Member organizations with of the Evangelical Council for Financial Accountability with are supposed to file renewal documents each year. When those documents are due depends on when the fiscal year ends.
The renewal information is due by January 31 if your fiscal year ended on April 1 through September 30.
The renewal information is due by July 31 if your fiscal year ended on October 1 through March 31.
Gospel for Asia in the U.S. operates on a calendar year schedule so their renewal was due July 31. As a part of the renewal, an audited financial statement is required. However, I have learned that GFA’s audited statement for 2014 is not complete. Those who inquire about the 2014 audited statement are getting this reply:
Currently, we do not have 2014 finance reports ready yet, as our auditors are in the process of auditing GFA’s 2014 year.
This means that GFA’s renewal is incomplete. However, not to worry, the ECFA gives member organizations an automatic two-month extension.
Financial Statements Policy
Current members should submit financial statements with the Annual Membership Renewal (AMR) by the due date. However, occasionally members are unable to supply the financial statements on a timely basis for a variety of reasons. ECFA will evaluate the reason for the delay, balancing a desire to help an organization through a possibly difficult situation not of its own making, and the necessity of maintaining standards to protect the integrity of ECFA, through the timely submission of information.
- Financial statements.Financial statements should accompany the AMR when it is due. (This provides the member a minimum of four months from the end of their fiscal year end to obtain the required financial statements.)
- Two-month extension.If all other AMR materials are submitted on time, an automatic two-month extension to submit the financial statements will be granted.
- Additional extensions.Members unable to meet the two-month extended deadline will generally be granted an additional two-month extension if the extension does not exceed 12 months from the end of the fiscal year. A request for this extension must include an explanation of the status of the audit, the reason for the delay, and the expected date of completion.
However, renewals can still be processed and that seal can still be displayed as long as the fees are paid.
Our financial statements are not complete. What should we do? Although your financial statements are due along with your renewal form, if they are not available, complete the renewal form without them (we understand the financial section of the renewal form will be incomplete). You will be asked to provide an approximate date the financials will be available and also to estimate your total cash contribution in order to estimate your membership fee. Once financials are finalized, please forward a copy to ECFA or to href=”mailto:[email protected]”>[email protected]. We will complete the financial section and refund or invoice for any payment difference. If the financials are complete but the Form 990 is not, please submit the renewal form and financials and send the Form 990 when complete.
Last year, the audited statement was dated June 13, 2014.
Regular readers can probably guess about why the audit is late.
While I appreciate that the ECFA’s audit requirement puts some pressure on an organization to disclose important information, at the same time, I believe the ECFA should flag those organizations which have not turned in the documentation. If donors rely on ECFA, they won’t know that after months of not answering legitimate questions, GFA hasn’t turned in an audited statement of their 2014 finances, even though GFA has had over 7 months to do so.