CONSTITUTION OF THE ORGANIZATION

Art 1- the name of organization

The name of the organization is (Dove rehabilitation and development organization), it

is a voluntary and non-profit organization.

Art 2- the emblem of the organization

The emblem of the organization is white dove carrying a green leaf with light blue
background.

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Art 3-the nature of the program

Integrated community development and rehabilitation programs and trust building

among the community.

Art 4- beneficiaries

Targeted groups are minority and low-income communities.

Art 5-objectives and strategies

Improving the quality of life in rural Somalis through arid land development projects,
better rain fed farming practices and integrated health services development

Art 6- source of funding

6.1 To seek funds and material aid from UN agencies, NGOs, government’s
foundations and members of the organization.
6.2 To raise or borrow money or materials for the projects of the association.
6.3 Self funds through participation of associates and local businessmen.

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Art 7- Responsibilities and relations.

7.1 The responsibilities of the organization shall be limited to humanitarian work.

7.2 To be responsible and accountable for the implementing projects and the received
donation.

7.3 To under take all the programs, charitable in the nature and not contravening the
Somali low.

7.4 Participating in the resettlement and rehabilitation programs.

7.5 To collaborate with other voluntary and social organizations.

Art 8- organization

8.1 This organization was formed and established by group of professionals who were
concerned about the calamities created by the wars and willing assist the victims to
improve their living condition.

8.2 The officer of this organization will compromise of the chairman, deputy chairman
and director as heads of the department consequent on the need of the planned program,
the chairman, vice chairman and the board of directors will determine the number of
executives.

8.3 Founders

Are the highest authorities of the organization and are follows:

1. Ahmed Omer Gagale

2. Eng. Ali Osman Luube
3. Amir Ahmed Awale
4. Dr. Mohamed Husein Halane
5. Yusuf Geddi Feyley
6. Zahra Jamac Qorsheel
7. Faysal Farah Makaraan
8. Faduma Moalim Yusuf
9. Salad Ibrahim Osman
10. Mohamed Isaq Jalafey
11. Hassan Abdulle Gargaar
12. Adan Badal Ahmed

 Shall elect chairman and deputy chairman for title NGO and representatives
to all Somali regions.

 The chairman can arrange the extra ordinary general meeting whenever
necessary.

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  The quorum will constitute two thirds of total member present in the
country.

 Shall to review plans and budgets of the organization.

 Shall to monitor and evaluate organizational effectiveness.

 Shall review the general policy of the organization.

8.4 THE CHAIRMAN

1. Shall be the chairman of the board of the founders’ general meetings and the
executive directors;

2. Shall be elected by the founders of the organization for a period of THREE

years;

3. shall propose the executive directors;

4. Shall be responsible for day-to-day activities of the organization;

5. Shall be empowered to enter into agreement with other organizations between

sessions and must seek the approval of the founders in the next session or, if
necessary in an extraordinary sessions;

6. Shall have the final signature of all principal outgoing documents;

7. Shall be empowered to approve payments up to USD 5000 or equivalent;

8. All checks should bear his signature and the signature of finance director;

9. If on tour or away from work for any reason, his Deputy will act on his behalf.

8.5 THE DEPUTY CHAIRMAN

1. Shall be the acting chairman when the chairman away on tour or away for
any reason.

2. Shall be elected to office by the founders for a period of three year.

3. Shall name a member of the executive directors of a member of the founders

for acting chairman if he/she is absent for any reason as his capacity as acting
chairman.

4. The deputy chairman shall also exercise such other powers and perform such
other duties, as the chairman shall direct.

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Art.9- Accounts

1. The accounting records shall be kept at the office or other save places
designated by the executives and shall always be open to the inspection of
the founders and the executive board.

2. At the annual general meeting of the founders or meeting corresponding to

that, a proper income and expenditure account with a proper balance sheet
should be prepared by the finance department. No more than three months
before the meetings approved for auditing should be authorized, as official
signatures of bank counts.

Art. 10- Auditing

An audit nominated by the founders or the represented international NGO should both
or separately inspect all income and expenditure accountants and the annual balance
sheer as well and every thing should be transparent to all members.

Art. 11- Dissolution

In the case of dissolution or winding up of the association, the founders and executive
board has limited liability. Any remaining of the assets (cash or fixed) of the
organization would be turned over to other organizations with same objectives, after
liquidating any outstanding debts.

PROCUREMENT AND OFFICE SUPPLIES

There are number of procurement and supplies procedures established and applied by
Dove organization, all procurement and supplies should conform to these norms:

SUPPLY REQUEST

Requesting persons through filling of supply request raises supply requirements form
(see supply form attached). This form is been forwarded to the authorizing officer who
is normally the project manager or persons delegated by him. After the signature of the
project manager/persons delegated by him, the form will pass over to the accounts and
finance section for funding controls then it will pass over to the purchasing officer for
procurement if it does not exceed USD 500 in total cost of items request, exceeds this
figure it goes through a tender procedure.
Procurement request form addresses the following

o Type nature and quantity of item and materials needed;

o Purpose or justification for this need;
o Estimated cost of item(s) requested;

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 o Area or section is requesting the supply item (s);
o Budget item to be charged will indicate.

