CHAPTER 1


Basic Principles and Sources of Funds

T HE PRINCIPLES SUGGESTED in this chapter should be
 considered by each school board when it begins formulating
policies governing School Activity Funds. These suggestions are
not intended to be mandatory but do illustrate sound fiscal poli-
cies which may be adopted by county boards of public instruction.
If so adopted, of course, they then become mandatory for the
schools in those counties.

 Basic Principles Governing Activity Funds

 The county policies suggested in the handbook are based on
the following principles:
 1. School Activity Funds are to be used to finance a pro-
 gram supplementing the activities provided by the county
 board of public instruction.

 2. The county board of public instruction shall prescribe
 policies for the supervision and administration of internal
 accounts. These policies should implement but must not
 conflict with those of the State Board of Education. Prin-
 cipals should participate in the formulation of these pol-
 icies, regulations, and procedures at the county level.

 3. All fund-raising projects and activities by the school, by
 any group within, connected with, or in the name of the
 school should contribute to the educational experiences of
 pupils and should not be in conflict with the over-all in-
 structional program administered by the county super-
 intendent and his appointed staff.
 4. Generally, funds collected are to be expended to benefit