What You Can Plan For

Transcription

1 February 2017 Alliance Board Approves Revised Standards March 2017 New Standards Available Online for Download June 2017 Every Alliance Member Land Trust Must Pass a Resolution Adopting the Revised Standards Before Renewing Membership LAND TRUST STANDARDS AND PRACTICES What You Can Plan For Land Trust Alliance Land Trust Accreditation Commission Summer 2017 Spring 2019 Alliance Educational Resources Updated and Created for Revised Standards Winter 2020 Update Process Complete Fall 2017 Accreditation Commission Seeks Input on Requirements Related to New Indicator Elements Winter 2018 Accreditation Commission Releases 2018 Edition of the Requirements Manual Accreditation Application Updates NO CHANGE TRANSITION YEAR NEW RENEWAL APPLICATION NEW FIRST TIME APPLICATION All applicants use existing application; first-time is paper and renewal is electronic. To ensure all 2018 applicants have advance notice, the transition application for 2018 will be published in summer All first-time and renewal applicants use a transition application modified with deletions and an addendum. To ensure all 2019 renewal applicants have advance notice, the new renewal application will be published in summer Renewal applicants use new electronic application that conforms to revised Standards. First-time applications will not be accepted in this year. To ensure all 2020 first-time applicants have advance notice, the new electronic first-time application will be published in summer First-time applicants use new electronic application that conforms to revised Standards. Paper application discontinued.

2 We re revising the Accreditation Requirements The Land Trust Accreditation Commission is revising the accreditation requirements to conform to the 2017 revised Land Trust Standards and Practices. All new requirements will be finalized for the Requirements Manual in Spring 2018, with a public comment period planned for late Summer Learn more by visiting adding new elements to address HIGH-RISK AREAS, positioning accredited land trusts for the next decade retaining CORE CONCEPTS from the previous requirements, ensuring ongoing public trust and support dropping LOW-RISK OR REDUNDANT CONCEPTS, ensuring accreditation is cost-effective and relevant EXAMPLES EXAMPLES EXAMPLES $ Financial health (6A2, 6A3, 6A4) and defense funding (6A5) Verifying charitable solicitation registration (part of old 5A) Board development (3B3) Financial records (6C1) Verifying periodic review of bylaws (part of old 2B) Insurance (6E2) Visual inspection as part of project due diligence (8C1) records (11B3, 11F3) Title investigation (9F1, 9F2) Baseline documentation reports (11B1, 11B2) Monitoring and inspections (11C2, 12C2) Reviewing every detail of Form 990 (part of old 2C) Confirming that property boundaries are located (part of old12d) Review and approval of transactions (3D1)

3 Timeline for Renewal Accreditation For detailed information on each process step below, visit Applicant Submits Pre-Application* about 2 months before application due date Applicant Submits Application and Fee on or before application due date Applicant Submits Additional Information due 3 months after AIR received Applicant Receives Project Selection, Fee & Attestation Verification Request about 1.5 months before application due date Commission Reviews the Application Materials about 1-4 months after application due date Commission Provides Additional Information Request (AIR) about 1-4 months after application due date Commission reviews additional documentation and makes final decision timing depends on when Commission meets next * Applicant Receives Log-in and Registers within 2 mos. of pre-application due date Applicant Receives Commission Decision about 10 months after application submitted

