M E M O R A N D U M 

_____________________________________________________________________________ 

To:  Chapter Leaders 

From:   Nancy Webster, Chair, Committee on the Future, The Arc Board of Directors 

Date:   January 2, 2012 

Re:    Comments Requested on Drafts of new Bylaws and new Affiliation Agreement  

 More than one year ago, in October 2010, I wrote to you, on behalf of The Arc’s Board of Directors, to invite you to share your input about the Committee on the Future’s  recommendations for the future of The Arc’s chapter, membership and governance structure.  As you may recall, those recommendations were developed as part of our effort to build The Arc into a stronger federation committed to serve people with intellectual and developmental disabilities and their families.  In our planning work in 2009 and 2010, you made clear that you want The Arc to be a “strong federation” and that we need to make it easy and seamless for the next generation of parents, family members and people with I/DD to get involved in the organization.  Those resulting recommendations were developed as part of a participatory process that has continued since then.  After releasing the recommendations, the Committee on the Future spent the next four months gathering input from chapters about the recommendations.  Then we rolled up our sleeves and  moved forward with the hard work of devising a new set of Bylaws and a new Affiliation Agreement that would bring to life the concept of a stronger federation of chapters of The Arc.  The Committee on the Future met nine times, beginning in March 2011 and ending just last month,  reviewed all of the suggestions that were made in response to the earlier recommendations and considered exactly how to embody the earlier recommendations, as modified based on your comments, in the form of governing documents.  Today, we are pleased to share with you the results of that work. 

 What follows in the next pages are drafts of two documents:  A new set of Bylaws for The Arc and a new Affiliation Agreement.  Once again we are asking for you to give us your valuable feedback.  As  you review the documents, I think you will find that the defining characteristics of The Arc and many of the structural elements that today define the role and relationship of national, state and local, are not being changed, at all.  For example: 

The Arc will continue to be an organization that is led by parents and family members and people with I/DD. 

Chapters of The Arc will continue to be the corporate “members” of the national organization and play a role in the election of officers and directors, adoption of the Core Values and Position Statements, and other official business. 

Individuals will still participate as “members” of The Arc movement and may become involved by entering through whichever door they choose. 

Membership information will be freely shared for purposes of advocacy and public education, but for no other purposes absent express agreement. 

Advocacy, both individual advocacy and public policy advocacy, will be a core competency of all chapters of The Arc.  

Any individual member of The Arc that wants to be considered to serve on the Board will have an opportunity to do so. 

 You will also see some significant changes that are in the nature of both clarifying and modernizing The Arc’s governance structure and building a stronger federation with a more powerful brand.  For example: 

The qualifications to be a chapter of The Arc are spelled out in more detail. 

Chapters are free to designate a single corporate officer or other official representative for formal business purposes, including a professional staff member.  Chapters will no longer appoint multiple delegates as representatives. 

Chapters are free to employ whatever governance structure is appropriate for their circumstances; there is no “one‐size fits all”.   

Chapter professionals, self‐advocates and siblings are brought to the leadership table in a more formal way.   

While the maximum number of votes (21) stays the same, chapters have more flexibility in obtaining the additional 20 votes. 

Core Values and Position Statements continue to be subject to regularly scheduled  review, but do not cease to exist in the absence of being reviewed. 

The organizational decision‐making process mandates more input from Chapters in advance of matters being presented for formal action. 

A higher level of agreement among chapters  (two‐thirds of those present in person or proxy as opposed to a simple majority) is required for Core Values and Position Statements. 

 

The documents have footnotes inserted describing significant changes from the current versions and adding explanatory notes.  On the first page of each document you will find a URL at which you can find a copy of the existing documents for comparison purposes.  If you would like to submit comments, there will be several ways to do so: 

A webinar will be held in late January or early February to answer questions or take comments. 

Comments may be entered online at the following URL: http://www.surveymonkey.com/s/HYFLVQK  

You may send comments to the Committee of the Future via email to berns@thearc.org or by postal mail to the office. 

 Please note that no formal action is proposed at this time.  Rather, we are seeking additional comments and suggestions in response to these drafts.  After receiving your additional input, the Committee on the Future will finalize the drafts and then move forward to formally propose their adoption in advance of the vote that will take place at the 2012 Annual Meeting.  We believe these documents bring new clarity to what it means to be a chapter of The Arc, the structure by which the national organization is governed, and the methods we use to involve individuals and other organizations in building a powerful movement on behalf of people with intellectual and developmental disabilities and their families.  Together, they provide an important next step in our efforts to build The Arc into an even stronger federation of nonprofits dedicated to advocating on behalf of and serving people with I/DD.  Finally, I would like to thank the members of the Committee on the Future in 2011 – 2012 for their perseverance and hard work.  They are:  MJ Bartelmay, board member, The Arc US; past state and local president in PA Glenda Bond, Treasurer, The Arc Cumberland County; past state and local president in TN Diane Carey, Executive Director, The Arc of Chester County, PA Cathy Enfield, self advocate Hugh Evans, board member, The Arc of the US   (MD) Walter Faggett, Board President, The Arc of the District of Columbia Dohn Hoyle, Executive Director, The Arc of Michigan Mary Jordan, Immediate Past President, The Arc US; past state president in TN Tom Judd, board member, The Arc of the US; past local president in MN Mark Kevitt,  Director of Program Services, The Arc Indiana; past national board member Mike McLaughlin, board member, The Arc of Prince George’s County Melinda Moore, Past President, The Arc of South Carolina  Jeff Plyler, CFO, The Arc North Carolina; past state president in NC; past national board member Donald Redden, Board President, The Arc of Dickson County; past state president in TN  Marijo Rymer, Executive Director, The Arc of Colorado Brian Rubin, Board President, The Arc of Illinois Duane Superneau, Board President, The Arc of Louisiana; past local president in LA. 

 Also thanks to our staff for facilitating the work of this committee:  Peter Berns, CEO Dee Dee Eberle, Director of Chapter Organizing and Advocacy Evelyn Powell, Operations Support Manager  

COMMITTEE ON THE FUTURE DRAFT – 12/23/11. Disseminated for chapter comment. NOTE: CHANGES FROM THE CURRENT BYLAWS THAT ARE SUBSTANTIVE IN NATURE ARE INDICATED BY FOOTNOTES IN THIS DOCUMENT. THE NEW BYLAWS, ONCE ADOPTED, WILL REPLACE THE CURRENT BYLAWS. FOR COMPARISON, A COPY OF THE CURRENT BYLAWS IS AVAILABLE ON THE ARC’S WEBSITE AT: http://www.thearc.org/document.doc?id=2328 ==============================================================================

BYLAWS OF

THE ARC OF THE UNITED STATES, INC.

ARTICLE 1: Status and Purpose

.

Section 1.1 Tax Status. The Corporation is organized exclusively for

philanthropic purposes as a nonprofit corporation. It is intended that the Corporation

shall have tax-exempt status under Section 501(c)(3) of the Internal Revenue Code of

1986, as amended. or successor provisions.

Section 1.2 Purpose. The purpose of the Corporation is to promote and protect

the human rights of people with intellectual and developmental disabilities (hereinafter

“I/DD”) and actively supports their full inclusion and participation in the community

throughout their lifetimes. Note 1

Section 1.3 Principal Office. The principal office of the Corporation shall be

designated by the Board of Directors.

ARTICLE 2: Members of the Corporation.

Section 2.1 Chapters as Members. The Members of the Corporation shall be

those nonprofit organizations that meet the qualifications and requirements set forth in

these bylaws to be an affiliated State Chapter or Local Chapter of The Arc. A Member

of the Corporation is hereinafter referred to as “Chapter of The Arc” or “Chapter.”

Section 2.2 Qualifications to be a Chapter. A nonprofit organization (hereinafter

“organization”) must meet the following qualifications and requirements in order to be a

1 Prior version listed eight purposes which were more in the nature of goals that would be included in a strategic plan. New section provides a succinct statement of purpose that essentially states the mission of the organization.

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Chapter of The Arc.

2.2.1 The organization has exempt status under Section 501 of the Internal

Revenue Code of 1986, as amended, or successor provisions, or has applied for such

status; Note 2

2.2.2 The organization pledges to advance and uphold, and conduct its

operations in a manner consistent with, the Mission, Core Values and Guiding

Principles, Position Statements and Public Policy Agenda of the Corporation as they

exist and may, in accordance with the process described in these Bylaws, be revised

from time to time. Note 3

2.2.3 The organization meaningfully involves parents and family members of

people with I/DD, and individuals with I/DD, in the governance, management and

operations of the Chapter. Note 4

2.2.4 The organization has applied for and been accepted into membership

under procedures established by the Board of Directors of the Corporation, including:

2.2.4.1 in the case of a local Chapter of The Arc, the organization has the

consent of the applicable state Chapter, if any; and

2.2.4.2 in the case of a state Chapter of The Arc, the organization has

obtained the consent of a majority of the local Chapters of The Arc in the applicable

state. However, nothing in this section 2.2.4.2 is intended to limit the rights or ability of

Corporation to establish a state office or otherwise engage in performing state-level

functions in a state that does not have a state Chapter of The Arc.]

