FINANCE/AUDIT COMMITTEE

The Treasurer of the Association is the Chair of this committee and serves as liaison between the board and the committee. It is recommended that the committee be composed of no less than three, nor more than seven members, including the chair. The committee shall meet on an as-needed basis in order to comply with its responsibilities set out below.

COMMITTEE RESPONSIBILITIES

1. Prepare an annual budget to be presented at the Annual Meeting for adoption at the January Board Meeting,
2. Manage all investments of the Association in a manner consistent with its written Investment Policy,
3. Monitor the reserve account in order to meet the requirements of mortgage lending institutions, and
4. Monitor liability insurance in order to provide adequate coverage for the needs of the Association.

POLICY: 

The Association Investment Policy addresses the methods, procedures and practices which must be exercised to ensure effective and judicious fiscal investment management of KVTA funds. This policy statement is on file with KVTA records.

DUTIES:

• Committee Chair
  1. Preside at Committee meetings,
  2. Attend monthly board meetings, submitting monthly financial report, and
  3. Submit Committee recommendations to the board.
• Committee-
  1. Attend Committee meetings,
  2. Budget - Prior to drafting the proposed annual budget, Committee will contact board, property manager and chairs of all Association committees to determine appropriate budget items for the next fiscal year; prepare a draft budget to be presented at the October Board Meeting; revise draft, as needed, for presentation at the Annual Meeting,
  3. Investments - Review investments on an ongoing basis, and/or prior to investment maturity dates,
  4. Reserve Account - Meet with property manager annually to review and update the reserve study, as it applies to the operations of the Association and its Five-Year Plan, and
  5. Insurance - Review insurance coverage on an annual basis; research and recommend changes as deemed appropriate. Consult with legal counsel as needed.

Rev: 4/02/03