Texas Conduct Policies for Board Members

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Multi-State
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US-ENTREP-0021-2
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The Directors and Senior Management Executives shall act in accordance with the highest standard of honesty, integrity, fairness and ethical conduct and shallexercise utmost good faith, due care and integrity in performing their duties.
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FAQ

A code of conduct guides the behavior of your board members, and it serves as a set of principles to guide their decision-making and other activities. Your code of conduct policy ensures that your board members are accountable for the decisions and choices they make.

You can encourage individual board member activity by: Being transparent about the % of meetings attended. Being clear on the role of the board as a whole and each person's contribution to this. Disclosing remuneration. Giving individual responsibilities and goals for each member to hit.

Express, Evaluate, and Increase Responsibility Start by giving board members a clear understanding of what's expected of them. Many organizations use a statement of expectations or even a signed agreement to make responsibilities explicit.

The answer is yes, the board can be held liable in some cases. If the board makes a decision that results in financial losses for the company, shareholders may sue for damages. Directors can also be held liable if they fail to properly supervise the management of the company.

Accountability is central to nonprofit board service. After all, boards are accountable to the organization's constituencies; boards are accountable for complying with governmental regulations; and boards are responsible for holding the CEO/executive director accountable.

5 Tips For Dealing With Difficult Board Members Confront the issue head on?. and in person. Focus on the organization not the person. Use specific examples. Use ?I-messages? Listen.

Election. The members of the board of trustees are elected by the voters in their independent school districts to serve for a term of six years. There are three or more members, one-third of whom, or as near as one-third as possible, are elected or appointed every two years.

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Texas Conduct Policies for Board Members