FINANCIAL OVERSIGHT COMMITTEE (“FOC”)
In accordance with the Coastal FC Club Constitution [PART 10: FINANCES 56. (3)], the Club has appointed a committee of independent persons to provide financial oversight for the Club (the “Financial Oversight Committee” or “FOC”).
The Club has implemented a process whereby accounts are reviewed regularly by a committee of independent persons, so identified and appointed by the Board of Directors, subject to the provisos that the committee includes (i) at least one person who has experience with accounting and internal controls; and (ii) no committee member is related to any director through blood, marriage, common-law relationship or such other relationship as the directors may impose from time to time, acting reasonably.
The FOC exists to ensure that systems are in place to develop and safeguard the Club’s finances. The committee assists in the development and monitoring of budgets, oversees financial policies, and provides financial monitoring and general oversight. The FOC provides objective financial reporting and ensures that financial information provided is transparent and accessible.
Providing Appropriate Financial Oversight and Asset Protection
The FOC reviews and approves an annual budget and ensures the Club has adequate financial controls. The committee is tasked with reviewing periodic internally prepared projections to make ensure that the organization is on budget.
Maintaining Adequate Financial Resources
The FOC ensures the Club has adequate resources to fulfill its mission.
Interpreting the Club’s balance sheet and income statement.
The FOC reviews all aspects of the Club’s financial statements and provides summaries and recommendations to assist board members in interpreting the Club’s balance sheet and income statement.
Overseeing the Organization’s Legal and Tax Obligations
The FOC verifies that all filing requirements and tax obligations are completed.
The Club Treasurer is a Certified Professional Accountant (CPA) whom is well versed in Club operations and oversees all accounting and financial decisions of the Club, including actively participating as a member of the Financial Oversight Committee.
The FOC is comprised of at least three CPAs whom have typically been heavily involved with the Club. One member of the FOC is on the Board of Directors to provide direct communication between the Committee and the Board. Members of the FOC liaise regularly with the Treasurer, and quarterly with the Executive Director and President to review quarterly financial statements. Provided that the FOC is satisfied with the Club’s financial statements, the FOC then recommends to the Board of Directors that the financial statements be adopted.
The Chair of the FOC also reviews monthly bank statements and reconciliations.
Each year, once the annual financial statements are complete and approved at the Annual General Meeting, the Club engages an independent CPA firm to review the financials. The results and recommendations of this review are communicated to the FOC and the Board.
The Financial Oversight Committee provides valuable guidance and insights to the board, enabling the Club to continuously evaluate the organization’s financial position, internal policies and systems that can affect Club operations. Combining day-to-day oversight with a long-term view of the Club’s goals and objectives, the FOC’s role is critical in providing transparency and positioning the Club well for future growth.