Policies and
Procedures
Northwest Guilford Band Boosters, Inc. - Financial Policies and Procedures
Income/Receipts
Policy:
Raising funds in support
of the Northwest Band programs is one of the primary missions of the Booster
organization. Funds should be carefully tracked and secured to prevent loss
or theft. Whenever possible, the collection of receipts and handling of bank
deposits should be handled by two separate individuals. This policy is
intended to reduce errors and minimize risk of fraud.
Procedures:
For activities such as
product sales, the fundraiser chairperson or Ways and Means Director should
collect and record student sales and receipts before turning these in to the
Treasurer. Likewise, when funds are collected to pay for items such as
marching shoes (where the Band pays the invoice), the uniform chairperson or
other responsible individual should collect and maintain student payment
records, then turn them into the Treasurer.
The Treasurer will
re-count and record all receipts in the Deposit Receipts spreadsheet and
compare totals to the original records. He/she will deposit the funds in
Booster bank accounts, and record the deposit in Quicken. This procedure
allows for reconciliation of sales records to bank deposits and to the
account ledger maintained in Quicken.
For special events
utilizing cash boxes for collection (such as Fall Festival or Battle of the
Bands), a second person should work together with the Treasurer (or his/her
delegate) to count and re-count cash receipts, and assist in preparation of
bank deposits.
Audit and review of accounting records
Policy:
In accordance with
Article IX, Section 8 of the Booster By-Laws, an audit of the records
maintained by the Treasurer should be conducted at the close of business
each year. The account ledger maintained by the Treasurer shall be open to
inspection by any member and by any others with legitimate interests in the
information therein
Expenses/Disbursements
Policy:
The Boosters and its Board, committees and members should be good stewards
of Booster funds and spend them in accordance with the By-Laws of the
organization. Whenever possible, expenses should be planned and budgeted.
Expenses relating to fundraising should be reasonable and cost-effective to
achieve the targeted income goals for the event or sale. The Boosters will
reimburse goods or services purchased for use at a fund raising event,
budgeted expense items or competitions. Personal expenses will not be
reimbursed (example: gas for personal car use while shopping for goods or
services- these are donated miles and may be deducted on your income tax
return).
It is expected that
occasional unplanned needs may result in unbudgeted expenses. When
appropriate, spending should be adjusted as necessary to achieve a balanced
budget and provide for the next fiscal year’s beginning capital at year-end.
Some expenses may require prior approval as noted below.
All checks require two
signatures from authorized officers of the organization. A payee cannot be a
signer. Co-signers should be members of different households (e.g., not
spouses or siblings).
Procedures:
Approvals
– Budgeted expenses under $500 and
unbudgeted expenses under $200 do not require pre-approval. When approvals
are required, they must be from members of different households.
For budgeted expenses
exceeding $500, informal pre-approval (verbal or email) from the treasurer,
budget director or president should be obtained to help avoid cash flow
issues or budget overages. Budget overages in excess of $500 should have
pre-approval from a majority of the Board.
All unbudgeted expenses
in excess of $200 require formal pre-approval (by email or signed check
request form) from the Budget Director or President and one other Board
member. The Ways and Means Director should approve fundraising related
expenses.
Invoices/Check
Requests - Invoices from vendors
should be submitted to the Treasurer on receipt, to help ensure timely
payment of Booster obligations. The invoice should be accompanied by a
completed Check/Expense reimbursement Request Form or clearly marked with
the expense category or fundraiser to which it should be charged.
Expense Reimbursement - When
a Booster member has incurred out of pocket expenses relating to Booster or
Band activities, he/she should complete the upper half of the Check/Expense
reimbursement Request Form (available for download at the band website,
nwvikingband.org), attach supporting documentation including detailed
receipts, and submit these to the Treasurer for payment. Requests will be
processed weekly.
Travel Expenses – Overnight
travel for Band or Booster events will be reimbursed only on a limited
basis. It is anticipated these costs will be related to those who drive the
band truck or pull the trailer. The Boosters will reimburse reasonable meals
and lodging costs. Receipts must be turned in for reimbursement.
Cash Advances - Requests
exceeding $200 should be pre-approved by the Treasurer and at least one
another Board Member. Complete the top ½ of check request form. Receipts and
any unused funds should be turned in to the Treasurer as soon as possible
after the associated need or event is over.