Financial Transparency, Compliance, & Indemnification

It is also worth noting that nonprofits, including the Chamber, are required to adhere to strict financial transparency and public disclosure requirements. According to the IRS, tax-exempt nonprofits must make available for public inspection their annual information returns (e.g., Form 990) and other relevant documents.

Failure to comply with these requirements can result in penalties of $20 per day for each day the request is outstanding, up to a maximum of $10,000.

I requested copies of documents in November 2023, and multiple times since November 2023. To date, I have not received a response.

This continued non-compliance could potentially result in significant penalties, currently estimated at around $3,600. It is crucial for the Faux Chamber to address this issue promptly to maintain trust and transparency with the community.

Alternatively, a review of the organization's documents carefully reading the indemnification section could be useful. Nonprofit organizations often include indemnification provisions in their bylaws to protect board members from personal liability arising from their service.

Given the current situation, and status, understanding these provisions could be beneficial.