Published: November 13, 2026
Cotton Branch Refuge Project is responsible for using charitable resources for its mission and protecting the trust placed in it. The Board oversees financial stewardship; the Executive Director implements day-to-day controls within delegated authority. This policy applies to money, accounts, property, purchases, contracts, reimbursements, fundraising receipts, and compensation.
Budget, authority, and documentation
The Board approves an operating budget, reviews financial reporting, and documents who may commit funds or sign agreements. Internal approval limits must be written and proportionate to the transaction and risk. Spending outside delegated authority, material unbudgeted commitments, borrowing, and related party transactions require the appropriate prior approval.
Every payment must have an organizational purpose, sufficient supporting documentation, a budget or other authorized basis, and an approver with no personal interest. Do not divide purchases to avoid a review threshold, use a personal account to conceal organizational business, sign a blank payment instruction, or make an undocumented cash payment.
Separation and independent checks
Separate requesting, approving, paying, recording, and reconciling transactions as far as staffing permits. When a small team cannot fully separate duties, use a documented compensating review by an unconflicted person with access to original statements and supporting records.
- No one approves their own expense, reimbursement, compensation, or a payment benefiting a spouse, partner, household member, or related business.
- Reconcile bank and payment accounts at least monthly. An independent reviewer examines reconciliations, unusual items, transfers, and supporting statements.
- Verify vendor details and changes to payment instructions through a trusted, separate channel before payment. Protect bank, card, and payment-platform access with individual authorization and appropriate security.
- Use receipts and timely reconciliation for organizational cards, cash advances, and reimbursements. Personal expenditure must not be presented as a charitable expense.
Gifts, restrictions, and reporting
Record gifts accurately and promptly; reconcile fundraising-platform receipts to bank deposits and accounting records. Identify accepted donor restrictions and track their use. Do not treat restricted funds as available for unrelated operations merely because cash is in the same account. Follow our Ethical Fundraising & Gift Acceptance Policy.
Provide the Board with timely financial reports appropriate to the organization's size and obligations, including budget comparisons, cash position, restrictions, and significant commitments or variances. Arrange professional accounting, tax preparation, and independent review or audit where required or appropriate. Retain supporting records under our Records Retention Policy.
Compensation and related parties
Unconflicted directors or an authorized independent committee approve compensation for leadership and other related party arrangements. Review comparable roles, responsibilities, organizational resources, and relevant compensation information before making a decision. Document the basis, participants, recusals, and outcome at the time of the decision.
Compensation must be reasonable for services actually provided. A related person does not participate in approving a family or household member's pay. Follow our Conflict of Interest Policy and Fair Pay & Staff Wellbeing Policy.
Reserves and emergencies
The Board establishes and periodically reviews a realistic operating-reserve goal based on continuing animal-care obligations, cash flow, foreseeable emergencies, and organizational resources. A reserve goal is not a statement that the goal has already been funded. Designate who can authorize reserve use, how it is documented, and how replenishment will be considered. Donor restrictions continue to apply.
Urgent welfare or safety spending must use a documented emergency authority and be reported promptly for unconflicted review. An emergency does not authorize self-dealing or concealment. Report suspected fraud, misuse, or pressure to bypass controls through our protected reporting routes.