2.4. Financial Condition

Director may not cause or allow the development of fiscal jeopardy or loss of allocation integrity.

The Executive Director will not:

1. Expend more funds than have been received in the fiscal year to date unless the debt guideline (2 below) is met.
2. Indebt the organization in an amount greater than can be repaid by certain, otherwise unencumbered revenues within 90 days.
3. Allow unrestricted fund balances to drop below $100,000, which is equal to approximately 3 months’ operating expenses in 2009, without the consent of the Board.
4. Transfer funds between the primary checking account and the linked savings account in an amount that exceeds $20,000 without contemporaneously notifying the Finance Committee or transfer any amount between other accounts without contemporaneously notifying the Finance Committee.
5. Open any bank or investment account or transfer money into a non-liquid account or an account with a fluctuating value without the approval of the Finance Committee.
6. Expend restricted funds for any purpose other than that designated by the donor, without receiving Board approval after submitting a plan to the Board and having a concrete plan to restore the restricted funds within 90 days. The Board must approve the use and the restoration plan before the Executive Director redirects the funds.
7. Allow cash to drop below the amount needed to settle payroll and debts in a timely manner.
8. Allow actual allocations to deviate materially from documented Board priorities.

Monitoring Schedule: Annual Monthly

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