After these procedures all met for items with cost not exceeding USD 500, purchases
of the specified item would be made and appropriate delivery done. Delivery must be
accompanied by a delivery form and purchase receipt duly signed by:

o The purchase person;

o Recipient person who made the purchase request;
o Three copies of the delivery are made in which one goes to:
1) Requesting person;
2) Tories and ledger;
3) Accounts and finance.

TENDER PROCEDURES

All items above 500 USD ceiling go through tender system. The following procedures
are been strictly followed in the tender and procurement system:

o Purchase request form is raised by the requesting person/signed;

o The required item will advertise to the public for binding. The bid clearly
specify the item, type, condition quality and specification. Advertising is
fitted to the office notice board and will send also to the local suppliers;
o Quotations are analysed by Dove tender team composed of (project
manager, accountant and project auditor). For the lowest bidder, in which
tender is been awarded to the best and most reliable bidder not necessarily
the lowest;
o Contract is been prepared for the winner in which the specific rules and
conditions of delivery are clearly stated;
o Three signatures must be endorsed to this contract;
o A purchase order is been raised by the purchasing officer and signed by at
least two authorizing officers (the project manager and the chairperson) and
a copy given to the vender;
o Deliveries of items are been made to the procurement sector entered into the
delivery ledger, three copies of the delivery are been made after delivered
item (s) satisfy the delivery conditions in the contract these copies go to:

1) Requesting officer to the item;

2) Accounts and finance;
3) Supply and ledger file;

Payment request is been then raised duly signed by the finance.

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FINANCE

Dove organization finance section has the following branches:

1) Accountancy
2) Audit
3) Cashier

All of them deal with the preparation, control and payment procedures of money. Cash
payments in Dove are been divided into three categories:

1) Regular (recurrent) payment, which includes salary payment, office rent,

fuel, car rent stationary, staff per Diem, and bonus for IDD holidays
2) Payment of supplies (those that come under the tender procedures)
3) Petty cash payments (advance, other petty cash needs)

Regular (recruitment) payment and payment of supplies follow the same

procedures. The following procedures apply for payment of this nature:

o Cash disbursement voucher is been raised by the account after the signature
of the program manager and the chairperson and returned to the account.
o Account prepares pay order attached the cash disbursement voucher and the
name of payee i.e.(list of staff, contract of final supplies) and etc. this is
signed by the Chairman or the program manager and followed to the cash
facilitator.
o The project cashier should receive the money from the cash facilitator and
makes necessary payments.

For the petty cash payment, the accountant should raise petty cash advance request
through filling advance for petty cash form. The petty cash request for advance should
been submitted by the accountant for authorization. The petty cash request should be
sign by the program manager.

The normal cash disbursement voucher should been filled and signed by authorized
signatories similar to the case of the other two payments.

o Pay order should again be raise to the facilitator with relevant signatures for
cash delivery.

o The cashier will receive the money and deliver to the accountant who requested
the advances.

o The accountant should prepare monthly returns for the expenditure and
justification of the advances; the purpose and methods of payment.

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 o The agreement should be sufficient to protect the funds of the organization
from any misappropriation i.e. unauthorized misuse, fraud or any other loss
etc.
o All cheques should be pre- numbered and their use accounted for:

1. Bank cheques, which should be maintain in a secure area;

2. The cashier should periodically compare cheques that have been
used (including voided) to identify any cheque not legitimately
prepared;
3. He/She should also check whether the amount of cash per each bank
deposits slip equals the amount of cash that the official has signed
(cash receipt form and the date of deposit slip) is reasonable;
4. The cashier must not have access to the accounting records and must
not have authority to sign cheque;
5. Surprise audit of counts of the cash held on hand by the organization
should conduct regularly by some one independent from the cashier;
6. The result the count should be documented on the cash count sheet;
7. The result of the count should be compared to the accounting
records;
8. Any different should be adequately explained and justified;
9. The signature of both the accountant and the cashier should appear
on the account sheet;
10. International NGOs and other partner organization funds should be
maintain in a separate bank account where possible;
11. International NGOs advances must be deposited in secure, interest-
bearing accounts where possible;
12. Bank account must be recognized promptly on receipt of bank
statements and the reconciled statement must reviewed and verified
by the accountant or cashier;
13. Cash facilitators are normally select by donor counterpart. In this
case, international NGOs select the appropriate facilitators.

