SAU File: DKC

SAU #15
EXPENSE REIMBURSEMENTS

District personnel and officials who incur expenses in carrying out their authorized duties may be
reimbursed by the district upon submission of a properly filled out and approved voucher and such
supporting receipts as required by the administrator responsible for business affairs. Such
expenses may be approved and incurred in line with budgetary allocations for the specific type of
expense.

When business travel by personally owned vehicles has been authorized, mileage payment shall
be made at the rate currently provided by the Internal Revenue Service.

Travel outside New Hampshire for courses, conferences, and workshops must have the written
prior approval of the Superintendent.

Adopted: September 21, 2022

SAU File: DI

SAU #15
FISCAL ACCOUNTING AND REPORTING

The SAU #15 accounting system will be in conformance with the New Hampshire Financial
Accounting Handbook published by the State Department of Education. An adequate system of
encumbrance accounting will be maintained.

The School Boards shall receive financial reports and statements showing the financial condition of
their School District. These statements/reports shall be prepared on a scheduled basis during the
school year, two of which shall contain estimates to project cost for the full year including actual
encumbered expenses. The School Boards may ask for a statement or report at any time.

Adopted: September 21, 2022

SAU File: DG

SAU #15
DEPOSITORY OF FUNDS

Supporting documentation of all income payable to the SAU and all revenue received by the SAU
will be forwarded to the SAU Treasurer, and posted appropriately to the general ledger.

The Treasurer and Superintendent will recommend and request SAU Board approval when other
depositories are needed.

Adopted: September 21, 2022

SAU File: DKA

SAU #15
PAYROLL PROCEDURES

All SAU salaries and supplements paid to regular staff members, substitutes, and part-time
personnel will be paid through the SAU office.

Proper payroll procedures are dependent on staff attendance accounting and on the signing-in and
signing-out of part-time and hourly workers. The necessary procedures for this will be established
by the Superintendent or designee and carried out by administrative personnel.

Compensation records kept by the SAU office will reflect an accurate history of the compensation
and related benefits accorded each SAU employee.

Pay Day Schedule

The SAU pays salaries on a regular schedule throughout the school year. There shall be no salary
advances.

Salary Deductions

Salary deductions are allowed. They are subject to the limitation of the accounting equipment.

All salary deductions, other than those regulated by federal or state laws, will be deducted only
upon written approval of the employee.

Legal References:
RSA 194:C:4,(II) (A), Superintendent Services, RSA 275:43, Payment of Wages; Hourly School
District Employees

Adopted: September 21, 2022

SAU File: DIH

SAU #15
FRAUD PREVENTION AND FISCAL MANAGEMENT

Authority

The Board expects all Board members, SAU employees, volunteers, consultants, vendors, contractors and other parties that maintain a relationship with the SAU to act with integrity, due diligence, and in accordance with law in their duties involving the SAU’s resources. The Board is entrusted with public funds, and no one connected with the SAU shall do anything to erode that trust.

Definitions

Fraud, financial improprieties, or irregularities include but are not limited to:

1. Forgery or unauthorized alteration of any document or account belonging to the SAU.

2. Forgery or unauthorized alteration of a check, bank draft, or any other financial document.

3. Misappropriation of funds, securities, supplies, or other assets.

4. Impropriety in handling money or reporting financial transactions.

5. Profiteering because of insider information of SAU information or activities.

6. Disclosure of confidential and/or proprietary information to outside parties.

7. Acceptance or seeking of anything of material value, other than items used in the normal course
of advertising, from contractors, vendors, or persons providing services to the SAU.

8. Destruction, removal, or inappropriate use of SAU records, furniture, fixtures, or equipment.

9. Failure to provide financial records to authorized state or local entities.

10. Failure to cooperate fully with any financial auditors, investigators or law enforcement.

11. Other dishonest or fraudulent acts involving SAU monies or resources.

Delegation of Responsibility

The Superintendent or designee shall be responsible to develop and implement internal controls designed to prevent and detect fraud, financial impropriety, or fiscal irregularities within the SAU, subject to review and approval by the Board.

