NHAA DISTRICT 12

Finance Committee

Article I – Purposes

The District Finance Committee shall oversee all financial matters so as to provide guidance and advice to the District when and where money is needed to provide service work. These By-Laws will allow continuity and a path to follow for future financial leaders of District 12.

The most common responsibilities of the District 12 Finance Committee are:

  1. To actively seek help from any A.A. resource (from GSO to the individual alcoholic) when an issue arises and to keep District 12 informed.
  2. To be the advisory committee to the District when and where money is an issue or fiscal policy needs to be updated.
  3. To make recommendations to add, change or delete any type of fiscal policy if the need arises.
  4. To draft the yearly budget for approval and make recommendations at mid-year if financial changes are needed.
  5. Ensure that IRS filings have been completed with the legally required timeframe.

The Finance Committee authority does not extend to the disposition of budgeted funds within any committee.

Article II – Scope

The District 12 Finance Committee will make themselves available to all officers, committee Chairs (and their members), G.S.R.s and any District 12 member to answer any questions and will consider any good idea pertaining to finance. The fiscal year will begin on January 1st. All financial books of District 12 will be open to all members.

Article III- Members and Meetings

The District 12 Finance Committee shall be composed of a minimum of five members:

a. The District 12 Treasurer and the Assistant District Treasurer for Functions will be voted in by the District voting body every two years and their two-year (2) plus three-week (3) term will start on January 1st of every even year. They will be required to participate in finalizing the last report of their term with the new, incoming treasurers.

b. Two (2) or three (3) Members will be nominated to serve for two (2) years by the sitting District 12 Treasurer at mid-term (odd-year) beginning of the term (even year) so as to provide continuity. One (1) Member will be appointed at mid-term (odd year) to provide for some experience in overlap. The District voting body (Assembly) will retain its reasonable checks and balances through its judicious consideration and the power of “Instance of Approval” upon the nomination(s). The nominees will not be a currently sitting Officer or Committee Chairman, and one (1) year must have passed if they have ever served on the Finance Committee. A current G.S.R. or any District 12 member may be nominated as well as past District Treasurers and/or Assistant Treasurers.

The District Assembly is at liberty to allow District Committee Chairmen to appoint assistant Chairmen, treasurers and members of their committees. It may also allow and call for an Instance of Approval of any appointments at the time of notification of such appointments at the District Meeting. (Source: District 12

– NHAA Service Manual, Version (5.1) 04-06-2015; Charter Article 7, pp. 3 & 4).

Article IV- Officers and Duties

Officers

  1. The District 12 Treasurer will chair the committee. A basic knowledge of parliamentary procedures is helpful.
  2. The Vice Chair shall be elected by the members of the Finance Committee. A majority vote is needed
  3. A Recording Secretary shall be appointed by the Chair. If this person is not an elected member, he or she may participate in a non-voting capacity.

Duties of Officers and Members

  1. The Chairperson shall preside over all District 12 Finance Committee meetings and shall call all meetings, making sure that all members are notified of the time and place of such meetings. Regular meetings shall be announced at the preceding District meeting giving any A.A. member. the opportunity to participate in a non-voting capacity. The Chairperson shall combine all treasurers’ reports into one main report showing how each segment is doing. A complete general financial health statement is required.
  2. A subcommittee that may be needed to resolve a financial issue shall be appointed by the Chairperson. A nominee must be approved by a majority vote of the Finance Committee.
  3. When a vote is needed, the Finance Chairperson may cast a vote only when his or her vote will break a tie, or his or her vote will create a tie. If a tie results (Chairperson to vote last), the motion is defeated and cannot be reintroduced at the same meeting.
  4. The duties of the Vice Chairperson are to assume the duties of the Chairperson when he or she is absent.
  5. The duties of the Recording Secretary are to assist the presiding Chairperson and to record the minutes of the Finance Committee Meeting.

Article V – Amendments

Amendments to these By-Laws may be submitted in writing (at least 30 days before a monthly report) to the Finance Committee for consideration. This proposal, with recommendations if needed, shall be presented to the District voting body at the next monthly report meeting. A two-thirds (2/3) majority is needed for the amendment to pass.