4 RENEWAL PREPARATION TIPS FROM LAND TRUSTS THAT RECENTLY RECEIVED RENEWED ACCREDITATION You've achieved accreditation, committed to following Land Trust Standards and Practices, and now you are ready to demonstrate your continued commitment to excellence, trust and permanence. Here are some tips to consider while you are preparing for renewal of accreditation. ADDRESS EXPECTATIONS FOR IMPROVEMENT AS SOON AS POSSIBLE Expectations for Improvement for Improvement (EFI) may be (EFI) issued may as be part issued of the as part of accreditation the accreditation award award letter letter to foster to foster continuous continuous learning learning and quality and quality improvement improvement when when the Commission the Commission determines determines that an organization that organization needs to needs do additional to do additional work to work fully comply to fully with one comply or more with one elements or more of an elements indicator of practice. an indicator Renewal practice. applicants Renewal applicants must demonstrate must demonstrate compliance compliance with EFIs with over EFIs the accredited over the accredited term. term. There is no doubt that the anticipation of renewal kept us on our toes, but that s where we want to be Doug Sensig, former executive director Coastal Mountains Land Trust (ME), accredited in 2011; renewed in 2016 COMPLETE AN ORGANIZATIONAL ASSESSMENT While While the the Commission Commission no no longer longer requires requires an an organizational organizational assessment prior prior to to renewal, many many organizations found that the assessment the assessment allows allows them them understand understand what what areas areas of their of their operations are are not not in in full full compliance with Land Trust Standards and Standards Practices. and Practices. MAKE ACCREDITATION AS BUSINESS AS USUAL KEEP UP TO DATE WITH THE ACCREDITATION REQUIREMENTS The Requirements Manual, serves which as is updated a guide for annually, land trusts, serves providing as a guide information land trusts, on each providing of the information requirements on evaluated each of the as part requirements of the accreditation evaluated process. as part of the accreditation process. WATCH THE VIDEO TUTORIALS AND WEBINARS The Commission recently created several short video tutorials The Commission recently created several short video tutorials that will help you understand specific topic in five minutes or that will help you understand a specific topic in five minutes or less! less! Don't view this as as a one shot transaction. View accreditation as an as ongoing an ongoing process process that that becomes becomes imbedded imbedded in everything everything we do. we do READ THE USER MANUAL PRIOR TO BEGINNING YOUR APPLICATION The User Manual contains technical information regarding the online application and contains a reference edition of the renewal application.

5 CROSSWALK OF REQUIREMENTS: 2016 TO 2018 Following the 2017 Standards revisions, the accreditation program is transitioning from reviewing "indicator practices" to reviewing "s. All of the s will be grouped into one of four categories: Governance,,, and. This document gives you a high- level overview of how the accreditation program s existing requirements will be translated into the 2018 requirements. The core concepts from the indicator practices are still in place, with a few high- risk areas added, and a number of low- risk or redundant areas dropped. New Areas Added 2018 Requirements Manual Requirements added related to Added to category Strategic goals Governance Board development process Financial health Insurance Visual inspection as part of project due diligence Promptly recording deeds Avoiding fraudulent or abusive transactions Documentation of change to land subject to conservation easement or conservation easement records 1D. Ethics High standards of ethics Mission Disclosures to landowners about related entity Dropped no longer an indicator element 1

6 2A. Compliance with Laws 2B. Nonprofit Incorporation and Bylaws 2C. Tax Exemption 3C. Board Governance Federal and state filings Clear of findings of malfeasance following governmental investigation Compliance with out- of- state corporate registration requirements Incorporated or formed in accordance with state law Bylaws Corporate status Board review of bylaws every five years Tax- exempt organization or quasi- governmental organization Public support test Prohibited activities: private inurement and impermissible private benefit Prohibited activities: lobbying and political campaign activity Form 990 Communications to board members about service as board members Majority of meetings have quorum Clear roles and limits if staff on board Written board member job descriptions Board evaluation Meeting frequency Information to board members prior to meetings Board member recruitment, training, and orientation Evaluation of executive director Strategic direction Governance Verified as part of eligibility at registration Governance and Governance 2

7 3F. Board Approval of Land 4A. Dealing with Conflicts of Interest 5A. Legal and Ethical Practices 6B. Financial Records Project evaluation Project review Sufficient information prior to decision Project approval Updates on project if substantial changes Delegation of transaction approval policy or bylaw provisions Review of delegation policy Conflict of interest policy Management of conflicts of interest Evaluation of private inurement Compensation prohibited to president or treasurer or their firms for professional services Management of conflicts with attorney board members Commission- based fundraising Limits to fundraising costs Charitable solicitation registration Gift acknowledgement letters Donor- restricted gifts GAAP- compliant financial records Accurate financial records and tracking of donor- restricted funds Board oversight of finances Internal controls Annual budget Deficit spending trends 3 Governance

8 6D. Financial Review or Audit Annual audit, review or compilation Qualifications of person conducting audit, review or compilation Board review of audit, review or compilation 7A. Capacity Program evaluation Governance Sufficient human resources Sufficient financial resources 8B. Project Selection and Criteria 8D. Public Benefit of 9E. Easement Drafting Project selection process Project selection criteria Evaluation of stewardship capacity Public benefit analysis Federal and state charitable trust laws Conservation easement contents Qualifications of conservation easement drafter 4

