Initial 1. Nonprofit, §501(c)(3) status.
The agency is incorporated as a nonprofit corporation in Missouri or Kansas (except in the case of a local chapter whose national organization is incorporated in another state) and submits an annual corporate report.
The agency has nonprofit, §501(c)(3) status.

Initial 2. Organization Formation.
The organization has bylaws that formally state the agency’s purpose and which govern the agency’s operation.
The agency has a volunteer board of directors, or other governing/advisory body. If the agency’s governing body is national, a local advisory board or equivalent body assists the board of directors in fulfilling its oversight role, particularly as it pertains to the agency’s local services and finances.

Initial 3. Organization Compliance.
The agency is in compliance with all federal, state and local rules, regulations and codes and all applicable licensing requirements governing its operation. This policy includes, but is not limited to, tax filings (including submission of the IRS Form 990), Americans with Disabilities Act, if applicable, employment law, and health and safety regulations.

Initial 4.Organization Finances.
The agency is in compliance with FASB (Financial Accounting Standards Board) and generally accepted accounting principles for nonprofit organizations, including but not limited to:

a) For agencies with annual revenues of $250,000 or more, an independent certified audit of the agency’s financial statements is completed annually no later than nine (9) months after the close of the fiscal year. For agencies with annual revenues under $250,000, an independent review of the agency’s financial statements by a Certified Public Accountant is completed no later than nine (9) months after the close of the fiscal year.

b) Agency has an annual budget outlining projected revenue and expenses for programs, fundraising and administration. Budget is consistent with the major classifications and programs in the audited financial statements.

c) Regularly prepared financial statements present the overall financial activities and financial position of the organization and include a functional expense breakdown that shows total expenses for each program, fundraising and administration which are consistent with those reflected in the agency budget.

d) Administrative and fundraising costs are reasonable, generally not exceeding 25% of total expenditures. In the event that such costs exceed 25%, the agency is able to explain why this excess is justified.

e) If the organization operates under religious auspices, it separates its budget for its social service programs from its religious activities. This separation is clearly distinguishable in the agency’s audited financial statements.

Initial 5. Board Oversight.
The agency’s board of directors, or other governing/advisory body, exercises responsible oversight of the organization’s operations and staff, and, as such:

a) Meets at least four times a year, with a quorum in attendance.

b) Has a minimum of five board members that are elected for specific terms and a rotation plan which provides for new members.

c) Members are not compensated, except to the extent that the agency’s CEO or other senior staff may serve on the board in an ex-officio, non-voting capacity. In that event, compensated board members do not represent more than one member or ten percent of all members (whichever is greater).

d) Maintains minutes that include a record of board members in attendance and a record of action taken.

e) Conducts a regularly scheduled written appraisal (at least every two years) of the CEO’s performance.

f) Reviews and approves the annual agency budget in advance of each fiscal year. Regularly reviews the year-to-date financial statements.

g) Establishes and periodically reviews the organization’s financial, personnel, and other management policies.

blanks 6. Organization Policies and Procedures.
Policies adopted by the board, and management practices are in place to help ensure accountable and effective operations, including but not limited to, those listed below. The agency demonstrates that it adheres to the policies and practices it has established.

a) Policies addressing conflicts of interest involving board members, other volunteers and staff, establishing a code of ethics for staff and board members, and establishing whistleblower protections for staff and board members.

b) Personnel policies and procedures (for agencies with more than one employee) to ensure efficient and accountable operations.

c) A policy promoting diversity, if applicable, and compliance with all nondiscrimination policies of jurisdictions contributing to this Fund.

d) If the agency has a religious affiliation or operates any programs with religious content, a policy that ensures there is a clear separation and distinction between religious programs and social programs and that participation in religious activities is not a requirement to receive services and affirms that programs are open on an equal basis to people of all faiths.

e) Policies and procedures to ensure sound financial management with regard to: financial reporting, internal controls, creation and maintenance of an operating reserve, management of investments as well as protocols for document retention and destruction.

Initial f) If the agency charges fees for its services, a policy that ensures a consistent method for determining fees for those clients with no ability, or limited ability, to pay the fees.

Initialsg) A policy to ensure the agency makes reasonable
accommodations to ensure the accessibility of its services, and, if subject to the Americans with Disabilities Act (ADA), ensures the agency’s compliance with ADA requirements. This commitment to accessibility is demonstrated not only in the physical accessibility of its facilities, but also in how the agency addresses other barriers that program participants may face. This may impact the hours of operation and location of programs, outreach and intake methods and specific accommodations made to ensure that those in need and eligible for services are able to access them.

h) Policies and procedures to ensure the well-being and safety of clients who are in the care of agency staff and volunteers who work directly with clients. This should include, at a minimum, appropriate screening of staff and volunteers, and may include criminal and abuse/neglect background checks. This policy may also include the establishment of – and adherence to – minimum employment qualifications standards, training on client safety and identification of inappropriate behaviors for all who come in direct contact with clients of agency programs. The policy should include a mechanism and procedures for client and/or constituent feedback and client grievances, including reporting any inappropriate behaviors to administration and/or the appropriate authorities as required by law.

i) A policy to address privacy concerns of donors that allows both new and continuing donors to inform the agency if they do not want their name and address and other personal information to be shared outside the organization. The privacy policy that is made available to the public upon request, via website, or other means of accessibility.

Initial7. Organization Self-Assessment and Planning.
a) The agency has defined outcomes for each program and has a system in place to measure and report progress and implement program improvements. Program performance is reviewed annually by the board and staff for effectiveness.

b) The agency’s board and staff leadership engage in periodic planning and assessment of organizational performance to establish future direction for the agency’s programs, finances, and overall management.

c) The agency periodically affirms its mission and programs and ensures that it has the organizational capacity (qualified staff, facilities, financial resources) to implement the program(s).

Initial8. Organization Insurance.
The agency carries insurance coverage to protect the public interest and safeguard the assets of the organization. Such coverage may include a blanket fidelity bond, general liability insurance, real and personal property insurance, officers and directors liability insurance (which may be extended to include the agency’s chief executive officer) and applicable professional liability insurance.