Toward Public Trust and Accountability
The trustees of The Virginia G. Piper Charitable Trust believe that public trust and accountability are fundamental to their legal and fiduciary responsibilities. Piper Trust requires grant recipients to enact several of the best practices recommended by the Panel on the Nonprofit Sector in its exceptional work of 2005.
Piper Trust requires grant recipients to implement best practices.
To be considered for a Piper Trust grant, organizations must have implemented the following best practices:
Form 990
The board, or the audit committee, must review the nonprofit’s Form 990 tax return each year before submission.
Audit
Nonprofits with $1 million or more in annual revenue must have an independent audit conducted annually and should establish an audit committee with financially literate membership.
CPA Review
Nonprofits with annual revenues between $250,000 and $1 million must have their financial statements reviewed by an independent certified public accountant.
Conflict of Interest
Nonprofits must adopt a strict conflict of interest statement that the staff and board annually review and sign.
CEO Compensation
The full board of a nonprofit must approve any change in the compensation of the CEO.
Travel Reimbursement
Nonprofits must have travel policies that provide clear guidelines on the types of expenses that can be reimbursed and the documentation required to receive reimbursement.
Board Size
A nonprofit must have a minimum of three members on its governing board, and at least one-third of the members should be independent.
Whistleblower Policy
Nonprofits must establish policies and procedures that encourage individuals to come forward with credible information about illegal practices or violations of adopted policies of the organization.
For More Information
Download the Nonprofit Panel’s 32-page Guide to Principles for Good Governance and Ethical Practice: A Guide for Charities and Foundations.
For specific information and examples of policies, see Independent Sector's Checklist for Accountability.
Additional resources about board effectiveness can be found from Board Source.