Financial Control Policies

MICHIGAN SQUASH Financial Control Policies

Periodic Board Level Review of Banking Activity

1. The individuals designated as the Board Chair and Treasurer for the Association shall share responsibility for undertaking periodic sample basis reviews of the banking activity of the Association.
2. The Board Chair and Treasurer shall be provided with “read or view only” on‐line access to all of the Association’s operating and cash management bank and investment accounts that will include information regarding all deposits, payment authorizations and transfers, and the front and back copy of all cancelled checks, to enable the conduct of such periodic sample basis reviews.
3. At least quarterly the Board Chair and/or Treasurer shall undertake the review of the bank and investment account statements seeking to determine on a best efforts sample basis that:
   1. Deposits are from expected sources (and in the case of those from unexpected sources, determine they are appropriate);
   2. Payments are made only by an authorized employee of Michigan Squash in accordance with Michigan Squash policy;
   3. Bank transfers are made only to known Michigan Squash bank accounts and recorded on the same date;
   4. Wire transfers are duly authorized in accordance with Michigan Squash procedures,
   5. In the case of checks:
      1. There are no unusual or second endorsements, such as endorsements by employees when the payee is not the employee;
      2. There are no alterations to the check payee or amount such as erasures or possible use of white‐out; and
      3. Checks are made payable to expected vendors (and, in the case of checks made payable to any unexpected vendors, determine they are appropriate).
   6. The Board and Treasurer shall ensure that management is reviewing:
      1. the monthly bank reconciliations and investigating any unusual reconciling items; and,
      2. any journal entries to the cash accounts on a timely basis.

Cash Disbursement Authorization Policies and Procedures

All expense reimbursement payments to be made by the Association directly to a vendor shall only be made upon specific written authorization by the Board Chair with disclosure to the full Board. The Board Chair shall periodically (no less than annually) conduct a “sample review” of the expense reimbursement voucher documentation provided by the Treasurer of the Association in conjunction with expense reimbursements. The Treasurer ONLY may sign checks and/or authorize banking system payments only upon such written authorization by the Board Chair. The full Board shall review these policies and procedures at least annually to insure that they are up to date and comply with best practices.