Situation: A Basic College (ABC) provides a traditional college education program for its students. ABC operates as a Section 501(c)(3) organization exempt from income tax. Its purpose is to provide an education program to young adults in order to qualify [...]
Situation: A 5-member Board of Directors governs the Tragic Victims Relief Organization (TVRO). The Bullied and Abused Responders Enterprise (BARE) appoints two of TVRO’s directors, while a 60% owned for-profit subsidiary of BARE, the Psychological Bandage Corporation (PBC), [...]
Situation: O. Sue Generous (O Sue) sits on the Board of Colorado Debtors Anonymous (CDA), a 501(c)(3) organization. Just prior to CDA’s fiscal year-end, O Sue took an advance of $1,000 to help cover travel expenses for attendance at the annual convention of [...]
The Internal Revenue Code requires that deductible donations to charitable organizations must be substantiated with a contemporaneous written acknowledgment (CWA) of the contribution by the donee organization. The CWA must follow a prescribed format. However, the Code also says that the Secretary [...]
Situation: I. M. Boss, the Executive Director of A Good Show, a 501(c)(3) organization, receives a total compensation package of $300,000. The HR Director reported to the Executive Committee the results of his survey, indicating that for comparably sized [...]
THE DEVELOPMENT OF AN ORGANIZATION’S MISSION STATEMENT The mission and culture of an organization defines its character and personality. They embody what an organization is all about. These concepts shelter and nurture its reason for existence. So, what is an organization’s mission? [...]
Behind every well-executed charitable or civic-minded mission froths a simmering cauldron of a team whose members wrestle between themselves with how to deliver the most good to the most people, most efficiently and most effectively. The picture of team interaction seldom competes for good looks. [...]
Most Not-for-Profit boards of directors don’t really know what to expect from the organization’s Chief Financial Officer (CFO) when he/she reports. Most CFOs report a rather vanilla version of the not-for-profit (NFP) organization’s latest financial statements, as produced by the [...]
Why would anyone want to, or concede to, serving on a board of directors for a not-for-profit organization? The pay is lousy. The thanks and recognition is muted. The aggravation can be grating and painful. The need to compromise, in an arena where one’s values form the basis for [...]
Situation: Gentle Persuasion, Inc. (GentleP) and HammerItHome Foundation (Hammer) are 501(c)(3) charitable organizations with no overlapping boards of directors. Nevertheless, each has taken a particular interest in two other organizations called Goodness [...]