2.2.5 The organization pays Chapter dues in accordance with the dues schedule

established by the Board of Directors of the Corporation in the manner described in

these bylaws. In the case of a local Chapter of The Arc, the organization pays state

chapter dues, if any.

2.2.6 The organization prominently identifies itself to the public as a Chapter of

2 Reflects longstanding practice, but was not addressed in prior version of Bylaws. 3 Consolidates various references in bylaws into a single affirmative statement. 4 New provision. Reflects current practices and articulates what chapters have identified as one of the differentiating characteristics of The Arc compared to other developmental disabilities organizations.

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The Arc.

2.2.7 The organization provides members of the public with the opportunity to be

a non-voting member of Corporation (hereinafter “member of The Arc”), with such state

or local membership categories or classes as the state or local Chapter, respectively,

determines are appropriate to the affairs of the applicable chapter. Note 5

2.2.8 The organization signs a written Affiliation Agreement, in a form

established by the Board of Directors of the Corporation in the manner described in

Section 8.4 of these Bylaws.

Section 2.3 Chapter Rights. Membership shall entitle a Chapter of The Arc to

participate in the governance of the Corporation, including voting in the election of the

Officers and members of the Board of Directors of the Corporation, on the adoption of

Core Values and Guiding Principles, Position Statements and Resolutions of the

Corporation, and on other business that may arise from time to time as described in

these bylaws.

Section 2.4 Chapter Responsibilities. A Chapter of the Arc shall have the duties

and responsibilities described in these Bylaws and in the written Affiliation Agreement

described in Section 2.2.8, above.

2.4.1 Local Chapter Duties. A Local Chapter of The Arc, consistent with

available staff, volunteer, financial and in-kind resources, should at a minimum: Note 6

2.4.1.1 Engage in advocacy on behalf of people with I/DD and their

families;

2.4.1.2 Assist people with I/DD, parents, family members, media, public

officials, and members of the public to access information about the needs, issues and

5 Continues the concept that The Arc, as a movement, has individual members. Eliminates the right of the national organization to prescribe a “one-size fits all” approach to membership or to set categories of membership and dues levels, in favor of chapters having flexibility to implement the concept as they see fit (which, as a practical matter, appears to be the practice that has evolved and exists today). Details about reporting membership information are in the Affiliation Agreement. 6 Simplified to describe the minimum competencies that all local chapters, regardless of whether staffed or all volunteer, should have. Clarifies and recognizes that scope of activities may vary based on available resources. Administrative requirements are set forth in the Affiliation Agreement.

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concerns of people with I/DD and their families and about available community-based

services and supports; and

2.4.1.3 support, and mobilize constituents in support of public policy

initiatives at the state and national level.

2.4.2 State Chapter Duties. A State Chapter of The Arc, consistent with

available staff, volunteer, financial and in-kind resources, should at a minimum: Note 7

2.4.2.1 Engage in state public policy advocacy; and

2.4.2.2 Support, and mobilize constituents and stakeholders in support of

public policy initiatives at the state and national level.

Section 2.5 Termination of Membership. The Board of Directors of the

Corporation shall have the right to deny, or terminate, the membership of any

organization, or to deny access to or participation in the programs or services of the

Corporation, if it fails to meet the qualifications for membership, or engages in activities

that negatively reflect upon, or are otherwise contrary to the best interests of, the

Corporation and its Chapters.

2.5.1 Chapters whose dues for the membership year are not paid by more than

thirty days (30) past the end of the year to which the dues relate may be terminated

automatically without any further process.

2.5.2 Termination of the membership of a Chapter, for reasons other than non-

payment of dues, shall be in accordance with procedures established by the Board of

Directors of the Corporation, which procedures shall provide Chapter with advance

notice of the grounds for termination and an opportunity to be heard.

7 Simplified to describe the minimum competencies that all state chapters, regardless of whether staffed or all volunteer, should have. Clarifies and recognizes that scope of activities may vary based on available resources. Administrative requirements are set forth in the Affiliation Agreement.

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ARTICLE 3 – Meetings of the Corporation

Note 8

Section 3.1 Chapter Votes. A Chapter of The Arc shall have a minimum of one

(1) and a maximum of twenty-one (21) votes based on the following formulas: Note 9

3.1.1 A Local Chapter shall automatically receive one (1) vote. In addition:

3.1.1.1 A Local Chapter may receive one additional vote for each $1,000

of Chapter dues that the Chapter is responsible for in the current membership year, and

that the chapter has paid as of June 30th of the membership year or as of sixty (60) days

in advance of the date the voting will take place, whichever is earlier.

3.1.1.2 A Local Chapter may receive one additional vote for every 100

individuals it has enrolled as members of The Arc and has reported the members’

names and contact information to the Corporation.

3.1.2 A State Chapter shall automatically receive ten (10) votes. In addition, a

State Chapter may receive one additional vote for each $1,000 of Chapter dues that the

Chapter is responsible for in the current membership year, and that the Chapter has

paid as of June 30th of the membership year or as of sixty (60) days in advance of the

date the voting will take place, whichever is earlier.

Section 3.2 Chapter Representative for Voting. Note 10 The Chapter shall

designate a representative for purposes of voting. In the absence of any such

8 As under the current bylaws, Chapters continue to be the official corporate “members” that hold the voting rights. The provisions relating to how the corporation conducts business have been updated to conform with the requirements applicable to non-stock corporations under the Maryland General Corporate Law. 9 The total possible number of votes (21) has not changed. Chapters receive a minimum of one (1) and a maximum of twenty-one (21) votes. Greater equity among chapters has been provided by allowing chapters to earn all 20 additional votes based on either dues amount, number of reported members, or both. Under current bylaws only ten (10) additional votes may be earned based on each criteria. 10 Consistent with Maryland law applicable to non-stock corporations, the Chapters as Members of the Corporation are represented at the annual business meeting, or any special meetings, by a single person of their choosing rather than by multiple delegates. It is up to each chapter to determine who is authorized to act on behalf of the chapter. A chapter may designate professional staff to serve as its designated representative. There is no longer a Congress of Delegates. In addition, current and former national board members do not have a vote at meetings of Members of the Corporation.

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designation, the president or chairman of the board of directors of the Chapter shall be

the representative. The designated representative may be changed at any time by

written notice to the Secretary of the Corporation or his/her designee.

Section 3.3 Annual Meeting. The annual meeting of Members of the

Corporation shall be held on a date fixed by the Board of Directors and upon not less

than sixty (60) days, nor more than one hundred twenty (120) days written notice of the

call of the meeting of the Corporation, but the incidental and unintended failure of notice

to any Chapter shall not invalidate the meeting or any action taken thereat.

Section 3.4 Special Meetings. Special meetings of the Members of the

Corporation may be held upon call by the Board of Directors or upon the request of ten-

percent (10%) of the chapters in good-standing, including at least three (3) State

Chapters. Note 11 A special meeting shall be called upon not less than ten (10) days,

nor more than thirty (30) days, written notice of the call of the meeting of the

Corporation, but the incidental and unintended failure of notice to any Chapter shall not

invalidate the meeting or any action taken thereat. At special meetings, only that

business identified in the notice shall be conducted.

Section 3.5 Quorum. A quorum for the transaction of business at the annual

meeting of the Members and at any special meeting of Members shall consist of those

Chapters present in person, or by proxy, holding not less than one-half (1/2) of the total

number of votes held by all of the Chapters.

Section 3.6 Manner of Voting A Chapter may cast its votes in person by its

designated representative or by written proxy. Votes cast in person may be cast only

by the designated representative of the Chapter. Votes cast by written proxy shall be

cast in conformance with Maryland General Corporation Law regarding proxy voting.

The votes held by Chapters represented at a meeting of Members of the Corporation by

11 Changed from current bylaws which require five (5) state chapters to request a special meeting.

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written proxies shall be counted in determining the presence of a quorum.

ARTICLE 4. Officers and Directors.

Section 4.1 Number and Qualifications of Directors. The governance of the

Corporation shall be vested in a Board of Directors which shall be composed of up to

twenty-four (24) persons, including the five (5) Officers of the Corporation, elected in the

manner described in these Bylaws.