PREPARATUION OF PAYROLLS AND APPROVALS

The accountant and his section normally prepare payrolls after submission of monthly
attendance records from the various sections. The accountants should sign and forward
it to the project manager for approval, and send to the finance cashier to prepare
payment voucher. The payment voucher should again sign the project manager and
countersign by the Chairperson. The duly signed payment voucher should send to the
cash facilitator, where the cashier receives the cash and makes staff payments.

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PROCEDURES FOR PURCHASES LESS THAN USD 500

The following steps should been followed when intending to purchase items less than
USD 500:

1) The requisition officer should fill a purchase request form describing item
required, quantity, type, condition, justification and purpose intended for the
item;
2) The request should been submitted to the accounts section who confirm
availability of funds and indicate the charge code;
3) It should then forward to the project manager to approach it and countersign
by the Chairperson;
4) The purchase order should been given to the procurement officer for
necessary purchase and should enter into the ledger records;
5) The requisition officer shall receive the item from the stores and submit
receiving report in the case of service provided. The work required to be done
should been quantified and the cost should been identified by qualified
project staff. A detail worksheet should be prepared, which contains:
- Description of work;
- Material requirement;
- To what quality standard the work should be done;
- For how long and for how much it should be done with;
- Systematic procedures of work should be done and fully described;
- Payment method should be stated with terms and conditions;
- Suitable candidate for the work should be nominated;
- Contract of agreement should be drawn;

6) Regular supervision of work should be done as it progresses;

7) After completion of work, an inspection report should be prepared. If work
is satisfactory according to the contractual agreement, then the person
concerned should write completion report;
8) The report should send to the project manager for satisfactory completion
approval;
- Original work contract inspection, certificate and completion report
should been attacked together and forwarded to account section for
approval;
- It should be submit to the finance cashier who will prepare payment
voucher that signed by the project manager and Chairperson;
- 75%- 80 % of the total money should pay with 10-15% retention fee
up to certain agreed period;
- If service provided remains in the quality standard required, then final
payment of retention fee should made. Usually retention period
normally considered is 90 days if work done is substantial, if not 45
days is sufficient period.

ATTENDENCE RECORDS

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All sections’ units or stations of Dove project keep monthly attendance records, both at
the field and base station. This record should reflect the following:
o Each section of the organization must maintain accurate attendance time
sheet;
o It should indicate number of days worked and days of absence as well as
reasons for absence;
o It should show total number of days worked per month;
o The employee supervisor must sign attendance time sheet. A copy of the
signed time sheet should be submitted to the accountant, examination and
payment voucher preparation section before end of every month. (See sample
of back page).

CASH DISBURSEMENTS

The following procedures should be use to define effective outflow of cash in the
organization:
o Cash disbursement voucher vouchers;
o Supporting documents of cash disbursement vouchers;
o Cheque or pay order;
o Authorized signatory list;
o Bank or reconciliation reports for all accounts.

LIMITS OF AUTHORIZATION

The control and management of finance should have strict limitations to the power and
authority of all persons empowered with its regulation.

Dove BOD has agreed the following authority limitations that are to respect in any case:

o CHAIRPERSON

He /She can approve 1000 US $ only. Any amount exceeding this need to sign the
project manager and chairperson
.
The chairperson of the organization has the authority and power to approve this amount
and has the power to seek for further approval from members of the board.

o PROJECT MANAGER

He/She can approve maximum cash of 500 US$, more than this he/she has to consult
the chairperson.

He/she has no access authority to authorize any of the organization funds beyond
this limitation.

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 o ACCOUNTANT

He/ she has no access to approve or authorize any of the organization funds.
He/ she is only entrusted to prepare the accounting records.

o CASHIER

He/she has no access to prepare accounting records.

He/she has access to maintain the organization funds only.

It should be clearly stress that none of the above persons has the right or authority to
exceed the limitation of his/ her authority. Any excesses, misconduct or abuse of power
resulting from financial miss-management can be very serious that can cause dismissal.
Therefore, all the above officers are required to observe the strict limitation of financial
approval to their authorized limits.

PETTY CASH POLICY

This policy defines the rules and regulations that guide and unit the frame work of petty
cash of operations. To ensure the compliance of these procedures the following
documents and subsequent rules are the requirements:

o Petty cash establishment letter;

o “ “ Voucher;
o “ “ Ledger account;
o “ “ Custodian;
o “ “ Count history;
o “ “ Voucher authorization level;
o “ “ Request for additional petty cash;
o Petty cash requirement must be minimum necessary;
o The chairperson or project manager must approve petty cash requirement
and copy of approved letter should been given to the cashier, who maintains
the petty cash. The accountant must update the petty cash ledger;
o The approved letter of petty cash must state the amount of money and the
maximum requirement must not exceeded USD 200/Month;
o Petty cash voucher must be use for all petty cash disbursements and must be
review in every six months;
o The organization audit should review maximum petty cash in every six
months;
o When the petty cash balance level reaches 20%of its maximum, the petty
cashier should submit a request for additional transaction;
o The petty cash fund should keep in a box used for the petty cash only;
o Someone who does not conduct surprise cash count of petty cash have
custody or access to the cash. The result of the count should been
documented on the count sheet that shows the amount of cash counted in
hand and should compare to the accounting records;

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 o Any differences should have justification and an adequate explanation and
the signatures of both the counter and the cashier should appear on the
account sheet;
o The petty cash voucher must be use for all petty cash disbursement to
document approvals, disburse fund and the accounts affected by transaction.

