TITLE: FISCAL MANAGEMENT
POLICY 4.0
Rev. July 2023
PURPOSE AND SCOPE: This policy outlines the procedures Kokua uses to ensure sound financial management. A. RESPONSIBILITY FOR FINANCIAL OVERSIGHT The Board of Directors formulates financial policies and delegates the administration of the financial policies to the Executive Director and reviews operations and activities. The Executive Director has management responsibility, including financial management. B. SEPARATION OF DUTIES To minimize the risk of embezzlement or theft, all financial duties and responsibilities must be separated so that no one employee has sole control over cash receipts; disbursements; payroll; reconciliation of bank accounts; etc. A chart outlining the financial duties of individual job positions is included as Appendix A of this policy. C. APPOINTMENT OF AN OUTSIDE ACCOUNTING FIRM Kokua will use the services of an outside accounting firm to maintain its financial journals, provide monthly financial reports, process payroll and prepare tax reports, complete the annual Developmental Disabilities Administration Cost Report and to provide the Executive Director and the Board with such other reports as are deemed necessary for financial planning purposes. D. INSURANCE COVERAGE Blanket employee dishonesty coverage of at least $50,000.00 will be maintained. E. CASH RECEIPTS Cash receipts for the Kokua Business Account will be forwarded to the Executive Director, who will lock them in the fire proof safe until they are deposited. F. DEPOSITS All receipts should be deposited intact. No disbursements will be made from cash or check receipts prior to deposit. All checks for deposit will be stamped ”FOR DEPOSIT”. All deposits must be photocopied and kept with bank records. G. CASH DISBURSEMENTS All invoices for payment will be reviewed by the Business Operations Coordinator for accuracy, validity and appropriateness. All requests for mileage reimbursement will be reviewed and approved by the employee’s supervisor prior to being forwarded to the Business Operations Coordinator. The Business Operations Coordinator will forward the invoices to the Executive Director for payment. Manual checks must be written on checks with a duplicate carbon. All manual checks will be recorded on a monthly ledger. The manual check ledgers are sent to the accountant after the end of the month. Purchases over $250.00 must be pre-authorized by the Executive Director.