Conflict of Interest

CONFLICT OF INTEREST POLICY phrase I Purpose The purpose of the conflict of following policy is to protect Diamond Cut subjection Canine Rescue and Pit Bull Rehabilitation, Inc. s (herein geological formation) amuse when it is contemplating entering into a exercise or agreement that might benefit the tete-a-tete lodge in of an officer or director of the governing or might moment in a possible excess benefit transaction. This policy is intend to supplement but not replace any applicable state and federal laws presidential term conflict of pursual applicable to nonprofit and charitable organizations. clause II Definitions . liaisoned Person Any director, principal officer, or member of a committee with governing board delegated powers, who has a direct or corroborative financial interest, as defined below, is an Interested Person. 2. Financial Interest A someone has a financial interest if the person has, directly or indirectly, through and through business, investment, or family a. An ownership or investment interest in any entity with which the Organization has a transaction or arrangement, b. A compensation arrangement with the Organization or with any entity or individual with which the Organization has a transaction or arrangement, or . A potential ownership or investment interest in, or compensation arrangement with, any entity or individual with which the Organization is negotiating a transaction or arrangement. Compensation includes direct and indirect remuneration as well as gifts or favors that are not insubstantial. A financial interest is not necessarily a conflict of interest. Under Article III, constituent 2, a person who has a financial interest may have a conflict of interest only if the Board of Directors decides that a conflict of interest exists. 3. Board of Directors The directors, collectively, of the Organization. Article IIIProcedures 1. Duty to Disclose In connection with any actual or possible conflict of interest, an Int erested Person must fall upon the existence of the financial interest and be given the opportunity to disclose all material facts to the Board of Directors relating to the proposed transaction or arrangement. 2. Determining Whether a booking of Interest Exists After disclosure of the financial interest and all material facts, and after any discussion with the interested person, he/she shall leave the Board of Directors brush while the determination of a conflict of interest is discussed and voted upon.The remaining board members shall decide if a conflict of interest exists. 3. Procedures for Addressing the Conflict of Interest a. An interested person may make a presentation to the Board of Directors, but after the presentation, he/she shall leave the meeting during the discussion of, and the vote on, the transaction or arrangement involving the possible conflict of interest. b. The chairperson of the Board of Directors shall, if appropriate, appoint a disinterested person or com mittee to investigate alternatives to the proposed transaction or arrangement. c.After exercising collectible diligence, the Board of Directors shall determine whether the Organization can obtain with reasonable efforts a more than advantageous transaction or arrangement from a person or entity that would not give rise to a conflict of interest. d. If a more advantageous transaction or arrangement is not reasonably possible under(a) circumstances not producing a conflict of interest, the Board of Directors shall determine by a majority vote of the disinterested directors whether the transaction or arrangement is in the Organizations best interest, for its own benefit, and whether it is fair and reasonable.In conformity with the above determination it shall make its decision as to whether to enter into the transaction or arrangement. 4. Violations of the Conflicts of Interest Policy a. If the Board of Directors has reasonable cause to believe a member has failed to disclose actual or possible conflicts of interest, it shall inform the member of the basis for such belief and afford the member an opportunity to explain the alleged failure to disclose. . If, after hearing the members response and after making upgrade investigation as warranted by the circumstances, the Board of Directors determines the member has failed to disclose an actual or possible conflict of interest, it shall take appropriate disciplinary and corrective action. Article IV Records of Proceedings The minutes of the Board of Directors meeting shall contain a.The names of the persons who disclosed or otherwise were found to have a financial interest in connection with an actual or possible conflict of interest, the nature of the financial interest, any action taken to determine whether a conflict of interest was present, and the Board of Directors decision as to whether a conflict of interest in fact existed. b. The names of the persons who were present for discussions and votes relating to the transaction or arrangement, the content of the discussion, including any alternatives to the proposed transaction or arrangement, and a record of any votes taken in connection with the proceedings.Article V Compensation a. A voting member of the Board of Directors who receives compensation, directly or indirectly, from the Organization for services is precluded from voting on matters pertaining to that members compensation. b. A voting member of any committee whose jurisdiction includes compensation matters and who receives compensation, directly or indirectly, from the Organization for services is precluded from voting on matters pertaining to that members compensation. c.No voting member of the Board of Directors whose jurisdiction includes compensation matters and who receives compensation, directly or indirectly, from the Organization, either each or collectively, is prohibited from providing information to any committee regarding compensation. Article VI Annual Statemen ts Each director, principal officer and member of a committee with governing board delegated powers shall annually sign a statement which affirms such person a. Has received a copy of the conflicts of interest policy, . Has read and understands the policy, c. Has agreed to comply with the policy, and d. Understands the Organization is charitable and in order to maintain its federal tax exemption it must engage primarily in activities which accomplish one or more of its tax-exempt purposes. Article VII Periodic Reviews To ensure the Organization operates in a manner consistent with charitable purposes and does not engage in activities that could scupper its tax-exempt status, periodic reviews shall be conducted.The periodic reviews shall, at a minimum, include the following subjects a. Whether compensation arrangements and benefits are reasonable, based on competent survey information, and the result of arms length bargaining. b. Whether partnerships, joint ventures, and arrangement s with management organizations conform to the Organizations written policies, are properly recorded, reflect reasonable investment or payments for goods and services, further charitable purposes and do not result in inurement, impermissible private benefit or in an excess benefit transaction.