Document / Practice

Practice Element 3A2: Board Financial Oversight

Posted 2017 Updated March 21, 2023
Source
Land Trust Alliance
About This Practice

This guidance covers Practice Element 3A2, which includes five elements:

The board provides oversight of the land trust’s finances and operations by:

  1. ⬤ a. Reviewing and approving an annual budget

  2. ▲ b. Working to ensure that sufficient financial resources are available

  3. ⬤ c. Receiving and reviewing financial reports and statements in a form and with a frequency appropriate for the scale of the land trust’s financial activity

  4. ⬤ d. Reviewing the externally prepared financial audit, review or compilation

  5. e. Adopting written policies or procedures for the responsible and prudent investment, management and use of financial assets

Accreditation indicator element | ■ Terrafirma enrollment prerequisite | ▲ Required for both

March 2023: Updated accreditation requirements for board review of financial reports under Practice Element 3A2c.