The Superintendent shall be responsible for maintaining a sound system of internal controls that is
designed to identify potential risks, evaluate the nature and extent of those risks, and manage them
effectively.

SAU administrators are responsible to be alert to an indication of fraud, financial impropriety, or
irregularity within their areas of responsibility.

The Superintendent shall recommend to the Board for its approval completion of a forensic audit when it
is deemed necessary and beneficial to the SAU.

The Superintendent shall ensure the appropriate authorities are notified, pursuant to state law, when
cases of fraud, embezzlement, or theft have been identified.

Guidelines

Reporting
An employee who suspects fraud, impropriety, or irregularity shall immediately report his/her suspicions
to the Superintendent. If the report involves the Superintendent, the employee shall report his/her
suspicions to the Board Chair. Employees who bring forth a legitimate concern or suspicion about a
potential impropriety shall not be retaliated against. Those who do retaliate against such an employee
shall be subject to disciplinary action.

Investigation
The Superintendent shall have primary responsibility for conducting necessary investigations of reported
fraudulent activity.

Based on his/her judgment, the Superintendent shall coordinate investigative efforts with the SAU
auditor, insurance agent, external agencies, and law enforcement officials, if applicable.

If the Superintendent is involved in the complaint, the Board Chair is authorized to engage the SAU’s local legal counsel or alternate legal counsel to initiate an investigation of the complaint and coordinate the investigative efforts with individuals and agencies s/he deems appropriate.

Records shall be maintained for use in an investigation.

Individuals found to have altered or destroyed records shall be subject to disciplinary action. If an
investigation substantiates the occurrence of a fraudulent activity, the Superintendent shall present a
report to the Board and appropriate personnel.

If the Superintendent has not previously notified law enforcement and/or a regulatory agency with
jurisdiction, the Board shall determine the final disposition of the matter, including whether the matter
will be referred to the appropriate law enforcement and/or regulatory agency for further investigation or
action.

Confidentiality
The Superintendent shall investigate reports of fraudulent activity in a manner that protects the
confidentiality of the individuals and facts. All employees involved in the investigation are required to
maintain confidentiality regarding all information about the matter during the investigation. Results of an
investigation shall not be disclosed to or discussed with anyone other than those individuals with a
legitimate right-to-know, until the results are made public.

Prevention
In order to prevent fraud, the Board directs that a system of internal controls be followed that include but
are not limited to the following:

• Segregation of Duties – Where possible, more than one (1) person will be involved in pieces
of financial transactions. No one (1) person shall be responsible for an entire financial
transaction.

• Payments – Payments shall be made only by checks. No cash transactions shall be
permitted.

• Bank Reconciliations – Bank statements and cancelled checks shall be reconciled by
individuals who are not authorized to sign checks, nor involved in check processing.

• Access to Checks – Physical and electronic access to SAU checks and accounts shall be
limited to those employees with designated business functions.

• Capital Assets – The business office shall maintain updated lists of SAU capital assets.

• Training – Administrators shall be responsible for ensuring that employees under their
supervision receive training regarding fraud prevention.

Adopted: September 21, 2022

SAU File: DIA

SAU #15 SAU BOARD
FUND BALANCE POLICY

1. In accordance with the governmental accounting standard, GASB Statement No. 54, the SAU Board
recognizes the following seven categories of fund balance for financial reporting purposes of SAU
funds:

a. Non-spendable Fund Balance – non-cash assets such as inventories or prepaid items.

b. Restricted Fund Balance – funds legally restricted for specific purposes, such as grant, food
service and expendable trust funds.

c. Committed Fund Balance – amounts that can only be used for specific purposes pursuant to a
formal vote of the SAU Board.

d. Assigned Fund Balance – amounts intended by the SAU Board for specific purposes. The
SAU Board can choose to delegate this authority to the Superintendent or Business
Administrator, depending on the situation. Items that would fall under this type of fund balance
could be encumbrances.

e. Unassigned Fund Balance – residual spendable fund balance after subtracting all of the above
amounts.

f. Restricted Funds – Restricted funds are monies set aside for a particular purpose as a result of
the designated giving. They are permanently restricted to that purpose and cannot be used for
other expenses of the nonprofit. Such as restricted fund balance for Food Service, or prepaid
items.

g. Unrestricted Funds – Unrestricted funds may be used for any legal purpose appropriate to the
organization. In line with unassigned fund balance, expenditures are made at the discretion of
the organization.

