The Observation Deck

cameron karslake wrote:I hope Mr. Dewine holds true to his words down the road.

Charities are required by law to have board members to ensure integrity and
accountability in their governance. They may be called by different titles — board member, trustee, or director — but they have the same important responsibilities. Organizations seek community members to serve in this capacity for several reasons, including:

· Honoring an individual’s previous volunteer services or commitment to those the charity serves.
· Adding credibility to the board through an individual’s management and business skills.
· Strengthening an organization through an individual’s significant contacts.
· Increasing the variety and level of skills on the board.

Agreeing to serve on a board comes with a great deal of responsibility and can provide a very satisfying experience. Before accepting, prospective board members should investigate what the commitment will entail in order to understand the role, function, and responsibilities of being a member of a charity’s governing body.

Trustees and directors of charitable organizations have fiduciary obligations to ensure that the mission of the organization is honored and that resources of the group are used wisely in support of that purpose.

The Ohio Attorney General’s Office has the duty to ensure that the interests of those who benefit from the charity’s work are protected. In fact, this is one of the oldest duties of attorneys general and goes back centuries in common law tradition. Statutory provisions expand on that authority.

The duties of trustees also are long-standing. Statutory provisions spell out those responsibilities in the Ohio nonprofit corporation code provisions (Ohio Revised Code Section 1702). For organizations that have sought and received tax-exempt status from the Internal Revenue Service, there also are federal requirements pertaining to board members’ fiduciary duties.

The responsibilities center on paying attention, being good stewards, and acting in the best interest of the organization. Board members are guardians of the trust, serving on behalf of the community, regardless of personal interests. These duties apply whether or not the group is formally incorporated. They apply whenever an organization presents itself to the public as honoring or advancing a charitable cause. Trustees have the same obligations to their organization whether the group’s budget is $100 or $100 million.

Board members bring new ideas into organizations, provide oversight and guidance on mission and objectives, and help a successful group remain relevant and healthy. The lack of an active and engaged board can doom the future of a nonprofit organization.

Failure to follow through on the legal duties of board membership can have devastating consequences for a charitable organization. There also may be civil or criminal penalties levied against board members who shirk their responsibilities, particularly in situations in which they have benefitted from their action or inaction.

The fiduciary obligations of board members fall under four specific legal duties:

Duty of care
Duty of compliance
Duty of loyalty
Duty to maintain accounts

Missy Limkemann wrote:Wait...I am a charity...a 501 as a matter of fact. And there were things I bought thru my charity and after a while either took them to the scrap yard (and got a few bucks) or just plain threw them out. So now you are saying me personally will have to pay that back? The kennel runs I purchased years ago for xx amount of dollars are so not worth that now....I would be lucky to get 1/4 of what I paid for them...so you are saying I have to pay that back?

Just trying to understand....

Amy Martin wrote:I would encourage anyone who reads this forum who also loves animals to consider making a monetary contribution to Missy's group. These folks use money out of their own pockets to save animals lives. This is a great organization based right here in Lakewood.