Introduction
This finance policy aims to provide 0n guidance on financial policy procedure, bank account, signatories, annual budget, and financial reporting, authorization, and payment/ The purpose of this financial management policy in the operation of all ASDEPCO activities is to fulfill the organization’s mission in the most effective and efficient manner and remain accountable to stakeholders. In other to accomplish this, ASDEPCO commits to providing accurate and complete financial data for internal and external use by the Executive Director and the Board of Directors.
The Board of Directors is ultimately responsible for the financial management of all activities. The treasurer is authorized to act on the board’s behalf on financial matters when action is required.
- The Executive Director is responsible for the day-to-day financial management of the organization. The board authorizes the Executive Director to hire and supervise staff and independent consultants, pay bills, receive funds, and maintain a bank account
- The Executives Director is authorized to sign checks up to 500,000 frs. checks for amounts greater than 500,000 shall require the signature of the treasurer or Board chair
- The Executive Director is authorized to manage expenses within the parameters of the approved budget, reporting to the finance committee on the variances and the reason for these variance
- The Executive Director is responsible for the management of funds that have been approved by the Board as a part of the plan and budget
- The Board of Directors must approve any use of the designated cash reserve fund.
The Executive Director shall
- Report the financial results of ASDEPCO operation according to the schedule established by the finance committee quarterly
- Pay all obligations and file required reports in a timely manner
- Account for the donor-restricted and board-designated funds separated from general operating funds, and clearly define the restrictions applicable to these funds
- Record fixed assets with purchase prices greater than 100,000frs as capital assets in accounting records
The Board of Directors shall
- Review financial reports at each board meeting
- Provide adequate training to members to enable each member to fulfill his or her financial oversight role.
Direct and necessary expenses including travel for meetings and other activities related to carrying out responsibility shall be reimbursed. In no case shall the Executive Director borrow funds to the staff without authorization from the Board of Directors
Budget
Budget
In other to ensure that planned activities minimize the risk of financial jeopardy and are consistent with board-approved priorities, the Executive Director shall
- Submit operation and capital budget to the finance committee in time for reasonable approval by the Board prior to each fiscal year
- Use responsible assumption and projections as background with the general goal of an unrestricted surplus
Asset Protection
In order to ensure that the assets of ASDEPCO are adequately protected and maintained the Executive Director shall
- Insure against theft and casual losses to the organization and against liability losses to Board members, staff, or the organization.
- Plan and carry suitable protection and maintenance of property, building, and equipment
- Avoid actions that would expose the organization, its board, or its staff to claims of liability
- Protect intellectual property, information, and files from unauthorized access, tampering, loss, or significant damage
- Receive process and disburse funds under controls that are sufficient to maintain basic segregation of duties to protect bank accounts, income receipts and payments.