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up to 100% of the yearly total return may be utilized for program and agency expenses unless restricted for specific purposes by the donor. The invested principle of the Long Term Reserve Fund is intended to remain as permanent funds but may be utilized if directed by the Board of Directors.
A note on Restricted and Unrestricted Funds
As AORE continues its mission work and board and staff become more accomplished in development work, AORE has opportunities for fundraising with both unrestricted and restricted funds.
Unrestricted funds are donations that are given to the association under one of our current four giving area- student and professional development, memorial, general and advocacy. Monies are attributed per the donors area of interest, and funds will be used in a variety of ways to cover both fixed and variable costs to support this type of work.
Restricted funds are funds that are earmarked for a listed desired outcome - and can only be used to this end. For example, the Endowed Student Scholarship Fund is a restricted fund and monies that are designated by the donor will only be used for student scholarships. In this case, this endowment will not start until the original principal amount is met - $16,000 for endowing AORE scholarship.
Conclusion
The AORE adheres to best practices for non profit financial management. Clearly defined roles within the Association ensure appropriate oversight and checks and balances. Budgeting follows a defined process and timeline to provide time for review and revision to ensure the AORE is working towards its goals and objectives. Funds are held in a variety of independent accounts governed by policies to ensure the AORE can meet the needs of today and have security in the future. Ultimately, the AORE is working strategically to achieve its mission and has the financial practices to support this.