N.Y. General Municipal Law § 128-a: Petty cash fund

§ 128-a. Petty cash fund. 1. The board of managers of a public

general hospital may, by resolution, establish a revolving petty cash

fund for any officer in such amount as the board may determine. Any such

petty cash fund shall continue in existence from year to year until

abolished by the board of managers.

2. Expenditures from the petty cash fund may be made only for payment,

in advance of audit, of properly itemized and verified or certified

claims for materials, supplies or services, other than employment,

furnished to the hospital for the conduct of its affairs and upon terms

calling for payment to the vendor upon the delivery of any such

materials or supplies or the rendering of any such services; provided,

however, that moneys in such fund also may be used for the purpose of

making change when the same is required in the performance of official

duties. At the time of any payment from such fund, the officer for whom

the fund was established shall require delivery to him of a claim in

form sufficient for audit as required by law. A list of all expenditures

made from any such petty cash fund, together with the claims supporting

such expenditures, shall be presented periodically to the board of

managers for audit. The board of managers shall direct the treasurer to

reimburse such petty cash fund from the appropriate budgetary item or

items, in an amount equal to the total of such claims which it shall so

audit and allow. Any claim or portion thereof which the board shall

refuse to allow shall be the personal liability of the particular

officer for whom such petty cash fund was established, who shall

promptly reimburse the petty cash fund in the amount disallowed. If

reimbursement has not been made by the time of the first payment of

salary to such officer following the disallowance, the amounts

disallowed shall be withheld from salary payment and, if necessary,

subsequent salary payments, and paid into the petty cash fund until the

same has been fully reimbursed.