Finance
Committee
The Finance
Committee provides financial analysis, advice, and oversight of the IDC budget. Their sole responsibility is
to ensure the organization is operating with the financial resources it needs
to provide programs and services to the community.
The role of
the finance committee is primarily to provide financial oversight for the
organization. Typical task areas include budgeting and financial planning,
financial reporting, and the creation and monitoring of internal controls and
accountability policies. An outline of responsibilities is as
follows:
Budgeting
and Financial Planning
Develop an
annual operating budget with staff.
Approve the
budget within the finance committee.
Monitor
adherence to the budget.
Set
long-range financial goals along with funding strategies to achieve them.
Develop
multi-year operating budgets that integrate strategic plan objectives and
initiatives.
Present all
financial goals and proposals to the board of directors for approval.
Reporting
Develop useful and readable report formats.
Develop a list of
desired reports noting the level of detail, frequency, deadlines, and
recipients of these reports.
Work with Senior Pastor to understand the implications of
the reports.
Present the
financial reports to IDC Body, District & National levels via Business
Meetings, District Meetings and at he National Level.
This Committee provides highly contextual reports clearly
communicating the organization’s financial and cash position, its adherence to
the budget, its allocation of resources toward the accomplishment of its
mission, and its support of any donor-imposed restrictions on contributions.
Having a predetermined list of reporting expectations permits staff to allocate
enough time to produce accurate, high quality reports and not be caught off
guard by ad hoc requests. In addition, these reports should help to focus the
board’s discussion about expected outcomes and potential strategies for
overcoming setbacks or changes in the financial environment.