I am looking for guidance (and/or audit procedures) for a bank in the local high school that our institution sponsors? It's ran by the students with a faculty advisor. Anyone else have similar situations??

We do. We audit them just like one of our other branches on a quarterly basis. We use the same workpapers even though they may not offer all of the services that traditional branches offer (travelers checks).

Are you saying that you have a branch office in the local high school ran by students? How's that work? I have never heard of this before.

Yes, they are out there. We have an institution near us that has one in the local high school. It's kind of a novel idea that is well received. They won't offer all the services a full-service branch offers, but most of the deposit ones.

Our bank was considering doing this as well, but we could not find much guidance for getting this started. We were told we would have to file for another branch in order to do this. What did your regulators make you do to have this "branch".

How do you actually audit the high school bank though? You couldn't really use the same guidelines as an actual bank?!?!?

Yes we do use the same work papers although I'll admit that a lot of the items aren't applicable (ex. they don't sell money orders and bank checks) and it's a real watered down audit. So you'd have to monitor cash, check security, ensure proper signage is there, those types of things.