CPOA cheat sheet

Fiduciary duty has two components: duty of care (prudent, informed decision-making) and duty of loyalty (putting the organization's interest above personal interest).

Board legal duties typically include care, loyalty, and obedience to mission and law; conflict-of-interest policies operationalize the loyalty duty.

Quorum is the minimum number of voting members who must be present for the body to transact business; it is set in bylaws, not by majority practice.

A conflict of interest exists when a director's personal, financial, or family interest could influence judgment; standard remedy is disclosure plus recusal from discussion and vote.

Three lines model: management owns risk, a compliance/risk function monitors it, and internal audit provides independent assurance to the board.

Board governance vs. management: the board sets mission, strategy, and policy and hires/evaluates the chief executive; staff executes operations.

Sarbanes-Oxley-inspired practices for nonprofits include independent audit committees, whistleblower policies, and document-retention policies.

Ethical decision tests include the public-disclosure (front-page) test, the golden-rule test, and the stakeholder-impact test.

Accountability flows to multiple principals: donors, clients, regulators, and the public; each may require distinct reporting.

Strategy hierarchy: mission (why), vision (future state), values (behavioral commitments), goals (outcomes), objectives (SMART), strategies (how), tactics (specific actions).

SWOT analysis pairs internal strengths and weaknesses with external opportunities and threats; SO/ST/WO/WT pairing converts the matrix into strategies.

SMART objectives are Specific, Measurable, Achievable, Relevant, and Time-bound.

Logic model chain: inputs, activities, outputs, outcomes (short-term), impact (long-term); outputs count activity, outcomes describe change.

Theory of change differs from a logic model by stating the causal assumptions linking activities to outcomes.

Balanced Scorecard perspectives: financial, customer, internal process, and learning and growth.

Performance indicators should be few, tied to goals, and include both efficiency (output per unit input) and effectiveness (outcome attainment) measures.

Environmental scan tools: PESTLE (political, economic, social, technological, legal, environmental) and Porter's five forces for competitive context.

Plan evaluation compares actual results to baseline and target; variance analysis identifies gaps for mid-course correction.

Accounting equation: Assets = Liabilities + Net Assets; net assets replace equity in nonprofit statements.

Net asset classes under U.S. GAAP: with donor restrictions and without donor restrictions.

Statement of functional expenses allocates costs across program, management/general, and fundraising.

Program service ratio = program expenses / total expenses; overhead ratio = (management + fundraising) / total expenses.

Current ratio = current assets / current liabilities (liquidity); quick ratio excludes inventory.

Operating reserve = unrestricted liquid net assets; months of reserve = reserve / average monthly operating expenses.

Budget types: operating (annual), capital (multi-year assets), cash-flow (timing of receipts and payments), and flexible/zero-based.

Variance = actual minus budget; favorable when revenue exceeds budget or expense is below budget.

Indirect cost allocation methods: direct assignment, proportional (space, headcount), and negotiated indirect cost rate.

Exempt vs. non-exempt status under the U.S. Fair Labor Standards Act turns on salary basis and duties tests, not job title.

At-will employment allows termination for any lawful reason absent a contract; public policy and anti-discrimination limits still apply.

Protected classes under federal EEO law include race, color, religion, sex, national origin, age (40+), disability, and genetic information.

Adverse action in hiring should be job-related and consistent with business necessity; essential functions should be documented in job descriptions.

Volunteers are unpaid and generally not employees; FLSA permits volunteers at nonprofits when service is donated without expectation of compensation.

Volunteer lifecycle: recruitment, screening, orientation, training, placement, supervision, recognition, and exit.

Performance management cycle: goal setting, ongoing feedback, formal review, development plan, and consequence decisions.

Turnover rate = separations / average headcount for the period; cost-per-hire = total recruiting costs / hires.

Needs assessment methods: surveys, key-informant interviews, focus groups, secondary data review, and asset mapping.

Program design maps target population, dosage, duration, staffing, and service model to intended outcomes.

