Financial and Control Policies for the Ex.C.E.L. Learning Corporation
Philosophy
Financial management is necessary to operate all ELC activities effectively and efficiently and to remain accountable to stakeholders, including clients, partners, funders, employees, and the community. To accomplish this, ELC commits to providing accurate and complete financial data for the executive director and the board of directors’ internal and external use.
Authority
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 in advance of a meeting of the Board of Directors.
The Executive Director is responsible for the organization’s day-to-day financial management. The Board authorizes the Executive Director to hire and supervise staff and independent consultants, pay bills, receive funds, and maintain bank accounts.
The Executive Director is authorized to sign checks up to $5,000. Checks for amounts greater than $5,000 shall require the signature of the Treasurer or Board Chair.
The Executive Director is authorized to enter into contracts for activities approved by the Board as a part of budgets or plans. The Board of Directors must authorize any contracts outside of these parameters and with a financial value greater than $15,000.
ELC may award the bid to any provider and is not required to accept the lowest-cost proposal.
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.
Financial Transactions with Insiders
- No advances of funds to employees, officers, or directors are authorized. Direct and necessary expenses shall be reimbursed, including travel for meetings and other activities related to carrying out responsibilities.
- In no case shall ELC borrow funds from any employee, officer, or director of the organization without specific authorization from the Board of Directors.
Budget
In order to ensure that planned activities minimize the risk of financial jeopardy and are consistent with board-approved priorities, long-range organization goals, and specific five-year objectives, the Executive Director shall:
- Submit operating and capital budgets to the Finance Committee and/or Treasurer in time for reasonable approval by the Board before each fiscal year.
- Use responsible assumptions and projections as background, with the general goal of an unrestricted surplus.
Gift Acceptance
ELC will accept stock or other negotiable instruments as a vehicle for donors to transfer assets to the organization. Transfer and recording the value of the asset shall be done consistently and in compliance with accounting standards. ELC shall accept contributions of goods or services other than cash related to its programs and operations. Any other contributions of non-cash items must be reviewed and approved by the Board of Directors before acceptance. For more detailed information, please see the Gift Acceptance Policy and the Conflict of Interest Policy.
Asset Protection
To ensure that the assets of ELC are adequately protected and maintained, the Executive Director shall:
- Insure against theft and casualty losses to the organization and against liability losses to Board members, staff, or the organization itself to levels indicated in consultation with suitable professional resources.
- Plan and carry out suitable protection and maintenance of property, buildings, 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.
This policy was approved by the board of directors on March 3, 2020. The board annually reviews the Financial and Control policies for compliance.
Approved: March 3, 2020