Working to Protect Your Money
One of the most important responsibilities of the board is to manage the association's funds-your money. We take this responsibility seriously; these are the procedures we insist on to protect your money:
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- Association financial records are audited annually by a certified public accountant.
- Bank statements are reconciled promptly each month.
- The balance sheet and profit and loss statement are reviewed each month, and expenses are compared to the budget each month.
- Association reserve accounts are analyzed annually to ensure they are adequate for future needs.
- The association has an investment policy that safeguards the principle of invested funds, a signature policy that safeguards operating funds, and a collections policy that safeguards cash flow.
- All association volunteers and personnel who have access to association funds are bonded.
- Kickbacks are prohibited and any possible conflict of interest must be disclosed.
- Checks and balances are in place to ensure the safety of association funds-such as requiring two signatures on all non-recurring major expense and all reserve checks.
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