Society Financial Policy Relative to Event Finances
SOCIETY FOR CREATIVE ANACHRONISM, INC
FINANCIAL POLICY
Amended January 24, 2009
INTRODUCTION
The Society for Creative Anachronism, Inc. (SCA) is a non-profit educational organization devoted to the study of the Middle Ages and Renaissance. This has led the SCA to create a social structure adapted from those found in Europe during the Middle Ages. This has created a diversity of groups and interests which enhance the experience we seek to create. We currently enjoy a tax-exempt status in the United States (U.S.), and maintaining that status requires that we adopt certain uniform practices and standards regarding our financial activity. We must make sure that:
* Every part of the organization engages primarily in activities that advance our U.S. tax-exempt purposes except where prohibited by law;
* A substantial part of activities conducted in our name and with our funds are in support of an exempt purpose;
* Our earnings, in whole or in part, are not used to the benefit of private individuals or organizations; and
* We serve a public, not a private, purpose.
In order to accomplish this, a system of consistent financial procedures will be followed by every branch or other entity maintaining SCA assets. The term ‘branch’ refers to any geographic or institutional division of the SCA, as defined in the SCA’s Governing Documents. The term ‘other entity’ includes but is not limited to: Chartered guilds, special newsletters, and special deputies to the Society or Kingdom Chancellors of the Exchequer. The Chancellor of the Exchequer is the designated person responsible for managing SCA assets, and this position is considered an office.
This financial policy establishes basic accounting and financial management minimum requirements for every part of the organization, except where prohibited by law. Each Kingdom may establish additional requirements as they see fit, so long as they are not prohibited by law or the Governing Documents of the SCA. Branches and other entities may also establish additional requirements, so long as they are not prohibited by law, the Governing Documents of the SCA, this Financial Policy, or their Kingdom Law or Financial Policy.
VIII. FINANCIAL POLICIES
A. Financial Committees must have a written financial policy. The financial policy must be approved by the Financial Committee before filing for approval from the superior financial officer. Kingdom Financial Policy may serve as the financial policy for branches within the Kingdom that do not have one specific to that branch. Financial Policy includes at a minimum:
Society Financial Policy
1. Composition of the Financial Committee;
2. Terms of Financial Committee members;
3. Timeframes and methods for meetings;
4. Timeframes and methods for action approval under normal circumstances and in emergencies;
5. Reporting requirements and schedule for reports to the branch administration;
6. Timeframes and methods for review and revision of the financial policy;
7. Methods for controlling cash receipts; and
8. Any policies regarding event admission charges or complimentary passes.
B. Kingdom Financial Policies must additionally include:
1. Reporting requirements and schedule for branches within the Kingdom,
2. Any additional financial policy requirements for branches within the Kingdom, and
3. Any additional policies desired by the Kingdom Financial Committee.
C. Inter-Kingdom Events are defined as any event which has a standard monetary distribution to another Kingdom's accounts based on a calculation method other than or in addition to volunteer hours, and has the event administration either as a perpetual independent event staff or changes between Kingdoms on a standard rotation.
1. Inter-Kingdom Events must have a financial policy approved by the Board of Directors and the Society Chancellor of the Exchequer.
2. Inter-Kingdom Event Financial Policies must additionally include the standard distribution calculation and any event-specific financial policies.
D. The Society Chancellor of the Exchequer will review each Kingdom Financial Policy, Inter-Kingdom Event Financial Policy, and the Laurel Office Financial Policy before any changes are presented to the Board for approval, and no less often than every two years.
E. Kingdom, Inter-Kingdom Event and the Laurel Office Financial Policies approved by the Board of Directors are addenda to this policy.
F. Kingdom Exchequers may require financial policies for intra-kingdom events.
IX. EXPENSE AUTHORIZATION
A. Financial Committees will approve in advance annual and event budgets.
B. The Financial Committee must approve unbudgeted expenditures. Emergency situations are handled on a case-by-case basis according to the entity's Financial Policy.
C. No officer of any level has the power to authorize payments that do not support the SCA’s tax exempt purpose. [Overall guidelines for classes of expenses are delineated in the Society
Chancellor of the Exchequer Officer's Handbook.] If the reasonableness of any expense is uncertain, the superior Chancellor of the Exchequer must be consulted prior to any commitment.
D. Fully documented receipts must be provided to support all expenses. This rule applies to anyone expecting reimbursement.
