Administrative Procedure 8.685 Administrative Procedure 8.685

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Cancellation or Replacement of University of Hawaii General Account Checks

Header

Administrative Procedure Chapter 8, Business and Finance
Administrative Procedure AP 8.685, Cancellation or Replacement of University of Hawai‘i General Account Checks
Effective Date: May 2016
Prior Dates Amended: Replaces A8.681, Cancellation of University of Hawai‘i General Account Check; and A8.682, Replacement Checks; and A8.684, Forgery of a University of Hawai‘i General Account Check.
Responsible Office: Office of the Vice President for Budget and Finance/Chief Financial Officer
Governing Board and/or Executive Policy: EP 1.102, Authority to Manage and Control the Operations of the Campus
Review Date: May 2019

I. Purpose

To describe the process to cancel or replace a University of Hawai‘i General Account (UHGA) check. A check may need to be cancelled (voided) for various reasons, such as errors in the payee name, amount, or other discrepancies. A replacement check may be necessary if a check has been lost, stolen, destroyed, misplaced, stale dated, or fraudulently endorsed.

II. Definitions

A. Check - Refers to a check issued from the UHGA at the Bank of Hawai‘i (BOH). Except for payroll and checks issued by the State of Hawai‘i, all University payments regardless of funds are made from the UHGA.

B. Lost checks - Checks not in the possession of the payee or the University, and have not been cashed by the Bank. Lost checks may have been stolen, missing, misplaced, destroyed, forged or not received by the payee.

C. Stop payment - An order issued by the University to the Bank not to cash a check.

D. Stale dated checks - Checks issued by the University that have not been cashed with six (6) months from the date of the check.

E. Forgery - A fraudulent endorsement of a check.

III. Administrative Procedure

A. Cancellation of University of Hawai‘i General Account Checks

1. Procedures for Fiscal Administrator

a. Obtain the disbursement number by using the “Search for Payment” query in the Maintenance/Pre-Disbursement Processor section in the Kuali Financial System (KFS).

b. If the payment status of the check is not stated as “Cleared Check”, complete the Stop Payment/Cancellation/Reissue Form: GALC-625 (Attachment 1), and submit the original completed form to the General Accounting and Loan Collection Office with a screen shot of the “Search for Payment” query as the supporting documentation.

2. Procedures for General Accounting

a. Process the GALC-625 form, which will include:

(1) Verification of the outstanding status of the check, and/or

(2) Submission of the Stop Payment order to the Bank, (if appropriate).

b. Authorize and process replacement check issuance in KFS.

B. Replacement of University of Hawai‘i General Account Checks

1. Procedures for Fiscal Administrator

a. Void checks by writing “VOID” across the face of the original check (if available).

b. Complete the Stop Payment/Cancellation/Reissue Request Form: GALC-625 (Attachment 1), and submit the original completed form and voided check (if available) to the General Accounting and Loan Collection Office.

2. Procedures for General Accounting

a. Process the GALC-625 form to cancel the check.

b. Cancellation of a check from prior year general funds reverts to the State Treasury. All other funds held within the University of Hawai‘i revert to the original fund.

C. Forgery of a University of Hawai‘i General Account Check

1. Procedures for Fiscal Administrators

a. Report alleged forgery to the General Accounting and Loan Collection Office.

b. Advise payee to complete:

(1) Customer Claim form (Attachment 2) to report the alleged forgery to Bank of Hawai‘i.

(2) Three (3) sets of the Customer Affidavit for the unauthorized transaction form (Attachment 2) and have all three (3) sets notarized. Have payee return all three (3) notarized sets along with a police report number to the General Accounting and Loan Collection Office.

c. Complete the Stop Payment/Cancellation/Reissue Request Form: GALC-625 (Attachment 1), and submit the original completed form to the General Accounting and Loan Collection Office.

2. Procedures for General Accounting

a. Work with the Treasury Office and Bank of Hawai‘i to verify the alleged forgery.

b. Treasury Office to complete Customer Claim Form (Attachment 2).

c. Process GALC-625 form.

d. Authorize and process replacement check issuance in KFS (if necessary).