Part 7Financial matters

Part 7 — Financial matters

61. Source of funds

The funds of the Association may be derived from entrance fees, annual subscriptions, donations, fund-raising activities, grants, interest and any other sources approved by the committee.

62. Control of funds

(1) The Association must open an account in the name of the Association with a financial institution from which all expenditure of the Association is made and into which all funds received by the Association are deposited.

(2) Subject to any restrictions imposed at a general meeting, the committee may approve expenditure on behalf of the Association.

(3) The committee may authorise the treasurer to expend funds on behalf of the Association up to a specified limit without requiring approval from the committee for each item on which the funds are expended.

(4) All cheques, drafts, bills of exchange, promissory notes and other negotiable instruments of the Association must be signed by —

(a) 2 committee members; or

(b) one committee member and a person authorised by the committee.

(5) All funds of the Association must be deposited into the Association’s account within 5 working days after their receipt.

63. Financial statements and financial report

(1) For each financial year, the committee must ensure that the requirements imposed on the Association under Part 5 of the Act relating to the financial statements or financial report of the Association are met.

(2) Without limiting subrule (1), those requirements include —

(a) if the Association is a tier 1 association, the preparation of the financial statements; and

(b) if the Association is a tier 2 association or tier 3 association, the preparation of the financial report; and

(c) if required, the review or auditing of the financial statements or financial report, as applicable; and

(d) the presentation to the annual general meeting of the financial statements or financial report, as applicable; and

(e) if required, the presentation to the annual general meeting of the copy of the report of the review or auditor’s report, as applicable, on the financial statements or financial report.

Notes for this rule:

1. Under section 66 of the Act, an incorporated association must keep financial records that —

(a) correctly record and explain its transactions and financial position and performance; and

(b) enable true and fair financial statements to be prepared in accordance with Part 5 Division 3 of the Act.