2.3. Financial Planning

With respect to planning for the fiscal year or a part of a fiscal year, the Executive Director may not jeopardize either programmatic or fiscal integrity of the organization.

1. The Executive Director will not submit a budget that:
1. Contains too little detail to enable reasonably accurate projection of revenues and expenses, separation of capital and operational items, cash flow and subsequent trails and disclosure of planning assumptions.
2. Plans the expenditure in any fiscal year of more funds than are conservatively projected to be received in that period, except in the case of restricted funds that are carried forward from a previous fiscal year.
3. Allows operating reserves to be less than three months operation expenses based on year ending operating expenses.
4. Deviates materially from board stated priorities in its allocation among competing budetary needs.
5. Does not include a three-year capital expenditure plan.
2. The Executive Director will not allow a quarterly variance from the annual approved budget that is larger than 5% or $2,500, whichever is greater, without bring the variance to board attention.

Monitoring Schedule: Annual Quarterly
Monitoring Method: Direct Inspection (Budget) Internal Report

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