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What is the Donor Bill of Rights?


This is the PKF Texas Entrepreneur’s Playbook. I’m Jen Lemanski, and I’m back again with
Annjeanette Yglesias, one of our tax managers and a member of the PKF Texas Not-for-Profit
team. Annjeanette, welcome back to the Playbook. Hey, Jen. It’s nice to be here. So, I’ve heard about this thing called a
Donor Bill of Rights. Can you tell me what that is, and what people
need to know about it? Sure. The Donor Bill of Rights was created by the
Association of Fund Raising Professionals about 25 years ago. Basically, it’s a blueprint – a set of
best practices that organizations can use to maintain their donor relationships. So, what are some key things that are in the
Donor Bill of Rights? The Donor Bill of Rights actually is made
up of 10 tenants, so to speak, and they all center around transparency. For example, the Donor Bill of Rights states
that donors have the right to know who the organization’s leadership is and have access
to them to ask any questions that they would like and also receive prompt, transparent
responses from those in leadership positions. Also, the Donor Bill of Rights states that
donors have the right to know their resources are being used. That’s key. Exactly – to fund the mission and also that
donors have a right to see financial information. Some of that financial information is already
made available to the public via Form 1099, the annual tax filing that a nonprofit organization
would have out there anyway, but also with other financial information. So really the Donor Bill of Rights centers
around transparency and around what the nonprofit organizations – what kind of information
they should be giving their donors to give them confidence that their funds are being
stewarded properly. Well, it sounds like this is something that
pretty much all not-for-profits should adhere to. Right. It’s definitely – the Bill of Rights is
definitely something that every organization should consider. However, it should be noted that the Donor
Bill of Rights is not an enforceable set of rules. It’s not like a legal requirement. Exactly. There’s no regulatory agency out there making
sure that all nonprofits adhere to it. But each organization should definitely consider
what the tenants are and should implement it in its own way. Organizations have to consider their tradable
mission, their resources and especially their donor base in considering what facets of the
Bill of Rights they want to embrace. That makes a lot of sense. Well, great. We’ll get you back to talk about some more
not-for-profit topics soon. That sounds good. To learn more about how PKF Texas can help
your not-for-profit organization, visit PKFTexas.com/notforprofit. This has been another Thought Leader production
brought to you by PKF Texas The Entrepreneur’s Playbook. Tune in next week for another chapter.

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