Standard 3: Board Accountability
The land trust board acts responsibly in conducting the affairs of the organization and carries out the board’s legal, financial and other responsibilities in an ethical manner.
Background
Volunteers serve on a board for many reasons, but most often because they enjoy working with others to carry out the mission of the organization. The board has legal and ethical responsibilities to maintain the public’s trust and the land trust’s credibility. Every board member must understand these responsibilities. A board member who does not properly fulfill such duties or responsibilities may incur personal liability. To fulfill their duties, board members must become knowledgeable about their duties and responsibilities and the activities of the organization. A person who is not able to assume the responsibilities of a board member should not be on the board, but could serve the land trust in some other way.
Relevant Law
- Income Tax Act, SC 1985, c. I, s. 149.1 (6.3);
see also Canada Revenue Agency policy interpretations at
- Society Act, RSBC 1996, c. 433, s. 27.
- Canada Corporations Act, RSC 1970, c. C-32.
- Society Act, RSBC 1996, c. 433.
- Canada Corporations Act, RSC 1970, c. C-32.
PRACTICE
A. Board Responsibility
The board is responsible for establishing the organization's mission, determining strategic direction and setting policies and priorities to carry out the mission, and, as required by law, the oversight of the organization’s finances and operations. As well, the board should ensure the prevalence of high ethical standards, effective performance through sound information, and the development of sound relationships. The board is also responsible for managing risk, taking account of the organization, and ensuring the soundness of the governance system. As the land trust is a charity, the board has a heightened duty of care with respect to the protection of its charitable property.
Background
The board has the ultimate management and fiscal responsibility for the non-profit corporation. Board responsibilities include oversight of finances, philanthropy and fundraising activities, operations, programs, long-range planning, staff and volunteer conduct, and public relations. The board of an all-volunteer land trust takes on many of the day-to-day program and operations tasks. The board of a large staffed organization will focus on setting overall policies and management oversight. Regardless of size, a board that understands and meets its basic responsibilities provides a firm foundation for the land trust, builds public confidence, paves the way for financial success and allows the land trust to focus its energies on creative, effective ways to accomplish its land conservation mission. A strong and informed board leads to a strong and effective organization.
Assessment Questions
BC Assessment Questions
- Does the board have adequate and current information to guide its decision making?
- Is the board directing the Land Trust in such a way as to achieve the goals in the Strategic Plan?
- Does the Land Trust engage in building community partnerships?
- Are there specific partnerships the Land Trust should be pursuing that it does not currently engage in?
CLTA Assessment Questions
On a scale of 1 to 4, how well does this paragraph describe the land trust?
"The board is responsible for establishing the organization's mission, determining strategic direction and setting policies and priorities to carry out the mission, and, as required by law, the oversight of the organization’s finances and operations. As well, the board should ensure the prevalence of high ethical standards, effective performance through sound information, and the development of sound relationships. The board is also responsible for managing risk, taking account of the organization, and ensuring the soundness of the governance system. As the land trust is a charity, the board has a heightened duty of care with respect to the protection of its charitable property."
Resources: Example Policies & Template Documents
Example Policies
- ITF Meeting Quorum Policy
- ITF Meeting Procedures Policy
- GLT Code of Conduct
- 3A Board Responsibility Sample Policy CCLT
Other Resources
- Board Orientation Smiley
- GLT Committee Chair
- Director Checklist Smiley
- Board Evaluation Smiley
- GLT Board Responsibiltiies
- GLT President Job Description
- Board Agreement Smiley
- GLT Treasurer Job Description
- ITF Board Member Attendance and Participation and Member Rem
- ITF Board Member Appointments Elections
- GLT Principles of Board Development
- Board Member Smiley
- GLT Secretary Job Description
- ITF Roles Responsibilities
- GLT Table of Contents-Board Manual
- GLT Vice President Job Description
- Finance Committee Smiley
- Board Manual Contents Smiley
- ITF Election of Trust Fund Board Chair
- GLT Glossary Board Manual
- Chair Smiley Job Description
