Governance
Fiduciary Responsibility of Nonprofit Boards
Nonprofit board members must understand and fulfill their fiduciary duties or they expose the nonprofit they serve and themselves to risk.
April 8, 2019
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CATEGORY
Governance
Governance
Role of the Nonprofit Board
For a nonprofit organization to succeed, it must have a high functioning Board. While management deals with the day to day operations (planning, organizing and executing the organization’s programs), the Board of Directors provides oversight over the organization’s management, finances, mission, and strategic goals.
March 11, 2019
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Governance
Board Member Contracts
All Boards make recruiting mistakes. They carefully vet and enthusiastically elect a new Board member. They hold an orientation, provide information about the organization’s programs, set
December 18, 2018
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Governance
Nonprofit Board Oversight
A nonprofit’s board of directors is legally responsible for exercising the care an ordinarily prudent person in a like position would exercise in overseeing the organization’s operations. This includes the organization’s finances and legal compliance.
April 6, 2018
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Governance
Good News for Nonprofits Moving to a New State
The IRS recently issued a favorable ruling for nonprofits looking to move their domicile from one state to another. Common reasons that nonprofits seek to change their state of incorporationinclude a change in physical location, increasing regulatory burdens, or a lack of meaningful connection to the original state of incorporation. In such cases,
January 1, 2018
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Governance
What is a Registered Agent?
Nonprofits corporations are required to have a registered agent in their state of domicile and in each state where they are registered to do business. The purpose of a registered agent is to ensure that there is a place with a street address (as opposed to a P.O. Box) where an organization can be contacted or served with notice of a lawsuit or other legal action.
August 1, 2017
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Governance
You’re the Chair of the Board – Now What?
At times, issues will give rise to spirited debate among Board Members who each possess valuable yet different skill sets and different points of view. The Chair should make efforts to mediate differing opinions and encourage consensus on actions or policies that represent the best aspects of all points of view.
February 27, 2017
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Governance
How to Combat the Rubber Stamp Board
Rubber stamp boards tend to take a hands off approach to their duties and simply approve everything put in front of them by management without actively participating in deliberation and debate. This approach is dangerous for the nonprofit and the directors.
December 26, 2016
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Governance
How to Survive a Micro-Managing Board
The micro-managing board members show up to their first board meeting and before they have done anything of substance for the organization, they want to revamp the reports, review the nonprofit’s journal entries, question every expense, and critique the Chief Executive’s management style. One might rightly ask whether these activities are adding value. I would argue that nine times out of ten they are not.
September 19, 2016
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Governance
Arizona Update – Electronic Ballots Legal at Last
HB 2592, which becomes effective on August 6, 2016 (Effective Date), amends A.R.S. §10-3708 to allow the delivery of member ballots through an electronic voting system. It is important to understand this change does not apply to director votes which do not have a written ballot option.
August 1, 2016
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