Nonprofit Board Committee Effectiveness Review

Well-functioning board committees extend the board's capacity for oversight and governance. This annual review ensures committees have clear charters, appropriate composition, and are effectively fulfilling their oversight functions.

  • Industry: Nonprofit
  • Frequency: Annually
  • Estimated Time: 2-3 hours
  • Role: Board Chair / Executive Director
  • Total Items: 27

Committee Structure

Review overall committee structure.

  • Written charters or job descriptions exist for all standing committees?
  • Committee charters reviewed and updated within last 2 years?
  • Committee structure appropriate for organization size and complexity?
  • No redundant or inactive committees consuming board time?
  • Committee structure approved by full board?

Audit Committee

Review audit committee effectiveness.

  • Audit committee or audit function exists?
  • Audit committee composed of independent board members without financial conflicts?
  • Audit committee reviews and recommends external auditor to full board?
  • Audit committee reviews management letter and financial statements before full board?
  • Audit committee meets with auditors in executive session without management?

Finance Committee

Review finance committee effectiveness.

  • Finance committee or treasurer oversight exists?
  • Finance committee reviewing monthly financial statements?
  • Finance committee overseeing annual budget development?
  • Finance committee overseeing investment policy if organization has investments?

Compensation Committee

Review compensation committee.

  • Compensation committee or process for reviewing executive compensation?
  • Comparability data (comparable organizations' salary surveys) reviewed for executive compensation?
  • Executive compensation decisions documented in minutes?
  • Any interested board members recused from compensation decisions?

Development / Fundraising Committee

Review development committee.

  • Development or fundraising committee providing board engagement in fundraising?
  • Development committee overseeing 100% board giving policy?
  • Board members making personal asks or facilitating major donor introductions?
  • Development committee reviewing and recommending development strategy?

Committee Reporting to Full Board

Verify committees report to full board.

  • All standing committees providing regular reports to full board?
  • Committee recommendations to full board tracked and acted upon?
  • Committee meeting minutes maintained and accessible to all board members?
  • Committee quorum requirements met for all binding committee actions?
  • Non-board member committee participants (if any) properly authorized in bylaws?

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Why Use This Nonprofit Board Committee Effectiveness Review?

This nonprofit board committee effectiveness review helps nonprofit teams maintain compliance and operational excellence. Designed for board chair / executive director professionals, this checklist covers 27 critical inspection points across 6 sections. Recommended frequency: annually.

Frequently Asked Questions

What does the Nonprofit Board Committee Effectiveness Review cover?

This checklist covers 27 inspection items across 6 sections: Committee Structure, Audit Committee, Finance Committee, Compensation Committee, Development / Fundraising Committee, Committee Reporting to Full Board. It is designed for nonprofit operations and compliance.

How often should this checklist be completed?

This checklist should be completed annually. Each completion takes approximately 2-3 hours.

Who should use this Nonprofit Board Committee Effectiveness Review?

This checklist is designed for Board Chair / Executive Director professionals in the nonprofit industry. It can be used for self-assessments, team audits, and regulatory compliance documentation.

Can I download this checklist as a PDF?

Yes, this checklist is available as a free PDF download. You can also use it digitally in the POPProbe mobile app for real-time data capture, photo documentation, and automatic reporting.

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