Financial Policies

HIRRA Financial Policy Statements

A.   General

1.    Authorized signatories: All cheques issued by the association shall be signed by two Executive members or any one of the Executive and either the Bookkeeper or the Administrator. The Bookkeeper can pay approved invoices and government remittances using internet banking but must present information on those payments to those attending the next cheque signing.

2.    Establishing Lines of Credit: All lines of credit applications are to be forwarded to the HIRRA treasurer for approval and must be signed by HIRRA’s authorized signatories and approved by the general assembly.

3.   Annual Year-end Review Engagement: The Year-end Review Engagement shall commence at the end of January each year and shall be completed with a report to the annual general meeting of the association held no later than April. The executive shall recommend a qualified accounting firm for approval by the members at the annual general meeting.

  1. HIRRA committees are required to inform the Executive immediately if the service area is forecast to be over budget and the associated reasons.
  2. The Executive treasurer, Administrator and/or Bookkeeper will be available to guide any committee, at their request, through the budgeting, five-year planning process for their service area.
  3. The Executive is responsible for the orientation and training of new Committee Chair-persons to ensure they are aware of and understand HIRRA policies and procedures. Committee Chair-persons are responsible for the orientation and training of new Committee members and managers.

B.  Committee Invoice Approval

It is the policy of the association that no invoices will be considered for payment unless approved for payment by an authorized Committee member or employee.

Procedure

  1. If a Committee wishes to change the person delegated to approve invoices, the Committee must pass a motion delegating invoice approval authority to one or more of its members or to one or more management employees. A record of that motion together with sample signature(s) must be given to the bookkeeper.
  2. Approved invoices will have been stamped with the approval stamp of the committee. The approval stamp will include space for signature of the authorized signer, the approval date and the budget line item to which the invoice is to be posted. Invoices may also be approved by e-mail sent to the Bookkeeper by an authorized signer and including their approval and budget line allocation.
  3. All expenditures approved for payment must have been budgeted. Prior to committing to a non-budgeted expenditure, committees or delegated management personnel will first take the appropriate steps to amend the budget. Approval for payment of such expenditure must include, in addition to the approval stamp, a copy of the approved amended budget.
  4. Budget changes must be approved by the HIRRA Executive. The Executive may, at its discretion, refer the proposed budget change to the general assembly and/or CVRD.

C. Core Services and Property Management Fund

    1. HIRRA’s Core administration and bookkeeping services, including the annual Year-end Review Engagement, bank charges, director’s liability insurance, Administrator and Bookkeeper wages, publicity, meetings, executive development, mediation, office supplies, phone, and office equipment are funded through a cost sharing system applied to all HIRRA operating revenue sources.
    2. After review by the Executive Committee and approval of the Core Services budget by the Assembly, the Bookkeeper shall calculate each Committee’s Core Services allocation based on their previous year’s actual expenses as a percentage of total HIRRA expenses and shall inform committees of their core service allocations during annual budget preparations in the fall of each year.
    3. Rental revenues from tenants on HIRRA-owned lands at 2115 Sollans Road will be deposited into the HIRRA Property Management Fund. Each year, at an advertised meeting of HIRRA members, the assembly shall be presented, for review and approval, a budget plan containing the estimated costs of rental property management at 2115 Sollans Road and the adjacent 10 acres leased by HIRRA. These expenses shall be paid from the HIRRA Property Management Fund. Any excess of income over expenditures shall be retained for the future rebuilding of the Community Hall and/or the Savoie Centre.

D. Grant Funding

In order to fund activities, committees may choose to seek grant funding. Prior to making applications for such funding, committees shall submit project proposals to the Executive for review. The Executive may bring the project proposal to the HIRRA assembly for approval. Executive members, signatories for the association, shall sign applications and agreements associated with any grant funding.

E. Management of Discretionary Funds

From time to time HIRRA committees raise funds through local community fundraising initiatives. It shall be the policy of HIRRA that these funds are subject to the usual financial controls.

F. Capital Acquisitions Management

  1. All capital acquisitions, whether new or replacement equipment or improvement projects must have written budget approval, both by the HIRRA assembly and by the funding agency, generally the Comox Valley Regional District.
  2. Equipment having a purchase price greater than $1,000 must be accompanied by three quotes and supporting documentation for the selected quote.
  3. Improvement projects, whether renovations or new construction, that are forecast to cost more than $5,000, must be offered through public notice in local publications, and more broadly advertised, if no local response.
  4. At the conclusion of the proposal evaluations, the Executive committee, after consultation and on recommendation of the management committee, will authorize contracts or work agreements detailing the work of the project. Regional District staff will be consulted throughout, for all capital projects within their purview.
  5. Project management will include a project specific budget. The Bookkeeper will track costs and, include those costs in the monthly budget comparison reports for review by the Executive, management committees and staff.

Revised: 2015, 2019

In the event of a conflict between the wording of the Policy on this page and the wording of the paper copy kept in the central HIRRA file, the wording of the paper copy shall prevail.