1	Warrants to Checks
2	The Warrant System vs the Checking System On the warrant system, accounting entries reflecting disbursements by the departments/funds are not made to the Trustee’s General Ledger until the warrants are presented to the bank for payment. On the checking system, accounting entries are made to the Trustee’s General Ledger as soon as the disbursements are made. On the checking system, the Trustee’s office will receive disbursement information as soon as the checks are written by the various departments On the checking system, department balances will be decreased at the time of disbursements. The decrease is the full amount of all the checks issued. The cash account is effected immediately!
3	Discuss the following with your Bank January or July are good months to begin, however, the first of any month will work. Clearing Bank accounts are frequently established for the checks. New checks may need to be ordered. Warrants previously issued, will continue to be presented at the bank and will be handled as usual. You will need to receive bank statements with check clearing information more than once a month.
4	Discuss change with all departments Notify each department when the change will take place. After checks are printed and updated to the General Ledger, each department on LGC software will create a diskette with the disbursement information. This diskette will be given to the Trustee’s office. If the department is not on LGC software a manual entry may be made. A report showing totals for each department/fund will be given to the Trustee’s office with this file. The diskette can be hand delivered or the file can be sent via email Also, each department will need to notify the Trustee office when checks are voided.
5	Discuss change with all departments (Continued) Warrants will continue to be presented to the bank for payments. Warrants will be handled as previously done. The Trustee’s office as well as each department will need to be mindful of the date the change takes effect.
6	Contact your LGC Field Representative You may want your LGC field representative to coordinate a visit to a Trustee’s office that is already on the checking system Set up training time for your office Your LGC field representative will also schedule training times for the other departments in your county
7	Approval County audit County Commissioners
8	As previously mentioned, each department will create a diskette and send to the Trustee’s office as soon as checks are printed and updated Accounting, File handler, Check Reconciliation, Create Diskette for Trustee
9	When the diskette is received by the Trustee’s office, it is loaded into LGC software. Trustee main menu, Warrants, Load Warrants by New File
10	After the diskette is loaded, you will run an undistributed warrant/check report. The totals on this report will agree with the totals sent from each department.
11	The next step is to distribute the checks. Menu option: Daily, Day End Process, Distribute warrants, Distribute warrants
12	Accounting Entries A Debit will be made to the appropriate department and a Credit to 14320 when checks are distributed. A check for the total disbursements will be written from the Trustee Checking Account and deposited into the appropriate Clearing Bank account. This is a CD manual transaction, and is a Credit to Trustee Checking and a Debit to the Clearing Bank account.
13	Accounting entries continued As checks clear the bank, an entry is made for the total checks cleared. It is a Credit to Clearing Bank Account and a Debit to 14320 which is the Unreconciled Warrant Account. The balances in the Clearing Bank Accounts and 14320 should be the same. Note: The clearing accounts may have a “cushion balance” and therefore the Clearing Bank Account and 14320 will reflect that difference. The Unreconciled Warrants Report should equal the total of 14320 .
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15	Unreconciled Warrants Report Unreconciled Warrants Report Dept: 207 SOLID WASTE Type: 02 VENDOR Warrant Seq Warrant Unreconciled Effective Number Num Date Description Amount Date ----------------------------------------------------------------------------------------------------- ************* Grand Total: 1,652,630.31 ************* Beginning Warrant Dept: Ending Warrant Dept: ZZZ Beginning Effective Date: Ending Effective Date: 02/16/2006 Total Number Warrants: 1049
16	You may want to consider our Positive Pay module when you make this change Positive Pay enables information to be sent to your bank which provides check cashing validation information. This diskette includes the bank account number, check number, check amount, check date and the department number (fund number) which issued the check. The bank will only cash checks that are reported to the bank on positive pay diskettes.
17	Diskette Check Reconciliation The Diskette Check Reconciliation process enables our Accounting and Trustee customers to reconcile their checks by means of a file that will be returned to the offices from their bank.