Article VI – Special or Emergency Meetings

The District 12 voting body, the Chairperson or any single member of the Finance Committee may call a special or emergency meeting. At least a 72 hours’ notice shall be given to the Finance Committee members. They should do their best to inform all interested parties of time and place.

Article VII – IRS Reporting requirements and Status

District 12, NHAA is a Tax-Exempt, not for profit, Social Welfare Organization under the Internal Revenue Code section 501(c)(4).

Reporting requirements for this status are as follows:

• Full names of the DCM, Alternate DCM, Secretary and District Treasurer must be filed with the IRS when any change in those positions occurs

• IRS Form 990-N must be filed annually. This is an E-Form and can be filed via the IRS web site. Filing is due on March 15 of each year.

Article VIII – Transitional Responsibilities

The District Treasurer, unlike other officer positions, serves for a two-year and one-month term. The extra month provides for an orderly transition of reporting between Treasurer terms. Transitional duties include:

• Files IRS Form 990-N for the prior year.Assists in the development of the Monthly Treasurer’s Report for December.

• Assists in the discussion of the budget package during the January Assembly Meeting

• Provides transitional account log-in information for banks and Internal Revenue Service.

• Transitions signature authority to the new Treasurer and secondary signer

District 12 Financial Policies Based on Twelve Traditions and Twelve Concepts

1. Inflows

a. Contributions from groups or individuals in District 12 to the General Treasury.

b. Direct contributions from members of District 12.

c. Transfer from the Function Committee any proceeds exceeding the its designated prudent reserve

into the General Treasury.

d. 7th Tradition at each District Meeting and General Service Meetings to the General Treasury.

e. Contributions received by sponsoring a special event such as a convention or conference to the

General Treasury.

2. Outflows

a. Accounts of expenditure are to follow the committee and officer responsibility structure of the District, plus other accounts and disclosures that are deemed appropriate by the DCM, Treasurer, and/or the entire Assembly.

b. Special expenditures, which are not easily assigned to the organizational structure of the District, may occur from time to time but should be recommended by the Finance Committee and approved by the Assembly. All efforts should be made to allocate such expenditures within the responsibility of a committee or officer position in order to assign accountability for the expense.

3. Prudent Reserves

a. General Treasury prudent reserve will be set annually at six (6) months of operating budget based on the prior year’s actual and final operating budget.

b. Functions Committee reserve is set at $2,500 and is adjusted after each event’s funds are reconciled. When the balance is above $2,500 that amount is transferred to the General Fund. When at year end, the balance is below $2,500, a line item can be inserted into the District budget for the following year to bring the reserve back to the $2,500 level.

For more information please contact the District 12 Treasurer or the District 12 Assistant Treasurer.

The Finance Committee provides direct oversight of the District Treasurer and Assistant Treasurer on behalf of the Assembly.  The purpose of the Finance Committee is to make sure that our Financial Principles are maintained in accordance with Steps, Traditions, Concepts and Bylaws.

The Finance Committee is responsible for creating the annual budget in consultation with the officers and committee chairs.  The budget is presented to the District Assembly at the December Assembly meeting and is voted on by the Assembly at the January Assembly meeting.

The committee meets on an as needed basis, but will meet at least twice per year to create the budget and then review the budget against actual income and expenses at the half year mark.  The committee also provides on-going advice to the Assembly on financial requests throughout the year.

Voting membership of the committee consists of the District Treasurer, Assistant Treasurer, two members at large who represent the assembly.  The  members at large are appointed in the off cycle election years.  They are nominated by the District Treasurer and approved by the Assembly.

The Committee also consists of a non-voting Property subcommittee chair, who is responsible for the Assembly’s relationships with outsite organizations from whom we rent space for Assembly activities such as meetings, functions and other events.  The subcommittee chair coordinates rental agreements between district assembly entities and the owners of facilities and ensures that prompt payments are made for the assembly’s use of outside facilities.