CASH ADVANCES POLICIES

This facility is been utilized at personal and organizational needs to secure the advance needs
of all concerned. The following documentation is required conditions to disburse cash
advances:

o Advance requisition form;

o Advance ledger;
o The requisitioned employee of advance cash must fill out the advance requisition
form and it must be approved by the chairperson or project manager;
o The approved advance letter must be send to the accountant. He/she will give to the
cashier the advances account in the advances ledger and then give to the cashier
who process payment;
o All advances must be liquidate within 30 days;
o The accountant is responsible for controlling the advance for more than 30 days and
it must be recover from the employee’s salary;
o The employee who has been provided with advance must repay this fund to the
cashier;
o The cashier should prepare three copies of cash receipt voucher, one copy is given
to the employee, one copy send to the accountant and the other will be retained in
the file;
o No advance is payable to employees with an un-liquidated advance.

FIXED ASSET POLICY

Fixed assets include all properties of the organization purchased or donated for the use
of the organization. These includes vehicles, equipment and machineries, electronics of
all types, furniture, cutleries, hold items and any other item purchased from the
organization funds purposely bought to support functions of the organization.

The BOD of the organization has agreed the following rules and procedures as the valid
administration of the fixed asset policy.

This is been defined as all tangible items bought for the use of the organization, this
includes, computer, communication equipment, tables, chairs, cupboards etc.

o All employees of the organization who are assigned to fixed asset should be
responsible for that asset and in case of being returned should be in good
condition;
o If fixed asset is lost or steal, the assigned employee should report immediately
to his authority and the organizations’ BOD will review the circumstance of the
issue and made appropriate decision regarding the matter;
o The chairman of the organization will authorize for use of all fixed assets;

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o Fixed asset repairing and record keeping asset should be responsible by the
accountant;
o Periodic physical verification should conduct in every six months accountant.;
o Organizational fixed asset should be assigned serial numbers for identification;
o The organizational asset should not be use for personal purposes;

REQUIRED DOCUMENTATION

1. Fixed asset acquisition supporting documents;

2. Fixed asset register; and
3. Fixed asset selection form.

DOCUMETATION INVOLVED

o Fixed asset supporting documentation regarding the acquisition of fixed assets

must be maintained until the fixed asset is been disposed, it can be vehicle
logbook, purchase receipts etc.
o All fixed asset documentation must be on file.

FIXED ASSET REGISTER

o The acquired assets should be record immediately in the fixed assets register
(ledger) and fixed assets register must be maintain by accounting section;
o Description of the item, serial or other identification number, until cost,
source of fund, percentage funded by each source, data of purchase, and
location must been provided.

STORES MANAGEMENT POLICY

The BOD of Dove organization has agreed stores management policy. Stores are defined as all
inventory items such as project supplies, vehicle fuel and office supplies.

DOCUMENTATION INVOLVED
1. Receiving report
2. Supply control card
3. Supplier ledger
4. Small non- expendable supplies register
5. Supplies requisition form

VEHICLE MANAGEMENT POLICY

Dove does not have vehicles of its own currently due to the difficult operational and
political situation in the country; vehicles should be hire on daily or monthly basis
depending on the need of the organization.

The BOD of Dove organization has agreed the following fuel and vehicle usage policy:

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 o Before hiring a vehicle, contract between the organization and the owner of
the vehicle should be prepared;
o The chairperson or project manager should be responsible for the vehicle
hiring and usage.

REQUIRED DOCUMENTATION

1. Log book
2. Odometer reading
3. Copy of contract agreement

The fuel and vehicle consumption policy of Dove organization have the following
objection: -

1. Each vehicle must have logbook

2. The log-book must contain the following information
3. The mileage of the vehicle by describing the beginning odometer reading and
ending odometer reading of each use of the vehicle
4. The purpose each vehicle is being use for and project use applied to.
5. The project manager or chairman/designee will sign the logbook and will
review the logbook monthly
6. The person assigned will control last reading of odometer equals the actual
odometer reading of the used vehicle, but must not be the user of the vehicle
7. The fuel consumption must be determined by calculating the mileage per
vehicle and compare the mileage rates among vehicles to identify any
unreasonably low or high rates.

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