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GOVERNING DOCUMENTS Discussion:
Every nonprofit organization is
"governed" by certain documents in which the founders establish its
purpose and provide a general sense of how it will conduct its business.
A nonprofit is legally bound to operate in a manner consistent with these
documents. Failure to do so can result in state sanctions or loss of tax
exempt status.
All
nonprofit board members and senior staff should be familiar with the NPC's
governing documents and should understand how these documents impact the operation of the
organization. Also, knowledge of the governing documents is needed before a board can make thoughtful
changes to an organization's bylaws, mission statement or policies and
procedures.
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