Post: Non-Profit Board of Directors

Posted by Christopher on 1/22/04
I would like to pose the situtation and then the questions:
A few months ago, a private non-profit orgainzation that
receives its full funding from public tax dollars via the
State Depart of Mental Health grants, became Incorporated
after some 8 years of existence. Shortly afterwards, a
public vote was held insofar as the members (clients) of
the organization voted on whom they wanted to have as their
board of directors. The state mandates by its grant that
70% of the board members are to consist of people with
mental health disabilities and thus the remaining 30% may
consist of people without any mental health disabilities.
Additionally, board members have a habit of wanting to keep
their board meetings secrete and with it, all voting
records secret, which includes not placing any info in
their minutes pertaining to voting matters. In my
attending a board meeting recently and in discussing
matters with many different people. Several questions have
risen because of the practices the baord members are
engaging in and whether or not such are actually legal.
Question #1:
Because board members received their seats by a public
vote, even if such were from clients of the organization.
Does this make the board members "elected officials in a
public servant capacity"?
Question #2:
Because the state is mandating who can and cannot serve on
the board, would the board fall under the state statutory
laws relevant to public records, closed meetings, voting
records and so forth?
Question #3:
Because the organization receives its full funding from
state grants and thus public tax dollars, to what extent
does the public have a right to know how that money is
being spent and the various policies being set by vote of
the board members?
Question #4:
Because the board is applying for their 501(c)3 number in
order to achieve a federal tax exempt status...does this
status then open the door for a member of the public to
assert any particular rights in way of board actions such
as voiting or open/closed meetings?
In beginning my research into possible state stutory laws,
all that I have found thus far for Missouri, is the
Sunshine Laws, but such appears to apply only to government
entities and not that of private organizations... I would
like to find something more specific to these issues if at
all possible regardless if it is in way of case laws or
statutes.
If you would like, please feel free to email me with any
info you might have that might help...
Thanks
Christopher
rodeo1101@netzero.net
Posts on this thread, including this one
- Non-Profit Board of Directors, 1/22/04, by Christopher .