1. How to Prepare a CHAPTER

2. Board Fiduciary Responsibility:
Act in trust as the responsible parties for the obligations of the Chapter.
Always acting in the best interest of the membership as a whole.
Review and approve budgets to fulfill the Chapter’s purpose and strategic plan.

3. A Chapter Budget is essential as it:
transforms money into a tool to achieve goals, align priorities and fulfill needs
gives guidance on spending
communicates values and expectations

4. Budgets are a living document should be prepared carefully and should realistically reflect anticipated income and expenses, based on previous years’ experience.
Income should be on the conservative side, while expenses should be more on the aggressive side.

5. When preparing a budget it is suggested to use a budget worksheet so there is a permanent record of how the budget was derived and to also make notations as to why adjustments from the previous year(s) were made.
If you find you have more expenses than you do projected income, cut your budget. Delete a planned expenditure or reduce several expenditures by a proportionate amount.
A budget template can be found Member Center - Chapters – Chapter Officer Tools – under “Chapter Treasurer” heading and will be discussed later in the presentation.
Note any special circumstances that may affect expenditures during the current year. The worksheet should become a part of your financial records for that year.

6. The following are some items to help when preparing a budget.
Income:
What will your renewal membership be?
How many new members do you hope to recruit this year?
Any sponsorships from members and/or their companies?

7. Expenses:
Allow for Director's expense if you plan for her to visit your chapter.
If your region has a director's and/or regional fund, remember to budget your chapter's voluntary contribution.
Allow for AMEC expense for your delegate(s). Chapters are required by our National Policy to be represented at AMEC. Many chapters budget a specific amount for the President and delegates to attend.

8. Plan for all or a portion of Forum and Fall Conference expenses for the president to attend and any other members that your chapter may allow for.
Membership promotion should be among your largest line items. The Membership Committee should have funds to allow for inviting guests, membership promotion drives and literature. This is one area that is very important to your chapter's future. Please provide them ample funds.
PD&E: Without interesting programs/projects you can't hope to retain and/or attract new members.
Make sure to budget funds for the Professional Development and Education Committee (PDE) includes speakers’ fees (including paying for dinner) in addition to your community projects.

9. Don't forget to budget for any NAWIC pins.
The Bulletin/Newsletter/Website will help to keep those members unable to attend a meeting fully informed.
Don't forget to budget for any NAWIC pins.
Be sure to include Committee, administrative and hospitality expenses.
Committees like Ways and Means, Executive/Industry Appreciation, and Scholarship are self-supporting committees in that the revenue brought in for that committee should cover their expenses.
Bulletin/Newsletter/Website: Everyone wants to feel wanted (and missed). Allow for printing and postage if they do not have an address.
NAWIC pins: such as a Past President given at the end of the year, pins that may be needed for installation and membership pins for new members (if applicable).
Committee, general administrative and hospitality expenses are often not "big ticket" items since many members (or their firms) absorb the expense for phone calls or postage. But be sure to include something, all members may not be in a position to absorb these expenses and you don't want to exclude a talented member from volunteering because she can’t afford these costs.
There is a “Budget Request Form” located in the newly updated Chapter Treasurer handbook that can be sent to Chapter Committee Chairs.

10. Special events require certificates of insurance
Special events require certificates of insurance. Certain special events (i.e. Block Kids, Casino Nights) are assessed a premium, which is the chapter’s responsibility.
Check with the incoming President for any special projects she has planned for the year that will require funding.
Please refer to the insurance specifications for details on what types of events will incur fees. They are available on the National website at Member Center – Chapters – Chapter & Membership Forms – under Special Event Insurance heading.

11. Remember that each Chapter is different and may have other committees and expenses than what is listed here.

12. At least 50.1% of the operating/general administrative expenses MUST come from member support and/or program services.
Operating/general administrative expenses such as postage, post office box, chapter website, storage unit, newsletter, insurance, Corporate filings just to name a few.
Member support such as dues, sponsorships (members and/or member companies) and/or program services such as meetings with industry related speakers, construction related seminars, Block Kids, CAD.
Income from an event not related to NAWIC’s IRS exemption purpose cannot be the majority of funding for your chapter’s expenses.
Insurance such as D&O and/or other liability insurance necessary to protect the Chapter members.
Corporate filings, National suggest all chapters to be incorporated. Depending on the state there are periodic filings (some with fees and some without) required to keep your corporate status active. Check with your state and make note when they are due.

13. A budget vs. actual spreadsheet has been created to help with analyzing. The template can be found Member Center - Chapters – Chapter Officer Tools – under “Chapter Treasurer” heading.
We will review the template at the end of the presentation.

14. Budget worksheets, comparisons, etc
Budget worksheets, comparisons, etc. should be retained by the current Treasurer who serves as a member of the Finance Committee, and will respond to questions at the time the budget is presented and any that may arise later.
Proposed budgets are presented by the Finance Committee to the Board for approval.
The budget should be approved by the Board that will be utilizing it prior to October 1st. Once the new Board is installed typically at the September meeting a Board meeting can be set-up right after that meeting or at another time between the installation and October 1st.

15. Once approved, the Board would notify the membership that the budget has been approved and is available for review.
Review your budget at mid-year to determine if any adjustments are necessary. The Chapter Board approves any revisions.
It is important to let the members know that the budget is available for review providing transparency by showing them a tool to achieve goals, align priorities and fulfill needs; guidance on spending and communicates expectations.

16. Questions