2. Committed Fund Balance. The SAU Board, commit fund balance by a formal vote prior to the fiscal
year-end for that fiscal year. Future modification or rescission of committed funds must likewise be
accomplished by a formal vote of the SAU Board prior to fiscal year-end.

3. Assigned Fund Balance. The SAU Board expressly delegates to the Superintendent, through the
Business Administrator, the authority under this policy to assign funds for particular purposes.

4. Spending Prioritizations:

a. When an expenditure is incurred that would qualify for payment with either restricted or
unrestricted funds, it will be paid from restricted funds.

b. When an expenditure is incurred that qualifies for payment from either of the three unrestricted
fund balance categories, it will be applied in the following order:

1) Committed, 2) Assigned, 3) Unassigned.

Adopted: June 8, 2016
Revised: September 21, 2022

SAU Policy: DFA

SAU #15
INVESTMENT

The SAU #15 Board authorizes the Hooksett School District Treasurer, who serves as the SAU #15
Treasurer, working in conjunction with the Superintendent and his/her designee and pursuant to
RSA 197:23-a, to invest the funds of the district subject to the following objectives and standards
of care:

OBJECTIVES

The three objectives, in priority order, of investment activities shall be safety, liquidity, and yield.

1. Safety of Principal is the foremost objective in this policy. Investments shall be
undertaken in a manner that seeks to ensure the preservation of capital by mitigating
credit and interest rate risk. This will be accomplished by limiting the type of the
investments and institutions to those stipulated by statute and fully covered by FDIC
insurance or collateral approved pursuant to applicable law.

2. Liquidity of the investment portfolio shall remain sufficient to meet all operating
requirements that may be reasonably anticipated.

3. Yield. The investment portfolio shall be designed with the objective of attaining a
market rate of return throughout budgetary and economic cycles, taking into account
the investment risk constraints and liquidity needs. Return on investment is of
secondary importance compared to the safety and liquidity objectives described above.

STANDARD OF CARE

1. Prudence: The standard of care to be used by the Hooksett School District Treasurer
and Superintendent or his/her designee involved in the investment process shall be
the “prudent person” standard and shall be applied in the context of managing an
overall portfolio. They are directed to use the (GFOA) Recommended Practices and
Policy Statements Related to Cash Management as a guide to the prudent investment
of public funds.

2. Ethics and Conflicts of Interest: The Hooksett School District Treasurer and
Superintendent, or his/her designee involved in the investment process, shall refrain
from personal business activity that could conflict with the proper execution and
management of the investment program or that could impair their ability to make
impartial decisions. Employees and Investment officials shall disclose any material
interests in financial institutions with which they conduct business. They shall further
disclose any personal financial/investment positions that could be related to the
performance of the investment portfolio. Employees and officials shall subordinate
their personal investment transactions to those of the School District, particularly with
regard to the timing of purchases and sales.

3. Internal Controls: All checks will be signed by the Hooksett Treasurer (electronic
signatures are acceptable), since the checks are signed electronically the Hooksett
Treasurer will be notified via email when payroll and accounts payable checks are ready to
be issued. The Hooksett Treasurer will reply with their approval to release the checks.

The Business Office staff will keep a running total of the cash in the checking account to
verify that there is enough money to cover the disbursements for the district.

The Hooksett Treasurer reconciles the checking account on a monthly basis. The Business
Office staff reconciles the cash account and ensures that the cash account and the Hooksett
Treasurer’s reconciliation agree.

The investment policy will be reviewed annually by the Board.

Adopted: November 16, 2016
Reviewed: February 14, 2018, September 16, 2020, February 17, 2021, February 16, 2022,
March 8, 2023, February 21, 2024
Revised: May 29, 2025
Reviewed: February 19, 2026

Legal References:
RSA 197:23-a, Treasurer’s Duties
RSA 383:22, Public Deposit Investment Pool