Financial Administration
Your Board is responsible for the financial health of
the organization. Therefore, the Board needs to ensure that:
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Sound financial operating policies and procedures for effective control of finances for your organization and housing portfolio are in place.
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An operating budget for each housing development in the portfolio is in place prior to the new fiscal year.
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The financial affairs and performance of your organization and housing portfolio are reviewed on a regular basis.
Financial policies provide the framework for making decisions
and defining the objectives you want to achieve, while procedures
explain how financial activities will occur.
Organizations will benefit from
having financial policies and procedures in
place to cover:
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spending authority
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rent or housing charge payments and arrears
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security deposits or membership shares
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financial record keeping
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marketing to minimize vacancy loss
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purchasing goods and services.
Two sample policies include:
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Purchase requisitions will be used to order goods and services, with specific amounts defined for verbal quotes, written quotes and public tenders.
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Spending authority limits will be defined for staff and Board members.
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