# FINANCIAL ACCOUNTABILITY IN THE CAP

**Introduction**

The Congress of the United States allocates funds for Civil Air Patrol.
Disbursements of these funds are used to furnish, pay, or reimburse CAP
for items while participating in an Air Force-assigned mission or for
specified equipment or activities. These items include automotive fuel
while enroute to/from and while performing the mission; aircraft
expenses based on Air Force established rates; commercial communications
expenses associated with the mission; and administrative costs,
equipment, travel, and per diem expenses (CAP counterdrug missions
only).

**Why You Must Know About Basic Financial Procedures**

CAP relies on each member to file for reimbursement of expenses in a
timely manner. This allows CAP to maintain a uniform system of
budgeting, accounting and control of its funds. Finally, timely filing
enables each level of command, from the unit to higher levels of the
organization, to meet deadlines as described below.

**It is imperative that each CAP member understand the basic accounting
rules in order to meet the requirements of the Laws of the United States
(Public Law 88-504), the *Constitution and Bylaws of the Civil Air
Patrol* and the decision of its National Board and National Executive
Committee (NEC).**

Each Region and Wing Commander ensures that the requirements, as
established in CAPR 173-2, *Financial Procedures for CAP Regions and
Wings*, are accomplished, and each have the ultimate responsibility for
all region/wing funds.

**Financial Transactions and a Member's Impact on Higher Echelons of
CAP**

Financial procedures for CAP regions and wings are arranged to meet
these requirements:

1.  To maintain a uniform system of budgeting, accounting, and control
    for all CAP regions/wings.

2.  Provide adequate auditing to ensure control of all funds of CAP.

3.  Present to Congress of the United States an annual financial report
    of the assets, liabilities, income, expenses, and net assets of CAP.

The law requires CAP to file with Congress an annual audit of its
financial records not later than March 31^st^ of each year. To meet this
deadline, all units must meet the filing dates in CAPR 173-2. The CAP
Fiscal Year is 1 October through 30 September. Prior to 30 September of
each year, the region/wing finance committee prepares a budget for the
next fiscal year. This budget is reviewed quarterly. No later than 31
December of each year, region/wing annual audited financial statements
are forward to auditors for National HQ, CAP.

# Responsibilities of Region and Wing Commanders

# 

# Region and Wing Commanders have the ultimate responsibility for their funds. Each shall ensure that the requirements of CAPR 173-2 are accomplished. Each region and wing commander shall establish a finance committee composed of the region/wing commander, a region/wing finance officer, and two other officers from each region/wing. The finance committee of each region/wing will (1) advise their respective region/wing commander with respect to the administration of their region/wing funds and (2) assist and supervise subordinate levels (regions supervise wings, wings supervise units below) to ensure that all financial requirements are met.

# Fund Administration and Two-Signature Checks

# 

# Unit funds will be administered by the unit finance officer as directed by the commander. The USAF military and Civil Service personnel assigned to HQ CAP-USAF, including the CAP-USAF region and wing liaison offices, will not administer funds.

***In according with CAPR 173-2, all unit funds will be deposited in a
bank account requiring two (2) signatures for withdrawal*.**

One of the signatures must be that of the finance officer or assistant
finance officer.

The two signers will not be members of the same family. All checks
issued *must* be supported by itemized invoices or other documentary
evidence. Checks will not be pre-signed nor will they be made out to
"cash".

## **A Personal Commitment from Every CAP Member**

## 

## As we have seen, the CAP relies on the accurate and timely submission of vouchers of its members in order to meet reporting deadlines and ensuring timely reimbursement for services. ***In order to do this,*** e***very member must make a personal commitment to the fiscal responsibilities of the organization***.

CAPR 173-3 establishes procedures for processing claims by CAP members
and units for costs incurred while participating in Air Force assigned
reimbursable missions. It applies to **all CAP personnel** involved in
the submission and review of CAP mission reimbursement vouchers.

# Payment to CAP Members

1.  Individual CAP members are authorized to submit vouchers for:

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(a) Aircraft flight hours

(b) Aircraft oxygen service

(c) Commercial communications costs and taxes

(d) Automotive fuel and oil (with receipts)

(e) Member-owned aircraft maintenance

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2.  Members shall:

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(a) Complete and original and one copy of CAP Form 108 *Financial
    Accountability* (items 1 -- 10a).

(b) Attach the original and one copy of receipts, bills, etc.

(c) For communication costs, attach the original phone bill, identify
    calls and costs, or provide a list of calls, cost and method of
    payment for each.

(d) Complete and sign member certification on CAP Form 108.

(e) Forward to the wing within **45 days** of mission completion.

Reimbursement from other organizations will be in accordance with the
current memorandum or letter of agreement with that organization.

**Conclusion**

Financial accountability in CAP requires every member to make a personal
commitment to ensure the unit funds are reported in a timely manner. A
basic understanding of the rules for accounting for CAP finances
stresses the need for this commitment. CAP relies on each member to make
timely requests for payment, not only for your reimbursement, but so it
can account for all expenditures in the organization.