Each parish in the diocese must submit an audited financial statement to the bishop each year by September 1 covering the previous calendar year. For direction in completing the annual audit, the Diocesan Council adopted the audit guidelines established by the Episcopal Church.
These guidelines are included as Chapter VI in the Manual of Business Methods in Church Affairs which is published by the church. In addition to the audit guidelines, the manual includes a great wealth of useful information aimed at assisting congregations in effectively running the business of the church, including information relating to tax, financial management, insurance, and other issues.
The audit guidelines require that one of the following three types of financial audit be performed:
- Audit by independent CPA (Certified Public Accountant)
- Audit by independent PA (Public Accountant)
- Audit by Committee chosen by parish
These guidelines were created for parishes that choose to do an audit by committee instead of engaging a CPA or PA to perform the audit. The guidelines outline the steps and processes necessary to adequately review the financial statements and internal accounting controls of a parish.
Audit Guidelines & Loan Policies
These excerpts from the Diocesan Journal further explain the audit process and the circumstances under which the diocese will guarantee a congregation’s construction loan.