San Antonio
POLICIES & PROCEDURES MANUAL
MISSION STATEMENT
IREM San Antonio is dedicated to promoting professionalism within the real estate industry through education and the highest standards of conduct.
TABLE OF CONTENTS
ADMINISTRATIVE
Association Executive (IAE)
Calendars – Membership & Perpetual
Bylaws
General Information
FINANCIAL
Bank accounts
Expense Reports/Travel Guidelines
Financial Reporting/Taxes/Audit
Ad Hoc Reserve Policy (Approved at 4/2/2015 Board Meeting)
LEADERSHIP
Job Descriptions for Chapter Officers and Committee Chairs
Succession Planning
Conference Attendance
Board Annual Planning Meeting
Meeting Minutes Policy
MEMBERSHIP
Friend of IREM Program
Dues
Luncheon Costs
Local Scholarships
National Scholarship
CPM & Member of the Year Awards
Owner, Developer, Investor, Employer Visits & Follow Up
COMPLIANCE
Anti-Trust Policy
Conflict of Interest Policy
Document Retention Pool
ASSOCIATION EXECUTIVE (IAE)
The IREM Association Executive (IAE) is a contractor and not an employee of IREM San Antonio.
In October, the Executive Committee is responsible for reviewing and approving the Contract. Once approved, the current President will sign the annual contract with the IAE for the following year.
Adjustments to contract rates are considered during the contract renewal process so that they can be reflected in the annual budget.
Annual Review – at the end of the year, the current president and two immediate past presidents review the IAE. That is the time that the budgeted annual bonus is discussed and affirmed or altered. The current president is responsible for coordinating and documenting the review.
CALENDARS– Membership & Perpetual
An updated Member Calendar is established each year to include luncheon meetings, Board meetings, classes, bowling, national conferences, etc. The calendar will be posted on the web and distributed to all members at the beginning of the year.
A Perpetual Calendar should be reviewed each year and a copy provided to the incoming president. Items included are tax deadlines, nominating committee appointments, ballots, inductions, Board annual planning meeting, dues statements, renewal of FOI, Association Executive (“IAE”) contract review, etc.
NOTE – the Chapter does not typically have a luncheon or Board meeting in August.
BYLAWS
The Chapter bylaws are maintained in accordance with IREM National requirements and follow their “MODEL CHAPTER BYLAWS.” They are posted on the website and are reviewed at the Annual Planning Meeting. Chapter officers and Board members are responsible for being familiar with and following the Chapter bylaws.
The Chapter Bylaws were last updated in 2011 to include new membership types.
GENERAL INFORMATION
BANKING
The Chapter checking account and CD are held at Wells Fargo Bank, Oak Hill Branch. The current chapter treasurer and the past chapter treasurer are on the account.
FILES/DOCUMENTS
Hard copies of all chapter files are stored at 1232 North Blvd, Universal City Texas 78148. IREM Headquarters maintains duplicate copies of legal documents, budgets, tax returns, etc.
COMPUTER BACK UP
Chapter files (accounting, documents, photos, etc.) are saved in DROP BOX Daily
WEBSITE
The chapter participates in the IREM headquarters website program. The IREM Headquarters staff and that service provider (Star Chapter) can provide access to the full database and all documents. That provider maintains back up files of all web based documents and records. There is a credit card system as part of the website and the service provider could assist with any coordination/changes, etc.
CREDIT CARD
There are no chapter credit cards in use.
ACCOUNTING SYSTEM: Rent Manager
CPA
The chapter tax returns are prepared by Geoffrey Morgan (210) 804-0276)
INVENTORY
The chapter owns a projector that is maintained in the chapter office. (OLD)
POST OFFICE: P.O. Box 2031 Universal City Texas, 78148
INSURANCE
IREM provides errors and omissions, director and officer insurance coverage to its chapters, through NAR's professional liability policy.The policy limits liability to the extent of up to, $1,000,000, per occurrence, after a deductible of $20,000.
All IREM chapters are listed as an additional insured under IREM's general corporate insurance policy.This means chapters have comprehensive general liability, bodily injury, and property damage coverage for authorized chapter functions and activities.The policy also includes extended bodily injury (assault and battery) and host liquor coverage.
BANK ACCOUNTS
The Chapter checking account (currently with Wells Fargo) is interest bearing. Checks require one signature. Typically, the signature is the Treasurer. It is that officer’s responsibility to confirm all payments are within the approved budget or have been approved by the Board. The IAE, the treasurer and secretary are on the bank account as approved signatories.
