treasurer

[Guest radar]

It seems that used to be a statement in R.R. that the treasurer  books should be audited before they are handed over to the new incoming treasurer, I can't  seem to find it any more, please help

[Richard Brown]

Such a provision is not in the current 11th edition and I don't think it was in the 9th or 10 editions, but I'll check.

 

Edited to add:  The 11th edition does speak to periodic auditing of the treasurer's reports, but nothing about doing so before the treasurer turns over the books to a new treasurer.

 

Here is what is said on page 477:

"REPORTS BY THE TREASURER. At each meeting of a society, the chair may ask for a "Treasurer's report," which may consist simply of a verbal statement of the cash balance on hand—or of this balance less outstanding obligations. Such a report requires no action by the assembly.
In addition, the treasurer is required to make a full financial report annually, and in some societies more often. Such an annual report should always be audited. It is compiled and dated as of the last day of the fiscal year, if there is one, or December 31 if no different financial year is stated in the bylaws."

 

And on page 479:

"Action on the Financial Report. No action of acceptance by the assembly is required—or proper—on a financial report of the treasurer unless it is of sufficient importance, as an annual report, to be referred to auditors. In the latter case it is the auditors' report which the assembly accepts. The treasurer's financial report should therefore be prepared long enough in advance for the audit to be completed before the report is made at a meeting of the society."

 

And on page 587 in the sample bylaws re an auditing committee:

"Section 3. Auditing Committee. An Auditing Committee of three members shall be appointed by the President at the Society's March meeting, whose duty it shall be to audit the Treasurer's accounts at the close of the fiscal year and to report at the annual meeting."
 

[Gary Novosielski]

... on page 479:

"Action on the Financial Report. No action of acceptance by the assembly is required—or proper—on a financial report of the treasurer unless it is of sufficient importance, as an annual report, to be referred to auditors. In the latter case it is the auditors' report which the assembly accepts. The treasurer's financial report should therefore be prepared long enough in advance for the audit to be completed before the report is made at a meeting of the society."

 

And if officers' reports and elections both take place at the Annual Meeting, which is common, then any newly elected treasurer will be taking over with an audited financial status, which is pretty close to the OP's question.   And if the treasurer's term is longer than a year, audits will occur even more frequently.

[Edgar Guest]

And if officers' reports and elections both take place at the Annual Meeting, which is common, then any newly elected treasurer will be taking over with an audited financial status, which is pretty close to the OP's question.

 

Though if I was replacing a treasurer who resigned or, worse, was removed from office, I think I'd like an audit before I took charge of the books.