Treasurer

Cindy Hyatt Treasurer

Greetings Region X!

Welcome back everyone - I am excited to be serving Region X as Treasurer for my second year and I'm very enthusiastic about the progress we have made both as a region and on individual chapter levels. I would like to start out with a special thank you to each of the Region X Chapter Treasurers that worked so diligently to close-out their 2008-2009 fiscal years and complete their annual audits. Likewise, I want to extend a gracious welcome to the 2009-2010 treasurers and express my gratitude for the great turnout we had at the Spring 2009 CRC as we prepared for this ASHRAE year. (for those of you unable to attend CRC, please use the link below to view the presentation from our chapter finances workshop). So far, we have made great progress in filing our tax returns and maintaining our chapter finances. Great Job Team!

As we continue to move quickly through the 2009-2010 ASHRAE year, there are still many exciting events approaching for each of us within our chapters, our region, and at the Society level. Likewise, there are several responsibilities that each of us must handle as a part of or fiduciary duties. Please note the following dates as listed below, for both important events and guidelines/deadlines for us to remember. As always, please feel free to contact me at any time should you have any questions regarding materials included on this page (or anything else I may be able to assist with).

One item that we have not emphasized much in years past, but that I would like to call special attention to, is creating an annual budget. Ideally, budgets should be completed and submitted to our DRC, Jack Zarour, during the planning stages of the upcoming year (i.e. before September 1st). This helps the Regional officers to plan chapter visits and assess which chapters may need some assistance in various areas of planning. If you have not completed your chapter budget at this time, please do so prior to December 30th.

Finally, I have also included a copy of my objectives (below) for the year to help our Region X team have a better understanding of what your regional officers are doing to keep our region running smoothly. As you can see, we are behind schedule on a few of our tasks, but rest assured that we are in the process of completing them and I sincerely appreciate any feedback from our membership. Thanks again to each of you for your support and volunteerism on behalf of ASHRAE!

View 2009 CRC Chapter Finances Workshop

Region X, ASHRAE Guidelines for Regional Finance
1.1 Region Finance
1.2 Reports
1.3 CRC Reserve Fund
1.4 Record Keeping
1.5 Budget
1.6 Chapter Assessment

1.1 Region Finance
The fiscal year of the region is considered as extending from July 1 of the current year to June 30 of the following year. This coincides with the fiscal year of Society. The Regional Treasurer is responsible for the receipt, safekeeping and disbursement of the of region funds and for keeping proper records. These records should be sufficiently detailed to facilitate necessary comparisons with the region's budget at intervals and to form the basis for a new regional-operating budget each year.

The purpose of these funds is to enable the region to carry out the constitutional objectives of Society, and it is the responsibility of the regional officers to carry on the work of the region in such manner that expenses can be met. The Regional Leadership Committee (RLC) should approve expenditure of region funds. The Regional Chapters Committee (RCC) shall be given a report of the financial activities at the Chapters Regional Conference (CRC)

Region X has better control of its expenses if it prepares a budget for its own use for comparison and control purposes. Preparing the budget is one of the most important administrative activities the region can do because it represents a concise written statement of the region's goals and intentions for the coming year. More than a financial base, it is a map of the current philosophy of the RCC. The Regional Treasurer should maintain a file with the notes and calculations used in determining budget line items for future reference. This will be invaluable when comparing actual versus estimated income and expenses and when preparing the next year's budget. Budgets should be designed to balance, i.e., estimated expenses should equal estimated income. Furthermore, budgets should be conservative, with over-estimated expenses and under-estimated income.

The RLC shall establish the arrangements for the safekeeping of the regions funds and withdrawal of said funds. The RCC shall have be notified of the arrangements when they occur. One satisfactory method is the use of a checking account, subject to withdrawal by the signature of the Regional Treasurer and another officer, usually the Director and Regional Chair (DRC).

In establishing the account, local banking requirements must be complied with. The account should be carried in the name of “Region 10, American Society of Heating, Refrigerating and Air-Conditioning Engineers” to avoid possible misidentification with Society funds.

The identification number on the account should be the region's Employer Identification Number (EIN). It is not appropriate to have any individual's Social Security Number (SSN) on this account. The arrangement should be such that when new officers are installed, the bank may easily be authorized to honor the new signatures.

