Expanded 1099 Reporting Requirements Repealed

On April 14, President Obama signed legislation repealing the expanded 1099 reporting requirements. Under the legislation that was passed last year within healthcare reform, organizations would have had to file a 1099 for every vendor whether incorporated or not for all payments over $600. This would have been a significant reporting burden. The rules for 1099 filing revert back to the old rules--you only need to file a 1099 for unincorporated businesses that provide you with services.

Strategic Living

Many thanks to the Board Members who spent their Saturday morning at Boot Camp. We really appreciate their dedication to the nonprofit community.

We had two tracks to Boot Camp on Saturday. In the advanced track we looked at Strategic Thinking. How do you take the energy from your Strategic Planning and incorporate that into the Board work throughout the year?

A few ideas:
Stakeholder interviews during the process provided you with feedback from all directions. Keep that going by focusing on a different set of stakeholders throughout the year. The process does not have to be elaborate. It can be a five question survey after a service is provided; a short survey in the newsletter once a year; or a focus group lunch with the employees.

Periodically evaluate the financial condition of the organization to make sure you have the financial ability to continue to pursue the goals of the plan. Revisit funding goals and initiatives to make sure you are staying on track. If planned funds are not coming in, you will need to cut back on programs.

Set aside time at Board Meetings to discuss strategic items in more detail as necessary. The strategic plan will have scheduled times for the completion of certain items. Schedule these time frames on your Board agenda.

Modify the plan as necessary to address identify opportunities or threats. The Strategic Plan needs to be a living document, not a binder on the shelf that you dust off every three years.

Board Tools

Our first session on Saturday’s Boot Camp will look at the General Duties of Board Members. There are the legal obligations:

1. Duty of Loyalty-avoid conflicts of interest and put aside personal and professional interests


2. Duty of Care-actively participate, ask questions


3. Duty of Obedience-stay true to the mission and obey both organizational and societal laws

We then review the Ten Basic Responsibilities outlined in the previous post from the Ten Basic Responsibilities of Nonprofit Boards, Board Source book. Lastly we provide some practical tools that can help Boards put these responsibilities in practice.

• Board Profile-a chart that shows the Board members across the top with skills, interests, and background down the side. When the Board profile is completed you can see what talents you currently have on the Board and what you need to look for in new Board Members.


• Board Candidate Form-to collect information specific to your nonprofit to help you evaluate potential Board Members


• Board Orientation manual-to provide to new Board Members to help them learn about their role in your Organization


• Board Manual-for all Board Members-includes Board calendar, mission, vision, strategic plan, roles & responsibilities.


• Annual Affirmation/Board Expectation form-for Board Members to affirm their commitment to support the organization through their financial support, attendance at special events, and commitment to Board meetings.

Ten Basic Responsibilities of Nonprofit Boards

As I mentioned in the previous post we are getting ready for Board Boot Camp on Saturday. Each participant will receive a copy of the Board Source book-Ten Basic Responsibilities of Nonprofit Boards. In less than 100 easy to read pages, with practical examples and tips, this book discusses the following ten responsibilities:

1. Determine mission and purpose

2. Select the Chief Executive

3. Support and evaluate the Chief Executive

4. Ensure Effective Planning

5. Monitor and Strengthen Programs and Services

6. Ensure Adequate Financial Resources

7. Protect Assets and Provide Financial Oversight

8. Build a Competent Board

9. Ensure Legal & Ethical Integrity

10. Enhance the Organization’s Public Standing

At $19 for members and $29 for nonmembers on the Board Source website, it is an easy decision to make sure that all of your Board Members have this great reference book. And it is also available as a digital download.

Picture This! Revisited

I had a comment on the Picture This post from Jacob Smith whose blog Bright+3 had a great recent post-The Nonprofit Dashboard Roadmap. In the post, he looks at five types of dashboards with links to some excellent illustrations. I like the idea of categorizing the types of dashboards as it better helps you focus your purpose, your audience, and why you are trying to communicate with them.

Getting Ready for Boot Camp

I am preparing for our Board Boot Camp and I am impressed with the number of Board members who are willing to spend time on a Saturday morning learning skills that will help them better lead their nonprofit organization. On what key areas will we be focusing?

General duties of Board Members
Strategic Planning
Fundamentals of Fundraising
Understanding Capacity Building
Financial Oversight for Boards
CEO and Board relationships

These areas provide a foundation for Board Members to lead their organization regardless of the economy or the challenges facing them.