International Brotherhood of Electrical Workers

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ARTICLE XI

Funds

Sec. 1. The funds of this Local Union are for the legitimate expenses required in its conduct and maintenance and shall not be diverted there from. Disbursements shall be made in accordance with Article XVIII of the IBEW Constitution and these bylaws.

Sec. 2. No money shall be loaned from the funds of this Local Union for any purpose, unless approved by the International President of the IBEW.

Sec. 3. The President shall appoint an auditing committee of three (3) members (or the President or the Executive Board, as the Local Union decides, shall employ a public accountant or a combination of quarterly audits by the Auditing Committee and a yearly audit by a public accountant) to audit the books and accounts of the Local Union every three (3) months. A report of the audit must be made to the membership. The President shall inspect the bank books of the Treasurer to insure Local Union moneys received by the Treasurer have been properly and promptly deposited in the Local Union's name. The fiscal year shall be the twelve month period ending _______.

Sec. 4. The following Funds are hereby established:

General Fund

Sec. 3. The fiscal year should end at a time convenient for the local union. Example: June 30, December 31, etc.

Sec. 4. The General Fund in this section is required. Where a local union has established specific separate funds, they shall be listed here. The mechanics of such funds may be included in this article if not too lengthy. If it takes more than a couple of paragraphs to describe the fund, a separate article should be utilized.

Note: Benefit Funds are no longer approvable under the local union bylaws. However, those in existence under current bylaws are permitted to continue without change at this time.

NOTE: Most expenditures are proper when authorized and disbursed from the General Fund. Establishing separate funds for specific purposes may cause problems since the assets of a special fund can be used only for the purpose specified. Locals may have a considerable amount in a special fund while the General Fund could be lower than is needed to satisfy the ongoing operational costs of the local union.

Where separate funds are established, care should be exercised to ensure that the money dedicated to their funding passes through the General Fund. When done in this manner, the surety bond will cover the assets of the special fund provided the Local has obtained adequate coverage.

Electrical Industry Advance Programs are discouraged; however, existing programs must be administered from the General Fund. A separate accounting of such expenditures may be provided to the membership for the purpose of clarification.