Revised June 2018
To define Valley FM’s banking management.
Valley FM maintains bank accounts for general service funds and contingency purposes with Bendigo Bank. Surplus funds are invested in short term fixed interest deposits with Bendigo Bank.
Valley FM shall have a minimum of two and maximum of four signatories to its bank accounts. Signatories will be reviewed and as necessary updated. Any change of signatories shall be approved by the Board and noted in Board Meeting minutes.
The Treasurer will maintain a list of bank accounts that will include for each account:
- Branch location
- Account type, account number and BSB
- The name of the bank contact person
- The date on which the account was opened and closed
- Interest rates and fees, and
- Rollover dates/renewal dates for term deposits and investment accounts.
All funds received must be banked as soon as is practicable. No cash is to be kept on Valley FM premises.
Accounts payable must be approved with the signatures of two Board members.
Access to internet banking and EFT transfers is controlled by a bank-issued User ID token and personal password, both of which must remain confidential and under no circumstances be divulged to any other person.
Any expenditure incurred will be paid by Valley FM cheque account or electronic funds transfer (EFT).
Cheques, when used, will be prepared by the Treasurer and signed by two signatories.
Expenditure for equipment or replacement goods/assets for $500 or less may be incurred by Directors or Station Manager without the prior authorisation of the Board. Amounts over $500 must have prior Board approval.
Expenditure for amounts of $1000 or less may be incurred by the President and Treasurer without the prior authorisation of the Board.
Expenditure for amounts above $1000 must be approved by the Board prior to the expenditure being occurred. Receipts for all expenditure must be provided to and retained by the Treasurer.
In the event of a need to urgently expend funds above $1000 prior to the next planned Board meeting, such expenditure may be incurred by the President with the written authorisation of the Treasurer. Expenditure in these circumstances must be reported to the next Board meeting and noted in the Board Meeting minutes.
Signatories will not authorise payments which involve a conflict of interest, e.g. the authorisation of payment that is a reimbursement for their own expenses.
Signatories can only authorise payments to themselves for expenses incurred on behalf of Valley FM if a separate receipt is provided and if the Board has authorised this type of expenditure in the past e.g. office supplies, cleaning materials.
Valley FM Compliance Obligations
The Board is responsible for the development, implementation, operation and review of this policy. Compliance with the policy is the responsibility of all Board Members.