By Guest Blogger Tom Okarma
We live in the Post-Enron world, where regulatory oversight of corporate governance is a significant legal issue. The IRS oversees section 501(c)(3) public charities, along with each state’s Attorney General office. Apart from its recent tax scandal, the IRS’s Exempt Organizations Division has increasingly focused on public charities’ corporate governance and related business practices, as a reflection of their likely compliance with directly applicable legal requirements. (See for example, the
How can nonprofit organizations best share their facilities with others on a long-term basis? Many nonprofits allow other organizations to use their space in order to promote like-minded organizations, to help cover the financial expenses associated with building upkeep, and to achieve community outreach goals. Such arrangements, however, can lead to conflict and expense without the proper foundation of a written facility-use agreement. Consider the following scenario.