E. SCA funds may not be used to reimburse expenses for events or meetings closed to the general populace unless the events or meetings have a business agenda which requires limited attendance, such as officer staff meetings, kingdom councils, and event planning meetings. Kingdom Financial Policies may have additional requirements for reimbursement of these expenses.
Expenses solely incurred for Royalty-only and order-only meetings are specifically ineligible for reimbursement. The Society Chancellor of the Exchequer may grant variances to this policy on a case-by-case basis, based on written requests received no later than seven days prior to the event or meeting date.
I. INTRODUCTION
The following Kingdom Financial Policy serves as an addendum and is subject to the requirements set forth by the Society For Creative Anachronism, Inc. Financial Policy, Corpora and By Laws. An Tir’s Financial Policy should be revised whenever changes in Modem Law, the SCA’s governing documents and Policies, the needs of the Kingdom, or agreement between Council of the Exchequer and the Society Exchequer so require.
V. EXPENSE AUTHORIZATION POLICY
Branches and entities must have a written expense authorization policy on file with their Regional and Kingdom Exchequers. Any change to this policy must also be submitted to the Exchequer’s Superior.
VI. REIMBURSEMENT OF EXPENSES
Kingdom and Branch Exchequers are only obligated to reimburse for receipts presented within 120 days of the expenditure.
1. For Kingdom officers and Royalty, all expenditures and reimbursements are to be made from Kingdom accounts or accounts held specifically by those offices.
An Tir Financial Policy
2. Reasonable travel expenses of the Crown for travel to events within An Tir may be reimbursed up to the limit of each Crown’s budget allocation for Their reign as approved by the finance committee. Lodging (hotel) expenses are considered necessary for the Crown when non-camping Kingdom-level events are held at a distance greater than it is reasonable to expect the Crown to travel round-trip each day, and when no acceptable alternate arrangements can be made. Host branches are to be encouraged to provide lodging for the Crown as part of their negotiations with hotels for major events.
Travel expenses to events outside the Kingdom of An Tir such as inter-kingdom wars may be paid out of the separate Raven Travel Fund, if the purpose of the travel meets the stipulations set forth in the separate policy governing the Raven Travel Fund.
3. Reimbursement of reasonable travel expenses for travel by Kingdom Officers (Greater and Lesser) to Crown or Kingdom events where their attendance is required is permissible per Kingdom Law, and may be reimbursed up to the limit of the each officer’s appropriated budget allocation as approved by the finance committee.
Officers may use their approved budget allocation to attend society-level meetings or symposiums that are scheduled during their tenure, or may petition the financial committee for additional budget to cover travel and lodging to attend the event. Kingdom officers are encouraged to attend society-level meetings of their office, if at all possible, and should inform the financial committee of their intention to travel outside the Kingdom.
4. Reimbursement of travel expenses for Kingdom Champions is allowed per Kingdom Law, and a limited budget is adopted each year to provide reimbursement for reasonable travel (see guidelines below) by Kingdom Champions, as Officers of the Royal Court, for Crown and Kingdom events which the champion is required to attend. Also, the Crown may require Their Champion(s) to attend events to represent the Royal Presence in Their Majesties stead. In such case, the financial committee should be consulted.
5. Reasonable travel expenses include:
Reimbursement of travel by private vehicle, including necessary tolls and fees. Actual mileage is reimbursable at either: a) The current rate allowed by the US IRS for non-profit group “volunteer mileage” for the miles traveled, or b) actual receipts for fuel used in travel to and from an event; fuel use (MPG) as supported by actual miles traveled, must be reasonable.
Commercial modes of travel (airplane, train, bus) are considered reasonable for the Crown or Their personal representative if the distance and/or time required to travel would have prevented Royal Presence if travel was by private carrier. Travel by commercial carrier might also necessitate additional reimbursement for taxi, rental car, or shuttle costs.
Commercial transportation fares for Kingdom Officer and Champion travel within the kingdom are generally not reimbursed as such; rather the Officer will be reimbursed at the US IRS non-profit “volunteer mileage” rate for the actual miles from his/her home to the event and back. Officers who can demonstrate an exceptional need to travel by commercial carrier may submit a request for an exception to the financial committee.
