COMMUNITY LITERACY OF ONTARIO

Financial Policies and Procedures

11. Policy – Financial Accountability – Board of Directors

The Board of Directors is responsible for ensuring the overall financial stability of Community Literacy in Ontario.

Procedures

• The Board of Directors will establish a budgeting process and financial reporting system for CLO.
• The Board of Directors will ensure that the financial policies and procedures are established and adhered to.
• The Board of Directors will approve all budgets (annual operating and special projects).
• The Board of Directors will monitor and approve expenditures.
• The Board of Directors will review revenue and expenses on a regular basis and compare them with the approved budget.
• The Board of Directors is responsible for ensuring that the physical and financial assets of the organization are properly managed.
• The Board of Directors will approve salary guidelines and compensation policy for all staff. Budgetary constraints will be given due consideration in this decision.
• The Board of Directors will not allow any one individual to have complete authority over a financial transaction.
• The Board of Directors will not cause or allow CLO to incur indebtedness outside of the provisions stated in the by-laws.

12. Policy – Financial Accountability - Treasurer

Community Literacy of Ontario will appoint a Treasurer to assist the Board of Directors in their function of financial governance. A Finance Committee may assist the Treasurer.

• The Treasurer and/or Finance Committee will meet on a regular basis as specified by the Board of Directors.
• The Executive Director or his/her designate shall attend all meetings of the Finance Committee and/or Treasurer as a resource.
• The annual work plan of the Treasurer and/or Finance Committee will include the following:
  • review of financial policies and procedures
  • review of annual operating budget
  • monthly review of the financial statements
  • review of financial reporting process