Labor Education & Research Project

“The organization has a cpa firm prepare the form 990. The form is then reviewed by the editor and operations manager and approved prior to filing. The board of directors also reviews the form 990 after the return is filed.”

“Each director, officer and member of a committee with governing board-delegated powers shall annually sign a statement, which affirms such person: has received a copy of the conflicts of interest policy; has read and understands the policy; has agreed to comply with the policy; and understands lerp is charitable and in order to maintain its federal tax exemption it must engage primarily in activities, which accomplish one or more of its tax-exempt purposes. In connection with any actual or possible conflict of interest, an interested person must disclose the existence of the financial interest to the board. After disclosure of the financial interest and all material facts, and after any discussion with the interested person, he/she shall leave the board meeting while the determination of a conflict of interest is discussed and voted upon. The remaining committee members shall decide if a conflict of interest exists. An interested person may make a presentation at the board meeting, but after the presentation, he/she shall leave the meeting during the discussion of, and the vote on, the transaction or arrangement involving the conflict of interest. The chairperson of the board shall, if appropriate, appoint a disinterested person or committee to investigate alternatives to the proposed transaction or arrangement. After exercising due diligence, the board or appointed committee shall determine whether lerp can obtain with reasonable efforts a more advantageous transaction or arrangement from a person or entity that would not give rise to a conflict of interest. If a more advantageous transaction or arrangement is not reasonably possible under circumstances not producing a conflict of interest, the board or appointed committee shall determine by a majority vote of the disinterested directors whether the transaction or arrangement is in lerp.'s best interest, for its own benefit, and whether it is fair and reasonable. In conformity with the above determination it shall make its decision as to whether to enter into the transaction or arrangement. The minutes of the board and all committees with board delegated powers shall contain: the names of the persons who disclosed or otherwise were found to have a financial interest in connection with an actual or possible conflict of interest, the nature of the financial interest, any action taken to determine whether a conflict of interest was present, and the board's or committee's decision as to whether a conflict of interest in fact existed. The names of the persons who were present for discussions and votes relating to the transaction or arrangement, the content of the discussion, including any alternatives to the proposed transaction or arrangement, and a record of any votes taken in connection with the proceedings. To ensure lerp operates in a manner consistent with charitable purposes and does not engage in activities that could jeopardize its tax-exempt status, periodic reviews shall be conducted. The periodic reviews shall, at a minimum, include the following subjects: whether compensation arrangements and benefits are reasonable, based on competent survey information, and the result of arm's length bargaining; whether partnerships, joint ventures, and arrangements with management organizations conform to lerp.'s written policies, are properly recorded, reflect reasonable investment or payments for goods and services, further charitable purposes and do not result in inurement, impermissible private benefit or in an excess benefit transaction; when conducting the periodic reviews as provided for in this article, the lerp may, but need not, use outside advisors. If outside experts are used, their use shall not relieve the board of its responsibility for ensuring periodic reviews are conducted.”

“The independent membership of the board of directors annually conducts a performance review of the editor. The editor compensations are reviewed and compared to public information about compensation in positions at similar organizations. The board approves compensation for the editor with an official vote with discussion and results recorded in meeting minutes.”

“The organization makes its governing documents, conflict of interest policy, and financial statements available to the public upon request.”