4.1.1 Because one goal of the Corporation is to provide broad participation from

among individuals with I/DD and their family members, the majority of members of the

Board of Directors shall be parents or family members of people with I/DD, or people

with I/DD themselves. Note 12

4.1.2 Because one goal of the Corporation is to build a strong movement of

advocates and volunteers on behalf of people with I/DD and their families, all of the

members of the Board of Directors must be individual members of The Arc at the

national, state or local level.

4.1.3 Because one goal of the Corporation is to build and sustain an effective

partnership between people with I/DD and their families and the professional leaders of

the organizations that serve them, up to three (3) members of the Board of Directors

may be chief executive officers, executive directors, or second-tier management staff of

a Chapter of The Arc. Note 13

Section 4.2 Elected Officers of the Corporation. The elected officers of the

Corporation are the President, Vice-President, Secretary, Treasurer and, ex officio, the

Immediate Past President.

12 New. Not addressed in current bylaws. Reflects longstanding practice and articulates what is considered to be one of the differentiating characteristics of The Arc, namely, that it is led by parents, siblings and people with I/DD. 13 Expands from two to three the number of professional staff of Chapters that may serve on the Board. Currently, the NCE board president and one additional NCE board member serve on The Arc board. Pending further study, discussion and deliberation, this draft leaves open the question of what if any role NCE should have in designating board members to serve on The Arc’s Board. Specific input is needed on that subject.

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4.2.1 President. The President shall serve as the Chair of the Board of

Directors, shall preside at all meetings of the Members of the Corporation, of the Board

of Directors, and of the Executive Committee, and shall be an ex officio member without

vote of all other committees. The President shall perform all of the duties which are

ordinarily incident to the office, or which are assigned by the Directors. The President of

the Board of Directors may not be a person who is employed by a Chapter of The Arc.

4.2.2 Vice President. The Vice President shall perform the duties of the

President in the absence of the President, or in the event of the President's inability to

perform the duties of office. The Vice President shall perform such other duties as may,

from time to time, be assigned by the President of the Board of Directors. The Vice

President of the Board of Directors may not be a person who is employed by a Chapter

of The Arc.

4.2.3 Secretary. The Secretary shall oversee the issuance of notices of all

stated and special meetings of the Members of the Corporation and of the Board of

Directors. The Secretary shall oversee preparation of the minutes of meetings of the

Members of the Corporation and of the Board of Directors.

4.2.4 Treasurer. The Treasurer shall serve as chairman of the Budget, Finance

and Audit Committee and, in that capacity, shall oversee the investment of funds of the

Corporation, the maintenance of full and accurate accounts of receipts and

disbursements, and the preparation of the annual audited financial statements and

federal and state tax reports.

4.2.5 Immediate Past-President. The Immediate Past-President shall serve as

chair of the Board Development Committee.

Section 4.3 Term for Directors. The term of office for members of the Board of

Directors shall be four (4) years. Persons serving an initial term of less than four (4)

years may serve for two (2) additional full four year terms.

Section 4.4 Term for Officers. The term of office for Elected Officers of the

Corporation shall be two (2) years. No elected officer of the Corporation shall serve

more than one (1) term in the same office.

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Section 4.5 Term Limits.. Except as otherwise described in this section, no

person shall serve more than two (2) consecutive full terms on the Board of Directors.

4.5.1 A person serving as an Officer of the Corporation may continue to serve as

a Director while in the position of Officer, but may not exceed twelve (12) years of total

service except under exceptional circumstances. Note 14 The limitation in this section

shall not apply to the Immediate Past President during service in that position.

4.5.2 A person may be nominated to serve beyond the twelve (12) year limit set

forth in section 4.5.1 only upon both the unanimous concurrence of the members of the

Board Development Committee and two-thirds concurrence of the members of the

Board of Directors.

Section 4.6 Compensation. The members of the Board of Directors and the

elected Officers of the Corporation shall serve without compensation for their services

as board members or officers. Directors and officers may be reimbursed for all

expenses reasonably incurred on behalf of the Corporation.

Section 4.7 Appointed Officers and Staff. The Board of Directors shall appoint a

chief executive officer, with a title appropriate to the functions of the office. Other staff

shall be appointed by the chief executive officer.

4.7.1 The Board of Directors may delegate duties and customary authority to the

chief executive officer and staff of the Corporation. The duties and authority delegated

shall be memorialized in written job descriptions.

4.7.2 The chief executive officer shall be subject to hire and termination by the

Board of Directors. Other appointed staff shall be subject to hire and termination by the

chief executive officer.

4.7.3 The chief executive officer shall attend and participate in meetings of the

Members and the Board of Directors and of committees as staff to the Board and the

committees but shall not be entitled to a vote.

14 New. Current bylaws don’t address maximum years of total service, potentially allowing a board member to serve 18 years or longer. Nonprofit best practice is to have some outer limit.

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ARTICLE 5: Meetings of the Board

Section 5.1 Quorum. At meetings of the Board of Directors, a quorum shall

consist of a majority of Directors then serving, present in person.

Section 5.2 Voting. Except as hereinafter provided, decisions of the Board of

Directors shall be by vote of a majority of those present and voting, but not less than

eight (8) votes. Members of the Board of Directors may vote only in person. No proxy

voting shall be allowed.

Section 5.3 Regular Meetings. The Board of Directors shall meet not less

frequently than four (4) times per year. The Secretary shall give thirty (30) days written

notice of the call of the meeting to all of the members of the Board of Directors, but the

incidental and unintended failure of notice to any member shall not invalidate the

meeting or any action taken thereat.

Section 5.4 Special Meetings. Special Meetings of the Board of Directors may

be called at any time by the President of the Board. It also shall be the duty of the

President or Secretary to call a Special Meeting of the Board of Directors whenever

requested in writing to do so by not less than one-third (1/3) of members of the Board of

Directors then serving. Note 15 Notice of a Special Meeting shall be given to each

member in person, by telephone, electronically, or by mailing a notice thereof to each

member of the Board of Directors at his or her last post office address appearing on the

records of the Corporation at least seven (7) days before such meeting. Special

meetings shall consider only such business as is stated in the notice of the meeting.

Section 5.5 Method of Conducting Business. The Board of Directors and

Committees of the Corporation may conduct business by any means authorized under

the Maryland General Corporation Law.

15 Current bylaws require a specific number (5), rather than a proportion.

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ARTICLE 6. Committees of the Corporation.

Section 6.1 Executive Committee.

6.1.1 Composition. The Executive Committee shall consist of the President, the

Vice President, the Secretary, the Treasurer, the Immediate Past-President, and the

Chair of the Policy and Positions Committee and, at the request of the President, one or

more of the Directors who are serving as Chairs of Standing Committees of the

Corporation.

6.1.2 Roles and Responsibilities. The Executive Committee is responsible for

developing and implementing the annual work plan of the Board, monitoring the work of

all board committees, leading the board’s planning efforts, and supervising, evaluating

and setting compensation of the executive director. The committee is further

responsible for oversight of the governance structure and process of the organization

and for assuring adherence to the highest standards of ethics and accountability. As

needed, the committee develops recommendations for improvements in governance,

including necessary changes to the articles of incorporation, bylaws, corporate

resolutions or policies of the organization. The Committee also provides guidance and

oversight for the policies and practice involved in the affiliation between The Arc and

individual state and local chapters, including efforts to protect the organization’s name

and trademarks. The committee reviews and guides action in response to proposed

resolutions, bylaws amendments or other corporate actions proposed or to be

considered by the Members of the Corporation.

6.1.3 Expeditious Action In instances where special circumstances require

expeditious action between meetings of the Board of Directors, the Executive

Committee shall have the power to take the necessity actions, subject to any prior

limitation imposed by the Board of Directors. The minutes of the Executive Committee

shall include a summary of the circumstances requiring any expeditious action taken by

the Executive Committee and the minutes shall be submitted to the Board of Directors.

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Section 6.2 Board Development Committee. Note 16

6.2.1 Composition. The Board Development Committee shall be chaired by the

Immediate Past President and shall be composed of no fewer than six persons. The

additional members shall be appointed by the President with the approval by the Board

of Directors. At least two-thirds (2/3) of the members of the Board Development

Committee shall be persons who are not currently serving and have not previously

served on the Board of Directors. No person shall serve on the Board Development

Committee for more than four (4) years.

