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LA2M Articles of Governance & Code of Ethics

LA2M – Lunch Ann Arbor Marketing LA2M has officially applied for Non Profit Status.  With the guiding hand of Robert Shannon, LA2M has submitted its application to our friends at the IRS – no small task given the amount of paperwork and red tape involved.

LA2M’s application for non-profit status is a great statement of commitment to the Ann Arbor community.  The purpose of LA2M, from the onset (Jan 2008) has been to provide a learning forum for the advancement of education and sharing of marketing best practice - all supporting economic development within the Ann Arbor and South East Michigan business community.  LA2M is a resource for business education and learning.  We serve marketing professionals, entrepreneurs, students, members of the business community and people who are in career transition. 

LA2M also adheres to a strict code of ethics and expects its speakers, advertisers and supporters to work in harmony and accordance with its Articles of Governance.  For more information, read on. 

Dee Davey, The Voice of LA2M

LA2M – Lunch Ann Arbor Marketing, Articles of Governance 

I. Introduction

As a matter of fundamental principle, the nonprofit community should adhere to the highest ethical standards because it is the right thing to do. As a matter of pragmatic self-interest, the community should do so because public trust in our performance is the bedrock of our legitimacy. Donors and volunteers support charitable organizations because they trust them to carry out their missions, to be good stewards of their resources, and to uphold rigorous standards of conduct.

The LA2M and other nonprofit organizations must earn this trust every day and in every possible way.  But organizations are, at base, people, and it is up to the people of the nonprofit sector - board members, executive leaders, staff and volunteers - to demonstrate their ongoing commitment to the core values of integrity, honesty, fairness, openness, respect, and responsibility.

The nonprofit sector comprises a diverse array of organizations large and small, those that make grants and those that raise funds from the public, those that operate at the community and state level. That diversity is one of the abiding strengths of the nonprofit sector.

Each organization in the nonprofit sector should have a formally adopted code of ethics with which all of their trustees, staff and volunteers are familiar and to which they adhere. This LA2M Code of Ethics is such a document.

Adherence to the law is the minimum standard of expected behavior. Nonprofit organizations must do more, however, than simply obey the law. We must embrace the highest standards of integrity. Transparency, openness and responsiveness to public concerns must be integral to our behavior.

II. Statement of Values

Any code of ethics is built on a foundation of shared values. LA2M values:

  • The role of nonprofits in society (including relevance and outcomes)
  • Innovation and excellence (including partnerships, collaboration, and commitment)
  • Diversity and inclusiveness
  • Accountability and transparency (including openness, honesty, trust and integrity)

These values lead directly to the Code of Ethics that follows. The values inform and guide the actions that LA2M should take in developing our policies and informing their practices.

III . The Code of Ethics

A. Personal and Professional Integrity
LA2M staff, board members and volunteers shall act with honesty, integrity and openness in all their dealings as representatives of the organization. LA2M promotes a working environment that values respect, fairness and integrity.

B. Mission
LA2M shall have a clearly stated mission and purpose, approved by the Board of Directors, in pursuit of the public good. The LA2M mission is “to enhance the effectiveness of the Michigan nonprofit sector in serving society”. All LA2M programs shall support that mission and all who work for or on behalf of the organization will understand and be loyal to that mission and purpose. The mission shall be responsive to the constituencies and communities served by LA2M and of value to the society at large.

C. Governance
LA2M shall have an active governing body, the Board of Directors, which is responsible for setting the mission and strategic direction of the organization and oversight of the finances, operations, and policies of the organization. The Board of Directors:

  • Ensures that its board members or trustees have the requisite skills and experience to carry out their duties and that all members understand and fulfill their governance duties acting for the benefit of LA2M and its public purpose;
  • Has a conflict of interest policy that ensures that any conflicts of interest or the appearance thereof are avoided or appropriately managed through disclosure, recusal or other means; and
  • Is responsible for the hiring, firing, and regular review of the performance of the President & CEO, and ensures that the compensation of the chief executive officer is reasonable and appropriate;
  • Ensures that the President & CEO and appropriate staff provide the governing body with timely and comprehensive information so that the governing body can effectively carry out its duties;
  • Ensures that the organization conducts all transactions and dealings with integrity and honesty;
  • Ensures that the organization promotes working relationships with board members, staff, volunteers, and program beneficiaries that are based on mutual respect, fairness and openness;
  • Ensures that the organization is fair and inclusive in its hiring and promotion policies and practices for all board, staff and volunteer positions;
  • Ensures that policies of the organization are in writing, clearly articulated and officially adopted;
  • Ensures that the resources of the organization are responsibly and prudently managed; and,
  • Ensures that the organization has the capacity to carry out its programs effectively.

