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July 22, 2020

Financial Reviews During COVID-19

WSPTA bylaws require an annual financial review to be conducted and submitted to the PTA board of directors and membership. However, there is no requirement for the financial review committee to conduct the review in person.

If the county where the PTA is located is in Phase 2 or higher and the committee members feel comfortable meeting in person with masks and physical distancing (outside if possible), then an in-person review can take place.

If the committee is unable or uncomfortable meeting in person, they can utilize a secure/password-protected virtual meeting tool to conduct the financial review such as Zoom or Microsoft Teams. As always, the outgoing treasurer should be available by phone to answer questions but should not be present at the financial review meeting.

A list of records that the treasurer should deliver to the committee can be found on the financial review checklist and in the Treasurer’s Handbook. Those resources are located at https://www.wastatepta.org/pta-leaders/leader-resources/leadership-guides/ (password protected).

The financial review committee should decide how they would conduct the review remotely. One possibility could include one person reviewing the legal records, one person reviewing the transactions, and one person reviewing the bank statements and monthly reports. If an online accounting system is utilized by the PTA, read-only access can be granted to the committee to facilitate the review. One committee member should oversee the completion of the financial review checklist, but each committee member should fill out their own copy and compare notes to ensure completeness. The final version, signed by all committee members, is required for the PTA’s legal records. In order to sign the master document, each person could arrive at a designated time to a designated location (for example, meet at the front door of the home, or at a park) while masked and at 6-foot distancing, but able to carefully review before signing. Alternatively, the final checklist may be signed digitally using appropriate software.

The results of the financial review are then presented to the board of directors at their next meeting. The financial review checklist and any recommendations should be emailed or shared with the board in advance and can also be shared on-screen during the virtual board meeting. The board should discuss and decide if any changes to money handling or other procedures should be implemented. Any actions taken must be recorded in the board meeting minutes. The treasurer must make any necessary corrections that have been agreed upon by the board.

A summary of the results of the financial review must be presented and adopted during the next membership meeting. The president or designee would apprise the membership of the committee’s recommendations, and the actions that the board has taken. The adoption of the financial review results must be recorded in the meeting minutes.

Category: Governance , Leadership

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