Finance Policy

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National Administration Guideline 4


  • According to legislation on financial and property matters, each board of trustees is also required in particular to:
    • allocate funds to reflect the school's priorities as stated in the charter;
    • monitor and control school expenditure, and ensure that annual accounts are prepared and audited as required by the Public Finance Act 1989 and the Education Act 1989;
    • comply with the negotiated conditions of any current asset management agreement, and implement a maintenance programme to ensure that the school's buildings and facilities provide a safe, healthy learning environment for students.


  • The board of trustees has overall responsibility for the financial management of the school but delegates the day-to-day management of the school’s finance and budget to the principal. This budget will include a professional development budget allocation for the principal and the staff. Budgeting shall not fail to reflect the annual plan, risk financial jeopardy nor fail to show a generally acceptable level of foresight.

Thus the budget should not neglect to:

  • 1. reflect the results sought by the board
  • 2. reflect the priorities as established by the board
  • 3. comply with the board’s requirement of a balanced budget
  • 4. ensure adequate working capital
  • 5. demonstrate an appropriate degree of conservatism in all estimates

The financial viability of the school must be protected at all times. The board understands that the possibility of theft or fraud can not be entirely eliminated however the principal is required to show there are in place safeguards and robust, clear procedures to minimise the risk of either event. Therefore, the principal shall not:

  • 6. incur unauthorised debt
  • 7. violate generally accepted accounting practices or principles
  • 8. use tagged funds for purposes other than those approved
  • 9. spend more funds than have been allocated in the fiscal year without prior board approval
  • 10. fail to ensure all money owed to the school is collected in a timely manner
  • 11. fail to make timely payment to staff and other creditors
  • 12. sell or purchase unauthorised property
  • 13. fail to ensure that all relevant government returns are completed on time
  • 14. fail to ensure that no one person has complete authority over the school’s financial transactions
  • 15. make any purchase
    • of over $500 without having obtained comparative prices and quality
    • of over $??? without an adequate review on ongoing costs, value and reliability
    • of over $??? on a single item without first seeking board approval

Review schedule: Triennially