Geographic Chapter Bank Account Policy

Rationale

The Indiana University Alumni Association, Inc. (IUAA) provides local alumni engagement in organized geographically based chartered alumni communities (chapters). Chapters are managed by alumni volunteers and are funded through IUAA or the IUAA grant program. In order to allow operations in geographic regions, IUAA allows certain domestic chapters to have access to their funds via a chapter bank account that is accessible by both chapter volunteers and IUAA staff.

Fiduciary oversight and management of funds for chapters are managed by chapter volunteer leadership. Volunteers are responsible for budgeting, expenses, and reporting to IUAA.

Policy

Opening Chapter Bank Accounts

I and U chapters are permitted to operate a chapter bank account so long as they are in good standing with IUAA. All Chapter Bank Accounts will be opened by the IUAA Business Office (ABO) and include three IUAA staff signers as indicated in our Signatory Authority Policy (the CEO, the Executive Director of Finance, and the Senior Executive Director) and two chapter signers (President and Treasurer). Accounts will be opened at the IU Credit Union (IUCU) with digital signature cards sent to volunteers. Once the signature cards are returned, account signers will receive their online banking credentials and a debit card and check book (if requested) will be ordered.

Managing and Reporting Chapter Bank Accounts

I and U chapters are permitted to operate from their chapter bank accounts so long as they are in good standing with IUAA. If they are not in good standing, they are at risk of not receiving their allocation or the loss of their chapter bank account. Chapters must adhere to the following guidelines to remain in good standing with the IUAA:

• Submit financial reports twice annually following the guidelines in the Financial Reports Guide using the recommended Semi-Annual Report Template
  • Report 1 – Due November 30th (for period May 1 – Oct 31)
  • Report 2 – Due May 31st (for period Nov 1 – April 30)
• Fully participate in the Chartered Alumni Communities program
• Comply with the Geographic Chapter Bank Account Agreement

A completed financial report must include the following:

1. Financial report cover sheet
2. All receipts and documentation for all items and entries
3. All corresponding bank statements for the financial reporting period
4. W9 for vendors who were paid $600 or more in one calendar year by check or cash

Appropriate Use of Funds

Chapter bank account funds are to be used for engagement, programming, and communication to alumni and other initiatives as outlined in the Chartered Alumni Communities Program. Allocation funds are restricted to the guidelines set out in the Use of IUAA Funds policy. Please consult your chapter liaison with questions as not every scenario is listed.

Appropriate Revenue Handling

Alumni Communities may take in revenue to support chapter activity or fundraising. These funds should only be solicited and accepted by the chapter for applicable alumni relations activity and not for anything outside of the scope of normal chapter activity (see the Use of IUAA Funds policy). The chapter should deposit checks and cash as soon as possible in their IU Credit Union account through the IUCU mobile application, at their local IUCU branch, or an applicable location in the credit union network.

Credit Card Handling

Online payment registrations should be accepted through Encompass which will be deposited in the IUAA corporate bank account and transferred to the chapter bank account after the event form is closed. All other credit card deposits should be processed by the IU Alumni Business Office unless another PCI (Payment Card Industry) compliant method is vetted and approved for your chapter. Credit cards should never be typed into a computer by staff or volunteers for any reason. Credit card information should be kept in a locked secure place if they must be stored until processed. Once processed, they should be cross-shredded, redacted, or incinerated immediately (secure destroyed).

Contributions

Any solicitation for donations should be reviewed and approved by the chapter liaison and by the IU Foundation prior to soliciting. All contributions should be sent to the IU Foundation directly. In situations where chapters are collecting donations on site, they should forward the donations and donor information to the IU Foundation as soon as possible.

Indiana University Foundation
Post Office Box 6460
Indianapolis, IN 46206-6460

Appropriate Expense Handling

All expense activity in the chapter bank account should follow the Use of IUAA Funds policy. No personal expenses should be charged to this account. Should the volunteer accidentally charge personal expenses to the chapter bank account, the volunteer should reimburse the chapter bank account immediately. All chapter expenses require a receipt to be submitted with their chapter financial report. No individuals should be reimbursed for chapter expenses without these receipts.

Debit Cards

Each chapter bank account volunteer signer will have access to a debit card. The debit card should only be used by the person whose name appears on the card. If a debit card is handed off from the card holder to another volunteer leader and an unauthorized purchase is made, the money used will be a loss to the chapter or the individual volunteer depending on the circumstance.

If the debit card is lost, stolen, or suspicious activity has occurred in the bank account, contact the IU Credit Union at 812-855-7823 (ext 1510) or 800-528-2273 immediately to cancel the card, dispute fraudulent charges, and/or order a replacement.

Changing Account Signers

Account signers should be changed at the beginning of the new fiscal year when a new president or treasurer is elected. To change account signers from the current account, contact your liaison and they will request a new signature card through the IUAA Business Office. Personal information will need to be provided to the IUAA Business Office in order to generate a new signature card from IU Credit Union. The signature card will be sent to the new officers virtually by IU Credit Union, the signature card must be returned to IU Credit Union within 10 days of receipt. Any new signature card generated will supersede the old signature card with past officers. Upon the signature card being completed the new officers will receive online banking credentials and order a new debit card in their name. The checkbook should pass from the former treasurer to the new treasurer or should be secure destroyed.

Complete a Geographic Chapter Bank Account Agreement