D. Legal Compliance
LA2M will be vigilant in compliance with laws, regulations and applicable conventions that govern and regulate our organization.

E. Responsible Stewardship
LA2M shall manage its’ funds responsibly and prudently. This should include the following considerations:

  • It spends a reasonable percentage of its annual budget on programs in pursuance of its mission;
  • It spends an adequate amount on administrative expenses to ensure effective accounting systems, internal controls, competent staff, and other expenditures critical to professional management;
  • LA2M compensates staff, and any others who may receive compensation, reasonably and appropriately;
  • LA2M has reasonable fundraising costs, recognizing the variety of factors that affect fundraising costs;
  • LA2M will maintain an appropriate level of funds to maintain our mission and purpose and not accumulate excessive reserve funds;
  • LA2M ensures that all spending practices and policies are fair, reasonable and appropriate to fulfill the mission of the organization; and,
  • All financial reports are factually accurate and complete in all material respects.

F. Openness and Disclosure
LA2M shall provide comprehensive and timely information to the public, the media, and all stakeholders and is responsive in a timely manner to reasonable requests for information. All information about LA2M will fully and honestly reflect the policies and practices of the organization. Basic informational data about the organization, such as the Form 990, reviews and compilations, and audited financial statements will be posted on the LA2M website or otherwise available to the public. All solicitation materials accurately represent the organization’s policies and practices and will reflect the dignity of program beneficiaries. All financial, organizational, and program reports will be complete and accurate in all material respects.

G. Program Evaluation
LA2M will regularly review program effectiveness and have mechanisms to incorporate lessons learned into future programs. LA2M is committed to improving program and organizational effectiveness and develops mechanisms to promote learning from its activities and the field. LA2M will be responsive to changes in its field of activity and the needs of its constituencies.

H. Inclusiveness and Diversity
LA2M shall have a policy of promoting inclusiveness and its staff, board and volunteers reflect diversity in order to enrich its programmatic effectiveness. LA2M shall take meaningful steps to promote inclusiveness in its hiring, retention, promotion, board recruitment and constituencies served.

I. Fundraising
LA2M shall raise funds from the public and from donor institutions and be truthful in solicitation materials. LA2M will respect the privacy concerns of individual donors and expends funds consistent with donor intent. LA2M shall disclose important and relevant information to potential donors.

In raising funds, LA2M will respect the rights of donors, as follows:

  • To be informed of the LA2M mission, the way the resources will be used and their capacity to use donations effectively for their intended purposes;
  • To be informed of the identity of those serving on the LA2M governing board and to expect the board to exercise prudent judgment in its stewardship responsibilities;
  • To have access to the most recent LA2M financial reports;
  • To be assured their gifts will be used for the purposes for which they were given;
  • To receive appropriate acknowledgement and recognition;
  • To be assured that information about their donations is handled with respect and with confidentiality to the extent provided by the law;
  • To expect that all relationships with individuals representing organizations of interest to the donor will be professional in nature;
  • To be informed whether those seeking donations are volunteers, LA2M employees or hired solicitors;
  • To have the opportunity for their names to be deleted from mailing lists that LA2M may intend to share; and,
  • To feel free to ask questions when making a donation and to receive prompt, truthful and forthright answers.

IV. Afterword

1. While the LA2M Board of Directors has given its approval to this document, it will continue to be reviewed and revised as necessary.

2. The Board of Directors has agreed that no officer or director of LA2M will receive any form of compensation. In the even that this changes the board will follow standard procedures for authorizing such compensation.

3. Upon dissolution LA2M will donate any net assets to Michigan State University, Department of Advertising, PR & Retailing. MSU is a non-profit institution in good standing w/ the IRS.

4. LA2M has a policy of non-discrimination with regard to race, creed, or ethnicity.

5. Statement of Purpose: LA2M will educate the public on the latest digital marketing and new marketing techniques and practices. We hold weekly meetings with professional speakers who teach on various topics. We also record video and audio of the talks and publish them on our web site. We make the web site available to the world, and use it as a teaching module of how to do successful marketing. We are helping large and small companies, individuals and non-profits who want to market themselves better.

6. LA2M has a strict policy that there will be no private inurement to any members of the organization. Payments to members at fair market value and properly authorized by the board will not be considered private inurement.

7. It is the policy that LA2M will not engage in any political lobbying whatsoever.

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