Finance

Policy Statement

ARRO will manage its finances in a transparent manner and in accordance with all relevant legislation and good business practice. This policy sets out how ARRO will manage:

• Budget planning Bank accounts Delegations Payments Auditing

Definitions

• ARRO financial year – As set down in the ARRO Rules of Association, the ARRO financial year ends on the last day of February each year. Executive – refers to the Executive Management Committee of ARRO as defined in the Rules of Association. Technical – refers to the Technical Committee of ARRO as defined in the Rules of Association.

Context

ARRO is committed to prudent and transparent financial management processes. As a ‘not for profit’ organisation ARRO has established a range of systems to manage all aspects of the finances of the organisation. In accordance with the requirements of the Associations Incorporation Reform Act 2012 (Victoria) it is also obliged to ensure the financial records of the organisation are kept in transparent manner and that a report of the financial status of the organisation is presented as a minimum at the Annual General Meeting of ARRO.

Procedures

The following headings, down to and including ‘Responsibility’ set out how this ARRO policy will be implemented.

Auditing

The Act under which ARRO is constituted no longer requires external independent auditing of financial records of the Association, unless the turn over exceeds AU$250,000.00 per annum.

Should the annual turn over exceed this amount ARRO will engage an suitably qualified external auditor.

Budget Planning

The Governance & Compliance Officer will develop a budget forecast for the forthcoming ARRO financial year in consultation with the Executive of ARRO. This will include making recommendations in relation to aspects such as changes to membership dues, fees charged to hosts and the likely amount of sponsorship required to ensure ARRO is able to meet its objectives for the forthcoming year.

Financial Management Processes

The Governance & Compliance Officer will monitor all ARRO bank accounts and current trends in the financial market and make recommendations to the Executive as required in relation to the movement and disposition of all ARRO funds from one account to another to ensure the best possible return within acceptable risk limits to the Executive.

Bank Accounts and Statements

All bank accounts will be established in the name of ARRO and include ARRO’s Australian Business Number (ABN). All accounts will be established on a ‘two to sign’ basis with a minimum of three current members of the Executive as approved signatories on each account. All bank statements issued since the previous Executive meeting are to be sighted and initialled by either the President or the Vice President at each meeting of the Executive.

Delegations

Only members of the Executive and Technical committees shall have a standing financial delegation as set out in item 1 of the Schedule of Delegations and Allowances attached to this policy. Delegation amounts apply to a single transaction only and no more than three transactions may be carried out between Executive meetings without prior approval of the Executive. Delegations are assigned to the position and therefore anyone acting in a portfolio shall have the delegation associated with that role. However delegations are not cumulative should one committee member fulfil two or more roles for a period of time.

Delegations shall only apply to non-routine expenditure. Any standing expenses such as monthly bills are to have been agreed to by the Executive at the time of entering into the agreement with the provider and recorded in the minutes of the Executive meeting.

The Executive may approve a special delegation to any member of ARRO for a specific project. This will have whatever constraints and limitations the Executive determines are appropriate and shall be clearly documented in the minutes of the Executive meeting. Any such conferral must specify expiry criteria.

Large expenditure

Any expenditure over the approved delegation of any individual member of ARRO must be presented to the Executive for consideration. Wherever possible this must be supported by at least 2 quotes, or if deemed necessary by the Executive, more than 2.

Income and expenditure recording

The Governance & Compliance Officer will be responsible for the ensuring all income and expenditure is promptly and accurately recorded using whatever software system the Governance & Compliance Officer determines is appropriate from time to time.

Invoicing and membership renewals

All requests for payment will be issued promptly by the Governance & Compliance Officer in a form approved by the Australian Taxation Office (ATO), having due regard to the Goods and Services Tax (GST) status of ARRO at the time of issuing the request.

Personal Expenses

General

ARRO will only reimburse members for their out of pocket personal expenses as detailed in the ARRO Schedule of Delegations and Allowances, for expenditure incurred on ARRO business as approved by the Executive Committee. In all cases, a signed ARRO Personal Expenses Claim form must be submitted to the Governance & Compliance Officer with receipts. Claims made by the Governance & Compliance Officer must be countersigned by another member of the Executive. Expenditure incurred must meet a generally accepted ‘fair and reasonable’ standard. The Schedule of Delegations and Allowances will be reviewed by the Executive on recommendation by the Governance & Compliance Officer from time to time.

Travel expenses must be at the best available fare, having regard to the requirements of ARRO as well as those of the individual. For example, business class or full economy class airfares are not generally acceptable, however if due to work or personal commitments of the individual; travel at the cheapest available airfare is not practical due the times of available flights then an alternate flight or carrier may be used. In such circumstances discretion of the individual should prevail. If there is any doubt the costs should be referred to either the Governance & Compliance Officer or the member of the Executive coordinating the purpose of the travel.

