Domain 4 | Programs, Products & Services Flashcards
Credentialing vs Accreditation
Credentialing: a process whereby individuals who meet an objective standard of competency receive recognition by designation and/or certificate. Credentialing often requires an individual to requalify for the credential after a set number of years.
Accreditation: a process of standards setting and compliance measurement for systems, organizations, or institutions. Both processes have implications for exposure to antitrust liability.
Credentialing Program Criteria
Criteria should be established only after reasonable notice and opportunity to participate is afforded to all who may be affected. They must not restrict or boycott competitors.
Credentialing Program Guidelines
_Participation should be voluntary and open to nonmembers.
_All candidates should be treated equally.
_Associations should not promote credentialed individuals by name or disparage the noncredentialed.
_The absence of a credential should not be used to “blackball” or limit competitors.
_Denial of credential should be made by written notice, giving reasons for denial; opportunity for an appeal in writing or at a hearing should be offered, to be
decided by a body other than the one that made the initial decision.
_Decisions on applications should be made by an objective body that should not be composed exclusively of credentialed individuals who might stand to gain financially from a decision affecting competitors.
Why people give (fundraising)
People contribute to organizations because they care and want to express their personal values, ideals, and goals, or a deep gratitude for life, benefits, and services received.
They also may be expressing personal or family pride, taking the opportunity to join an organization’ s success, showing gratitude for personal achievements, or providing for tributes and memorials. People very seldom give only for tax reasons.
Grantwriting
A skill needed for successful fundraising through application to other foundations, government agencies, or other funding organizations. An individual (or individuals) writes a professional proposal intended to persuade the granting entity to give the money to your organization. The proposal includes what you want to do, why this program is needed, how you will conduct it, how much it will cost, and how much money you want from this grant. Proposals of this type compete for available moneys from funding organizations.
ASCAP and BMI
Two major performing rights organizations. Both offer license agreements to users of copyrighted music.
What is copyright and how to minimize liability
Many writings, recordings, images, and so forth fall under copyright law protections. To minimize potential liability:
_Seek written copyright assignments or licenses from
nonemployees responsible for creating copyrightable works that the association will publish or sell.
_Be careful in the electronic distribution and reproduction of any communication containing materials written by nonemployees and freelance authors.
_Seek appropriate representations and warranties from third parties responsible for creating copyrightable works that the association will use.
_Restructure contractual arrangements with electronic publishers and database operators.
_Review and research copyright law in other nations prior to reproducing or distributing materials outside of the United States.
_Ensure that written agreements with speakers include their warranty that they either own or have obtained the right to use any material (including images and recordings) that may be part of presentations they are giving.
Licensing Revenues
An association may make a legal agreement with an outside organization to use association proprietary property. For example, mailing lists, program logos, and software are commonly licensed by associations. Member mailing lists represent a valuable, intangible association resource with the potential to generate
non-dues revenue when their use is licensed to third parties. To ensure that income from the licensing of these lists and compilations is not taxable, associations must properly structure business arrangements so the resulting fees or other types of revenue fall within existing exceptions to federal taxation regulations as royalty income.
List Rental
An association’s primary knowledge management component is its database. The organization should have a policy on whether it will share lists from this database, in what format, and with whom. These lists may be rented (usually for a single-use fee) in various formats: electronically, as labels, or as mail merges.
Drayage (in meeting planning)
For the hauling of shipments, exhibitions and trade shows need to contract with an official drayage firm. Exhibit hall contracts usually include a provision that defines financial consequences for early shipment to the facility.
Banquet or Event Order
This order specifies every detail of an event, acting as a contract of performance. The order is created by the facility staff and sent for review to the association meeting planner.
The details of count, set up, menu, and timing are presented in the order. This banquet or event order should be reviewed carefully within the time frame specified by the facility sales department and should also be available and checked during the event to ensure that the association has received everything it is paying for.
Endorsing Vendor Products and Services
Associations granting third parties permission to use their names and logos in connection with various programs and activities expose themselves to liability in product and tax issues. Legal concerns arise when such use is perceived as giving official advice or providing a formal endorsement of a product or service related to the field or industry the association represents.
Self-Regulation
A voluntary regulatory process rather than a mandatory government process that sets and enforces rules and standards relating to the conduct of firms or individuals in the industry. Included are standards for products and services, professional licensing and accreditation, and administrative and executive ethical behavior.
Standardization
Standardization programs are designed to help members realize greater efficiency and interchangeability, and to give customers a means to measure value. Standardization processes establish industry definitions, recommended practices, methods of testing, classifications, and design or performance specifications.
Advertising Income
Advertising revenue is subject to taxation because a
tax-exempt periodical containing advertising is, in the view of the IRS, performing both exempt and nonexempt activities. Income from editorial activities is not subject to taxation and must be separated from the income derived from advertising.
