Service Relief for Hospitality

“The form 990 is given to all members of the board for review prior to filing.”

“In reviewing and approving compensation, the organizations board of directors will utilize the following process: 1. Impartial decision makers. The compensation arrangement must be approved in advance (before any payment is made) by the approval body of the organization composed entirely of individuals who do not have a conflict of interest with respect to the compensation arrangement (example: neither the executive whose compensation is being determined nor any of their family members may be present during the discussion/debate or participate in the vote). 2. Comparability data. When the approval body is considering compensation to covered individuals, it must rely on comparability data that demonstrate the fair market value of the compensation in question. For example, when crafting compensation packages, the approval body must secure data that documents compensation levels for similarly qualified individuals in like positions at like organizations. This data may include the following: i. Expert compensation studies by independent firms; ii. Written job offers for positions at similar organizations; iii. Documented correspondence about similar positions at both nonprofit and for-profit organizations; and iv. Information obtained from the irs form 990 filings of similar organizations. 3. Concurrent documentation. The approval body must document how it reached its decisions, including the data on which it relied. To qualify as concurrent documentation. Written or electronic records of the approval body (such as meeting minutes) must note: i. The terms of the compensation and the date it was approved; ii. The members of the approval body who were present during the debate on the compensation that was approved and those who voted on it; iii. The comparability data obtained and relied upon and how the data were obtained; and iv. Any actions taken with respect to consideration of the compensation by anyone who is otherwise a member of the approval body but who had a conflict of interest with respect to the decision on the compensation.”

“Documents are made available to the public upon written request and approval by the board.”