6.2.2 Roles and Responsibilities. The Board Development Committee is

responsible for assuring that the composition of the Board of Directors meets the

current and future leadership needs of the Corporation. The committee assesses the

leadership needs of The Arc, establishes nominating priorities, conducts outreach to

identify potential candidates to apply for nomination to the board, screens and evaluates

applicants in relation to the nominating priorities, and recommends candidates for

election. The committee also recommends board members to serve as the Officers of

the Corporation. The Board Development Committee is further responsible for ongoing

evaluation, training and leadership development.

Section 6.3 Budget, Finance and Audit Committee..

6.3.1 Composition. The Budget, Finance and Audit Committee shall be chaired

by the Treasurer and shall be composed by no fewer than six persons. The additional

members shall be appointed by the President.

6.3.2 Roles and Responsibilities The Budget, Finance and Audit Committee is

responsible for oversight of The Arc’s financial health. The committee reviews and

recommends approval of the annual budget, monitors financial performance and legal

and regulatory compliance, retains the independent auditor and oversees the annual

audit of the organization’s financial statements and develops and provides oversight

regarding other financial policies and practices. The committee is responsible to assure

that the annual audited financial statements are presented to the Board of Directors.

16 Board Development Committee is re-positioned as a committee of the board, rather than a separately elected body. Structure requires that majority of members are not insiders (e.g. current or former national board members), thus promoting objectives of effective leadership development.

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The committee also annually reviews the performance of The Arc’s investments and

approves any changes to The Arc’s Investment Policy.

Section 6.4 Policy and Positions Committee.

6.4.1 Composition. The Policy and Positions Committee shall be chaired by a

member of the Board of Directors and shall be composed by no fewer than six persons.

The additional members shall be appointed by the President.

6.4.2 Roles and Responsibilities. The Policy and Positions Committee is

responsible for recommending to the Board of Directors the positions of The Arc on

issues of concern to people with intellectual and developmental disabilities and their

families consistent with the Core Values of the Corporation.

6.4.2.1 The full committee is responsible to develop The Arc’s Position

Statements, with broad input from chapter leaders as well as experts in the field,

including both identifying and developing new statements and revising and updating

existing statements. The Committee facilitates the full Board’s involvement in

development of the Position Statements and, once completed, recommends the

Position Statements for approval by the Board and Chapters pursuant to the process

described in these bylaws.

6.4.2.2 A Legislative Agenda Subcommittee is responsible for developing,

on a biennial basis corresponding to the term of Congress, a Legislative Agenda that is

consistent with the Core Values, Position Statements and Federal Public Policy Agenda

described in section 8.1, 8.2 and 8.3, respectively. The Legislative Agenda

Subcommittee also recommends positions on new issues that are otherwise not

covered by the Legislative Agenda.

6.4.2.3 A Legal Advocacy Subcommittee is responsible for determining

whether The Arc should become involved in litigation and the positions to be taken

consistent with the Core Values and Position Statements.

Section 6.5 Standing Committees. The Board of Directors may establish such

standing committees as it determines are appropriate for the conduct of the business of

the Corporation. Members of standing committees shall be chaired by a member of the

Board of Directors and composed of no fewer than six persons. The additional

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members shall be appointed by the President.

Section 6.6 Special Committees. The President of the Corporation or the

Board of Directors may establish such special committees, work groups or task forces

as they shall determine are necessary for the functioning of the Corporation. Each such

committee shall be given a specific charge and term. No special committee shall have

a term extending beyond one (1) year unless reappointed. The members of special

committees shall be appointed by the President.

Section 6.7 Advisory Councils. In order to build a strong movement of parents,

siblings, other family members of people with I/DD, of individuals with I/DD themselves,

and of the professionals leading the organizations that serve and support them, the

Corporation shall establish and maintain, and members of the Board of Directors shall

chair, a national conference of executives of The Arc, a national self advocates council,

a national siblings council and such other advisory councils as may be established from

time to time (hereinafter “the Councils”). Note 17 The Councils shall provide advice

and counsel to inform the advocacy, programs, services and supports of The Arc at the

national, state and local level.

ARTICLE 7: Election of Officers and Directors

Section 7.1 Election of Officers and Directors

7.1.1 Officers. The President, Vice-President, Secretary and Treasurer of the

Corporation shall be subject to election by Chapters of The Arc. The Immediate Past-

President serves in that capacity without standing for election.

7.1.2 Chapter Elected Directors. Up to twelve additional members of the Board

of Directors shall be subject to election by Chapters of The Arc. Note 18

7.1.3 Board Elected Directors. Up to seven additional members of the Board of

17 New. Formally places execs, sibs and self-advocates at the table in a more significant way as part of the structure of The Arc. 18 Reduced from fourteen (14).

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Directors shall be subject to nomination by the President and election by the Board of

Directors. Note 19

7.1.4 The election and appointments described in this section 7.1 shall be

conducted in the manner described in this Article 7

Section 7.2 Timing of Election. Election of those Officers and Directors that are

subject to election by the Chapters of The Arc shall take place at the Annual Meeting of

the Corporation. Election of those Directors that are subject to election by the Board of

Directors shall take place at the first meeting of the Board of Directors after the Annual

Meeting. The term of office for each Officer or Director shall begin immediately upon

their election.

Section 7.3 Election Procedures. The election of Officers and Directors shall

take place under the authority and supervision of the Board Development Committee,

utilizing a process that includes the following: Note 20

7.3.1 For each nominating cycle, The Committee shall prepare a written

statement of nominating priorities describing the knowledge, skills, and other personal

or professional characteristics or attributes that are needed to meet the leadership

needs of the Corporation.

7.3.2 The Committee shall conduct outreach, including disseminating the

statement of nominating priorities to all Chapters of The Arc, to identify potential

candidates for board service that meet one or more of the nominating priorities.

7.3.3 An open application process shall be provided to allow any person who is

interested in being considered for service on the Board of Directors to have the

19 Increased by two (2) and changed process for appointment. In current bylaws the seats now covered here included three “at-large” appointed by the President and two representatives of NCE, or five (5) total that are not elected by chapters. This provides greater flexibility to recruit persons to the board that meet the needs of the organization. As noted above, the role of NCE in appointment of board members is undecided at this point. Putting that issue aside, the seats are no longer simply appointed by the President. Rather, the President nominates the individuals who are then elected by the Board of Directors. 20 Adds further detail on process and provides clarification. Preserves the right of any individual, with advance notice and appropriate chapter support, to throw their hat into the ring.

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opportunity for such consideration.

7.3.4 All persons that apply or are nominated shall be vetted by the Committee

to determine whether they meet the qualifications to serve and their fit in relation to the

nominating priorities.

7.3.5 The Committee shall prepare a slate of candidates that are recommended

for election to a position as an Officer or Chapter Elected Director of the Corporation

(hereinafter “the Slate of Nominees” or “Slate”). The Slate shall recommend one

candidate for each position that is open to be filled. The Committee shall also prepare a

list of candidates that are recommended for nomination and election to a position as a

Board Elected Director of the Corporation (hereinafter “the Candidates List”) The list of

recommended candidates may include as many candidates as the Committee deems

appropriate.

7.3.6 A person who has applied to be considered for board service who has not

been included on the Slate shall be informed of that fact, and of whether their name has

been included on the Candidates List to be submitted to the President. Such persons

shall be advised that they may be included on the Candidates List for consideration by

the President, if not already included. They shall further be advised that they may run in

opposition to the individuals included on the Slate of Nominees upon obtaining support

for their candidacy by the applicable state and local chapter as evidenced by a letter of

endorsement

7.3.6.1 The Committee shall establish a timeline, including deadlines, as

necessary to assure that the election ballot and supporting materials are ready for

distribution to Chapters at least thirty (30) days in advance of the Annual Meeting. The

election materials shall include descriptive information about the qualifications of all

candidates and shall clearly identify those candidates that are on the recommended

Slate of Candidates.

7.3.6.2 No person may run for election as an Officer or Director other than

pursuant to the process described in this section 7.3.

Section 7.4 Election in Absence of Quorum. In the event there is not a quorum

present at the annual meeting of Members of the Corporation, then the Officers and

Directors then serving shall have their terms automatically extended until the next

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meeting of the Board of Directors. At that next meeting, the Board of Directors shall

elect Officers and Chapter Elected Directors from among those persons who had been

presented for election at the annual meeting.

Section 7.5 Vacancies.

7.5.1 President. In the event that the office of President becomes vacant, the

Vice President automatically shall be President. If the Vice President is not available to

serve, then the Secretary automatically shall be interim-President and shall forthwith call

for a Special Meeting of the Board of Directors to elect a President to fill the remainder

of the vacant term.

7.5.2 Immediate Past President. In the event that the office of Immediate Past

President becomes vacant, then the prior Immediate Past President may resume office.

