Financial Management and Controls reviews
From Freegle Wiki
The document Financial Management and Controls, requires regular reviews. This page details amendments suggested and adopted as part of those reviews.
Amendments proposed for adoption February 2012
Message posted to Central advising amendments [1] 2nd February 2012. No unresolved objections were raised so the policy was duly amended.
Procedures
existing:
1.1 For financial purposes only, a Chairman, Secretary, Treasurer and Deputy Treasurer will be appointed from within the Reps. These role holders will be signatories on a bank account. The other Reps will be responsible for authorising expenditure, and hold the signatories to account.
amend to:
1.1 For financial purposes only, a Chairman, Treasurer and two other Signatories will be appointed from within the Reps. These role holders will be signatories on a bank account. The other Reps will be responsible for authorising expenditure, and hold the signatories to account.
existing:
1.3 The accounts will be kept on a spreadsheet which will be open to edit by the Treasurer and the Deputy Treasurer, and open to view by any member of Central. A link to view the spreadsheet will be put in the links section on Central and/or the Freegle Wiki.
amend to:
1.3 The accounts will be kept electronically on a spreadsheet, which will be viewable by anyone with the link available in the links section on Central and the Freegle Wiki.
2. Bank
existing:
2.2 Electronic payments will not be used unless the process can be proven to have the same level of control as two signatures on a cheque. If the controls are adequate, the procedures will be updated, and the proposed changes published on Central.
amend to:
2.2 Electronic payments may be used. The accounts will record which signatories have authorised each payment.
4. Payments
existing:
4.5 Every payment made by Freegle will be supported by an original invoice or receipt (never against a supplier‘s statement or final demand). Each person who signs the cheque should ensure that the Freegle PRF has been fully completed, and that original documentation has been provided.
amend to:
4.5 Every payment made by Freegle will be supported by an original invoice or receipt, either as a hard copy or electronic documentation. Payments will not be made against a supplier’s statement or final demand. Each person who signs the cheque should ensure that the Freegle PRF has been fully completed, and that original documentation has been provided.
existing:
4.6 The only exceptions to cheques not being supported by an original invoice or receipt would be for items such as advanced booking fees for a future course, donations to charity, etc., or in the issue of floats, where a signed request form by the float holder will be used.
amend to:
4.6 The only exceptions to cheques not being supported by an original invoice or receipt would be for items such as advanced booking fees for a future course, donations to charity, etc., or when floats are issued, where a signed request form by the float holder will be used, or for third party payments.
add new:
4.7 From time to time opportunities arise for Volunteers to attend events and meetings to represent Freegle nationally. Reasonable travel expenses for the Volunteer may be reimbursable if there are sufficient funds and attendance and costs have been agreed in advance with the Reps.
renumber rest of section 4 to take account of new 4.7
New section:
6. Third Party Receipts and Payments In order to facilitate grants offered to affiliated groups that have no bank account or individuals doing specific work for Freegle centrally, the Freegle bank account can be used to enable payments under the following conditions.
6.1 The grant making body must write directly to the Reps or Treasurer (who will forward to Reps)to explain
- what and who the payment is for
- whether there are any conditions attached to the payment e.g. receipts need to be provided
- whether any/all of the funding might need to be paid back if certain conditions are not met.
6.2 If conditions attached to such grants are too onerous, the Reps reserve the right to not offer a third party service.
6.3 Any individual receiving funds in this arrangement must be a Freegle Volunteer. This status should be validated by at least 2 other Volunteers not on the same affiliated local group.
6.4 . Payment must only be for funding Freegle local or central activities
6.5 . The payment to the individual will not be paid until the above criteria are satisfied and in accordance with section 4 Payments of this document.
6.6 . All such arrangements will be clearly recorded in the accounts.
6.7 Payments will not be accepted if there is any concern as to the source so that there can be no risk of money laundering legislation being breached.
all sections following new section 6 renumbered
7. Accounts and Paperwork
existing:
6.1 The accounts spreadsheet will be updated at least weekly.
amend to:
7.1 The accounts spreadsheet will be updated at least weekly. Access to edit the accounts will only be by the Treasurer ID. [2].
new section:
7.3 The accounts will record, for each payment made, the message number of the Reps poll result which authorised the payment, and the name of the second authoriser - the submitter usually being the Treasurer unless there are special circumstances. There will also be a note of the beneficiaries set upon the bank account to receive payments, and the message number of the Reps poll result which authorised them to be beneficiaries.
existing:
6.3 Access to edit the accounts will be by a password known only to the Treasurer and Deputy Treasurer. All members of Central will have access to view the accounts.
amend to:
7.4 Access to edit the accounts will only be by the Treasurer ID.
