Concerning NACDL's Spending Policy for Reserves

NACDL shall adopt the standard and benchmark for non-profit and trade associations to maintain, as a minimum, Reserves of 50% of its annual gross operating revenue budget.

(B) NACDL’s Executive Director shall maintain at least 50% of the Reserves in liquid assets, which is defined as cash, long- and short-term investments.

(C) NACDL shall amend its Investment Policy Statement by inserting on page 1, following the “Financial Objective Statement” paragraph, the following new “Spending Policy” language: ....

WHEREAS, NACDL has defined “Reserves” as its net assets, namely, its unrestricted total assets, less unrestricted total liabilities, at any given date.

WHEREAS, the standard and benchmark for non-profit and trade associations such as NACDL, per the American Society of Association Executives (ASAE) “Operating Ratio Report, 11th Edition,” for Reserves is 50% (i.e., 6 months) of the annual operating budget.

WHEREAS, since 1998, NACDL has been contributing at least 1.5% of the previous Fiscal Year’s gross revenue to its Reserves.

WHEREAS, as of April 2006, NACDL’s Reserves were $2,435,850, or 63.6% of its budgeted revenues for Fiscal Year 2007 of $4,082,022.

WHEREAS, as of April 2006, NACDL’s Reserves considerably exceed the ASAE standard, with “Excess Reserves” of $522,028.

NOW, THEREFORE, BE IT RESOLVED:

(A) NACDL shall adopt the standard and benchmark for non-profit and trade associations to maintain, as a minimum, Reserves of 50% of its annual gross operating revenue budget.

(B) NACDL’s Executive Director shall maintain at least 50% of the Reserves in liquid assets, which is defined as cash, long- and short-term investments.

(C) NACDL shall amend its Investment Policy Statement by inserting on page 1, following the “Financial Objective Statement” paragraph, the following new “Spending Policy” language:

Spending Policy  

(1) NACDL’s Spending Policy determines the amount of funds NACDL can make available for distribution from the Reserves in any given Fiscal Year. Only funds that exceed the minimum reserve are available for use during the following Fiscal Year. The minimum Reserve is defined as 50% of the total operating revenue from the current approved Fiscal Year budget.

(2) The NACDL Board of Directors, in its Resolution dated February 23, 2002, defined “Reserves” as NACDL’s net assets; namely, its unrestricted total net assets, less unrestricted total liabilities, at any given date. NACDL’s budget process begins in March of each year. Therefore, as of March 31 of each year, if Excess Reserves exceed the minimum as defined in (1), above, then 25% of the overage is available to the Budget Committee to allocate in the development of the following Fiscal Year’s budget.

(3) The NACDL Executive Director is required to maintain at least 50% of the Reserve in liquid assets, which is defined as cash and long- and short-term investments.

(4) Whenever there is a year in which there are no “Excess Reserves,” then the Board-mandated 1.5% contribution to Reserves based on the previous Fiscal Year's gross revenue will be included in the new budget.

Boston, Massachusetts

Explore keywords to find information

RECENTLY ADDED & UPCOMING

  1. The Champion
    /Nacdl/media/image_library/StayInformed/Champion/ChampionCovers/March-April-2025.jpg?ext=.jpg

    March/April 2025

    What are the evidentiary implications of field sobriety tests in marijuana cases? Does the odor of marijuana give officers probable cause to search a vehicle?

  2. Amicus Brief
    /Nacdl/media/image_library/Elements/global/amicus.png

    Jenner & Block LLP v. U.S. Department of Justice

    Brief of the National Association of Criminal Defense Lawyers and New York Council of Defense Lawyers as Amici Curiae in Support of Plaintiff’s Motion for Summary Judgment.

  3. News Release
    /Nacdl/media/image_library/Elements/global/newsrelease.png

    News Release ~ Law Enforcement Executive Order

    NACDL Warns Executive Order's Dangerous Overreach Undermines Community Safety and Trust in Police – Washington, DC (April 29, 2025) – The National Association of Criminal Defense Lawyers (NACDL) expressed deep concern regarding the Executive Order titled "Strengthening and Unleashing America’s Law Enforcement to Pursue Criminals and Protect Innocent Citizens," cautioning that several of its proposals represent a dangerous overreach that undermines these goals by jeopardizing individual rights and the legitimacy of law enforcement in the eyes of the community.

  4. Event
    /Nacdl/media/image_library/Learn/nacdlcleinstitute/2025_Post-Dobbs_Trial_Tactics_2025-02-26_v02_Event-Listing_2.jpg?ext=.jpg

    Trial Tactics for Pregnancy-Related Cases: Skills for Every Defender

    LOCATION: The University of Texas School of Law, Austin, TX
    DATE: May 16-17, 2025
    COST: FREE (registration is required)
    CLE Credit: Up to 14.5 credits 

  5. Webinar
    /assets/img/nacdl_og.png

    Collaborative Approaches to Appellate Defense: Recognizing Clients' Legal Expertise

    WHEN: Thursday, May 8, 3:00-4:30pm ET / 12:00-1:30pm PT
    CLE CREDIT: not available
    COST: Free

Featured Products