Parent Encouragement Program Inc.

“In 2016/2017, the pep board of directors conducted a comprehensive review of its bylaws and made the following changes: changed the method of electing pep board officers and members from being elected by pep members to being elected by the pep board of directors; removed stipulation that the board president cannot vote unless a tie breaker is needed, to reflect that the board president votes on all actions of the board; changed what to do in the event that a motion results in a tie vote on the board, to reflect that in cases where there is a tie during a vote of the board, the motion will not pass; changed the limit of the size of the board which had been capped at 30 board members to reflect new language which states that "pep has sufficient directors to perform the work of the board." extended the board member term of service from 2 years to 3 years; clarified the term length of a board member who joins the board mid-year to reflect that the term includes the remaining of that year plus the 3 years of a normal term of service; removed stipulation that an odd number of members are required for the executive committee in order to avoid tie votes, and that in the event of a tie vote, the motion will not pass.”

“The 990 was prepared by outside accountants and reviewed by pep's executive director and pep's finance committee of the board of directors, who then forwarded the 990 via email to all pep board members for further review and comments. A final copy of the 990 was shared with the board before filing with the irs.”

“The conflict of interest policy is reviewed with new board members during board orientation, and the president reminds board members of their responsibility to disclose potential conflicts. When a board member is aware of a potential conflict in connection with a matter being discussed, that board member has an obligation to announce the potential conflict and recuse him or herself from voting on the matter. If such a potential conflict appears to exist but the board member has not announced it, another board member raises the matter with the chair of the meeting, and the chair inquires into the facts of the potential conflict and determines whether recusal is necessary and appropriate. The same conflict of interest policy applies to employees.”

“As part of its annual budget review process, the pep board of directors is presented with a detailed overview of all staff salaries, including the pep executive director's salary, and any proposed salary increases. Over the past few years, the board has worked to ensure that all staff salaries fall between the 25% to 50% percentile of the maryland nonprofit salary market for their respective position, and in 2015, the board made adjustments to any staff salary that fell below the 25% percentile mark, to increase it to the 25% mark. In june 2017, the board approved a cost of living increase for all staff.”

“Pep's audited financial statements, 990 forms and annual report are posted on our website. In addition, pep makes its audited and interim financial statements, conflict of interest policy, and governing documents available upon request. Review of the documents is free in our offices during normal office hours, or by appointment, or can be copied, mailed or emailed for the cost of copying and postage.”

“Some of pep's board members also serve as part of the pep's corps of certified parent educators who lead pep's parenting classes (which is unrelated to their service as board members). All pep parent educators are offered a small stipend, based on the number of classes they teach, to cover costs such as transportation, child care and other out-of-pocket expenses.”

“Contractor fees: program service expenses 40,165. Management and general expenses 146. Fundraising expenses 383. Total expenses 40,694. Leader fees: program service expenses 30,020. Management and general expenses 0. Fundraising expenses 0. Total expenses 30,020.”