A054: Revision of Canon VI — Financial Management (carried)
Subject: Revision of Canon VI — Financial Management
Moved by: Ms. Suzanne Lawson, Diocese of Toronto
Seconded by: Mr. Robert Dickson, Diocese of New Westminster
Be it resolved that this General Synod:
repeal Canon VI (Financial Management) and enact a new Canon as set out in Appendix A.
Source: Council of General Synod
Submitted by: the Acting General Secretary
Does this motion contain within it any financial implications? Yes __ No __
If yes, has the General Synod Expenditures Committee considered the implications? Yes __ No __
EXPLANATORY NOTE/BACKGROUND INFORMATION:
This resolution is a companion to the resolution to amend the Constitution to divide the Financial Management and Development Committee into two new Standing Committees – one charged with financial management and the other to deal with matters of philanthropy. As part of the development of that proposal the FMD Committee reviewed Canon VI in conjunction with the Handbook Concerns Committee of the Council of General Synod. The Council recommends the enactment of a new Canon VI to reflect the mandate and duties of the proposed Financial Management Committee.
PROCEDURE REQUIRED FOR ADOPTION:
This resolution must be passed by a two-thirds majority in the Order of Bishops and a two-thirds majority in the Orders of Clergy and Laity voting together.
1. Structure of the Financial Management Committee
a) The members and Chair of the Committee will be elected and appointed as provided in the Constitution of the General Synod.
b) The Committee shall appoint a vice-chair and such other officers as it deems necessary.
c) The Committee shall appoint an Investment Subcommittee and other subcommittees as it deems necessary and appoint the Chairs of the subcommittees.
2. Advisory and Management Mandate and Duties
a) The Committee, unless otherwise provided in this Canon, is advisory, and accountable, to the General Synod through the Council of the General Synod.
b) The primary roles of the Committee are to direct, oversee and supervise the management of the finances of the General Synod.
c) The Committee shall
I) study the financial needs, resources, problems and opportunities of the Church;
ii) carry out such specific responsibilities (such as authorizing grants from trust funds) as are delegated to the Committee by the Council of the General Synod;
iii) through its Chair consult with the Primate concerning the nomination to the Council of the General Synod of a person to be Treasurer of the General Synod when there is a vacancy in that office;
iv) recommend to the Council of the General Synod the appointment of the members of the Audit Committee and propose its Chair;
v) recommend to the Council of the General Synod policies for banking, custodial and investment management;
vi) consider and approve recommendations from the Treasurer on operational matters and procedures for the signing and countersigning of cheques, bills of exchange, acceptances, transfers, conveyances, proxies and documents required for the delivery or receipt of securities.
d) Any notes or documents required by any bank or financial institution shall be signed by any two of the Primate, General Secretary and Treasurer or any other Officers as approved by the Council of the General Synod upon the recommendation of the Committee.
The Committee shall
I) recommend to the Council of the General Synod and the staff through the Treasurer and General Secretary, a preliminary spending ceiling for each year’s budget, based on the estimated expected revenue;
ii) receive from the Treasurer of the General Synod a draft detailed budget and a multi-year financial plan prepared by the Treasurer in consultation with the Primate, the General Secretary and the Management Team;
iii) review the budget and financial plan in detail and advise the Primate, the General Secretary and the Treasurer in the preparation of the budget and financial plan for recommendation to the Council of the General Synod for approval.
a) The Committee shall oversee the preparation of Annual Financial Reports in accordance with accounting principles generally accepted in Canada.
b) The General Synod or the Council of the General Synod shall appoint auditors to audit the Annual Financial Reports.
c) The Committee shall file with the General Secretary for circulation to the members of the General Synod in a year that the Synod meets, and to the members of the Council of the General Synod in the years in which the General Synod does not meet, the Annual Financial Reports, the auditors’ report and such further information respecting the finances of the General Synod as the Constitution or Canons require or the Committee deems appropriate.
d) The General Synod in a year that the Synod meets, and the members of the Council of the General Synod in the years in which the General Synod does not meet, shall approve the Annual Financial Reports.
5. Investments and the Consolidated Trust Fund
a) Pursuant to the provisions of the Church of England Consolidated Trust Fund Act, 1951 (Chapter 34 of the Statutes of Canada, 1951, 2nd Session) it is declared and enacted that all of the personal property, securities and moneys which have been, now are, or which may hereafter become vested in or held by the General Synod shall be held, managed and invested as one general trust fund known as The Anglican Church of Canada Consolidated Trust Fund.
b) For the purposes of the Church of England Consolidated Trust Fund Act, 1951, the Financial Management Committee is the Board of Finance of the General Synod and shall have the management, administration and control of the Consolidated Trust Fund.
c) The Committee shall recommend to the Council of the General Synod, the appointment of such professionals and specialists as the Committee determines are required for the prudent management, administration and control of the Consolidated Trust Fund. Such recommendations may include provision for:
I) the terms of any agreements between the General Synod and such professionals and specialists;
ii) indemnification of the Consolidated trust Fund for any financial loss suffered as a result of fraud or negligence on the part of such professionals or specialists and the provision of adequate insurance in respect thereof;
iii) schedules of fees for such professionals and specialists;
iv) termination of agreements.
d) All trust funds, securities and cash on hand or in banks received on capital account vested in or held by the General Synod or by the Missionary Society and all other trust funds received and all accretions thereon, excluding pension funds and benefit plan funds, shall be held, managed and invested in the Consolidated Trust Fund.
e) In accordance with investment policies proposed by the Committee and approved by the Council of the General Synod, the Committee will oversee the management, administration and control of the Consolidated Trust Fund. Any changes in investment policies shall be reported to the next session of the General Synod.
f) The Committee may recommend to the Council of the General Synod a policy that enables receipt and holding for investment any trust funds or other securities or moneys vested in or held by any department, board, council or committee of the General Synod or of the Missionary Society of The Anglican Church of Canada, or vested in or held by any provincial or diocesan synod in Canada or any board or committee thereof, to form part of the Consolidated Trust Fund subject to the terms of this Canon and on such terms as the committee shall decide, provided that the acceptance of such funds is not inconsistent with the terms on which the funds are held nor with the laws of the civil province or territory applicable to the funds.
g) Nothing in this Canon authorizes the Committee to vary or alter any trust upon which any capital or securities are vested in or held by the General Synod or the Missionary Society.