"Councils" refers to the administrative bodies of GGC, at the provincial, area or district levels (see Bylaws Glossary).

Transcription

1 Date of Revision Approval: June 5, FINANCIAL STEWARDSHIP Purpose: Governance Policy FINANCIAL STEWARDSHIP Page 1 of 3 The purpose of this policy is to facilitate the Board of Directors (Board) in carrying out its duty to oversee the responsible management of all Girl Guides of Canada Guides du Canada (GGC) monies and other assets, and to see that the financial planning and expenditure of all monies are consistent with the objects of GGC. Definitions: "Councils" refers to the administrative bodies of GGC, at the provincial, area or district levels (see Bylaws Glossary). "Indebtedness" refers to any loans or contract liability of Councils (see Bylaw ). "Internally restricted net assets" are monies that have been put aside for a particular purpose and must be used for that purpose only, unless there is a decision to the contrary. "Misappropriation" means any intentional, illegal use of the property or funds of GGC for one's own use or other unauthorized purpose. Parent Council refers to the council that is next in the hierarchy of the organizational structure of GGC within the province to which a council reports. Strategic Priorities refers to the priorities as determined by the Board from time to time as part of a national strategic plan. "Unrestricted net assets" are monies that are not restricted for any particular purpose. Policy: Generally 1. Pursuant to the Act of Incorporation, as amended, and Bylaw 4.0, all financial, property and other assets are owned by the Girl Guides of Canada Guides du Canada (GGC) and are the responsibility of the Board of Directors. All funds are to be used solely for the objects of GGC as contained in the Promise and Law, the Mission, Strategic Priorities and Goals. 2. The Board is accountable for the fiscal viability of GGC and thereby has the rights and obligations to direct, control and manage all GGC assets. 3. Provincial Councils administer the business and programming of GGC within the provinces in accordance with the policies and procedures of GGC (Bylaw 5.0) and bear certain responsibilities within their jurisdiction with respect to financial management and are accountable in that regard to the Board (Bylaw 5.2). 4. Staff, Members and volunteers charged with duties involving the management of financial or other assets (including real property) must have a valid police record check and possess the appropriate skills and experience commensurate with the specific duties and responsibilities assigned. 5. GGC shall be in compliance with all relevant laws in Canada at all times.

2 Date of Revision Approval: June 5, 2009 Governance Policy FINANCIAL STEWARDSHIP Page 2 of 3 Budgets and Reports 6. Every Council shall prepare an annual budget in consideration of an operation plan that is aligned with the Strategic Priorities of GGC and submit it to its parent council for approval and monitoring by October 31 st. Provincial Councils shall submit their annual budget to the Board for approval and monitoring by the same date. 7. Unrestricted and internally restricted net assets should be no less than the equivalent of 3 months of a Council s annual operating expenses and no more than the equivalent of 12 months of its annual operating expenses. 8. All budgets should be balanced. In the event that a Provincial Council must budget for a deficit larger than 10% of its unrestricted net assets, it cannot do so without first obtaining the approval of the Board. 9. All Councils are responsible for preparing and submitting semi-annual (June 30 th ) interim financial statements with an accompanying analysis report to its parent council within 45 days of June 30th. Provincial Councils shall submit their June 30 th interim financial statements to the Board. 10. Pursuant to Bylaw 4.4, all Councils, except for the Provincial Councils, must have their annual financial statements reviewed by a financially competent person from the parent council, or appointed by the parent council, unless the Council is externally audited by a public accounting firm. A written report of the results of the review must be submitted to the Council and the parent council. Any recommendation or issues must be followed up immediately. 11. The Provincial Councils must have their annual financial statements audited by a public accounting firm and submitted to the Board. Borrowing and Indebtedness 12. The maximum indebtedness level set by the Board from time to time, pursuant to Bylaw 4.10, applies to all loans and contractual liabilities of all Councils within a province. Financial Misappropriation 13. There is zero tolerance for the misappropriation of GGC monies or other assets, and GGC reserves the right to restitution. 14. Anyone who is alleged to have misappropriated monies or other assets of GGC shall be suspended pending an investigation, and until such time as they are terminated or reinstated to their position. 15. Any Member who is found to have engaged in financial misappropriation shall have her membership terminated by the Chief Commissioner. 16. Individuals and Councils are required to immediately report all cases of suspected financial misappropriation to the Provincial Commissioner or Chief Commissioner so that they may be dealt with on a timely and case-by-case basis.

3 Date of Revision Approval: June 5, 2009 Governance Policy FINANCIAL STEWARDSHIP Page 3 of The Board reserves the right to report any case of financial misappropriation to the appropriate authorities for further action. Effective Date: The policy will be effective January 1, 2009, with the exception that the policy be effective immediately for Provincial Councils.

