Tri-Cities Conference
Are you a business serving VA nonprofits?
Read the Virginia Nonprofit Sector Report
Calendar
News & Reports
Issue Spotlight – What Does an Accountable Organization Look Like?
NVFS's mission is to empower individuals and families to improve their quality of life, and to promote community cooperation and support in responding to family needs.
Website: www.nvfs.org
Before Sarbanes-Oxley came into prominence, Northern Virginia Family Service’s Board of Directors strongly advocated for it to become a leader as an ethical, accountable, and transparent organization. As scandals and public outcry for greater accountability have grown, so has the Compliance Program of Northern Virginia Family Service.
“We were lucky,” explains Mary Agee, President & CEO of Northern Virginia Family Service. “Several key board members with financial background were familiar with the fallout of several financial scandals, and were familiar with the new post-Enron accounting and legislative actions. Their leadership provided the impetus to get our organization moving towards more transparent accountability.”
“We had several documents already in place, but our compliance plan pulled it all together to ensure our commitment to be an accountable one was a comprehensive effort.” NVFS’ Compliance Plan includes:
- A conflict of interest statement
- A whistleblower policy (including an 800 telephone number to call to safely report such abuses and a non-retaliation clause)
- Establishing a compliance officer
- Code of ethics
- Business practices including finance and human resources
While the commitment on paper was deemed essential, just as important was addressing the “culture” of the organization. Agee tells that “we needed to communicate that everyone has responsibilities for ethical practices (e.g., confidentiality, integrity, high quality services.) All decisions affect those around you.”
Training supervisors and managers on ethics, ethical behavior, business practices, and sound supervisory skills was made a priority. A series of six trainings addressing these subjects was established. The CEO and other senior staff committed themselves to staying in touch with all levels of staff though a series of multi-site visits. This commitment extends to new and old staff. When open lines of communication are established, it reduces isolation and allows people to voice concerns in a safe environment. “Don’t assume that this behavior is known,” explains Agee. “For example, how people view authority is interpreted differently from person-to-person.”
To implement a Compliance Plan, start with the basics. Get a basic conflict of interest and a disclosure statement in place. Draft a strong statement declaring the organization is built on ethics and best practices. Overall, be proactive and minimize the opportunity for things to go wrong. Agee notes that NVFS’ plan has been in place for only 1 year. It is reviewed annually, and revised as new documents are developed. With the staff plan in place, NVFS is currently beefing up its compliance policies for its Board of Directors.
Agee felt that while not directly associated with “accountability," establishing a Succession Plan gave the organization an important sense of stability. A plan was developed to address what the organization would do if there were a need for a short term, long term or permanent change to suddenly find a new Executive Director. Basic plans of action were established should there be a change in executive leadership. Agee says, “This is a simple document, a best practice. It is essential to ensure our organization remains accountable no matter what.”
A Conversation with Mary Agee, President & CEO, Northern Virginia Family Service