Podcast: Navigating Not-for-Profit Board Responsibilities

What makes an effective, efficient board? How can organizations ensure that their boards are meeting its responsibilities to uphold organizational integrity?

On today’s episode of the Weaver: Beyond the Numbers podcast, Jackie Gonzalez, assurance partner, and Kirby Ross, tax partner, chat about not-for-profit board responsibilities and offer examples and advice for potential board members.

Key Points:

• Not-for-profit board responsibilities include duty to care, duty of loyalty and duty of obedience.
• When considering board responsibilities, it is important to balance passion for the mission with fiduciary board responsibilities.
• Communication between management and the board improves accountability and helps the organization stay true to its mission.

Joining a not-for-profit board can offer tremendous opportunities to serve the community. Anyone considering this role should have a clear understanding of the commitments and challenges that come with being a board member. In addition to providing governance for the organization, not-for-profit board members focus on making decisions that align with the mission, strategy and goals of the organization.

“There are three areas for a not-for-profit board to focus; social responsibility, fiscal responsibility and then kind of a big one legal wise is fiduciary responsibility,” Ross explained. “This is your duty to care, duty of loyalty and duty of obedience.”

Gonzalez elaborated on how the board assists in maintaining the fiscal integrity of an organization. “We rely on the board to tell us where maybe there are problem areas, areas of concern for them as board members. When are they looking at financials or when they are going through the strategic plan—what areas do they want to change or focus on?”

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