Standard #12: Emergency payment procedures and emergency financing options are established and maintained
To fulfill the disaster mission statement, organizations need to be able to pay their staff and suppliers on time.
- Procedures are in place to track disaster/emergency expenditures:
In many cases disaster related expenses can be recovered, but only if they have been appropriately recorded. Set up a method for tracking expenditures in advance to be able to respond to the needs of disaster and keep track of receipts and time keeping.
- Create backups of information and processes that will enable key financial procedures and payroll to continue:
There are multiple strategies for ensuring that payroll continues after a major disruption.
- Moving towards Electronic Payroll and payments.
- Off site payroll processing: outsourcing, or agreement.
- Flexible policies: Analyse your policies to see what needs to be changed to allow the creation of payroll and payment solutions on short notice.
- Keep a list of the emergency contact information on key vendors and suppliers in your Go Kits:
There are multiple online tools that can help you create lists of your key vendors and suppliers.
- Take actions to increase your organizations financial resiliency:
- Maintain a level of "petty cash" for emergencies
- Include $15-$20 in coins for pay phones
- Keep a list of credit cards that your organization maintains:
- Where are they?
- What are the limits of each?
- Who can sign on each?
- Do they have emergency credit extensions?
- Consider setting up a Line of Credit reserved for use in emergencies
- Be sure your organization is adequately insured for damage incurred by likely disasters in our region.