Parent Encouragement Program Inc.

“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 form 990 via email to all pep board members for further review and comments 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 annually 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, using the most recent maryland nonprofit salary surveys produced by the organization maryland nonprofits. In june 2020, the board approved a cost of living increase for all staff. The board documents the compensation review process in the board meeting minutes.”

“Pep's financial review, 990 forms and annual report are posted on our website. In addition, pep makes its financial review, conflict of interest policy, and governing documents available upon request. Review of the documents is free in our offices during normal office hours (public health conditions permitting), 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 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 fee for each class, webinar or other program they lead.”

“Contractor fees: program service expenses 42,935. Management and general expenses 448. Fundraising expenses 13,326. Total expenses 56,709. Leader fees: program service expenses 32,937. Management and general expenses 0. Fundraising expenses 0. Total expenses 32,937.”

“On april 22, 2020, pep received loan proceeds in the amount of $50,122 under the paycheck protection program. The promissory note calls for monthly principal and interest payments amortized over the term of the promissory note with a deferral of payments for the first six months. Under the coronavirus aid, relief, and economic security act (cares act), the promissory note may be forgiven by the small business administration in whole or in part. Pep intends to use the proceeds for purposes consistent with the paycheck protection program and believes that its use of the loan proceeds will meet the conditions for forgiveness of the loan. Pep intends to apply for forgiveness after completing the 24-week period. If forgiveness is granted, pep will record revenue from debt extinguishment during the period that forgiveness was approved.”