Conflict of Interest Policy
GENERAL OVERVIEW
The potential for Conflict of Interest by people working for or serving on Boards of Directors of nonprofit organizations is always a possibility. Effective nonprofit governance is based on decision making independent of personal gain for the employee or Board member.
Conflict of interest policies seek to prevent persons with decision-making authority in the organization from doing things that benefit them or their businesses. A normal remedy for this type of activity is to create disclosure plan listing the activities that could be in conflict with their role in the organization. Individuals would abstain from participating in decisions or voting on issues that could result in any personal benefit.
There are two benefits associated with conflict of interest policies. Initially, the use of these policies will insure that the organization is properly governed. Equally as important, people who work with the nonprofit organization such as donors, volunteers, and other elements of the greater community will always feel that the business of the organization is conducted properly.
The policy is below:
WISCONSIN COUNCIL ON PROBLEM GAMBLING, INC.
CONFLICT OF INTEREST POLICY
The Wisconsin Council on Problem Gambling, Inc., and its Officers and Directors shall avoid any conflict between their own respective individual, professional or business interests and the interests of the Wisconsin Council, in any and all actions taken by them on behalf of the Wisconsin Council in their respective capacities.
Officers and Directors have a primary obligation to the interests of the Wisconsin Council on Problem Gambling, Inc. and not to themselves in any decision rendered during the course of their duties. They also have a continuing responsibility to comply with the provisions of this policy.
In the event that any Director or Officer of the Wisconsin Council on Problem Gambling shall have any desire to or indirect interest in a relationship with any individual or organization which proposes to enter into any transaction with the Wisconsin Council on Problem Gambling, Inc., (such transactions may include the sale, purchase, lease or rental of property or to render or employ services, personal or otherwise), such Director or Officer shall give the Board of Directors of the Wisconsin Council on Problem Gambling, Inc., written notice of such interest or relationship. The individual shall thereafter refrain from voting or otherwise attempting to affect the decision to participate or not to participate in such transactions. Minutes of appropriate meetings should reflect that such disclosure was made, and that such Director or Officer abstained from voting and was not counted for the purpose of determining a quorum. However, a Director or Officer should not be prevented from briefly stating his general knowledge on the topic itself or answering questions that would lead to a greater understanding of the topic on the part of the remainder of the Board. Recommendations regarding goods or services cannot be made.
Also, no Director or Officer of the Corporation shall receive any compensation for their services, except that, by prior authorization of the Board, an Officer or Director may be reimbursed for expenses incurred in connection with activities of the Corporation. Payment for authorized reimbursement shall be made only upon receipt of a signed voucher, accompanied by appropriate receipts for the expenses incurred. Compensation of any nature to Agents of the Corporation shall be made only in accordance with such Contract, Letter of Engagement, Retainer or other written agreement and conditions specified therein, previously authorized by the Board of Directors.
Directors and Officers will submit annual reports on the attached form that deal with potential conflict of interest situations. The Executive Committee will review these reports.
A copy of the policy shall be furnished to each Director and Officer who is presently serving the Wisconsin Council on Problem Gambling, Inc.
(Portions of this document were adapted with permission from the National Council on Problem Gambling’s Conflict of Interest Policy.)
