N.Y. VIL Law § 5-526

§ 5-526 Petty cash account. l. The board of trustees may, by\nresolution, establish a revolving petty cash account for any\nadministrative unit or officer in such amount as is deemed necessary.\nAny such petty cash account shall continue in existence from year to\nyear until abolished by like action.\n 2. Expenditures from a petty cash account may be made only for\npayment, in advance of audit and upon receipt of properly itemized bills\nfor materials, supplies or services furnished to the village for the\nconduct of its affairs and upon terms calling for the payment of cash to\nthe vendor upon the delivery of any such materials or supplies or the\nrendering of any such services. Any such bill in an amount of more than\nfive dollars shall also be certified or verified.\n 3. A list of all expenditures made from such petty cash account,\ntogether with the bills supporting such expenditures, shall be presented\nperiodically to the auditing board or village auditor for audit.\n 4. The auditing board or auditor, as the case may be, shall direct the\nvillage treasurer to reimburse such petty cash account from the\nappropriate budgetary item or items, in an amount equal to the total of\nsuch bills which shall be so audited and allowed.\n 5. Any of such bills or any portion of any such bills as shall be\ndisallowed upon audit shall be the personal liability of the officer\nresponsible for the use of the petty cash account from which payment on\naccount thereof was made, and such officer shall promptly reimburse such\npetty cash account in the amount of such disallowances. If such\nreimbursement has not been made by the time of the first payment of\nsalary to such officer after the action of the auditing board or village\nauditor in disallowing an amount so expended, such amount shall be\nwithheld from such salary payment and, if necessary, subsequent salary\npayments, and paid into such petty cash account until an amount equal to\nthe amount so disallowed has been repaid to the petty cash account. Any\nbond or undertaking filed by any such officer shall be available to the\nvillage for recovery of any losses incurred by reasons of the operation\nof any such petty cash account.\n