The goal of the Chapter has been to have approximately one-year has budgeted expenses (less education expenses) in reserves.
In 2010, a Chapter Restricted Fund was created through IREM Headquarters to administer Chapter scholarships. This fund is maintained in Chicago and the Chapter receives quarterly statements. This account is not reflected on the balance sheet.
The Chapter Treasurer is able to review bank statements on line and is encouraged to do this as a check and balance.
EXPENSE REPORT/TRAVEL GUIDELINES
Committee Expenses – during the course of the annual planning meeting, committee expenses should be addressed and included in the budget. If they are not included in the budget, it is the committee chair’s responsibility to get Board approval in advance of spending Chapter money. In addition to expenses related to the committee’s work, the Chapter budget includes some money for committee lunches. If a committee will have more than two committee lunches, the chair should review this expense with the Board in advance. Every effort should be made to control costs of committee lunches by catering sandwiches, eating at reasonably priced restaurants, etc.
Travel Expenses - the annual budget should detail which officers/members are scheduled to attend which conferences. It is appropriate to review this at least three months before each conference to address any changes in the budget, to confirm that the budgeted officers/members can attend, etc.
The Chapter reimburses reasonable and appropriate expenses. IAE will provide Travel Guidelines 3 months prior to Conference. Efforts should always be made to get the lowest possible airfare and other rates. If reasonable care is not made to do this, reimbursement may be adjusted to reflect lowest possible fares. The Chapter does not reimburse for alcohol, wi-fi in the hotel, movies, valet parking, golf, etc.
All expense reimbursement requests should be submitted within one month of their occurrence.
FINANCIAL REPORTING/TAXES/AUDITS
IREM San Antonio is a 501(c) (6) – “According to the Internal Revenue Service, a 501(c) (6) organization is a business league devoted to the improvement of business conditions of one or more lines of business. It is not engaged in any regular business typically carried on by for-profits. Trade associations and professional associations are considered business leagues. The mission of a 501(c) (6) organization must focus on the advancement of the conditions of a particular trade or the interests of the community.
A CPA prepares the annual tax return (990EZ) and this tax return is reviewed and signed by the current Treasurer. A copy is mailed to the IRS, IREM Headquarters and the IREM RVP no later than May 15th.
Chapter Audit - On an annual basis, an Audit Committee is formed by the Treasurer to do a review of the on-site records maintained by the IAE. This should be done in October/November with both the outgoing and incoming Treasurer. Specific items to be included are:
· Review of Balance Sheet and Bank Statements
· Check Revenue against current membership levels
· Spot check of disbursements
· Review cash handling procedures
The Chapter pays sales tax.
The Chapter does not publish financial reports for member review but makes them available upon request.
RESERVE POLICY
1. GOAL – our reserve balance should be maintained at approximately 100% of annual Gross Income (note, based on 2015 budget, this amount should be approximately $110,000) NOTE – this is a very conservative goal by association standards. Our current reserves are approximately $103,000
2. RESERVE DEFINITION - Reserves are defined as money held in a long term conservative investment account and do not include balances in the checking account or designated scholarship accounts
3. INVESTMENT STRATEGY - Reserve Balance funds should be kept in a safe insured account; foregoing higher yields possible in non-insured accounts. Current investments are in Wells Fargo Savings and CD accounts
4. FUTURE CHAPTER OPERATING BUDGETS - Future operating budgets should be balanced: no significant surpluses or deficits.
5. SURPLUSES - Projected and or actual budget surpluses are to be disbursed, subject to board approval, in no particular order on the following
a. Subsidized or free Student lunches
b. One-time dues subsidies for IREM designated members at risk of losing designations
c. Education scholarships for designation classes (online or classroom)
d. Subsidized non-designation education (seminars learn @ lunches, etc.)
e. Paid Speakers/Facilitators for membership and leadership development
f. IREM-SA Public relations to promote IREM designations
g. Other membership recruitment and development activities
GENERAL
The disbursement of funds is to be guided by member benefits/needs and not to be utilized as charitable contributions.
The disbursement of unanticipated budget surpluses will be reviewed in the fourth quarter by the Executive Committee (officers) and a strategic plan developed for how and when to utilize those funds. This plan will be approved and then implemented by the board. NOTE – it is not the intent that the funds must be spent during the 4th quarter but that they will be allocated for projects and not taken into account when balancing the budget, the following year.
