Operating Policies

Operating Procedures for the Section 87 Fund

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The Section 87 Fund is a monetary fund set up to assist and support the chapters of section 87 through section programs, events and communications. The fund will provide seed money, which can be borrowed by a chapter planning to hold a conference. The setting of dues, disbursement of funds shall rest in the hands of the active brothers through this document

As Approved at the Section 87 Business Meeting, November 2007

Holding of the Fund
1. Location
  1. A designated chapter within Section 87 shall hold the section account.
  2. The fund should be held in an account separate from that chapter's regular account.
2. Section Treasurer
  1. The section chair may choose to appoint a member of staff as section treasurer to administer the section fund and these operating procedures
3. Account signatories
  1. A representative of the holding chapter, the section chair, the section treasurer (if appointed), and others designated by the section chair.
  2. Any two of these signatures shall be required to remove funds from the account.
Record Keeping.
1. Complete records of the account transactions should be maintained by the account treasurer
2. The section chair will review records at least annually.
3. The designated chapter has the right to audit the Section 87 account, when they deem necessary.
4. The records should include copies of any correspondence relating to the account, including:
  1. Letters requesting funds
  2. Including record of any funds actually dispersed
  3. Records of any payments made to the account, either as loan pay back, or chapter dues paid
  4. Section budget
Collection of Dues
1. Dues
  1. Each chapter shall be responsible for paying the Section Dues, as set by a majority vote of the active chapters in the section.
  2. The dues shall be a certain amount per active brother, paid once per year. For these purposes, the number of active brothers shall be the number reported by that chapter on their most recent AAMD forms.
  3. The annual section dues shall be payable to the section chair or their designee on or before Nov 15th of each year.
  4. A chapter, which is delinquent in paying section dues, shall:
    1. Not be eligible to use or receive section funds for any purpose
    2. May not receive awards from section sponsored programs.
    3. Cause the chapter to lose votes in sectional business.
    4. Section dues are $3 per active brother per year through the 2010-2011 academic year. Dues shall be $2 per active brother per year effective with the 2011-2012 academic year.
Usage of Funds.
1. Section Budget
  1. The section treasurer and section chair shall develop a budget to run from September 1st to August 31st of the following year.
  2. The budget shall be ratified by a majority vote of the active chapters in the section at the spring conference.
  3. All money identified in the budget may be dispersed to the appropriate individuals by the section chair and treasurer
    1. Such items are payable only after the expense - advances are not allowed.
    2. A reimbursement from the fund must be a written itemized list of justified expenses with appropriate receipts.
2. Conference Advance Loans.
  1. A chapter that has been confirmed to be holding a conference may request a loan from the section fund.
  2. The request must be in writing, and include an itemized listing, including amounts, for the total amount requested.
    1. Appropriate items for loan usage includes: deposits for meeting rooms, banquet facilities, meals, bands or DJs, conference-related expenses and correspondence.
  3. A request for a loan shall be sent to the section chairman. After approval by the chairman, a check will be issued to the chapter.
    1. Any denial by the sectional chair, except due to unpaid dues, may be over-ridden by a majority vote of the section
  4. Conference advance funds are a loan, and are to be repaid in full. In the event that a conference shows a deficit, the host chapter may ask for no more than half of the loan to be forgiven.
    1. A full written report of the conference finances shall be submitted along with written request explaining the amount of the loan sought to be forgiven and the reasons for the deficit.
    2. Approval by the section chairman as well as is required to forgive up to half the loan
  5. Because of the nature of sectionals, any profit from a conference, after the loan has been repaid, shall be split between the host chapter and the section fund.
Reporting
1. A report will be presented at each sectional conference during the business meeting
  1. The section chair will send out budget information to all chapters 2 weeks before the section conference, to be reviewed before the business meeting.
2. The regional director or Account signatories may request to see the most recent report - this request should be handled promptly
3. The report should include but is not limited to
  1. The account balance
  2. The amounts any loans outstanding,
  3. Status of each chapter's contributions to the fund since last report
  4. Monies dispersed since last report
  5. A working section budget
4. Copies of fund report and receipts are to be kept in the section records.