An Tir Financial Policy
X. SPECIAL PURPOSE AND DEDICATED FUNDS (Raven Travel Fund, etc)
A. Accounting records must support segregation of funds by purpose. When setting up special purpose/dedicated funds, a primary and secondary purpose will be established by the Financial Committee. Funds raised will be used for the primary purpose first. If it is not possible to fulfill the primary purpose or if there are residual funds, the funds will be directed to the secondary purpose. The final destination for all special purpose funds will be the General Fund.
B. Sufficient reserves must exist to fund any outstanding subscription liability for all publications. It is recommended that each branch or other entity should maintain sufficient cash reserves to continue normal operations after a total loss of advance expenses for one major event of the type it typically runs.
C. Donations earmarked for a purpose contrary to our tax-exempt status, or found untenable or undesirable by the potential recipient shall be declined. Donations of vehicles shall not be accepted by any branch of the SCA.
XI. CONTROLLING DISBURSEMENTS
All disbursements will be made to an entity (individual or business) by signed checks or traceable money orders. Disbursements in advance of a purchase must be documented beforehand and will be treated as receivable items until they are reconciled by presentation of receipts and/or cash totaling the amount of the advance. Reconciliation of advances must occur within 60 days of the disbursement.
XII. CONTROLLING CASH RECEIPTS
Cash receipts shall include, but is not limited to: event income of all types, money collected from advertised fund raising endeavors, donations, money from the sale of goods purchased with group funds, and newsletter sales and subscription income.
A. Cash receipts of any type totaling more than $50 must be deposited in the appropriate account no later than 14 calendar days after the receipt by an officer of the SCA. Cash receipts of any type less than this limit must be deposited in the appropriate account no later than 30 calendar days after the receipt by an officer of the SCA. No incoming funds of any type are to be kept out of the appropriate account longer than these timeframes. Undeposited income of any type is not to be used for refunds, reimbursements or expenses.
An Tir Financial Policy
B. Use of online credit card acceptance services by SCA branches is prohibited, unless specifically approved by the Society Chancellor of the Exchequer. SCA branches are not to use the personal credit card acceptance account of an individual or other business under any circumstances.
Commentary: Use of ACCEPS (Ansteorra Credit Card Event Processing System?) for pre-registration has been approved for use by the SCA Chancellor of the Exchequer, and, on a case by case basis, by the An Tir Chancellor of the Exchequer.
Unlike commercial credit card services ACCEPS is:
1. A Society recognized and approved service
2. Charges a fixed fee for its services
3. Makes a non-profit to non-profit transfer of funds to the sponsoring branch
4. Provides a list of each pre-registrant and the fees they paid.
5. Cannot refund fees to participants – that must be with a check from the event or branch Exchequer.
C. Minors under age 15 may not serve as Head Gatekeeper/Troll/Reservationist /etc. for an event. Such minors may assist at the gate collecting funds, making change, etc., under the oversight of an individual permitted by the SCA’s Corporate Policies to serve as an officer, who will be ultimately responsible for the accounting of the funds passing through the gate. Individual Kingdoms may be more restrictive should they choose.
D. A paid member of the SCA must be in charge of the gate functions at any event where money is collected in the name of the SCA. Site owners may additionally oversee the gate operations, but the final responsibility for the funds collected in the name of the SCA must remain with an authorized paid SCA member who does not have a financial or material interest in the ownership of the site itself.
An Tir Financial Policy
West/An Tir War Financial Policy
Approved 7/8/01
The principals of this war are the Kingdom of the West and the Kingdom of An Tir.
1. The War shall be sponsored alternately by the Kingdom of An Tir or the Kingdom of the West every other year.
2. Each individual kingdom’s Exchequer Council shall set the budget for the war.
3. Each individual kingdom shall approve the budget when it is their turn to sponsor the event.
4. Once the budget has been approved, a copy will be sent to the corresponding finance committee for comment.
5. The profit shall be split 60/40, with the larger portion going to the sponsoring kingdom for that year.
6. The sponsoring kingdom shall provide an event report to the corresponding kingdom with the profit check.
7. The financial committee in the Kingdom of the West and the Kingdom of An Tir shall be the Exchequer’s Council, which consists of the Kingdom Exchequer, the Kingdom Seneschal, and the Royalty (who vote as one).
8. The supporting local branch(s) may receive all or a portion of the merchant’s fee, this to be determined kingdom by kingdom.
9. There will be no volunteer hours paid out as of this writing.
Page | SCA Society & An Tir Financial Policy Relative to Events
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