Non-Profit/Co Op Board of Directors?

Just looking for your thoughts. I am on the board of directors for a cooperative. Without saying too much - I like their mission. My term ends in June. It is a newish coop, 3 years old, and it’s evolving and I understand that. But I am having issues with how the Board is running and would love your advice or experiences? I don’t want to drop off, I want to honor my commitment - but I’m kind of at the end of my rope. Last year, everything was running fine. This year - the new president seems to do everything last minute. She wants to offer health benefits to the full time employee - but expects to vote on it without giving us any financials or specifics on the plan. We discussed moving locations and needed to take an emergency vote on signing a lease out of the blue late December. Last night we had our first meeting of the year and fifteen minutes before the meeting she sent out that she’d like to change the numbers on the salary increase and bonus we offered the full time employee. (We ARE worried the full time employee will leave, they ARE great, we do want to keep them.) But my question is - if you’re not a nimble, for profit company - shouldn’t there be some kind of set up on how and when information is distributed for the meetings/decision making? I feel like I’m being railroaded/rushed all the time. I lost my temper in the meeting last night and I kind of feel bad and kind of don’t. I’m also 52, menopausal, and wondering if it’s me and I should just drop off if I am not able to make “nimble” decisions. And…just now, I had a phone call from a coop volunteer who asked me to donate to a capital campaign for the Coop - this is something that was discussed once in passing and many issues were flagged with it. I told the volunteer I appreciated what they were doing but maybe first she should come to a board meeting where we could all talk about it together. She had already called 3/4 of the board and they’ve donated. So I guess there is no problem? Is it just me, this all just feels so screwed up. If anyone has any advice on how I can approach this in a better way, I’d appreciate it.

I’ve been on the Board of a non-profit for three years now. You’re not expecting too much to have all pertinent materials sent out at least a day ahead. You need time to review them so you can talk sensibly about the issues.

I know all of us on my board are expected to donate every year and raise money if possible. So I probably wouldn’t have an issue with a volunteer calling me. I give what I can. Some years it’s not much!

We had an explosive newspaper article come out about our Executive Director in 2020. We’ve spent the past year dealing with all of that. We ended up letting her go (well, she resigned when the writing was on the wall) and getting an interim Director who has been fabulous. She has really helped whip the organization into shape but she stays positive the whole time! I really hope she stays on.

Good luck - it’s not easy!

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Can you read the by-laws? And then see if there is any kind of policy manual? The bylaws may state how board meetings need to be called (e.g. 72 hours notice, email notification etc) and when the agenda and supporting documentation needs to be distributed to the board.

If supporting docs are not provided prior to meeting, it is absolutely okay to table a matter until the board feels like it understand the potential decision.

Are there any board committees? A Finance committee or executive committee, whose job it would be to do a “pre-read” of matters and make a recommendation to the full board?

As far as donations, you are calling this a “coop” and I am not entirely sure what that means. A typical 501c3 nonprofit board has as part of its mission to steward the organization’s resources. That almost always means fundraising. If the board does not believe in the mission strong enough to put its own money there, how can they approach other funders and donors and ask them to do so?

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@surfcity - thanks for the idea of checking the bylaws and also suggesting that the finance committee be more present/make a recommendation on these things. That is the kind of thinking I needed. I feel like I am just whining that i can’t work this way!

Regarding the donations - sorry if I wasn’t clear. I don’t mind donating - I have been supporting them as I can. What bothered me about the call is that a volunteer called me (board member) about a capital campaign that I did not know was currently happening, that I thought still had a lot of questions to be worked through. The board never discussed the pitch, we haven’t discussed who is getting called or what is the goal…I would have expected this to be something that might first go out to the membership in an approved email or a letter and then phone calls to follow up. And I would have liked to have known that it was happening. It’s a cooperative business - so it’s a small, creative business, owned by the community, with the idea that it makes the town a better place to live. As a cooperative, it’s not a non-profit, but it’s not expected to operate or deliver a profit - it’s expected to stay in business and add value to the community. We have 400 members in the small city it is located, and it’s honestly really great and I love it. I am just frustrated with my board experience.

I’ve been on several non-profit boards. What you are describing sounds chaotic. Does this organization have by-laws or a policy and procedures manual? Usually these documents are a reference tool for operating the organization so it can work towards its mission. Every board member should have access to such bylaws.These bylaws should include meeting guidelines and voting procedures. There should also be personnel policies related to staff review/compensation.

Finally, a capital campaign is a huge deal for most non-profits. I’ve been involved in two capital campaigns and it’s not something the board members discussed “once in passing.” If I were in your shoes, I’d resign or if you are really passionate about the organization’s mission, I’d become an advocate for change and/or clearer operating procedures/guidelines. At the very least there needs to be more communication about what’s going on. Honestly, I can’t imagine a capital campaign happening without every board member knowing about it. IME the board chair is the one who approaches fellow board members and does the “ask” not a fellow board member.

Are there other board members who are concerned like you are? Maybe you could approach the board chair and discuss these issues?

I agree that being a nonprofit doesn’t mean that board members aren’t given information to make informed decisions. I also agree that committees are generally supposed to do some of the with and vetting so that meetings can run more smoothly.

One thing that is an unpleasant reality is that pretty much all orgs also need a good, comprehensive errors and omissions policy covering the board for any occurrence that may happen while serving in the board. It’s for the protection of all board members and officers. I’d check into this as well, as there needs to be an annual premium paid (unless you save with multi-year policy).

I have run a nonprofit I formed for 15 years and it’s been pretty smooth without the chaos you speak of. Chaos and last minute pressure decisions without adequate information is not a good way to run an org.

I assumed because of your title that this was a nonprofit organization. Even if it’s not, there still must be bylaws that govern its operation. I would talk with other board members if you are uncomfortable with how the board or staff makes decisions, especially raising money.

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Oh yeah, that is uncool. With a campaign of any kind, the board should be aware and supportive. Currently you could have 2 or more people soliciting the same person at the same time which is not a good look.

Also, I don’t think volunteers should be soliciting board members, unless possibly they are Chair of the Fundraising committee or something. Board members should be doing peer-to-peer fundraising.

Sounds like the group could use a refresher in governance and compliance.

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Yes. A couple of non-profits that I have been on in the past had E&O policies; it is worth looking into.