Chapter Models: Bylaws and Boards and Bank Accounts – Oh My!

In my last article, “Is Your Chapter System from another Century?”, I outlined the argument that the “mini-me” structure of chapters needs to be done away with in favor of a more agile, modern system based on the way we live now.

The mini-me model relies heavily on modeling locally what is done at the national level: bylaws and boards and bank accounts. This model requires volunteers to act as Association Management Companies (AMCs) for their chapter rather than enjoying the experience. On the national staff side, a lot of staff energy and time is spent “chasing compliance.”

This led to a discussion of the article in the ASAE Collaborate community for Component Relations professionals. There was a good start to a discussion of what could come next and how the chapter model could be reconfigured. Many comments were positive and contributors want to explore this evolving area as associations with chapters look to create and support a better experience for their local volunteers.

However, it was pointed out by one contributor that making things easier for chapters makes lawyers nervous and uncomfortable. Of course, a lot of a lawyer’s job is being nervous and uncomfortable because they are looking for dangerous situations that could open their clients to liability.

This doesn’t mean that you can’t review and streamline your chapter system, especially if you have subordinate chapters (save the angry postcards: subordinate is the word used by IRS in the Code that establishes nonprofits).

Let’s face it: chapters are not a requirement, and some associations have eliminated chapters or chosen not to establish them. These groups go on to lead happy, productive lives finding other ways to deliver local value.

Let’s look at it from the “Clean Slate” perspective: what if you didn’t have chapters at all? How would you support local engagement for your members? What would that system look like? Where would resources be used?

When reviewing your system, keep in mind that Affiliate is not the same as chapter, despite the bad habit in the nonprofit community of using these words interchangeably. Affiliates are stand-along organizations that enter into an agreement with your association to support the same goals. They are not chapters (please stop calling them that!)

A concept I developed years ago was called Networking Hubs. Inspired by Special Interest Groups (SIGs), I applied the same model to local networking. Rather than having chapters with all the compliance issues like bylaws, boards, and bank accounts, we experimented with supporting members who volunteered to organize events for their fellow members.

This is a great opportunity to relieve the stress of lawyers and find ways to serve our members locally without a lot of compliance issues.