from
the vice president for Public Affairs or the university designated
lobbyist (see ACD 205–01,
- Ensure that a department or similar organizational unit
proposing a capital acquisition costing $5,000 or more screens for
equipment availability within the department or unit. An org
manager’s or authorized signer’s online approval, or
signature on an offline form, certifies to Financial Services that
screening for equipment availability has occurred.
- Ensure that, in accordance with university policy and
Arizona Revised Statutes §§ 38–501 to
–511 (Conflict of Interest of Officers and Employees),
neither the org manager, anyone else participating in the award
decision, nor a relative will benefit financially from or be a
recipient of any outside services order or related payment. If any
potential conflict of interest exists, it must be reported to the
Office of General Counsel.
- Ensure that all written documents that result in an expenditure
of university funds are approved with an original authorizing
signature. Signature stamps are not acceptable.
- Restrict personal use of university resources. If personal use
of university resources does occur, however, the org manager is
responsible for ensuring within her or his area compliance with
university policy requiring reimbursement to ASU from ASU employees
for any university resources committed to personal use (see
FIN 117, “Personal Use of
- Ensure that Financial Services is consulted about potential
sales tax reporting for departmental sales of goods/services (see
FIN 108, “Sales Tax”). Ensure
that Financial Services is notified in writing of any revenues
being generated that may be subject to unrelated business income
tax (see FIN 122, “Unrelated
Business Income Tax”).
- Notify Financial Services when an agency/org is no longer
needed so that the agency/org can be deactivated on the Advantage
financial accounting system.
- Make all payments for:
- student scholarships, grants, loans, and other financial
- employee postgraduate research grants, awards
- any other compensation, excluding employee reimbursements, to
ASU faculty, staff, and students from an ASU agency/org and not
from the ASU Foundation or other financially related
If the funding for these transactions is from funds located at
the ASU Foundation or other financially related organization, then
a transfer of the funds to ASU needs to be made so that these
payments can be made from an ASU
- Make all payments to nonresident aliens through an ASU
agency/org and not from the ASU Foundation or other financially
- Obtain a fingerprint check on the finalist for each new
position hire that will handle financial transactions as a job
responsibility on an ongoing basis. These responsibilities include
but are not limited to:
- the collection or handling of cash or checks
- writing or approving checks
- having access to a direct money stream
- being an authorized user of a P-Card
- being a fiduciary to ASU.
Persons who only have accounting system data
entry and/or scanning authority do not need the fingerprint check.
Faculty or staff who are principle investigators on sponsored
projects are normally the org managers on the sponsored project
accounts and may be set up with either scanning authority only or
full approval authority. If scanning authority only is selected, a
fingerprint check is not required.
- Avoid transacting business with or making payments to any
organization or person or through a bank included on the U.S.
Department of the Treasury’s list of Specially Designated
Nationals and Blocked Persons, issued by the U.S. Department of the
Treasury, Office of Foreign Assets Control. A link to this list is
located on the Accounts Payable Web
site. Any civil penalties imposed by the U.S. Department of the
Treasury, Office of Foreign Assets Control, on ASU for violation of
this federal law is the responsibility of the department initiating
- All federal funds are to be deposited with Sponsored Projects except for federal financial aid funds, which are to be deposited with ASU’s Financial Aid and Scholarship Services. Federal funds may not be deposited directly by any department to any of their nonsponsored agency/orgs.
The ASU Foreign Visitor Tax
Guide, issued by Financial Services, is available as a
useful reference. A copy of this guide may be obtained by calling
Financial Services at 480/965–8479 or 480/965–0108.
For information on vice presidential and college area
responsibilities regarding agency/org deficits, see FIN 215, “Vice Presidential and College
For information on tax reporting for nonresident aliens, see the
policies in FIN 425, “Payments to Nonresident Aliens,”
- FIN 425–04,
“Nonresident Alien Independent Contractors and Other Foreign Entities”
- FIN 425–05, “Student
Financial Support Payments to Nonresident Aliens”
- FIN 425–06, “Payments
to Postdoctoral Nonresident Aliens.”
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