February 21, 2017 — In late 2016, New York State enacted another round of amendments to its Not-for-Profit Corporation Law. This is the latest in a series of changes to the NPCL that began with the Nonprofit Revitalization Act of 2013. The 2016 Amendments are meant to streamline some of the more burdensome requirements of the Revitalization Act and strengthen the operations of New York nonprofits.
Most of the amendments become effective on May 27, 2017. The exception is an amendment to the prohibition of an employee serving as board chair, which went into effect on January 1, 2017.
What Should Nonprofits Do Now?
New York nonprofits should have their bylaws, conflict of interest policy, whistleblower policy, and audit committee charter reviewed by legal counsel for compliance with the new law. This includes those nonprofits who previously updated their documents after the 2013 Revitalization Act. Pro Bono Partnership has prepared new model documents and is available to help clients navigate these changes. For assistance, please contact our White Plains office at (914) 328-0674 or the Partnership staff attorney with whom you regularly work.