Governance

The Finance Committee is responsible for developing and administering policies regarding the management and investment of NABB’s funds. The Finance Committee is also responsible for administering NABB’s policy governing the amount of its investment portfolio in its General Fund that NABB can spend each year to subsidize its operating expenses while maintaining a sufficient reserve to provide a sustainable stream of future withdrawals from the portfolio that can be relied upon to pay a portion of NABB’s annual operating expenses for the foreseeable future.

The Finance Committee administers NABB’s cash and investment accounts in accordance with policies that have been established by the Board of Directors. These include:

• Primary: An operating account to maintain the ongoing operations of the organization.
• Secondary: A secondary account to maintain reserves to assure the ongoing operations of the organization if cash flow falls below expected minimum thresholds.
• Tertiary: An account for NABB’s investments that are considered long-term assets but can be used as emergency reserves in case of significant financial hardship or other purposes as determined by the Board of Directors.

In addition, funds for special purposes are held in separate accounts and used as reasonably directed by the Board of Directors or the appropriate operating committees. The Finance Committee administers these special purpose funds pursuant to separate investment policies in consultation with the appropriate operating committees.

Each year NABB files a Form PC with the Office of the Massachusetts Attorney General, which makes each Form PC it receives available to the public through its website. This Form PC includes NABB’s financial statements and its Form 990. You can find it using the Public Charities Filing Search.