Committee members

For all commitments within Australia and New Zealand, where committee members (Executive and Technical) choose to make a claim from ARRO for reimbursement for travel, accommodation, meals or incidentals, they will have the entire cost of their travel and personal expenses (meals, accommodation and incidentals) covered when these expenses are incurred in relation to approved ARRO business. The ‘fair and reasonable’ standard shall always apply.

ARRO Challenge Management Team Members

Where ARRO selects individual members of ARRO to be part of the Challenge Management Team (CMT) for an Australasian Challenge, the following will apply:

• Travel – the entire cost of the travel will be reimbursed by ARRO. This will be calculated based on whichever is the cheaper of the ‘best available airfare’, or the cost of road travel based on a rate of AU$0.75 per km of travel. Road travel distances will be calculated from the member’s home to the ARRO destination using the shortest Google maps route. Accommodation – will be booked and managed by ARRO in conjunction with the event hosts and provided to all CMT members on a twin share basis for all of the days that person is required to work at the challenge, plus one. (i.e. if required from Tuesday to Sunday, accommodation will be provided for Monday to Sunday nights inclusive). Additional nights or if the CMT member wishes a room to themselves or to bring their partner, this will be at their own expense. Breakfast – will be provided for each day the person is required at the Challenge, plus the departing day, usually as part of the accommodation arrangements. Outside of these times and where meals are not provided by the Host Organisation as part of the ARC, reimbursement will be provided to the amount and conditions set down in the Schedule of Delegations and Allowances. This schedule outlines the amount and conditions of claim for Breakfast, Lunch and Dinner.  ARRO will provide one ticket for each CMT member to each of the official functions associated with the challenge. Those members wishing to bring additional guests to the functions will need to book and pay for them separately, usually directly with the host organisation.

Other ARRO Functions and Business in Australia or New Zealand

Where any member of ARRO is involved in other approved business on behalf of ARRO, reimbursement for out of pocket expenses shall be determined by the Executive committee when approving the function.

Participation in a Challenge Management Team other than for the Australasian Challenge within Australia or New Zealand

Where ARRO members are invited to participate in a CMT any reimbursement of expenditure shall be the responsibility of the hosts of that event.

Attendance at World Rescue Organisation Challenges and Meetings

Where a member of the Executive is approved to travel to the World Rescue Organisation (WRO) Annual General Meeting (AGM) as an ARRO delegate, the entire and actual cost of their travel, accommodation and meal expenses will be met and any reasonable incidentals expenses for that part of their travel associated with attendance at the WRO function and any reasonable stops associated with the timing of the travel. The ‘fair and reasonable’ standard shall always apply.

Where ARRO selects and sends World Assessors to participate as part of the WRO CMT, it is expected that the World Rescue Challenge hosts will provide meals and accommodation for the assessors. The cost of travel to attend the challenge will be reimbursed by ARRO on production of receipts for travel up to the amount specified at item 3 of the Schedule of Delegations and Allowances.

Where a member of the ARRO Executive is selected to attend as both an Assessor and a WRO delegate reimbursement as a delegate to the meeting will apply. A completed travel report is to be submitted by each person supported by ARRO regardless of the role they fulfil on return from the challenge.

Financial assistance to one team to participate in the World Rescue Challenge

One team from the top five placed teams in any Australasian Rescue Challenge may receive some financial assistance to attend the World Rescue Challenge in the following calendar year (i.e. Teams from ARC2007 may be assisted to attend WRC2008).

Following each Australasian Rescue Challenge, the President will write to the first placed team offering them financial assistance up to the amount specified in item 4 of the Schedule of Delegations and Allowances. Teams will have 90 days to accept the offer. Should they decline the offer for any reason the offer will cascade down the list of teams based on their finishing place, as far as 5th place.

Payment will be made on production of a receipt confirming travel bookings for the team to attend the World Rescue Challenge. On return from attendance the team is expected to submit a completed ARRO travel report.

Attendance at Challenges and Meetings outside ARRO

From time to time ARRO is invited to nominate Assessors or other members to attend challenges or meetings being hosted by other organisations (e.g. North American International Challenge). Unless specifically approved by the ARRO Executive, no financial assistance is available to assist ARRO members who may be selected to attend these events. If approved and supported financially, a completed ARRO travel report is to be submitted.

Responsibility

All members of ARRO that seek to expend funds or claim reimbursement from ARRO must comply with this policy and the procedures set out with in it. The Governance & Compliance Officer and members of the Executive with financial delegations and who are signatories to any bank accounts are responsible for ensuring all processes associated with this policy are complied with. The Governance & Compliance Officer will have overall responsibility for regular review of this policy.

Associated Documents

• Personal Expenses Claim Form »
• Schedule of Delegations and Allowances June 2020 »

Record Keeping

In accordance with the requirements of the Australian Taxation Office, all financial records, bank statements, claim forms, audit reports and the like will be kept by the Governance & Compliance Officer for a period of 7 years.

Warning – Uncontrolled when printed!

The current version of this document is kept on the ARRO web site.

• Authorised by: Governance & Compliance Officer Original issue: 9 November 2008 Current version: 20 August 2019.  Review no later than: 1 December 2021