Fidelity is the degree to which a program is delivered as designed; adaptation balances local fit against evidence base.

Continuous quality improvement cycles (Plan-Do-Study-Act) test small changes before scaling.

Client eligibility criteria must be applied consistently and documented to support equity and compliance.

Outcome measurement distinguishes outputs (units served) from outcomes (changes in knowledge, behavior, or condition).

Case management functions: intake, assessment, service planning, referral, coordination, monitoring, and closure.

Service integration reduces duplication through shared intake, common assessment, and coordinated referrals across partners.

Revenue diversification categories: individual giving, major gifts, planned gifts, foundations, corporations, government grants, earned income, and events.

Donor lifecycle: identification, qualification, cultivation, solicitation, stewardship, and renewal.

Major gift pipeline metrics: prospect count, qualification rate, solicitation rate, average gift, and close rate.

Cost to raise a dollar = total fundraising costs / total dollars raised; return on fundraising investment = net revenue / fundraising costs.

Donor retention rate = returning donors / prior-year donors; acquisition cost per new donor = acquisition spend / new donors.

Restricted gifts must be used per donor intent; release of restriction occurs when the purpose or time condition is met.

Planned giving instruments include bequests, charitable gift annuities, charitable remainder trusts, and donor-advised funds.

Grant proposal core components: need statement, goals/objectives, methods, evaluation plan, budget, and organizational capacity.

Earned income must be mission-related and priced to cover full cost, including allocated overhead, to avoid subsidy.

U.S. 501(c)(3) organizations must be organized and operated exclusively for exempt purposes; no part of net earnings may inure to private individuals.

501(c)(3) limits: no substantial lobbying, and absolute prohibition on political campaign intervention.

Private foundation vs. public charity status affects deductibility limits and excise-tax and payout rules.

Form 990-series annual return filing thresholds and schedules depend on gross receipts and total assets.

Unrelated business income tax applies to income from a regularly carried-on trade or business not substantially related to exempt purpose.

Employment law compliance areas: wage and hour, workplace safety, anti-discrimination, leave laws, and worker classification.

Data privacy obligations arise from statutes (e.g., HIPAA for health data, state breach-notification laws) and donor privacy commitments.

Document retention and record-keeping requirements vary by record type; grant and tax records typically carry multi-year retention.

Charitable solicitation registration is generally required in states where the organization solicits donations, subject to state-specific thresholds.

Stakeholder map plots interest against influence to prioritize engagement (manage closely, keep satisfied, keep informed, monitor).

Message framing: audience, key message, evidence, call to action, and channel should be aligned.

Crisis communication sequence: acknowledge, take responsibility where warranted, state action, and commit to follow-up.

Communication channels differ in reach and richness; high-stakes or sensitive messages favor high-richness channels (in person, phone).

Brand consistency requires a single approved message architecture across channels and spokespeople.

Feedback loops (surveys, listening sessions, advisory groups) convert stakeholder input into program and policy adjustments.

Media relations basics: embargo, on-the-record vs. background, press release structure (dateline, lead, quote, boilerplate).

Engagement evaluation metrics include reach, response rate, sentiment, and participation in co-design activities.

Data governance assigns ownership (accountable), stewardship (custodial quality), and access roles across the organization.

Data quality dimensions: accuracy, completeness, consistency, timeliness, validity, and uniqueness.

CIA triad: confidentiality, integrity, and availability define information security objectives.

Access control principles: least privilege, separation of duties, and role-based access.

Backup rule of three: at least three copies, on two media types, with one stored off-site (or immutable/offline).

Data classification tiers (public, internal, confidential, restricted) drive handling, encryption, and retention rules.

A CRM is the system of record for donor and constituent data; integration with finance and program systems prevents duplicate records.

Privacy principles: collect minimum necessary data, obtain consent where required, limit retention, and support access/correction requests.

Incident response phases: preparation, detection, containment, eradication, recovery, and post-incident review.