7.5.3 Other Vacancies. Any other vacancies occurring among the elected

Officers or Directors of the Corporation shall be filled for a term that expires at the next

annual meeting by election by the members of the Board of Directors then serving.

meeting.

Section 7.6 Removal. Any Officer or Director of the Corporation may be

removed for a substantial cause by the vote of two-thirds (2/3) of the members of the

Board of Directors then serving. Substantial cause shall include, but is not limited to,

failure to participate in the activities of the Board of Directors as evidenced by the failure

to attend at least three (3) consecutive meetings of the Board of Directors.

ARTICLE 8: Governing Documents

Note 21

Section 8.1 Core Values and Guiding Principles. The Corporation shall

establish Core Values and Guiding Principles, however denominated, to guide the

organization (hereinafter “Core Values.”).

8.1.1 Adoption. The Core Values shall be developed by the Board of Directors

utilizing a process that provides substantial opportunity for input and participation by

21 This section consolidates in one place and provides detail about how these key governance documents are developed and maintained.

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Chapters of The Arc. Note 22 So developed, the Core Values shall be proposed for

adoption by Chapters of The Arc at the annual meeting or any special meeting called for

that purpose. Once adopted, the Core Values shall continue to be in existence and in

effect until such time as they are revised or withdrawn. Note 23

8.1.2 Review. The Core Values shall be reviewed by the Board of Directors for

possible revision no less frequently than every five (5) years. Upon this review, the

Board will notify Chapters whether it intends to pursue a substantive revision of the

Core Values. Chapters may at any time petition the Board, by Resolution as described

in section 8.5, to require the Board to institute a Full Review and Revision of the Core

Values.

8.1.3 Full Substantive Review and Revision. The Board of Directors may

institute a substantive review and revision of the Core Values at any time, and shall

institute such a review if required by Resolution adopted by Chapters of The Arc in the

manner described herein. A full substantive review shall utilize a process that provides

substantial opportunity for input and participation by Chapters of The Arc. Any

proposed substantive revision of the Core Values resulting from such review shall be

proposed for adoption by Chapters of The Arc at the annual meeting or any special

meeting called for that purpose.

8.1.4 Vote. A two-thirds (2/3rds) vote of the members of the Board of Directors

then serving shall be required to advance to Chapters of The Arc a proposal for

adoption or revision of the Core Values. Note 24 The adoption, or any revision, of the

Core Values by the Chapters shall require a vote of two-thirds (2/3rds) of all the votes

entitled to be cast by Chapters of The Arc that are present in person or by proxy.

22 This section puts an emphasis on chapter involvement in the development of the governing documents. While that has been the longstanding process in the organization, it was not specifically referenced in the Bylaws. 23 Under new structure, the Core Values don’t automatically cease to exist after six years. Rather, they continue to exist until changed. There is mandatory review by the Board, with chapters able to cause a more extensive review and rewrite to be done. 24 Current bylaws require only a simple majority vote of the Board to advance a proposal to adopt or revise the Core Values.

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Section 8.2 Position Statements. The Corporation shall establish Position

Statements to guide the organization (hereinafter “Position Statements”).

8.2.1 Adoption. The Position Statements shall be developed by the Board of

Directors, through the Policy and Positions Committee, utilizing a process that provides

substantial opportunity for input and participation by Chapters of The Arc. So

developed, the Position Statements shall be presented by the Policy and Positions

Committee to the Board of Directors for its approval. The Position Statements as

proposed by the Board of Directors, shall be presented to Chapters of The Arc at the

annual meeting or any special meeting called for that purpose. Once adopted, the

Position Statements shall continue to be in existence and of effect until such time as

they are revised or withdrawn. Note 25

8.2.2 Review. Each of the Position Statements shall be reviewed by the Board

of Directors for possible revision no less frequently than every six (6) years. Upon this

review, the Board will notify Chapters whether it intends to initiate a full substantive

review and revision of the Position Statement. Chapters may at any time petition the

Board, by Resolution as described in section 7.5. herein, to require the Board to institute

a Full Substantive Review and Revision of any of the Position Statements.

8.2.3 Full Substantive Review and Revision. The Board of Directors may

institute a substantive review and revision of any of the Position Statements at any time,

and shall institute such a review if required by Resolution adopted by Chapters of The

Arc in the manner described herein. A full substantive review shall utilize a process that

provides substantial opportunity for input and participation by Chapters of The Arc. Any

proposed substantive revision of a Position Statement resulting from such review shall

be proposed for adoption by Chapters of The Arc at the annual meeting or any special

meeting called for that purpose.

8.2.4 Vote. A two-thirds (2/3rds) vote of the members of the Board of Directors

then serving shall be required to advance to Chapters of The Arc a proposal for

adoption or revision of a Position Statement. The adoption, or any revision, of any

Position Statement by the Chapters shall require a vote of two-thirds (2/3rds) of all the

25 Same approach as Core Values. The position statements don’t sunset as they do under current bylaws, but remain in existence until changed. Review is mandatory at six year intervals or may be initiated at request of chapters as needed.

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votes held and entitled to be cast by Chapters of The Arc that are present in person or

by proxy. Note 26

Section 8.3 Federal Public Policy Agenda. The Corporation shall establish a

Federal Public Policy Agenda to guide the organization (hereinafter “Public Policy

Agenda”).

8.3.1 Adoption. The Public Policy Agenda shall be developed by the Board of

Directors, through the Policy and Positions Committee, utilizing a process that provides

substantial opportunity for input and participation by Chapters of The Arc. So

developed, the Public Policy Agenda shall be presented by the Policy and Positions

Committee to the Board of Directors for its approval. The Board of Directors may

approve the Public Policy Agenda provided that it finds that the Public Policy Agenda is

consistent with the Core Values and Position Statements of The Arc. Once adopted,

the Public Policy Agenda shall continue to be in existence and of effect until such time

as they are revised or withdrawn.

8.3.2 Review and Revision. The Public Policy Agenda shall be reviewed and

revised every four (4) years with the review so that the revised agenda is completed in

advance of the start of the next Presidential Administration. Chapters may at any time

petition the Board, by Resolution as described in section 8.5, to request that a specific

policy proposal be included in the Policy Agenda when next revised.

8.3.3 Vote. A majority vote of the members of the Board of Directors then

serving shall be required to adopt the Public Policy Agenda.

Section 8.4 Affiliation Agreement, Chapter Dues Methodology and Chapter Dues

Increases. Note 27 The Corporation shall develop, and may revise from time to time, a

written Affiliation Agreement that further explains and defines the terms and conditions

of affiliation as a state or local chapter of The Arc as described in Article 2 of these

26 Increases from simple majority to two-thirds the votes required at the board level to advance adoption or revision of a position statement to the Chapters, and for approval by Chapters. 27 This section provides additional detail about the process for any changes in the financial and other terms of affiliation.

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Bylaws. The terms and conditions set forth in the Affiliation Agreement may not be

inconsistent with the provisions set forth in Article 2. The Corporation shall also

develop, and may revise from time to time, a Chapter Dues Methodology, such as

whether dues are based on population, total revenue or some other determining factor,

and the structure of the tiers in the dues schedule.

8.4.1 Adoption and Revision. The Affiliation Agreement and Chapter Dues

Methodology shall be developed, and may be revised, by the Board of Directors utilizing

a process that provides substantial opportunity for input and participation by Chapters of

The Arc.

8.4.1.1 The Affiliation Agreement as adopted by the Board of Directors, or

as revised, shall be presented for approval by Chapters of The Arc at the annual

meeting or any special meeting called for that purpose.

8.4.1.2 Any change in the Chapter Dues Methodology on or after the date

of adoption of these Bylaws, as adopted by the Board of Directors, shall be presented

for approval by Chapters of The Arc at the annual meeting or any special meeting called

for that purpose.

8.4.1.3 The amount of the Chapter Dues may be revised from time to time

by the Board of Directors in a manner that affects all Chapters in equal proportion (an

“across the board increase”) taking into account Note 28 the needs of the Corporation,

changes in the costs of doing business as measured by the Producer Price Index for

Total Traditional Service Industries published by the United States Department of

Commerce, Bureau of Labor Statistics, Note 29 or similar authoritative source

(hereinafter “the Index percent” or “I%”), and the financial climate in which Chapters of

The Arc are operating. An across the board increase may be applied to state chapters,

local chapters, or both.

