The Finance Committee will be composed of the Board Chairperson, Treasurer and Library Manager.
The Library Manager will maintain records in accordance with all library bylaws, Revenue Canada rules and good accounting procedures.
The Library Manager will also provide a monthly financial information report to the Board.
13.1 Year End Financial Review
Financial records must be independently reviewed each fiscal year. The Board, upon recommendation of the Finance Committee, will annually appoint the reviewer. The appointment of the reviewer must be approved by Town Council. Financial records are prepared for the review as soon as reasonably possible after year end by the Finance committee. The reviewed financial statement is received and approved by the Board and presented at the annual general meeting and then sent to Town Council.
The Board, upon recommendation of the Finance Committee, determines where banking services are secured.
The budget is prepared by the Finance Committee in consultation with the Library Manager, in time for its approval by the Board and presentation to Town Council for its budget considerations. The Finance Committee shall develop a long-term financial strategy for the library by planning for capital replacement, for financial emergencies, and for long-term stability of the system.
The Finance Committee, in consultation with the Library Manager, is responsible for the investment and care of reserve funds. Interest from reserve funds is re-invested as part of the reserves. The Board may designate some or all of these funds for specific projects or purposes.
13.5 Signing Authority for Cheques
The signing officers are the Library Manager, Board Treasurer and Chair. Two signatures are required on each cheque. Additional signatories may be approved by the Board.
13.6 Petty Cash and Cash Float
$200 will be set aside for petty cash needs and a float of $50 will be kept in the cash register.
13.7 Capital Assets
Whenever possible the purchase or lease of capital assets is provided for in the annual budget. Assets needing to be purchased or leased and not in the budget must be approved by the Board upon recommendation of the Finance Committee if they are more than $300.
13.8 Financial Statements
Monthly financial statements are prepared by the Library Manager, and approved by the Treasurer, for presentation to the Board. The Finance Committee is responsible for overall supervision of the budget. The Library Manager shall report any financial anomalies to the Treasurer as soon as reasonably possible.
13.9 Fiscal Year
The fiscal year of the Rimbey Municipal Library shall be January 1 to December 31.
13.10 Operating and Capital Reserves
An operating reserve and a capital reserve for the Rimbey Municipal Library will be established that will permit the organization to continue to operate during difficult financial times.
Rimbey Municipal Library Board will maintain an operating reserve that will be no more than $30,000. Any surplus will be put into an interest account. The operating reserve will be reviewed by the Finance Committee at least annually. Any spending of the operating reserve corpus must be approved in advance by the Board.
Capital Reserve/Technology Reserve:
The Capital reserve shall be invested as approved by the board and reviewed when the term expires for reinvestment.