§ 147-86.11. Cash management for the State.
§ 147‑86.11. Cashmanagement for the State.
(a) Uniform Plan. TheState Controller, with the advice and assistance of the State Treasurer, theState Budget Officer, and the State Auditor, shall develop, implement and amendas necessary a uniform statewide plan to carry out the cash management policyfor all State agencies. The State Auditor shall report annually to the GeneralAssembly on the implementation of the plan as shown in the audits completedduring the prior fiscal year. The State Treasurer shall recommend periodicallyto the General Assembly any implementing legislation necessary or desirable inthe furtherance of the State policy. When used in this section, "Stateagency" means any agency, institution, bureau, board, commission or officerof the State; however, except as provided in G.S. 147‑86.12, 147‑86.13,147‑86.14, and 147‑86.22, this Article does not apply to theagencies, institutions, bureaus, boards, commissions and officers of theGeneral Court of Justice as defined in Article IV of the North CarolinaConstitution or to the local school administrative units and community collegesand their officers and employees.
(b) Duties of Auditor. The State Auditor pursuant to authority under G.S. 147‑64.6 shallmonitor agency compliance with this Article, and make any comments,suggestions, and recommendations the Auditor deems advisable to the agencies.
(c) Treasurer's Report. The State Treasurer shall publish a quarterly report on all funds in thecontrol or custody of the State Treasurer showing cash balances on hand,investments of cash balances and a comparative analysis of earnings andinvestment performances.
(d) Earnings on TrustFunds. The statewide cash management plan shall provide that any net earningson invested funds, whose beneficial owner is not the State or a localgovernmental unit, shall be paid to the beneficial owners of the funds."Net earnings" are the amounts remaining after allowance for the costof administration, management, and operation of the invested funds.
(e) Elements of Plan. For moneys received or to be received, the statewide cash management plan shallprovide at a minimum that:
(1) Except as otherwiseprovided by law, moneys received by employees of State agencies in the normalcourse of their employment shall be deposited as follows:
a. Moneys received intrust for specific beneficiaries for which the employee‑custodian has aduty to invest shall be deposited with the State Treasurer under the provisionsof G.S. 147‑69.3.
b. All other moneysreceived shall be deposited with the State Treasurer pursuant to G.S. 147‑77and G.S. 147‑69.1.
(2) Moneys receivedshall be deposited daily in the form and amounts received, except as otherwiseprovided by statute.
(3) Moneys due to aState agency by another governmental agency or by private persons shall bepromptly billed, collected and deposited.
(4) Unpaid billings dueto a State agency other than amounts owed by patients to the University ofNorth Carolina Health Care System shall be turned over to the Attorney Generalfor collection no more than 90 days after the due date of the billing, exceptthat a State agency need not turn over to the Attorney General unpaid billingsof less than five hundred dollars ($500.00), or (for institutions whereapplicable) amounts owed by all patients which are less than the federallyestablished deductible applicable to Part A of the Medicare program, andinstead may handle these unpaid bills pursuant to agency debt collectionprocedures.
(4a) The University ofNorth Carolina Health Care System may turn over to the Attorney General forcollection accounts owed by patients.
(5) Moneys received inthe form of warrants drawn on the State Treasurer shall be deposited by theState agency directly with the State Treasurer and not through the bankingsystem, unless otherwise approved by the State Treasurer.
(6) State agencies shallaccept payment by electronic payment in accordance with G.S. 147‑86.22 tothe maximum extent possible consistent with sound business practices.
(f) Disbursement Requirements. For the disbursement of money, the statewide cash management plan shallprovide at a minimum that:
(1) Moneys depositedwith the State Treasurer remain on deposit with the State Treasurer until finaldisbursement to the ultimate payee.
(2) The order in whichappropriations and other available resources are expended shall be subject tothe provisions of Chapter 143C of the General Statutes regardless of whetherthe State agency disbursing or expending the moneys is subject to the StateBudget Act.
(3) Federal and otherreimbursements of expenditures paid from State funds shall be paid immediatelyto the source of the State funds.
(4) Billings to theState for goods received or services rendered shall be paid neither early norlate but on the discount date or the due date to the extent practicable.
(5) Disbursement cyclesfor each agency shall be established to the extent practicable so that theoverall efficiency of the warrant disbursement system is maximized whilemaintaining prompt payment of bills due.
(g) Interest Maximized. The interest earnings of the General Fund and Highway Fund shall be maximizedto the extent practicable. To this end:
(1) Interest earningsshall not be allocated to an account by the State Treasurer unless all of the moneysin the account are expressly eligible by law for receiving interestallocations.
(2) State officers andemployees who received moneys in trust or for investment shall be solelyresponsible for properly segregating such funds for investment in the mannerprescribed by law. The officer or employee charged with the responsibility forthese moneys shall be under a duty to segregate the funds in a timely manner.No investment income shall be allocated by the State Treasurer to trust orother investment accounts until properly segregated into investment accounts asprovided by law and the rules of the State Treasurer.
(h) New Technologies. The statewide cash management plan shall consider new technologies andprocedures whenever the technologies and procedures are economically beneficialto the State as a whole. Where the new technologies and procedures may beimplemented without additional legislation, the technologies and proceduresshall be implemented in the plan.
(i) Penalty. Awillful or continued failure of an employee paid from State funds or employedby a State agency to follow the statewide cash management plan is sufficientcause for immediate dismissal of the employee. (1985, c. 709, s. 1; 1985 (Reg. Sess., 1986), c. 1024,s. 26; 1987, c. 564, s. 32; c. 738, s. 59(a)(1); 1991, c. 95, s. 1; c. 542, s.15; 1999‑434, s. 4; 2006‑203, s. 121; 2007‑306, s. 3.)