8.4.1.4 Chapters of The Arc shall be provided with at least ninety (90)

days notice, and an opportunity to provide input, in advance of the Board of Directors

28 This provision identifies the factors that must be considered by the Board in evaluating any dues increase. The current bylaws do not provide this guidance. 29 The Producer Price Index (PPI) replaces a reference in current version of bylaws to the Consumer Price Index (CPI). The PPI is a more appropriate index

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voting on an across the board increase. In addition, Chapters shall be provided with at

least ninety (90) days notice of any increase in the Chapter Dues that has been

approved by the Board of Directors in advance of the membership year to which the

increased dues amount will relate.

8.4.1.5 An across the board increase in excess of the Index percent (I%)

plus three percent (3%) per year, Note 30 compounded, proposed by the Board of

Directors shall only be effective upon approval of Chapters of The Arc at the annual

meeting or any special meeting called for that purpose.

8.4.2. Vote A two-thirds (2/3rds) vote of the members of the Board of Directors

then serving shall be required to advance to Chapters of The Arc a proposal for

adoption or revision of the Affiliation Agreement or the Chapter Dues Methodology. The

adoption, or any revision, of the Affiliation Agreement or Chapter Dues Methodology by

the Chapters shall require a vote of two-thirds (2/3rds) Note 31 of all the votes held and

entitled to be cast by Chapters of The Arc that are present in person or by proxy.

Adoption of an across the board dues increase by a percentage exceeding the limits set

forth in section 8.4.1.4 shall require a vote of a majority of all the votes held and entitled

to be cast by Chapters of The Arc that are present in person or by proxy.

Section 8.5 Resolutions. Note 32 A Resolution may be proposed to direct the

Corporation to consider or take actions that are in furtherance of the purpose of the

Corporation and not inconsistent with the Core Values and Guiding Principles, Position

Statements and Federal Public Policy Agenda.

8.5.1 Purpose of Resolution. A Resolution may be proposed for any of the

following purposes:

8.5.1.1 to request that the Board of Directors initiate a full substantive

for service organizations. 30 Current bylaws provide for dues increases without further approval by chapters based on CPI. This version allows more flexibility, requires consideration of multiple factors, and limits increases to PPI plus 3%. 31 Increases vote required from simple majority to two-thirds. 32 Clarifies the purposes for which resolutions have commonly been, and should be, used in the future.

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review and revision of the Core Values and Guiding Principles, as described in section

8.1.3 herein;

8.5.1.2 to request that the Board of Directors initiate a full substantive

review and revision of a Position Statement, as described in section 8.2.3 herein, or to

request that the Board of Directors consider the adoption of a new Position Statement;

8.5.1.3 to request that a specific policy proposal be considered for

inclusion, or that another change be made, in the Federal Public Policy Agenda, as

described in section 8.3.3 herein;

8.5.1.4 to request that the Board of Directors consider a change in the

terms of the affiliation agreement or in the Chapter dues structure;

8.5.1.5 to communicate to the Board of Directors the opinions, beliefs or

desires of Chapters of The Arc on issues and concerns of people with I/DD and their

families or on matters relating to the governance, management and operations of the

Corporation;

8.5.1.6 to provide the Board of Directors and the Corporation with

guidance, advice and counsel regarding any other matter that is germane to the

purpose of the Corporation.

8.5.2 Limitation on Use. A Resolution may not be used to circumvent any of the

other procedures described in these Bylaws.

8.5.3 Process for Proposal of Resolutions. A Resolution may be proposed upon

the request of three- percent (3%) of the chapters in good-standing, including at least

three (3) State Chapters. Note 33

8.5.3.1 The proposed Resolution shall be delivered to the Secretary of the

Corporation, or the Secretary’s designee, no later than one-hundred twenty (120) days

in advance of the annual meeting of the Corporation.

33 Under current version of Bylaws a resolution may be proposed by a single chapter, or by a single board member, causing the organization to expend substantial time and effort in the process of reviewing the proposal and arranging for consideration by the chapters. This provision, in keeping with good organizational governance practices, requires there to be some agreement at the board level, or among a small group of chapters, in order for a proposal to proceed through the full process.

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8.5.3.2 The Board of Directors will review the proposed Resolution and

determine if it meets the requirements of section 8.5 thru 8.5.3 herein. If so, the Board

of Directors will refer the Resolution for consideration by Chapters of The Arc at the

annual meeting. The Board of Directors will provide its recommendation in favor, or in

opposition to, adoption of the proposed Resolution.

8.5.4 Vote. Adoption of the Resolution by the Chapters shall require a vote of a

majority of all the votes held and entitled to be cast by Chapters of The Arc that are

present in person or by proxy.

ARTICLE 9 General Provisions

Section 9.1 Duality of Interest.

Any board member, officer, employee, or committee member having an interest

in a contract or other transaction or determination presented to the Board of Directors or

a committee of the Corporation for recommendation, authorization, approval or

ratification shall give prompt, full and frank disclosure of his or her interest to the Board

of Directors or committee prior to its acting on such contract or transaction. The body to

which such disclosure is made shall thereupon determine, by majority vote, whether the

disclosure shows that a conflict of interest exists or can reasonably be construed to

exist. If a conflict is deemed to exist, such person shall not vote on, nor use his or her

personal influence on, nor participate (other than to present factual information or to

respond to questions) in the discussions or deliberations with respect to such contract,

transaction or determination. Such person may not be counted in determining the

existence of a quorum at any meeting where the contract, transaction, or determination

is under discussion or is being voted upon. The minutes of the meeting shall reflect the

disclosure made, the vote thereon and, where applicable, the abstention from voting

and participation, and whether a quorum was present.

Section 9.2 Indemnification and Exoneration.

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9.2.1 Indemnification. The Corporation shall indemnify its directors and officers

to the fullest extent permitted by Maryland statutory or decisional law, as amended or

interpreted, including the advancement of related expenses, upon a determination by

the Board of Directors or independent legal counsel appointed by the Board of Directors

(who may be regular counsel for the Corporation) made in accordance with applicable

statutory standards; provided, however, such indemnification shall only be to the extent

permitted of organizations which are exempt from Federal income tax under section

501(c)(3) of the Internal Revenue Code of 1986 (or corresponding provisions of any

future United States Internal Revenue Law).

9.2.2 Exoneration. To the fullest extent permitted by Maryland statutory or

decisional law, as amended or interpreted, no director or officer of this Corporation shall

be personally liable to the Corporation or its Members for money damages; provided,

however, that the foregoing limitation of director and officer liability shall only be to the

extent permitted of organizations which are exempt from Federal income tax under

Section 501(c)(3) of the Internal Revenue Code of 1986 (or the corresponding

provisions of any future United States Internal Revenue Law). No amendment of the

Articles of Incorporation or repeal of any of its provisions shall limit or eliminate the

benefits provided to directors and officers under this provision with respect to any act or

omission which occurred prior to such amendment or repeal.

Section 9.3 Insurance. The Corporation shall have the power to purchase and

maintain insurance on behalf of any person who is or was a director, officer, employee

or agent of the Corporation, or who, while a director, officer, employee or agent of the

Corporation is or was serving any other entity at the request of the Corporation, and in

any capacity, against any liability, asserted against and incurred by such person in any

such capacity or arising out of such person's position, whether or not the Corporation

would have the power to indemnify him or her against such liability under the provisions

of this Article.

Section 9.4 Employee Benefit Plans. For purposes of this section 9.4: the

Corporation shall be deemed to have requested a director or officer to serve an

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employee benefit or welfare plan where the performance of the director's or officer's

duties to the Corporation also imposes duties on, or otherwise involves services by, the

officer or director to the plan or beneficiaries of the plan; excise taxes assessed on a

director or officer with respect to an employee benefit or welfare plan pursuant to

applicable law shall be deemed fines; and action taken or omitted by the director or

officer with respect to an employee benefit or welfare plan in the performance of the

director's or officer's duties for a purpose reasonably believed by the director or officer

to be in the interest of the participants and beneficiaries of the plan shall be deemed to

be for a purpose which is not opposed to the best interest of the Corporation.

Section 9.5 Miscellaneous Provisions. Except to the extent prohibited by law,

the indemnification provided by this Article shall not be deemed exclusive of any other

rights to which a person seeking indemnification may be entitled under the Articles of

Incorporation, and Bylaw, agreement, vote of disinterested directors or otherwise, both

as to action in his or her official capacity and as to action in any other capacity while

holding office, and shall continue as to a person who has ceased to be a director or

officer, employee or agent of the Corporation and shall inure to the benefit of the heirs,

executors, administrators of such persons.