JOB DESCRIPTIONS FOR CHAPTER OFFICERS and COMMITTEE CHAIRS
Officer and committee chair job descriptions are contained in a separate document that is reviewed at the annual planning meeting and updated as needed.
These descriptions address the performance and attendance requirements of all Chapter leaders.
SUCCESSION PLANNING
One of the primary roles of the nominating committee is to address succession planning. Ideally, members would first participate with the Chapter as a committee member, then a committee chair, then be considered as a Board member and then as an officer. During each successive leadership step, their skills, commitment and results should be evaluated.
As of 2010, the Chapter adopted an organizational structure that gives each officer (except President) over-sight over various committees. It is expected that the officers will support the committee chairs, provide oversight, keep the Board informed, etc. The purpose of this organizational structure is to give the officers exposure to all committees involved in the Chapter before they are president and to give them an opportunity to mentor other members.
The process of selecting committee chairs, Board members & officers is not written in stone, however, a general philosophy exists.
The president appoints committee chairs and this appointment is based on their willingness to serve, their strengths, the Chapter’s needs, etc. In selecting committee chairs, an effort should be made to attract a balance of new members and seasoned members as well as a cross section of managers working with all property types – office, retail, multi-family, etc.
Optimally, Board members will be nominated based on their performance as committee members and committee chairs. Officers are nominated based on their performance as Board members and committee chairs.
In accordance with the Bylaws, the Nominating Committee is appointed by the President and approved by the Board in July. The IAE will send the full membership an e-mail encouraging them to get involved in committees and leadership and ask any interested parties to contact Chapter leaders or the IAE. The Nominating Committee is responsible for nominating the officers and the Board and contacting those individuals to confirm their willingness to serve.
The Nominating Committee shall approach any Board, Officer or Committee Member, prior to the formal nomination slate being read or published, who is currently serving and is not going be selected to serve the following year.
CONFERENCE ATTENDANCE
The Chapter budgets to send the following members to conferences. Additional officers/leaders/members may also be subsidized subject to Board approval.
President and 3 additional Officers if Budget allows–Regional Meeting in Spring
President Elect and 4 additional Officers if Budget allows– Fall IREM Education Conference
The IAE will also attend all conferences
It is understood that if the Chapter is paying members to attend the conference they will attend all required meetings and participate fully in meetings. Attendees are asked to report on the conference at the Board meeting and may be asked to write an article for Chapter publications.
The chapter pays for the Regional Dinner for all chapter members who are attending the conference.
BOARD ANNUAL PLANNING MEETING
The incoming President will typically hold a Board planning/orientation meeting in November to orient the new Board and committee chairs and to plan events and initiatives for the coming year. Attendees will be provided with a binder of information:
1. Preliminary budget if available
2. Bylaws
3. Listing of officers, Board members & committee chairs and contact information
4. Friends of IREM Listing
5. Historical membership & Dues information
6. Preliminary Calendar
7. Member Survey
8. Historical Speaker Listings
9. Policies & Procedures
10. Committee & Officer Job Descriptions
MEETING MINUTES POLICY
Minutes shall be recorded in writing for all meetings of the Board, including executive sessions. Minutes shall be recorded in a manner as to reflect the actions, motions and statements of the Board, without recording superfluous discussions. Minutes are typically recorded by the IAE and reviewed by the Chapter Secretary before distribution to the Board, committee chairs, IREM Headquarters and the RVP.
FRIEND OF IREM (“FOI”) PROGRAM Began in 1996
The current program allows for more than one of each vendor type (approved in 2008) but in practice, the Chapter makes an effort to avoid duplication. Vendors are recommended by members and voted on by the Board before they are offered the opportunity to be a Friend of IREM.
The Chapter eliminated a tiered rate structure in 2012. Friends are required to pay before the end of the preceding year unless other arrangements are made.
Typically, the outgoing President will serve as chair of the FOI committee and will begin the renewal process-mid summer so that any replacements can be addressed early. By the end of October, all renewals should be confirmed and billed. By November 1st, any Friends that have not signed a renewal contract may be replaced. Assuming no default of the current contract exists, FOI’s are given first right of refusal for renewing (this is not guaranteed in their contract). Payment can be lump sum, monthly, quarterly or semi-annually.