Dear Balikatan Members and Friends,
The Balikatan Board, at its meeting on February 9, 2019, approved a motion to hire an independent Certified Public Accountant (CPA) to conduct a compilation of Balikatan’s FY2017-18 financial statements and a motion to apply for accreditation by the Evangelical Council for Financial Accountability (ECFA).
WHY Compilation of Financial Statements?
Having a compilation of transparent financial statements is an action of accountability and integrity. Organizations and institutions, especially those who adhere to moral uprightness and Biblical principles of governance, consider this a non-negotiable.
Currently, Ms. Norma Andres, Balikatan’s Treasurer, compiles and prepares the financial statements. However, Norma is not independent as she is a member of Balikatan, and the Balikatan Board. A compilation is different from an audit or review of financial statements in that it does not involve any assurance on the financial statements, and requires less work.
WHY ECFA Accreditation?
The main reason for applying for ECFA accreditation is to further strengthen the various stakeholders’ trust on Balikatan’s financial integrity.
Compiled financial statements by an independent CPA is one of the requirements for accreditation by the ECFA. In addition, Balikatan must also be in compliance with ECFA’s Standards, which cover Doctrinal Issues, Governance, Financial Oversight, Use of Resources and Compliance with Laws, Transparency, Compensation-Setting and Related-Party Transactions, and Stewardship of Charitable Gifts. An application for ECFA accreditation will be initiatedimmediately after the completion of the financial statements compilation.
Annual Costs
There are costs involved in financial statements compilation and ECFA accreditation/membership. The Board believes, however, that the estimated annual costs of $1,600 (US) will more than justify the benefits of having independently compiled financial statements and an ECFA accreditation.
Request for Financial Support to This Initiative
The Board is appealing to the generosity and graciousness of the constituency: Balikatan members, adherents, friends and ministry supporters to help us fund these additional operating costs. Considering how important this initiative is, the Board is endeavoring to finance it while avoiding a dip into funds that are designated for ministry support or established operational expenses, e.g. conference grants and remittance fees. The most ideal way to accomplish it is by directly appealing to you for your financial help and providence.
How to Donate
Donations may be mailed to: Balikatan, Inc., P.O. Box 1021, San Leandro, CA 94577 (Checks payable to Balikatan, Inc.), OR by online giving through Balikatan’s website (i.e., ‘Give Online’ button) on www.Balikatan.org (please specify designation: Balikatan Operations – Financial Compilation & ECFA Accreditation). A tax-deductible receipt for your donations (either by check or online) will be mailed to your address by January of the following year – in time for tax processing. But if you give online, a tax receipt will be automatically and instantly emailed to you.
Your support of the above initiatives with your donations will be much appreciated. No amount is too big or too small for this request of your financial assistance.
Thank you, and may God continue to bless you.
Sincerely,
Landy
Landy Ancheta
President, Balikatan