B. The Committee has fulfilled the direction given by previous conventions:
The Committee considered the direction given by the 1999 Convention with respect to maintaining the Restricted Surplus at not less than 1/2 of one (1) current year’s operating costs and recommends the following:
That the Restricted Surplus be set at not less than 1/2 of one (1) current year’s operating costs.
The Committee considered the direction given by the 1999 Convention with respect to maintaining the unrestricted surplus at a level of at least 10% and recommends the following:
That the Component maintain the unrestricted surplus at a level of at least 10% of operating expenses.
Resolution FIN 1 Removal of UNE Local Financial Review or Audit for calendar year end
Origin: Local 70501
The Union of National Employees will Amend all Governance Documents to waive the requirement for an independent financial review or audit for every UNE Local with greater than $50,000 in assets, and renumber all remaining governance documents pertaining to locals and financial accounting, if required.
The Committee recommends concurrence.
Committee Rationale:
The requirement of a financial review by a CPA causes an unnecessary burden on larger locals of UNE to provide a large rigor to their financial statements that are especially onerous and time consuming in a convention year.
Not for profit organizations as clients are prioritized differently than small businesses or larger corporations within accounting firms.
Additionally and as per policy FIN 1 Section 9, a regional vice-president may ask that the national executive direct the national president to order an independent audit of the local's financial records. Such audits will include, but no be limited to, verification that the local has adhered to its bylaws and that its expenditures have not contravened any provisions of the Union of National Employees' bylaws or policies.
Following this audit, a full report including recommendations will be submitted to the National President. Costs related to this audit will be borne by the local.
Cost of Resolution: No additional cost.
No dues increase.
Moved by: Kevin King Seconded by: Noha Haydari
Resolution FIN 2 Modification to Policy FIN 1
Origin: Local 70130
The Union of National Employees will modify Policy FIN 1 to reflect that locals may have bank access cards that allow for deposits and statement purposes only.
The Committee recommends concurrence.
Committee Rationale:
Many financial institutions in Canada now operate and require bank cards for the account statement to be accessed and to allow for deposits.
Cost of Resolution: No additional cost.
No dues increase.
Moved by: Stephanie Hewis Seconded by: Monique Ireland
Resolution FIN 3 Modification to Section 6 of Policy FIN 1
Origin: Daniel Toutant, Local 10269;
Éric Poitras, Local 10209;
Nathalie Fitzback, Local 10520;
Joffrey Parent, Local 10727;
Yann Boudreau, Local 10200;
Simon Careau, Local 10022
The Union of National Employees will double the amounts specified pursuant to the duty of having financial reviews carried by a CPA in good standing when the annual revenues of a local exceed $25,000 or whose assets are valued in excess of $50,000. This results in the amounts of $50,000 and $100,000.
Local financial reviews
Policy FIN 1 Section 6
Independent financial reviews are to be done by a CPA, who is a member in good standing with the CPA Association, for locals with annual revenues (dues rebates and interest) in excess of $25,00050,000 or assets valued in excess of $50,000100, 000.
The Committee recommends non-concurrence.
Committee Rationale:
The committee has recommended concurrence on Resolution FIN 1.
The requirement of a financial review by a CPA causes an unnecessary burden on larger locals of UNE to provide a large rigor to their financial statements that are especially onerous and time consuming in a convention year. Not for profit organizations as clients are prioritized differently than small businesses or larger corporations within accounting firms. Additionally and as per policy FIN 1 Section 9, a regional vice-president may ask that the national executive direct the national president to order an independent audit of the local's financial records. Such audits will include, but no be limited to, verification that the local has adhered to its bylaws and that its expenditures have not contravened any provisions of the Union of National Employees' bylaws or policies. Following this audit, a full report including recommendations will be submitted to the National President. Costs related to this audit will be borne by the local.
Cost of Resolution: No additional cost.
No dues increase.
Moved by: Stephanie Hewis Seconded by: Monique Ireland
Resolution FIN 4 Amendment to Policy FIN 1 Section 6
Origin: Local 50110
The Union of National Employees will amend Policy FIN 1 Section 6 by adding the following sentence ... in excess of $25,000 or assets valued in excess of $50,000. In circumstances where the assets are set aside in a designated fund for strike purposes only and not available to the executive or general membership for budgeted spending, these strike funds will not be included in the financial consideration for independent financial review.
Local financial reviews
Policy FIN 1 Section 6
Independent financial reviews are to be done by a CPA, who is a member in good standing with the CPA Association, for locals with annual revenues (dues rebates and interest) in excess of $25,000 or assets valued in excess of $50,000. In circumstances where the assets are set aside in a designated fund for strike purposes only and not available to the executive or general membership for budgeted spending, these strike funds will not be included in the financial consideration for independent financial review.
The Committee recommends non-concurrence.
Committee Rationale:
The committee has recommended concurrence on Resolution FIN 1.
The requirement of a financial review by a CPA causes an unnecessary burden on larger locals of UNE to provide a large rigor to their financial statements that are especially onerous and time consuming in a convention year. Not for profit organizations as clients are prioritized differently than small businesses or larger corporations within accounting firms. Additionally and as per policy FIN 1 Section 9, a regional vice-president may ask that the national executive direct the national president to order an independent audit of the local's financial records. Such audits will include, but no be limited to, verification that the local has adhered to its bylaws and that its expenditures have not contravened any provisions of the Union of National Employees' bylaws or policies. Following this audit, a full report including recommendations will be submitted to the National President. Costs related to this audit will be borne by the local.
Cost of Resolution: No additional cost.
No dues increase.