Section 9.6 Inspection of Corporate Records. These bylaws, the membership

roster, the minutes or proceedings of the Members of the Corporation, of the Board of

Directors and of the Committees shall be open to inspection no later than (10) days

after receipt of a written request, addressed to the President or the Secretary of the

Corporation by any Member of the Corporation for any purpose reasonably related to its

interests as a Member. Such records also shall be made available for the same

purpose at any Board of Directors meeting when requested by at least three (3) of the

Board of Directors. Inspection may be made in person or by an authorized agent or

attorney and inspection includes the right to make extracts at the Chapter's expense.

Section 9.7 Signature Authority. All checks, notes, acceptances, and orders for

payment of money shall be signed by the Chief Executive Officer of the Corporation, by

any two of the President, Vice President, Secretary, or Treasurer, or other agents of the

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Corporation designated by the Board of Directors. All contracts, leases and deeds of

any kind shall be signed by the Chief Executive Officer of the Corporation, the

President, the Vice President or any other agent of the Corporation designated by the

Board of Directors.

Section 9.8 Seal. The Seal of the Corporation shall be circular in form with the

words "THE ARC OF THE UNITED STATES, INC."

Section 9.9 Dissolution. All assets of the Corporation in the event of dissolution

shall be distributed among the Chapters in proportion to the Chapter Dues paid by the

Chapters in proceeding three (3) years, provided, however, that no distribution shall be

made to any organization which does not then currently enjoy tax-exempt status under

Section 501 (c)(3) of the Internal Revenue Code of 1986, as amended, or successor

provisions.

Section 9.10 Non-Discrimination. The organizations, officers, directors,

employees and persons served by this Corporation shall be selected in a non-

discriminatory manner with respect to age, sex, race, color, national origin, and political

or religious opinion or affiliation.

ARTICLE 10. Bylaws Amendments.

Section 10.1 By Whom Made. A proposal to amend the Bylaws of the

Corporation may be made by vote of at least two-thirds of the members of the Board of

Directors Note 34 then serving or upon the request of no less than ten-percent (10%) of

Chapters of The Arc, including three (3) state chapters. Note 35

34 Increases from simple majority to two-thirds the vote required by the Board to move a proposed bylaws amendment forward for consideration by the Chapters. 35 Under current version of Bylaws an amendment may be proposed by a single chapter or a single board member causing the organization to expend substantial time and effort in the process of reviewing the proposal and arranging for consideration by the chapters. This provision, in keeping with good organizational governance practices, requires there to be agreement on

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Section 10.2 Process for Consideration. A proposed amendment to the bylaws

that meets the requirements set forth in section 10.1 herein shall be presented for

consideration by Chapters of The Arc at the annual meeting of the Corporation or at a

special meeting called for that purpose. In order to be considered at the annual

meeting, the proposal must have been received by the Secretary of the Corporation at

least one hundred twenty (120) days in advance of the annual meeting.

Section 10.3 Board Recommendation. A proposed amendment to the bylaws

that has been requested by Chapters, as described in section 10.1 herein, shall be

presented for consideration by Chapters of The Arc accompanied by a recommendation

of the Board of Directors either in support of, or in opposition to, the proposed

amendment.

Section 10.4 Vote. Adoption by Chapters of The Arc of amendments to the

Bylaws shall require a vote of two-thirds (2/3rds) of all the votes held and entitled to be

cast by Chapters of The Arc that are present in person or by proxy.

the Board or among a small group of chapters in order for a proposal to proceed through the full process.

Committee on the Future DRAFT –  12/23/11 – Disseminated for chapter comment.    NOTE:  CHANGES FROM THE EXISTING AFFILIATION AGREEMENT THAT ARE SUBSTANTIVE IN NATURE, AND ADDITIONAL EXPLANATORY INFORMATION, ARE INDICATED BY FOOTNOTES IN THIS DOCUMENT.  THE NEW AFFILIATION AGREEMENT, ONCE ADOPTED, WILL REPLACE THE EXISTING AGREEMENT.  FOR COMPARISON, A COPY OF THE EXISTING AFFILIATION AGREEMENT IS AVAILABLE ON THE ARC’S WEBSITE AT:  http://www.thearc.org/document.doc?id=3003  (you must be logged in to access this document).     =====================================================================================  

 

  

CHAPTER AFFILIATION ENROLLMENT AND RENEWAL FORM 

  

Please complete the following information.   1. Application Type  (Please check one)    ___  Initial application for affiliation    ___ Reaffiliation application    ___  Renewal application for affiliation   2.  Chapter Type  (Please check one)    ___ State Chapter    ___ Local Chapter 

 3.   Corporate Information 

 Legal Name:  ___________________________________________________________________  Business Address:    ____________________________________________________________        ____________________________________________________________  Telephone:    ____________________________________________________________  Website URL:    ____________________________________________________________ 

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 Facebook site:   ____________________________________________________________  Twitter:    ____________________________________________________________  YouTube:    ____________________________________________________________  Federal Tax ID #:  ____________________________________________________________   (a)  Please list here any other business names, or trade names, under which you conduct 

business:     

(b) Please list here the names and addresses of any other related entities, including but not limited to parent corporations, subsidiary corporations, fundraising or supporting organizations, property holding companies, regardless of whether nonprofit or for‐profit.  For each entity, please provide:  (i) legal name, (ii) business address (iii) Website URL if different than main website and (iv) short description of purpose of entity. 

    (c) Generally, the corporation listed in response to question #3 and the related entities listed in 

subsection (b) are considered a single Chapter of The Arc.   However, an organization may request that each entity be enrolled as a separate chapter in exceptional circumstances.  Is there any reason why you would like to have each entity treated as a separate chapter of The Arc?   Please check one:     _____ Yes  _____ No  If you answered YES, please explain:     

4.   Leadership Information  

Board President’s Name:  _________________________________________________________  Home Address:    ____________________________________________________________        ____________________________________________________________ 

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 Preferred Telephone: ____________________________________________________________  Preferred Email:    ____________________________________________________________ 

  

  Chief Executive’s Name:  _________________________________________________________  Business Address:    ____________________________________________________________        ____________________________________________________________  Preferred Telephone: ____________________________________________________________  Preferred Email:    ____________________________________________________________    5. Qualifying Information 

 Please provide the following information regarding the organization listed in section 3, above: 

 (a) Tax‐Status  (check one) 

___ The organization has been recognized by the Internal Revenue Service as exempt from taxation under section 501(c)(3) of the Internal Revenue Code.  ___ The organization has applied to the Internal Revenue Service for recognition as exempt from taxation under section 501(c)(3) of the Internal Revenue Code.  

(b) Note 1  In order to qualify to be a Chapter of The Arc a nonprofit organization must meaningfully involve parents and family members of people with intellectual and developmental disabilities (I/DD) and people with I/DD in the governance, management and operations of the organization.  There is no single method of meeting this requirement, nor is there a single required governance structure.  An organization is deemed to meet this requirement if either (1) or (2), below, is answered YES.  Otherwise, all relevant facts and circumstances are considered to determine if the organization meets this requirement.  Please complete the following:   

                                                            1 This section collects additional information to show whether the applicant meets the requirements set forth in section 2.2.3 of the new version of the bylaws.  

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 1.  Are the majority of the members of the organization’s Board of Directors parents or 

other family members of people with I/DD, or people with I/DD?  (Check one)     _____ YES  _____ NO 

 2. Are the majority of the full‐time management staff of the organization parents or other 

family members of people with I/DD, or people with I/DD?  (Check one)        _____ YES  _____ NO  

 If you answered NO to both 1 and 2, above, please describe other ways in which people with I/DD and their family members are meaningfully involved in the governance, management and operations of your organization:  (Briefly describe here)         

(c) For new chapters:   Note 2   Are ALL or SUBSTANTIALLY ALL of the programs, services and supports provided by your organization delivered in settings that segregate people with I/DD from people without disabilities?  (Check One)     _____  YES    _____  NO  If you answered YES, do you have a plan to move toward an approach to programs, services and supports that will integrate people with I/DD more fully into the larger community?      _____  YES    _____  NO  Briefly describe your plans.        

                                                            2  This section allows for collecting information that will allow for screening and a judgment to be made about whether an organization is a good fit to be part of The Arc. 

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(d) As further described in the Standard Terms and Conditions, in order to qualify to as a Chapter of The Arc a nonprofit organization must offer individuals the opportunity to be a “member of The Arc” at the national, state and local levels.  A membership that originates at one level of The Arc must be recognized at all levels of The  Arc.  However each chapter is free to determine what rights, if any, a member may have with respect to their particular organization.  Membership may be “voting” or “non‐voting.”  Members need not play a formal role in the governance of a chapter, although it is permissible if they do so.   Please describe in the space provided the current categories of membership that your organization offers, or intends to offer, and the membership fees applicable to each.  Membership Category            Fees        

6. Certification  The undersigned organization hereby certifies as follows:  (a) We have reviewed and understand the content of the following documents which have 

been provided to us electronically or by link to The Arc’s website: i. Bylaws of The Arc of the United States, Inc. ii. Core Values and Guiding Principles iii. Position Statements iv. Federal Public Policy Agenda and Biennial Legislative Agenda.   