4 SUSPICION OF FINANCIAL MISCONDUCT/MISAPPROPRIATION GUIDELINES These procedures accompany Policy Financial Stewardship Page 1 of 3 As stated in Governance Policy , Financial Stewardship: There is zero tolerance for the misappropriation of GGC monies or other assets, and GGC reserves the right to restitution. Anyone who is alleged to have misappropriated monies or other assets of GGC shall be suspended pending an investigation, and until such time as they are terminated or reinstated to their position. Any member who is found to have engaged in financial misappropriation shall have her membership terminated by the Chief Commissioner. Individuals and Councils are required to immediately report all cases of suspected financial misappropriation to the Provincial Commissioner or Chief Commissioner so that they may be dealt with on a timely and case-by-case basis. The Board reserves the right to report any case of financial misappropriation to the appropriate authorities for further action. Definitions: Financial Misconduct: The failure to submit GGC monies to meet responsibilities and obligations to GGC in a timely manner. Financial Misappropriation: Any personal or other unauthorized use of GGC s property or funds. Guidelines To achieve compliance and ensure timely submission of payments, financial records and assets, the following will act as a guide for responsible management of all GGC monies and other assets. 1. If there is any allegation or suspicion that GGC monies or financial records/assets (e.g., cheque books, pass books, bank cards, PayPal transactions, etc.) have not been accounted for: Prior to any collection action, approach the suspected individual discretely, express concerns, and decide on a course of action. Open up a file and document all correspondence and records (including notes from any meetings or telephone calls) that concern the issue. Documentation should include, but not be limited to: the suspected individual s name; the names and contact information of others involved; the date of each communication; the deadline date set to receive payment(s), financial records, etc.; the amount of money owed; what the money is for; the amount of any payments received and the date received; and any record of response or lack of response at the deadline date. Refer to Adult Member Support Procedures Module 3 for information on managing conduct issues with adult members. The following scenarios may apply: a. This is an oversight and can be corrected quickly: Set the time for the suspected individual to hand over monies, records or assets within one week. If the amount in question is less than $1,000, you have the option of creating a written agreement with the suspected individual including payback terms, and indicating next steps, Suspicion of Financial Misconduct/Misappropriation Guidelines: March, 2013

5 SUSPICION OF FINANCIAL MISCONDUCT/MISAPPROPRIATION GUIDELINES These procedures accompany Policy Financial Stewardship Page 2 of 3 which could include report to next level of Guiding, initiation of legal action, termination of membership. If it is felt to be warranted, or if the individual cannot be contacted, you may go to the police. If the amount is over $1,000, do not create a written agreement. In both cases, state clearly that the incident will be reported to the next level of Guiding (i.e. Commissioner). Check with the next level Commissioner to see if there is already a file started for the suspected individual due to repetition of this oversight, and inform the next level of Guiding immediately (i.e. Commissioner) of the incident. If this becomes a situation where the individual does not respond or denies the allegation, contact the next level of Guiding who will consult with the Provincial Commissioner to begin an investigation. b. This is not the first time the suspected individual has not handed in monies, records or assets: Contact the Area Commissioner or Provincial Commissioner immediately. The Area Commissioner or Provincial Commissioner will remove the suspected individual from any appointment/activity requiring her to be responsible for money/records/assets in accordance with any previously set deadline. c. The monies are not being paid back/handed in: 2. Investigation: Advise the Provincial Commissioner. The Provincial Commissioner will begin an investigation. The PC will notify the Deputy Chief Commissioner-Provincial to discuss next steps. Anyone who is alleged to have misappropriated monies or other assets of GGC shall be suspended pending an investigation, and until such time as they are terminated or reinstated to their position (Policy #14). Please see Adult Member Support Procedures Module 3 Investigative Suspension of Appointment(s). All records pertaining to the situation, including correspondence will be kept in the individual s file and ed or faxed to the Provincial Commissioner. The Commissioner, with the guidance of the Provincial Commissioner, will begin to gather information to support or discount the allegation/suspicion. The Provincial Commissioner will copy all of the information to the Deputy Chief Commissioner- Provincial and to the National Office finmis@girlguides.ca. The investigation must be completed within one week of the missed repayment deadline. 3. In the event that the investigation supports the allegation/suspicion: GGC has zero tolerance for the misappropriation of GGC monies or other assets and GGC reserves the right to restitution (Policy #13). A registered letter will be sent to the suspected individual indicating that if full payment is not made within two weeks, that legal authorities will be contacted and criminal charges may be laid. Suspicion of Financial Misconduct/Misappropriation Guidelines: March, 2013

6 SUSPICION OF FINANCIAL MISCONDUCT/MISAPPROPRIATION GUIDELINES These procedures accompany Policy Financial Stewardship Page 3 of 3 If payment is not received by the deadline, the Commissioner or Provincial Commissioner will contact the appropriate legal authorities. Any Member who is found to have engaged in financial misappropriation shall have her membership terminated by the Chief Commissioner (Policy #15). Provincial Commissioner will report to the Chief Commissioner via the Deputy Chief Commissioner Provincial. The Provincial Commissioner will determine whether further legal action or collection action will be followed. Councils will need to determine a procedure to handle any money owed to external creditors. Councils may wish to pay creditors in the interest of protecting the reputation of GGC. Closing of bank accounts (also in the event that a unit closes with monies still sitting in a bank account): When a unit is closing, it is the next level Commissioner s responsibility to ensure that all monies are handed over to the next level of Guiding (i.e. Area or Province). Resources Please review the Financial Stewardship Policy (Policy ) found in the Governance Manual in Member Zone. If you are not sure how to proceed or have any questions, contact finmis@girlguides.ca. Suspicion of Financial Misconduct/Misappropriation Guidelines: March, 2013