Fargo-Moorhead Builders & Traders Exchange Inc

“During the year the Organization became aware of a diversion of the Organization's assets due to the misappropriation of funds by the Executive Director. Transactions totaling between $118,000 - $147,000 were found to be unauthorized personal purchases that were made without consent of the Board of Directors. The individual was released from employment. Since then, FMBX has hired a new manager and an outside bookkeeper to handle the accounts receivable/payable and other bookkeeping tasks. Another measure FMBX has taken to safeguard its assets is issuing management a pre-paid debit card with a low limit and reviewing the purchases made on that card monthly. The Finance Committee now receives financial reports, statements and receipts from the FMBX manager prior to the Board of Directors meeting, giving the Finance Committee time to review transactions before the board meeting where the Treasurer's report is then presented and approved.”

“Any person, partnership, corporation or limited liability company directly or indirectly connected with the construction industry shall be eligible to apply for membership in this Corporation. There shall be no discrimination of individual memberships because of race, religion, sex, age, national origin, disability or veteran's status. Residence in the state of North Dakota is not required for membership.”

“The President of the Board of Directors will appoint a Nominations Committee of three (3) active Board members. The Nominations Committee will disseminate nomination forms to all Corporation members. Members elect the Board of Directors.”

“There are no committees with the broad authority to act on behalf of the Board of Directors.”

“Form 990 Draft will be provided to the board at a special meeting for their review prior to filing with the IRS.”

“The written conflict of interest policy covers Board of Directors only. The Board President reviews and determines whether a conflict exists. While the written policy does not state what restrictions are imposed on a person with a conflict, in practice that individual is required to leave the room and abstain from voting on the issue in conflict with.”

“The Board of Directors annually reviews and approves all compensation for the employees. The Executive Committee of the Board of Directors annually reviews the compensation package for the Executive Director. In determining reasonable compensation the Executive Committee of the Board of Directors obtains data on comparable compensation for similarly qualified persons in comparable positions. The Executive Committee presents their proposed compensation package to the Executive Director in a formal review. The proposed compensation package is based on reasonable compensation and on their review of the Executive Directors annual performance on the compensation changes based on their review of her annual performance. There are no other officers of the organization.”

“The organization corporate documents, conflict of interest policy, and financial statements are made available to the general public upon request.”