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Emerging Latino Communities Initiative Webinar Series 2011 June 22, 2011 Presenter: Janet Hernandez, Capacity-Building Coordinator.

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Presentation on theme: "Emerging Latino Communities Initiative Webinar Series 2011 June 22, 2011 Presenter: Janet Hernandez, Capacity-Building Coordinator."— Presentation transcript:

1 Emerging Latino Communities Initiative Webinar Series 2011 June 22, 2011 Presenter: Janet Hernandez, Capacity-Building Coordinator

2 Agenda 1.Why do nonprofit organizations have boards? 2.Responsibilities of nonprofit boards 3.Individual member responsibilities 4.Board committees 5.Who does what? Executive Director Role vs. Board Role 6.Best practices for high performing boards 7.Is your board in trouble? 8.Q&A

3 Why Do Nonprofits Have Boards? To govern and guide the organization by determining the organization’s mission and strategic direction To ensure that the organization complies with legal requirements To procure funding and oversee its appropriate management

4 Main Responsibilities of Nonprofit Boards Ensure that the organization stays in compliance with nonprofit laws and regulations. Determine the organization’s mission, strategies, and program priorities. Adopt operational policies and procedures. Ensure effective organizational planning.

5 Recruit and train new directors and regularly assess board performance.

6 Guarantee adequate financial resources by giving and requesting donations. Monitor resources effectively, approve budgets, and establish fiscal policies and financial controls. Hire an executive director, define his or her duties, set compensation, and review performance on a regular basis. Serve as public representatives of the nonprofit corporation and enhance its public standing.

7 Individual Board Member Responsibilities Meetings are not used primarily for listening to long reports from staff.

8 Individual Board Member Responsibilities Act in good faith and in a manner that you reasonably believe is in the best interest of your organization. Act with such care as any prudent person would employ in your position. Believe in the mission and be well-informed about the organization’s history, services, policies, and programs. Be consistent in attending meetings and special events. Serve on committees and take on special assignments.

9 Review agendas and supporting materials prior to board and committee meetings. Make a personal financial contribution to the organization and/or raise a designated amount. Assist the board in carrying out its fiduciary responsibilities, such as reviewing the organization’s monthly and annual financial statements.

10 Most boards carry out their functions through committees because: Smaller groups can work more efficiently Committees can play a helpful role in building teamwork among members of large boards Committees encourage board leadership to emerge Board Committees

11 Board Performance Evaluation

12 Understands and supports the mission of the organization Provides leadership for strategic planning Assists in fundraising and gives an annual gift to the organization Knows the organization’s programs and services and engages in program evaluation Board Performance Evaluation

13 Understands the organization’s financial statements Prepares for and participates in board meetings and committee meetings Maintains appropriate relationships with staff Participates in board selection, orientation, and evaluation

14 Implements policies and overall goalsSets policies and direction for the organization Maintains responsibility for all the parts coming togetherDeals with the “whole” and develops concepts Understands long-term goals, but is short-term focusedMaintains a long-term focus of governance Acts as bridge from board to staffDeals only with the executive director Has authority over all staffHas authority over executive director, when acting as a full board Executes operating budgetApproves operating budget Accounts to full boardAccounts to membership or community served Implements priorities established by the boardDetermines priorities and measurements for organization Provides information to the board on results achievedAnalyzes information and evaluates results based on established goals and priorities; evaluates executive director Proposes goals for next year and strategic analysis of organization’s program and administration Considers executive director’s perspective and recommendation to reevaluate priorities and develop strategic plan Executive Director Role vs. Board Role

15 The board and key staff agree on the core values that will guide the organization’s mission. The board plans ahead and pays attention to the strategic direction needed by the organization to ensure continued success and improvement. The board is committed to excellence and is willing to take an appropriate amount of risk to be among the best. The board and the executive director agree on how they will know when the agency is successful and use a key set of data in tracking program and financial performance. Board members have a clear and complete board job description. Best Practices of High-Performing Boards

16 Unclear definition of roles Inadequate knowledge of what good governance means (no board orientation) Board members not pulling their weight Poor communication and unresolved conflicts Feeling too far removed from what is going on in the organization Board does not follow by-laws Poor attendance at board and committee meetings Signs of Boards in Trouble

17 Questions or Comments?

18 Thank you! Please fill out survey when you exit this webinar.

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