National Minority Supplier Development

“Nmsdc is a membership organization. Certain firms that desire membership in the organization are required to pay annual membership dues in amounts as determined by the board of directors. Members received certification services, electronic database access of certified minority-owned companies, supplier diversity training and seminars, vendor referral support and matchmaking opportunities as well as networking opportunities with their corporate peers to exchange best practices and promote advocacy for minority supplier development. Dues are assessed for services provided; accordingly, they are not tax deductible as contributions and are reported as program income on form 990.”

“A meeting of members is held annually by nmsdc for the purpose of reviewing the nomination of members to the board of directors and conducting the election of directors. The board of directors also meets annually and elects the officers: chairman, vice chairman, secretary, treasurer and president.”

“The financial lead completes the questionnaire provided by the preparer (mitchell & titus) from which a draft is generated. Draft is submitted to chief financial officer for review. Once the review is completed, the final form 990 is presented to the president for his review and approval. A copy is forwarded to the chairman of the audit committee. The e-filing authorization is provided to mitchell and titus to submit the form 990 electronically. Form 990 is also provided to guidestar for listing in their website and it is also available on request.”

“Annual declaration of conflict of interest was instituted in 2017 for board members to declare any conflict of interest.”

“The president's performance and compensation are reviewed annually by the chariman of the board. The chairman authorizes the treasurer to issue written notice to the sr. Vice president and chief financial officer of salary increases awarded to the president. Annual bonuses (if any) are also authorized by the chairman of the executive committee with input from the chairman of the board and the treasurer and confirmed in writing by the treasurer. Nmsdc's president is responsible for the hiring, management and supervision of key employees. The president is responsible for evaluating key employee's performance and authorizes salary increases. Salary increases generally follow annual increases approved by the executive committee in the approved budget. Salary increases due to promotions follow guidelines contained in the approved budget for such position. External compensation studies, such as those issued by the american society of association executives, are used to establish salary levels.”

“Audited financial statements are incorporated in the organization's published annual report which is disseminated to members, board of directors and regional councils. Through a network distribution list, hundreds of copies of the annual report are sent to the regional councils for local dissemination. The annual report is also available on nmsdc's website. Copies of nmsdc's certified financial statements are also available upon request. The conflict-of-interest policy is contained in nmsdc's employee handbook and the affiliates operating manual. Form 990 is made available upon request. Nmsdc ensures that form 990 is also available via guidestar website.”

“In 2021, the board of directors designated $1,655,246 to be used for the transformation of the organization and to enhance its ability to serve its members and affiliates. In 2022 this was increased to $2,276,518. In 2023, nmsdc allocated $1,112,694 toward new technology, systems, and process improvements as part of its ongoing transformation of certification services and broader modernization efforts. In 2024, the organization continued this work, incurring transformation costs of $962,086.”