FoKCB Financial Policy

I. Introduction

This Financial Policy outlines the principles and procedures governing the financial management of Friends of Keep Charlotte Beautiful (FoKCB), an independent LLC and nonprofit entity. The policy is designed to ensure transparency, accountability, and the effective use of funds in support of our mission to promote beautification initiatives.

II. Purpose

The purpose of this policy is to:

  • Affirm FoKCB's independence as an entity supporting Keep Charlotte Beautiful (KCB) initiatives and other beautification causes deemed appropriate by the FoKCB Board.

  • Establish guidelines for the acceptance, management, and disbursement of funds.

  • Ensure that no donor may impose restrictions on donations that conflict with FoKCB's mission and policies.

  • Protect FoKCB's financial integrity when partnering with external organizations, including KCB and other city departments.

III. Independence of FoKCB

FoKCB operates independently of KCB, although it supports KCB initiatives. Decisions regarding the allocation of funds are made solely by the FoKCB Board through majority vote. FoKCB reserves the right to fund other beautification projects that align with its mission.

IV. Use of Funds

  • Allocation of Funds: Funds collected by FoKCB shall be used to support KCB initiatives and other beautification causes as determined appropriate by the FoKCB Board.

  • Board Approval: All disbursements require a majority vote by the FoKCB Board. Funds will not be released without proper authorization.

  • Financial Oversight: FoKCB will maintain accurate financial records and conduct regular audits to ensure funds are used appropriately.

V. Donor Restrictions

  • Unrestricted Donations: FoKCB accepts only unrestricted donations. Donors may not impose conditions or "strings attached" to their contributions.

  • Rejection of Conditional Donations: Any donations with specific usage requirements conflicting with FoKCB's policies will be respectfully declined.

  • Transparency: Donors will be informed of this policy upon receipt of their contribution.

VI. Partnerships with KCB and Other Entities

  • Tax-Deductible Contributions: While FoKCB can accept donations from sponsors directed by KCB or other city departments, such funds will be managed according to FoKCB's policies.

  • Impact Requirement: For projects where KCB partners with FoKCB, KCB must demonstrate a majority impact of at least 51% through financial contribution or significant promotional efforts.

  • Control of Funds: Funds received under such partnerships remain under the control of FoKCB until the FoKCB Board approves their disbursement by majority vote.

VII. Disbursement Procedures and Time Frames

  • Quarterly Meetings: The FoKCB Board meets once per quarter as stipulated in the bylaws.

  • Special Financial Meetings: To facilitate timely disbursement of funds, the FoKCB Board may convene special financial meetings outside of regular quarterly meetings when necessary.

  • KCB Funding Requests:

    • Submission Timeline: KCB must submit a formal funding request at least 30 days prior to the date when funds are needed.

    • Plan of Action: The request must include a detailed plan outlining the project or initiative, objectives, and expected outcomes.

    • Budget Estimate: An itemized budget with cost estimates prepared with due diligence.

    • Justification: A clear rationale for the funding need, explaining how the funds will contribute to beautification efforts.

    • Timeline: Specific dates indicating when the funds are required and the project timeline.

  • Review Process:

    • Acknowledgment: FoKCB will acknowledge receipt of the funding request within five business days.

    • Evaluation: The Board will evaluate the request based on alignment with FoKCB's mission, feasibility, and impact.

    • Decision Timeline: A decision will be made within 30 days of receiving the complete funding request.

  • Approval and Disbursement:

    • Board Vote: Funding decisions require a majority vote by the FoKCB Board.

    • Notification: KCB will be notified of the Board's decision within three business days of vote.

    • Disbursement: Approved funds will be disbursed according to the agreed-upon schedule and terms.

VIII. Decision-Making and Voting Procedures

  • Majority Vote: All financial decisions require a majority vote of the FoKCB Board.

  • Quorum: A quorum, as defined in the FoKCB bylaws, must be present for any vote to take place.

  • Conflict of Interest: Board members must disclose any potential conflicts of interest and abstain from related voting.

  • Special Meetings:

    • Calling a Meeting: Special financial meetings can be called by the Board Chair or by a majority of Board members.

    • Notice Requirements: Members must be given at least seven days' notice prior to a special meeting.

    • Agenda: The meeting agenda must be distributed in advance, outlining the specific financial matters to be discussed.

IX. 990 Filing and Public Availability

The Friends of Keep Charlotte Beautiful (FoKCB) will ensure that Form 990 is prepared and filed within the timeframe stipulated by the IRS, specifically by the 15th day of the fifth month following the close of the fiscal year. For organizations operating on a calendar year, this filing deadline falls on May 15 of the subsequent year. Once filed, Form 990 will be made publicly accessible on our website, fokcb.org, in alignment with our commitment to transparency and accountability.

X. Amendments

This policy may be amended by a two-thirds majority vote of the FoKCB Board. Proposed amendments must be circulated to all Board members at least two weeks prior to the vote.

XI. Approval and Effective Date

This Financial Policy was approved by the FoKCB Board on [Date] and is effective as of that date.