The Surety & Fidelity Association

“With respect to the sfaa board of directors, because of the position the organization holds in the industry it represents, we expect that many of our members will have incidental business relationships from time to time. All members of the board of directors are subject to the organization's conflict of interest policy and must disclose any known conflicts of interest.”

“Any company licensed to engage in the business of surety or fidelity bonding, or as a reinsurer, and meeting such other criteria as may be determined from time to time by the board of directors, is eligible to become a member upon its application.”

“The members of the association shall vote to elect directors each year at the annual meeting. In addition, the president serves on the board in an ex officio, non-voting capacity. To facilitate voting for membership on the board of directors at an annual or other meeting, the board of directors will appoint a nominating committee of five members at least three weeks prior to the meeting. The nominations proposed by this member committee will be distributed to all members at least one week prior to the meeting. Other nominations are allowed at the meeting.”

“Management distributes the draft of the form 990 and related schedules to the sfaa executive committee and makes it available to board members for inspection prior to filing it with the irs.”

“The sfaa board of directors requires all directors, officers and employees to complete and submit an annual statement of disclosure detailing any facts or circumstances that might constitute a conflict of interest. The board of directors further requires directors, officers and employees to submit an amended statement of disclosure to reflect any material changes or additions to the submitted information that may arise during the course of the year. Directors, officers and employees are encouraged to err on the side of disclosure and to report any set of circumstances that may appear to pose a conflict of interest, even if there is uncertainty as to whether such circumstances should be disclosed. The board of directors recognizes that conflicts of interest are not uncommon, and that not all conflicts of interest are necessarily harmful to sfaa. However, the board requires full disclosure of all actual and potential conflicts of interest. Under the policy, the board of directors determines whether or not a conflict of interest exists, and whether or not such conflict materially and adversely affects the interests of sfaa. A director, officer or employee whose potential conflict is under review may not debate, vote, or otherwise participate in such determination. If the board of directors determines that an actual or potential conflict of interest does exist, the board shall also determine whether the conflict should be waived or identify an appropriate remedy. Such remedy may include, for example, the recusal of the conflicted director, officer or employee from participating in certain matters pending before the board.”

“Comparability data is used in determining salaries for the president & ceo and other top management positions. The association purchases the ceo compensation survey periodically. In 2022, the organization hired a compensation consultant to review the ceo's compensation. Compensation surveys for associations also are reviewed to determine key position salaries, and the decision is documented.”

“These documents are not available to the public.”

“Communications 487,325. Consultants 134,971. Public relations 12,397. Government relations 8,980.”

“Pension plan adjustment -320,794. Postretirement plan adjustment 279,272.”