COA - Council On Accreditation

	Financial Management

Introduction

Administration and Management

Service Delivery Administration Standards

Service Standards

Administration and Management Narrative (CA-FIN):

The Administration and Management Narrative should provide an overview of key practices that contribute to the performance and productivity of your organisation. The Narrative supports, but should not duplicate, evidence provided elsewhere in your self-study.

The Financial Management Administration and Management Narrative should provide the Peer Review Team with a clear, concise description of how your financial management practices help to shape, advance, and sustain your organisation’s mission and strategic goals.

Purpose Standard: Financial Management (CA-FIN)

The organisation’s financial accountability and viability are achieved through the application of sound financial management practices that accord with legal and regulatory requirements.

Provide responses to the following questions that address your organisation’s achievement of the Financial Management Purpose Standard. Highlight applicable obstacles and innovations, if any, in each of your responses.

1. Describe the overall health of your organisation's finances.

Include a description of significant factors that may have impacted your organisation's finances.

(e.g., enhanced or reduced programme-specific funding streams, successful fundraising activities, new foundation support, etc.)

(e.g., provincial budget cuts have forced the organisation to close one of its family counseling programmes…)

2. Describe 2-3 actions that your governing body has taken to enhance your organisation's financial viability.

(e.g., In response to recent recommendations of the organisation's auditors, the board approved a plan to strengthen the organisation's system of internal control…)

3. How does your organisation's management and the governing body assure that its financial management systems are in accordance with Generally Accepted Accounting Principles?

4. How does your organisation remain abreast of changing legal and regulatory requirements in relation to financial management practices?

5. Provide any additional information that would increase the Peer Team’s understanding of how the organisation's financial practices contribute to the achievement of its mission.

Attachments:

All COA-approved NA Requests.
A list of all NAs applicable to your organisation provided within the standards.

Note:

Organisations being accredited for the first time: Please provide information for the last two years.

Organisations being reaccredited: Please provide information for the period since the last accreditation review.


	Self-Study Documents	On-Site Documents	On-Site Activities
CA-FIN 1 Governing Body Financial Responsibilities	Budget (operating budget for current fiscal year)	Governing Body minutes Fiscal summaries/analyses	Interview: Governing Body Treasurer/Finance Committee Members CFO
CA-FIN 2 Internal Control Environment*	Internal financial control procedures Table of organisation (financial management personnel only)	Governing Body minutes Written certification by executive and financial officers (CA-FIN 2.03)	Interview: Governing Body Treasurer/Finance Committee Members CFO
CA-FIN 3 Financial Risk Assessment*		Governing Body minutes Long-term or strategic plan Annual risk management review (CA-RPM 2.01)	Interview: Governing Body CEO/CFO
CA-FIN 4 Stable Predictable Revenue	Include description of funding in Financial Management Administration and Management Narrative Question 1 Budget	Governing Body minutes	Interview: Governing Body CEO/CFO
CA-FIN 5 Financial Planning	Budget planning procedures/process	See long-term or strategic plan Chart of accounts Relevant financial data Monthly analysis of financial performance (CA-FIN 5.04) Unit cost analysis (CA-FIN 5.06) Documents and reports that demonstrate budget planning (CA-FIN 5.02)	Interview: Governing Body CEO/CFO Finance personnel
CA-FIN 6 Financial Accountability*	Audit and management letter	Governing Body minutes	Interviews: Governing Body CEO/CFO
CA-FIN 7 Financial Management System			Interview: Governing Body CEO/CFO Personnel at all levels Observe reporting and accounting system
CA-FIN 8 Payroll			Interview: Governing Body CEO/CFO Personnel at all levels

Fundamental Practice Standards:


Essential Life and Safety	Health and Welfare	Client Rights
		CA-FIN 7.09

RELATED FILES


	ACCOUNTABILITY The extent to which an organisation is answerable for its processes and outcomes to a variety of relevant stakeholders including: consumers, community representatives, governing bodies, and governmental regulators.


	PRACTICE Established actions or ways of proceeding in the regular performance of organisational duties. Policies and procedures often guide practice.


	ADMINISTRATION The personnel responsible for management functions of the organisation, including fiscal management, human resources, and service delivery. Such personnel determine organisational goals, acquire and allocate resources to carry out a programme, coordinate activities toward goal achievement, and monitor, evaluate, and make needed changes in processes and procedures to improve the likelihood of goal achievement. The term is synonymously used with MANAGEMENT.


	PERFORMANCE A measure of how well an organisational system provides services to consumers. Performance is often based on key indicators, such as rates of service, cost per consumer, degree of satisfaction with services, and extent of consumer access to services.


	PEER REVIEW An evaluation process in which professionals from similar backgrounds review the work of their associates.


	PROGRAMME A system of services offered by an organisation. For example, an organisation providing a mental health service may offer several mental health programmes to different populations, e.g., a mental health programme for adolescent teens. The word “programme” can be used interchangeably with the word “service” or to describe specific programmes.


	FAMILY Two or more people who consider themselves family and who assume obligations, functions, and responsibilities generally essential to healthy family life. Child care and child socialisation, income support, long-term care, and other care giving are among the functions of family life. The definition of “family” will rest with an individual’s indication of who plays a family member role, including current or former foster family, adoptive family, extended family members, or significant others. Organisations that believe family is the central constellation in a child’s life, and that family attachments are of primary importance for human development, will strive to work with professional staff to develop a common understanding of “family.”


	GOVERNING BODY A person or persons with the legal authority and responsibility to set policy and oversee the operations of an organisation. Generally, the governing body is a group, such as a board of directors or board of trustees. While the exact responsibilities of the governing body depend on the nature and character of the organisation, the governing body has minimum fiduciary responsibilities to the organisation set by Letters Patent, statute, regulation, and case law, and typically assume responsibilities for long term planning, risk management, and evaluation and effectiveness of management.


	ACCREDITATION The formal evaluation of an organisation against accepted criteria or standards. A professional society, non-governmental organisation, or a governmental agency may conduct accreditation activities. A COA-accredited organisation has undergone a period of rigorous self-study and is capable of providing programmes and services that meet or exceed COA standards.


	PERSONNEL The body of employees and/or volunteers that carries out the organisation’s tasks under the organisation’s administration and/or supervision. This definition does not include foster parents who are specifically referenced in relevant standards.


	MANAGEMENT See ADMINISTRATION


	CERTIFICATION Assurance from a provincial or professional association that a person or organisation possesses certain attributes, knowledge, or skills.


	RISK MANAGEMENT A systematic process of evaluating and reducing potential risks that may befall personnel, clients, an organisation, or a facility. Risk management activities are directed toward reducing an organisation’s legal and financial exposure, especially to lawsuits.


	PLANNING The process of specifying objectives, evaluating the means for their achievement, and exercising deliberate decision making about appropriate courses of action.


	UNIT COST A calculation of the price or value of a fixed amount or unit of service that takes into account the sum of all organisational expenditures involved in the provision of that service.


	MANAGEMENT LETTER A letter addressed to an organisation containing an auditor’s conclusions regarding the organisation’s accounting policies and procedures, internal controls, and operating policies. The letter evaluates the organisation’s present system, identifies problems and recommends improvements. It is also referred to as a Letter of Recommendation.