For years our Association adopted the Treasurer’s Report after it was presented and discussed. Now we have a member that is adamant that we should never adopt an unaudited treasurer’s report. Who is correct?
According to RONR (11th ed.) page 477 states:
At each meeting of a society, the chair may ask for a “Treasurer’s report,” which may consist simply of a verbal statement of the cash balance on hand—or of this balance less outstanding obligations. Such a report requires no action by the assembly.
Following on on page 479:
No action of acceptance by the assembly is required—or proper—on a financial report of the treasurer unless it is of sufficient importance, as an annual report, to be referred to auditors. In the latter case it is the auditors’ report which the assembly accepts.
Therefore, the new member is correct; the assembly shouldn’t make any endorsement on the “quality” of the financial numbers until an independent audit committee/professional firm has examined and determined the financials of the Association are correct.