Financial Committee

Approved: 2019-08-27

Last updated: 2019-08-27

Purpose

The Financial Committee exists to:

  • Verify correct payments to Association Vendors
  • Identify the best investment vehicle for non-liquid Association funds (i.e CDs, Money Market, Mutual Funds, etc.)
  • Use estimates, provided by the Maintenance Committee, to establish the correct Reserves for Replacements funding.
  • Prepare and present a proposed Annual Budget for vote by the board at annual meeting.
  • Provide consistent oversight of approved expenditures in accordance with budget on behalf of board.
  • Facilitate the annual Audit of Budget Expenditures and ensuing report to the Board of Directors.

Commitment of Committee Members

The financial health of our community is of paramount importance. It is our duty to ensure that we are being good stewards of the funds entrusted to us by the members.

Proposed Procedures for the Financial Committee

Establish the relevant dates for, and provide those dates to other committees for the purposes of requesting proposals from vendors (RFP):

  • Insurance payments
  • Contract renewals
  • CD maturation
  • On-site vendor (lawn, pool, etc.) contract begin and end

Ensure vendor contracts, insurance renewals and other expenses are within acceptable parameters to the budget.

Duties:

  • Committee Chair or Board Member with bank signatory privileges to meet with Treasurer twice monthly to sign checks.
  • Quarterly Review
    • Budget vs Actual
    • Bank Statements
    • Register
    • General Ledger by Account
    • Balance Sheet
  • Annually, work with the Association Treasurer to prepare the Annual Budget for presentation to the Board at the Annual Member Meeting.
  • Annually, perform an Audit of the Association Bank Accounts to ensure that we have justified expenses and sound bookkeeping.