We are the auditors of KIWANIS INTERNATIONAL-EUROPE and as such reported on its financial statements for the year ended September 30, 1979. We have summarized the following information from the books and records of KIWANIS INTERNATIONAL-EUROPE which were reviewed by us during the aforementioned examination:
Convention Innsbruck 1979:
Convention fund as of October
1, 1978Total receipts
Interest on bank accounts Total expendituf~s
95'001.95
677. 9595
1679.90 91 '920.56 Excess of receipts over expenditures of the
Innsbruck convention for the year 1978/79 Convention fund as of Sept~mber
30,1979 Net assets of the convention fund:
Current account with UBS bank Deposit account with UBS bank Cash on hand
Withholding tax receivable
12
1271.20 45'407.55
less: Accrued auditors' and accounting fees Current account KI-E
Convention fund as of September
30,1979
· Sw.Fr.
50
1357.01
3'759.34
54 I 116 • 35--- ---
57'678.75 2'300.--
13.35
59'992.10 2'600.-- 3'275.75
54 I 116 • 35--- ---
TOUCH£ ROSS & CO. A.~ / -. (
# 6 4 ~ ~ / ~
April 22, 1980
EXHIBIT F PROGRESS REPORT ON AUTOMATION OF GENERAL LEDGER SYSTEM
At the January Board meeting, i t was agreed that Data Processing would employ every effort to automate the financial reporting
system. It was understood that Data Processing would first com- plete its commitment to the combined International and District semi-annual membership dues billing system, scheduled for March, 1980.
I am delighted to report that this new service is an overwhelming success. Earlier this month, at the annual district secretaries meeting, many.districts reported early collection of dues revenue and membership information.
Personnel resources were provided for the implementation of auto- mating the General Ledger system. To date, we have been unable to find a qualified Programmer/Analyst within our salary range. The entire Chicagoland area (especially in the downtown area) is ex- periencing a shortage of qualified programmers. We are continuing to interview, and hope to have a programmer soon. The following represents our progress to date in automating our financial records.
1. All income, expense and balance sheet reports are now complete- ly generated by the-computer. These reports are uniform in format, as.opposed to the typewritten reports.
2. The composite statement of income and expense is also generated by the computer. Computerization of these reports is saving the accounting department considerable preparation time each month.
3. A compietely new General Ledger maintenance system was needed to support the new financial reporting system. This maintenance system has been completely programmed and is in operation. This system provides for; 1) addition of new accounts, 2) budget ad- justments, 3) loading of annual budget, 4) adjustment to various account information, such as account number and description and, 5) removal of inactive records•.
As a matter of information, the previous General Ledger system con- tained 340 accounts. Our new system contains over 1100 accounts.
We are now in the final states of docu.mentfng the maint.enance system.
4. At the request of the Acting Finance Director, a new budget re- port was developed to provide each department manager with a computerized listing of budgets by account and month. This re- port is extremely helpful to department managers in providing up-to-d~te budget information.
-2-
5. Manual Accounting Functions. Several components of the General Ledger system are now manually prepared and processed each month by the Finance department. These manual functions require many hours of the accountants time in preparing information for the monthly financial reports. Currently, we have an independent accounting analyst working with the Finance department in eval- uating and documenting the following items:
A. Posting of departmental payroll expenses B. Posting of incoming cash and daily sales C. Recording of inventories
D. Cash demand requirements E. Fixed assets
F; Unexpired insurance
A complete report, along with recommendations for automating these functions will be completed by May 15. Conversion of these manual accounting functions would start immediately thereafter.
Many of these accounting tasks will be merged into current financial systems. The main idea is to capture as much information from the day-to-day computer activities as possible, rather than relying on current manual procedures. This project should be complete by mid- August, although a more accurate completion date will be determined upon evaluation of the accounting analyst's report.
Improving the method by which the Finance department records finan- cial information will greatly improve the accuracy and consistency of information. Additionally, the accountants will have more time for other meaningful assignments.
We should also keep in mind that this is our first year of operation under the new budgeting concept. In order to fully evaluate this new system, we must have i t functioning on a day-to-day basis.
Presently, the new financial system is providing the levels of in- formation that was initially planned. Now we are going through a refinement process of streamlining reports, operating procedures, etc., which is a normal series of events for any major computerized system.
Major personnel changes in the Finance and Supplies departments,
along with inescapable daily responsibilities also plays an important part in our progress to date.
During the past three months, many positive steps have been taken to improve the financial record keeping and reporting systems, and there- fore, the accuracy and timing of information.
JWK:ch
es W. Kinkade, Director Data Processing
KIWANIS INTERNATIONAL
OF'F'ICE OF' THE SECRETARY
ACCOUNTING OF SECRETA.~Y 'S CONTINGENT FUND October 1,
1979
to March 31, 19801. Car Maintenance - (less 1/3 personal use) Garaie and Service -
Insurance - - - - Repairs - - - - Depreciation - - - - -
$450
19060 395
2. Special occasion gifts, flowers & cards -
3.
Business phone and charges at home - - -4.
Entertainment of official guests, staff and personnel, at home and elsewhere - -TOTAL - - -
s
EXHIBIT G
1095
286 168
254
EXHIIHT H
To the Finance and Personnel Committee
Recommendation #5 of your Committee, in the January meetin~
of the Board, authorized me to set up dental insm·ance for t·e employees of Kiwanis International and specified that the insurance plan offered by the Kemper Insurance Company be selected and put into effect if it is determined that the employees
desire to participate in that proiran.
Subsequent investigation and discussion with staff revealed certain detrimental areas in the Kemper plan. We therefore checked further with our insurance advisors and ultimately
came up with a considerable improvement in our current Blue Cross/
Blue Shield medical coverage plus excellent dental coverase at the same cost as that which had been approved by the Kemper Insurance Company. I checked this '""i th President-elect Herald
in President Mark's absence and was given his approval. It is also significant that, even though competitive plans were offered by Ed Hecht of Donchin and Hecht, Ed recommended that we put the Blue Cross/Blue Shield dental insurance into effect.
In view of the above I have set May las the date for the new dental coverage to begin for all our employees and for. the dependents of those who provide medical coverage for their dependents. The cost to Kiwanis is the same
$6.51
per person and the additional cost to the employee for his or her dependents will be Sl0.83 per month. Staff accepted this proposalunanimously and we all very much
of employment at Kiwanis International • .
R. P. Merridew Secretary
Exhibit #23 SUMMARY