Assuming a calendar operating year, now is a great time to review financial trends and identify needs for any board decision making.  With half the year elapsed, take a look at major categories, such as salaries and benefits, other operating expenses, travel, capital outlay.  If significantly less or more than 50% of funds have been expended year-to-date, was this expected?  If not, what is the explanation?  If money is being spent more rapidly than anticipated, can annual expense targets be trimmed to keep the budget in balance or can a year end deficit be projected and tolerated? If less money is being spent than planned, should expenses be increased i n another area or should a year ending positive balance be planned for (maybe you can add to that endowment or keep a cushion going into a year of uncertainty?).   

Centrally, does the board have confidence in the staff’s approach to managing the budget as approved at the beginning of the fiscal year or is there a need to help restore a balance?  It is not micromanaging for a board to ask basic questions about trends and explore any concerns that arise.  Reviewing strategy for significant adjustments with the board likewise, can be a sign of strength and trust-building, not weakness, on behalf of a confident staff leader.

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