This is such an important relationship and anytime things change it is very hard. The principal has every right, in my opinion, to approve your functions as long as they involve anything that has to do with her school (I.E. the grounds, the auditorium, the backpacks required to send home fliers). If you are off her grounds (perhaps an event held in a rented hall) then her input becomes less required HOWEVER, maintaining a positive relationship with the prinicpal will be key to the long term health and success of your group. I don't believe a principal should have free reign over the groups money. I believe she should make requests like any other aspect of the school; but turning down her requests will take great finesse as she can then hamper your efforts for future efforts to raise money.
Walk gently grasshopper, and find a common ground to share for the good of your program. She is in charge of the school and you are passing through.
Our pricipal wants to be in charge of everything. I am the new president and am having a real hard time with this. I believe she has no say over pta other than what we can do in the school, am I right here? She doesn't go to meetings or be involved in activities. Then at the end comes and takes our money and locks it up. This really bothers me. I am just wondering Does she have this right?