# Presentation: 354532

## Welcome to
“How to efficiently and correctly process your unit’s finances”

- “How to efficiently and correctly process your unit’s finances”

## Subtitled:

- “I’m from Wing and I’m here to help”
- Captain Rich London
- NC Wing Finance Officer
- rlondon@servman.com

## Goals:

- Explain why accurate financial reporting is so       	important
- Explain how the “Wing Banker Solution” 	works
- Explain the procedures for depositing and 	withdrawing money
- Explain why I am on your side

## Understand this:

- We are all volunteers

## Advantage:

- Usually passionate about helping

## Disadvantages:

- Usually have little spare time
- Must WANT to follow the rules; can’t be forced

## A little background:

- CAP nationally reports to Congress and the Air Force
- 		(Think of them as our parents)

## The role of a parent:

- Set rules and expectations

## A parent’s expectations regarding money:

- Spend it wisely
- Be accountable

## We seek missions from Homeland Security and other Federal and State agencies

- (Think of them as our customers)

## What does financial reporting have to do with our customers?

- Think about how you choose a service company to install or repair something for you.

## Questions you ask yourself:

- Are they qualified?
- Can they be trusted?

## How does that apply to CAP finances?

## First our obligation to our “parents”:

- Congress and the Air Force expect us to spend our money wisely and be accountable in our reporting.

## Our obligation to our “customers”:

- Are we qualified?
- Can we be trusted?

## Why are we having this discussion? 

-    Help the Wing accurately report the units’ financial status to National so our “parents” and “customers” will know what our resources are and know that we can be trusted with their money.

## This requires an “Unqualified Audit”

## Why haven’t we been able to get an Unqualified Audit?

- The units conduct their finances on a Cash basis, the Wings and National are on an Accrual basis.
- The units do not file timely or accurate financial reports. (47% of units still haven’t filed their Year End 2006 NCWGF 37)

## The solution:

-    Have the full-time Wing Administrator handle the day to day accounting chore of posting the deposits and writing the checks – UNDER THE DIRECTION OF THE UNITS’ FINANCE COMMITTEE.

## What does it accomplish?

- It accounts for the funds and activity of all units at the wing level
- Provides greater accountability and reporting of CAP appropriated and corporate funds
- An unqualified audit opinion enhances public trust

- Finances are an emotional topic
- Don’t mess with people’s money!

## Debunking some rumors:

- The Wing wants to take our money.
- The Wing can’t be trusted with the money.
- Our Squadron won’t be able to get a check when we need one.
- This will cause more work for Wing.

## Benefits to the Unit

- Allows units to focus on CAP mission
- Decisions and control remain with the unit
- Unit does not have to file 173-2
- An unqualified audit opinion will be a catalyst for additional missions for squadrons nation wide

## Do we have to do it?

- YES!

## You are taking our money!!

- No--The unit still has control of how the funds are spent
- The wing is acting as the bank, accountant and reporter
- Reports of activity and unit balances will be provided

## How does the Wing Banker Solution work? 

- Unit sends a final year end report (NCWGF 37) (available on the Wing web site)

## Unit either sends a check to Wing or makes a deposit directly and then files NCWGF 36

## Unit sends properly signed check request (NCWGF 35) to Wing by Wednesday to have check mailed out on Friday.

## Advantages to Unit Finance Officer:

- No longer needs to complete quarterly or annual finance reports
- No longer needs to write and mail checks to vendors

## Reporting Policies

- Submit the final CAPF 173-2 within one month of receiving the final bank statement
- Include a copy of the final bank statement showing a zero balance
- The final transaction should be recorded as an expense with Regions and Wings on the units books

## Questions?