9 9G. Recordkeeping 9H. Title Investigation and Subordination 9J. Purchasing Land Records policy Protection of original documents Copies of irreplaceable documents in separate location Electronic copies replicas of originals Electronic originals per federal and state law Agreements for storage in individual s home Title investigation by attorney or title firm Mortgages, liens and other encumbrances addressed Title investigation updated at or prior to closing Promptly recording deeds Independent appraisals (or letters of opinion when acceptable) before closing Justification of purchases above appraised value Honest and forthright communications with landowners Governance Dropped no longer in the Standards 10B. Appraisals Landowner notification Forms 8283 Landowner s appraisals Action to resolve concerns with tax deduction or landowner s appraisal 5

10 11A. Funding Easement 11B. Baseline Documentation Report 11C. Easement Monitoring 11E. Enforcement of Easements 11I. Amendments Determination of stewardship, enforcement and long- term expenses Conservation easement stewardship funds Conservation easement defense funds Baseline documentation reports Baseline documentation report (or interim report) signed prior to closing Baseline supplement with significant conservation easement amendments Annual monitoring Monitoring reports If aerial monitoring, frequency of on- the- ground visits Easement violation policy/procedure Timely violation resolution Legal involvement appropriate to the violation Amendments not routine Amendment violation policy/procedure Amendment process consistent with policy/procedure, including amendment not inconsistent with donor intent Documentation of no impermissible private benefit/private inurement Amendments that release a de minimis amount of land Full or partial extinguishment Dropped no longer an indicator element Dropped no longer an indicator element Dropped no longer in the Standards Dropped no longer an indicator element 6

11 12A. Funding Land 12C. Land Management 12D. Monitoring Land Trust Properties Determination of immediate and long- term financial and management implications Defense funds for conservation properties Conservation property stewardship/operating funds Land management plans Documentation at closing Plans within 12 months of closing Updates to land management plans Location of property boundaries Annual inspections Inspection documentation Timely resolution of management problems Dropped no longer an indicator element Dropped no longer in the Standards Dropped no longer an indicator element For more information, please see the Commission s website: and- updates/standards- and- practices- revision 7

12 SAMPLE RENEWAL OF ACCREDITATION FRAMEWORK FOR PREPARATION When (General) What Who Due Within four weeks of Examine any EFIs achieving How will you address them? accreditation How will you document it? Within four weeks of achieving accreditation Annually Two years from accreditation Three years from accreditation Examine the Requirements Manual for At Renewal and Additional Elements Anything you want to implement now? Anything you want to implement nearer to renewal? Examine the red-line version of the Requirements Manual Is there anything new that you should start implementing? Is there anything that was dropped, that you might want to drop, too? 1. Review your policies and procedures Do they still reflect your current practice or should they be revised? Do they meet the at-renewal requirements (if applicable) and if not, when will you update them? Do they still reflect what you want to be doing, and how, or do they need to be updated? 2. Confirm your accreditation contact with the Commission 1. Consider conducting an assessment of your organization (not required) Have you addressed any EFIs, or do you have more to do? Are there any new issues that need to be considered, or addressed? 2. Confirm your accreditation contact with the 1 Presented at Rally 2016 as part of Session B01. Voices of Experience: Hear About Renewal from Accredited Land Trusts

13 Commission SAMPLE RENEWAL OF ACCREDITATION COUNTDOWN TO RENEWAL When (General) What Who Due Two years prior to anticipated renewal 1. Confirm your accreditation contact with the Commission 2. Receive general information about renewal year/round from the Commission One year prior to anticipated renewal 9 months prior to application due date 3-6 months prior to application due date 5-6 weeks prior to application due date Application due date 1. Receive specific due dates from the Commission 2. Review your policies and procedures Update any (and secure board adoption as needed) that do not meet the atrenewal/additional elements requirements 3. Begin assembling (or updating past) Land Conservation Project List (LCPL) data 1. Receive invitation to register for renewal 2. Register and pay registration fee to access online application system Complete and submit the pre-application and attachments Finalize LCPL data All data must be the most recent (within 90 days) Download project documentation checklist and assemble project documentation for selected projects Examine any attestation verification requests and assemble documentation Finalize all application documentation Ensure that the application and all supporting documentation is submitted 2 Presented at Rally 2016 as part of Session B01. Voices of Experience: Hear About Renewal from Accredited Land Trusts