Short Term Operating Advance (STOA)

note: This is a revision to current STOA policy and procedures which includes Financial Dean (or dean equivalent) authorization.

A Short-Term Operating Advance (STOA) account is generally set up to accommodate short (six months or less) projects carried out by Harvard personnel where a petty cash fund is not appropriate.

Risk

Lack of appropriate authorization and monitoring procedures for STOA.

Policy:

· All STOA requests must be discussed with and authorized by your tub's Financial Dean (or equivalent) prior to any communication with or processing by central OFS.

Procedures:

Ø STOA are funded by checks made payable to the account manager.

Ø STOA authorizations always contain a project termination and settlement expense coding.

Ø Local units must maintain original receipts to support expenditures.

note: Unlike LTOA, an activity code is not set up in the GL for STOA

Basic Responsibilities include:

Tub

· Authorizes STOA, assigns a termination date, assigns the responsible account manager

· Generates Web Voucher

· Reconciles the advance

· Maintains original receipts

· Returns unused funds to Cash Receipts

· Settles advance

Central Travel Office

· Approves for processing STOA Web Voucher

· Charges Tub account for advances not settled by termination date

Central Cash Receipts

· Accepts unused funds from Tubs

Central Office of Sponsored Research

· Reviews expenditures related to sponsored activity

See the VPF-web Forms area to obtain a Short Term Operating Advance Request form.