Non-board funds are those raised or collected from sources other than the operating
or capital budgets of the board. These may come from many sources: endowments,
donations, trusts, fundraising, vending machines, student fees, student council funds,
team fees, commissions and gifts.
There are two general categories of non-board funds: a) school administered and b)
parent administered. Each respective group is responsible for ensuring that the intent
is upheld. Local board policy should further clarify the expectations and
responsibilities of each group. The principal is responsible for monitoring both
school and parent administered accounts.
1. School Administered
School administered non-board funds are under the direct responsibility and authority
of the principal. Since the principal is responsible to the director and board, there is
an implied central responsibility to ensure that the funds are collected and expended
appropriately and within board policy.
Certain basic controls are recommended including:
- a bank account separate from petty cash or other school accounts
a requirement for two signatures on the cheques e.g. principal/office
administrator
- bank reconciliations
- a proper filing of source documents.
Large balances not needed in the short term may be invested in appropriate
conservative investments to generate additional interest income.
The bookkeeping system can parallel that of petty cash. Even where a volunteer staff
member looks after this account, financial controls should be maintained, and where
funds are raised for a specific purpose there is an obligation to ensure that they are
expended for that purpose.
An annual report should be submitted to the business office and, depending on the
board, may be subject to audit.
2. Parent Administered
Parent administered non-board funds could be, for example, the school council, the
Parent Teacher Association and/or the Home and School Association.
Parent administered implies that the parent group has sole signing authority on the
account. However, Regulation 612 still applies. All fundraising must adhere to board
policy per the Education Act and Section 22(2) and 22(3) of the Regulation. Section 24 (1) states, “every school council shall annually submit a written report on its
activities to the principal of the school and to the board that established the council.”
Section 24(2) states, “if the school council engages in fundraising activities, the
annual report shall include a report on those activities.”
If the principal is a signing officer, however, then the funds belong in the schooladministered category above and are under more direct control of the board.
3. Fundraising
Excerpt from Regulation 612 for school councils:
| 22. |
(1) Subject to subsection (2), a school council may engage in fundraising
activities |
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(2) A school council shall not engage in fundraising activities unless,
(a) the activities are conducted in accordance with any applicable policies
established by the board, and
(b) The activities are to raise funds for a purpose approved by the board or
authorized by any applicable policies established by the board. |
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(3) A school council shall ensure that the funds raised by it are used in
accordance with any applicable policies established by the board. |