All disbursements should be by check, with receipts obtained wherever practicable. Postage, entertaining a speaker, invited guest, etc., should be borne by the individual or committee charged with this function. The Regional Treasurer should reimburse this individual or committee upon written request, and should obtain a receipt.

1.2 Reports
The Regional Treasurer shall send a mid-year report to the RLC no later than two weeks prior to the Regional Planning Meeting, detailing receipts and expenditures. This report should contain three principal elements.

• Budget Comparisons - Compare actual versus estimated figures for both this period and the year to date. Comment at the meeting as to any inordinate discrepancies, plus or minus.
• Status of Principal Accounts - This will include the operating account, CRC emergency fund or any other fund.
• Disposition of Assets - For each of the principal accounts, how are the assets invested? How much are they earning? How secure are they?

1.2.1 Finance Audit Committee
At the Regional Planning Committee meeting, the DRC shall announce the designated independent financial professional who, along with a committee of three members selected by the DRC from the pool of former DRC's and past Regional Officers plus the Regional Treasurer will perform the audit of the immediate past Regional Fiscal Year. This committee shall be known as the Finance Audit Committee. The incoming Regional Leadership Committee shall approve of and contract with the professional independent auditor. This auditor shall be a member of the Finance Audit Committee.

This auditor shall prepare and report to the committee after reviewing and documenting the status of the regional finances. The incoming Regional Treasurer shall prepare an annual financial report for the previous Regional Fiscal Year (RFY) accompanied by all records and receipts for the auditor to use in the preparation of the audit. The Treasurer shall also transmit this information to the Finance Audit Committee.

The Audit and comments by the Finance Audit Committee shall be submitted to the DRC no later than September 1 of the current RFY. The DRC shall send this report to all current Regional Officers for record purposes. The Audit report shall be sent to the delegates no later than one week prior to the Chapters Regional Conference (CRC). It shall be included in the CRC Business Meeting as an agenda item.

1.3 CRC Reserve Fund
If it is determined that a CRC Reserve Fund is needed, it will be established and accounted for as a separate fund from the general fund in the accounts list in Quickboooks but will be deposited in the same bank account. Based on the recommendation from the RLC as presented by the DRC at the CRC, a motion from the RCC shall establish the amount. Any disbursement or addition from the CRC Reserve Fund shall be subject to a majority vote by the RLC and shall be used only for deficiencies in CRC funding due to unforeseen and catastrophic events. Only the necessary increase or decrease in the fund shall be considered in the budgetary process.

1.4 Record Keeping
It is recommended that the following permanent financial records be kept by the Region:

• All Regional Treasurers' reports
• Old financial statements (banks, investments, etc.)
• All final audit reports

The Regional Historian should assist with the permanent filing of these records at the end of each fiscal year.

1.5 Budget
Once the Finance Audit Committee has reviewed the annual financial report, it will provide its comments and corrections to the DRC. The DRC shall transmit it to the Regional Officers. Using this information the RLC will prepare for the new fiscal year. The Chapter Delegates will receive the audit report no later than one week prior to the CRC meeting. The RLC will discuss and approve the budget prior to the CRC. During the Business Meeting at CRC and following the presentation of the Audit Committee report, Chapter Delegates will be given the opportunity to comment on possible changes to the operation of the Region and its finance through the parliamentary process. Any actions approved by the RCC shall be implemented in the following year. The approved budget will determine the funding requirement, which corresponds to the total budgeted amount plus the Region funds balance minus the current recommended year-end balance as established by the RCC (suggest $10,000 year-end balance).

1.6 Chapter Assessments
After the Regional Leadership Committee determines the funding requirements for the current RFY, the Regional Treasurer will calculate the chapter assessments using:

• Chapter Dues-Paid membership as published by Society at the end of the prior Society Fiscal Year (June 30) shall be the basis for the calculation. Life members and Student members shall not be used in the Chapter assessment.
• Communicating the Chapter Assessment to each Chapter President shall be the responsibility of the DRC. Collecting chapter assessment is the responsibility of the Regional Treasurer and must be completed no later than December 15th of each year.
• The Regional Treasurer will be responsible to collect the chapter assessments and to follow-up on chapter assessments that are not paid. All Chapter Assessments shall be paid in full by the closing of business on May 31st of each year.

Notes:

1. Regional Chapters Committee consists of DRC as chairperson and chapter delegates and alternates as members in Region X.
2. Regional Leadership Committee consists of all elected and appointed Regional Officers.