Budget

Budget Procedures

I. Budget Structure

The overall budget will be consolidated from program budgets. Each program budget will be broken down in accordance with the chart of accounts. Program budgets will include Regular Programs (Program, Professional Development, Communications/Publications, Membership, Awards, Secretarial (includes Archiving)) and Ad-Hoc Programs (such as the 50th Gala). New program budgets (regular or ad-hoc) can be added through approval from the Executive Council (EC). The balance sheet will include the invested assets, the liabilities (committed funds not yet disbursed), the retained earnings to date, and the level of a reserve based on the budget for Regular Programs

II. Basic Principles

A. For each program, a person such as an officer or committee chair will be designated (“person in charge”), who is responsible for proposing the program budget, staying within the allocated amount, providing information and updates to the EC, and asking the EC for increases as needed at any EC meeting or intersessionally online in the EC forum.

B. Once the budget is adopted,

1. Any increases in expenses need majority approval of the EC.

2. Payments do not need EC approval as long as the person in charge stays within the allocated amount.

3. In cases where comparison shopping is appropriate, the person in charge should follow the procedures for the requisition form.

C. Each program may include a contingency amount of 10% of the program’s total expenditures.

D. The budget will be completely reviewed at mid-year.

E. As a whole, DC ACM should strive to balance its income and expenses and present a balanced budget every year. However, in view of the goal of building chapter membership through expanding activities, and keeping in mind our current level of reserves, we may need to allow a deficit budget in the near term. Therefore no requirement is made at this time to balance the budget. This principle should be reviewed every year to adjust to the circumstances.

F. The reserve should be between 50% and 100% of the operating budget (Regular Programs). The general purpose of the reserve is to compensate for years in which income may be lower than expected.

G. Non-budgeted funds: If volunteers are willing to undertake new projects, and these projects are approved by the EC, funds in excess of the reserve may be tapped. The Treasurer also has discretion to invest non-budgeted funds in insured accounts.

H. Electronic paperwork: Where possible, internal forms should be submitted electronically and stored electronically. Emails can be accepted as electronic signatures for approvals.

III. Method for Disbursement of Funds

A. Budget Request Form: Only DC ACM members in good standing may submit this form, which will be made available on the website. The form for regular programs should be given to the Treasurer at the beginning of the fiscal year and updated as necessary by the person in charge. For ad hoc programs, the form may be submitted in a timely manner for the relevant program. If it is a new project, the member must also seek the EC’s approval by submitting a detailed proposal and rationale. A new project may be proposed at any time during the year.

B. Requisition Form

1. For expenses equal to or less than $100, a person in charge does not need to submit this form in advance of the charges being incurred.

2. For expenses estimated to be greater than $100, the form should be approved in advance as per the guidelines below.

a). If equal to or less than $300, two signatures (person in charge and one of the following: the Chair, Treasurer, or other elected officer) are required.

b). If greater than $300, two signatures (person in charge and one of the following: the Chair, Treasurer, or other elected officer) plus a description of the comparison of price and quality among multiple vendors if applicable.

3. This form will be made available on the DC ACM website.

4. Electronic approvals (i.e., via email) will be recorded on the EC website.

C. Reimbursement/Payment Request Form

1. For each expense incurred, except honorariums, this form must be accompanied by a receipt.

2. Scanned and faxed receipts are acceptable.

3. For expenses incurred above $100, the form must note the requisition number (provided by the Treasurer after approval).

4. The person in charge must complete and sign the form.

5. For reimbursement and/or payment to parties other than the person in charge the name and address of the payee must be indicated on the form.

6. For payments of honorariums:

a) If the cumulative amount paid in one calendar year to a single recipient equals or exceeds the current IRS filing threshold ($600 as of 2008), then a form W-9 must be on file with the treasurer before a check will be issued.

b) If an honorarium for a single event exceeds the current National ACM threshold ($600 as of 2008), then National ACM approval must be obtained.

7. Reimbursement to speakers for use of privately owned automobiles for travel to and from the location of the lecture or seminar will be calculated based on the current IRS mileage rate.

8. This form will be made available on the DC ACM website.

D. Check Card Usage Report

1. For all expenses incurred, this form must be accompanied by a receipt.

2. Scanned and faxed receipts are acceptable.

3. For expenses incurred above $100, the form must note the requisition number (provided by the Treasurer after approval).

4. Only the Chair, Treasurer, and any other Executive Council member approved by two-thirds of the Executive Council will have check cards issued in their names, but the check card can be used for transactions (including online payments) in any program.

5. This form will be made available on the EC website.

IV. Reporting Requirements

A. At EC Meetings, the Treasurer will provide the current balance sheet.

B. The detailed ledger, financial statements, and the budget status is available to any EC member either via the website or from the Treasurer upon request.

C. At the annual business meeting, the Treasurer will provide a summary of expenses and revenues for each program. This will also be posted on the website.

D. At the end of the fiscal year, the auditor will be given the financial statements (balance sheet, income and expense statements) ledger and the receipts for review. The auditor will provide certification by the end of August, before the chapter submits its annual report to the ACM Headquarters.

E. Financial records will be kept for seven years. The Treasurer will turn over the previous fiscal year’s records to the Secretary for the archives after the audit.

V. Other

A. The Treasurer and the Chair will be bonded annually and the cost will be borne by the chapter.