Know Your Club Constitution, By-Laws and Policies

Q: What does our Code of Policies state with respect to General Financial Policies?

A: Our Code of Policies as of April 22, 2015, under item 3.1 states as follows:

“3.1 GENERAL FINANCIAL POLICIES The members of the Board of Directors and officers of The Rotary Club of Manila (RCM), headed by its President and assisted by the Treasurer and Assistant Treasurer(s), by virtue of their position, assume individual and collective fiduciary responsibilities in the management and use of the funds of RCM. They shall be responsible for and, accordingly, make sure that the funds of RCM are safe kept, managed and used in the most prudent manner possible and in accordance with the purposes for which the funds were generated. RCM funds shall be used exclusively for the furtherance of the objectives, programs and projects of the Rotary Club of Manila and those of Rotary International. No individual or group of RCM members shall be allowed to benefit personally from the use of RCM funds.

The Board of Directors at the beginning of each Rotary year, shall evaluate and approve the annual budget of RCM as submitted by the Treasurer in close consultation and coordination with the President, the Committee Chairmen through their respective Directors-in-Charge, and the other Officers of RCM. The annual budget and the Financial Reports shall be in consonance with the planned activities and projects of RCM, as well as, the ability of RCM to fund such activities and projects. The annual budget shall be classified into two main categories, viz., (a). GENERAL and (b) RESTRICTED.

It shall be mandatory on the part of the Treasurer to prepare a General Budget for approval of the President and the RCM Board at the beginning of each Rotary year. However, a budget for Restricted Funds at the beginning of the Rotary year may not be presented as the respective programs/projects for each of the Restricted Funds may not yet be ready at the outset of the Rotary year. The respective committees in charge of the Restricted Funds shall however be required to submit their budgets, prior to the launch of projects they intend to undertake for approval of the President and the RCM Board.

Funds under GENERAL shall be used for the general and administrative expenses of the Club. Funds under RESTRICTED shall be used exclusively for the purposes the respective restricted funds were established. Only the RCM Board shall have the authority to approve reallocation of either the General or Restricted Funds.

The Directors and Officers of RCM for a particular year shall ensure that the fiscal implications of their particular year’s programs and projects shall be limited to the particular year said Board and Officers are responsible for and shall see to it that the subsequent year’s Directors and Officers shall not be burdened by expense overruns or liabilities which they have to assume. To allow for a smooth year to year transition, each incumbent administration shall provide for enough funds to carry the next administration through two to three months of operations while the funding programs of said incoming administration are being worked out.”

Q: What are the duties of the Treasurer under our By-Laws?

A: Our By-Laws under Article III states the following:

“Section 4 – Treasurer It shall be the duty of the Treasurer to have custody of all funds, accounting for same to the club annually and at any other time upon demand by the Board and to perform such other duties as pertain to his office. Upon his retirement from office he shall turn over to his successor or to the President all funds, books of accounts or any other club property in his possession.”