Policies and Regulations

REGULATION TITLE: Accounts Payable and Cash Disbursements

APPLIES TO: All Divisions and Departments

ADMINISTRATIVE AUTHORITY: Finance and Administration

APPROVED BY: Kentucky State University Board of Regents

EFFECTIVE DATE: August 8, 2025

NEXT REVIEW DATE: August 8, 2028

REGULATION STATEMENT:

The primary objective of this regulation is to ensure that all Kentucky State University (KSU) cash disbursements are properly authorized, invoices are processed in a timely manner, and internal controls are maintained to prevent fraud and enhance administrative efficiency. To achieve this, KSU requires that the authorization, processing, signing, recording, and reconciliation functions for all payments be clearly separated.

DEFINITIONS:

Accounts Payable (AP)

The KSU department responsible for processing and paying all non-payroll obligations.

Cash Disbursement

Any payment made by KSU via check, direct deposit, wire transfer, or other electronic means.

Invoice