September 30 marks the end of Little League® fiscal year, and every local league and district should make sure to conduct a review of all of its expenses sometime in the late summer.
Review these tips to help to ensure fiscal awareness, accountability, and transparency for your league or district.
Establish a Finance CommitteeChaired by the league or district’s Treasurer, the Finance Committee is to compile a year-end report for the Board of Directors and District Administrator to review. This report should include the compilation of any and all documentation relating to the league or district’s monetary activities, whether that involves collecting receipts, registration fees, or any other financial reports.
“One of the issues that some leagues have is that there is a lack of review,” said Melissa Singer, Little League Vice President and Treasurer. “That’s why it’s important to pay attention to finances year-round.”
Check for any variancesIf any unexpected expense(s) occurred during the fiscal year, be sure to reconcile and record to make sure everything is in order.
Internal AuditThe Finance Committee is to prepare and provide the results of an internal audit that has reviewed all bank statements, invoices, and bank account transactions pertaining to the league. All credits, debits, and other activities pertaining to the league or district’s finances are to be clearly identified.
“It’s important to note that like any other aspect of Little League, keeping your finances in order is a team effort,” said Mrs. Singer. “The more people who can provide assistance during this process, the better.”
Transition meetingWith annual Board and District Staff turnover being rather common, a good practice to have in place involves a meeting between both new and old members. Sitting down to talk about league or district finances helps to ensure that the newcomers know everything that the league or district is financially responsible for, from field lighting to concession stands, to the purchase of dirt used on the infield.
TransparencyPerhaps the most important part of this process is to have transparency with your league’s members. Having fiscal transparency can be the difference between a good league or district and a great league or district.
“All league or district officials should share their financial report with members of the league or district to make sure they understand where all the money is going,” said Mrs. Singer.
Little League® offers children and parents opportunities that no other youth sports program can provide. Keeping your finances in order will help enhance the Little League experience. That’s why it’s so important to make sure that the Little League in your community is up-to-date on its finances, especially near the end of the fiscal year.