  

(b) We have reviewed our current operations and believe that our actual operations are consistent with the Core Values and Guiding Principles and Position Statements of The Arc.  

(c) We have reviewed and understand the content of the Standard Terms and Conditions for Affiliation, attached hereto as Exhibit A  

(d) For Organizations Applying to be a Local Chapter of The Arc.  We have obtained the consent from [INSERT NAME OF STATE CHAPTER HERE].  Please attach a copy of a letter indicating that the consent was obtained, or complete the following: 

 The consent was provided by:  [INSERT NAME AND TITLE OF STATE CHAPTER OFFICIAL] on [INSERT DATE].  

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(e) For Organizations Applying to be a State Chapter of The Arc.  We have the support of a majority of the local chapters in [INSERT STATE].  Please attach a copy of letters of support, or complete the following:   

 Local Chapter Name  Name & Title of Chapter Official  Date Consent Obtained       

(f) We have been provided a copy of the Affiliation Dues Schedule that is currently in effect and understand that dues apply to the calendar year and are due and payable by June 30th of each year unless other payment arrangements have been made.  We further understand that The Arc is willing to enter into a payment plan that allows for dues to be paid in monthly or quarterly installments. 

  

 The undersigned Organization, identified in section 3 above, hereby certifies that the information 

contained on this Chapter Affiliation Enrollment and Renewal Form is accurate to the best of our 

knowledge, information and belief and that the  Organization’s Board of Directors has authorized and 

approved it to become an affiliated Chapter of The Arc. 

 [NAME OF ORGANIZATION] By:    ___________________________________  _________________________________________ Board President/Chairman      Chief Executive Officer/Executive Director   __________________________________ Date    

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 EXHIBIT A 

CHAPTER AFFILIATION AGREEMENT  STANDARD TERMS AND CONDITIONS 

 This Chapter Affiliation Agreement, consisting of the Chapter Affiliation Enrollment and Renewal  Form, these Standard Terms & Conditions and the Qualification to be a Chapter set forth in the Bylaws of The Arc of the United States, Inc.  (collectively, the "Agreement") is entered into as of this ___ day of _________, 20__ (the “Effective Date”) by and between The Arc of the United States, Inc., a nonprofit corporation incorporated under the laws of Maryland with offices located at 1825 K St. NW Ste 1200, Washington, DC, 20006 (“The Arc” ) and [chapter name], a nonprofit corporation organized under the laws of [State] [insert additional names of related entities to be covered under agreement here] with offices located at [Business Address]” (“Chapter” or “Short Chapter Name”) (The Arc and Chapter are sometimes each referred to as a “Party” and collectively as the “Parties”) 

WHEREAS, The Arc is national nonprofit organization that organizes, leads and supports a nationwide federation of nonprofit, charitable organizations committed to protect and promote the human rights of people with intellectual and developmental disabilities (“I/DD”), and to provide supports and services that assist them to be included and fully participate in all aspects of community life throughout their lifetimes; 

WHEREAS, the federation includes The Arc, as a national organization, and affiliated state and local chapters of The Arc throughout the United States as defined in the Bylaws of The Arc as currently exist and as may be revised from time to time pursuant to the procedures set forth therein (“Bylaws”); 

WHEREAS, [short chapter name] is has requested to enroll, or re‐enroll, as an affiliated [select one: state/local] chapter of The Arc enjoying all the benefits and fulfilling all of the responsibilities incident thereto; and 

WHEREAS, The Arc is willing for [short chapter name] to be an affiliated [select one:  state/local] chapter of The Arc US on the terms and conditions set forth in the Bylaws and this Agreement. 

NOW, THEREFORE, in consideration of the mutual promises, covenants and conditions contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 

 I. Term and Termination.  

 The Term of this Agreement shall commence on the effective date set forth above and shall continue until revoked by The Arc or surrendered by Chapter pursuant to the terms of this Agreement for revocation and surrender.    

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II. Obligations of The Arc Note 3 

The Arc’s obligations under this Agreement are to conduct its affairs in accordance with the terms of The Arc’s Articles of Incorporation, Bylaws, Core Values and Guiding Principles, Position Statements and Public Policy Agenda.  Consistent with available resources, The Arc shall engage in those activities that are typically the business of a national headquarters of a strong federation of nonprofit charitable organizations, including but not limited to:  federal public policy advocacy, public education, brand management and marketing, fundraising, research, program development, chapter development and support, professional and volunteer development and support, research and knowledge development, and coordinating and supporting state public policy advocacy.   The Arc shall make its best efforts consistent with available resources to advance the mission and vision, goals and strategies set forth in the Strategic Framework for the Future of The Arc, 2010 – 2019, or any future strategic plan.  In addition to the specific procedures and requirements set forth in the Bylaws, The Arc shall actively involve Chapters in the development of any future strategic plan for the organization and in otherwise providing guidance and direction for the future of the organization.   In addition, The Arc’s obligations under this Agreement include the following:  A. Reporting of Membership Information.  Annually, The Arc will provide each Chapter with a 

list of the names and contact information, including postal mail and email addresses, and telephone numbers of individual members of The Arc who joined the national organization directly and who are in the particular chapter’s geographic area (“national membership list”), which information shall be used by Chapters solely for the following purposes:   1. to communicate with members regarding public policy developments, including 

requesting their involvement in advocacy; 2. to provide them with general information and updates about the work of the 

particular Chapter of The Arc, including periodic electronic and print newsletters; and 3. to determine the number of votes Chapter is entitled to pursuant to the Bylaws.   Any additional use of the national membership list will be subject to the terms of a separate Member Data Sharing Agreement between The Arc and a Chapter.   Note 4  

B. Membership Database and Processing.  The Arc will maintain a database system for tracking the names and contact information, including regular mail and email addresses and telephone number, of all individual members of The Arc, regardless of whether they joined The Arc at the national, state or local level.  Membership information provided by Chapters, including updates thereto, will be maintained in the database, with access provided to Chapters no less frequently than annually of the specific membership records pertaining to the particular Chapter as needed for database management and other business purposes of 

                                                            3 This is a new statement that more accurately reflects the roles and responsibilities of the national organization. 4 This describes a new commitment by The Arc to provide information on national members to state and local chapters and specifies the uses for such information.  The referenced Member Data Sharing Agreement will provide chapters and the national organization with additional options for sharing and use of this data. 

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Chapter.  The Arc may provide enhanced database and membership management services at additional cost.   Any additional use of membership lists will be subject to the terms of a separate Member Data Sharing Agreement between The Arc and Chapter.  

  III.  Obligations of Chapter. 

 Chapter’s obligations under this Agreement are to conduct its affairs consistent with terms and conditions set forth for state or local chapters, as applicable, under the Bylaws of The Arc of the United States, Inc.  In addition, Chapter’s obligations under this Agreement include the following:  A. Corporate and Tax Status. Chapter shall at all times be in good standing as a nonprofit 

corporation that is exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code.  

B. Corporate Governance.  Chapter will conduct its activities in accordance with the terms of Chapter’s Articles of Incorporation, Bylaws and governance policies as exist or may be revised from time to time.   

 C. Compliance with Laws. Chapter warrants that it is in full compliance with all 

applicable laws, regulations and other legal standards that may affect its performance under this Agreement, and shall remain in full compliance with, and otherwise conduct its activities at all times in accordance with, all applicable laws, regulations and other legal standards.  Further, Chapter warrants that it has and shall maintain at all times all permits, licenses and other governmental approvals that may be required in connection with its operations, including maintaining any required state or local registrations as are applicable to charitable solicitations in the relevant jurisdiction.    Furthermore, Chapter warrants that it shall make all required filings, such as annual corporate reports and tax filings that may affect its corporate or tax status.  

D. Recordkeeping, Reporting and Inspection.  Note 5 

 1. Chapter shall maintain all records related to its corporate and tax‐exempt status and 

shall forward to The Arc, upon request, copies of its Articles of Incorporation, Bylaws and tax exemption determination letter from the Internal Revenue Service.   

                                                            5 The document eliminates the requirement that chapters annually submit audited financial statements, bylaws changes, or other information that is not used in favor of an approach that requires information only as needed.  Sections 1 – 9 specify circumstances under which specific information may be requested or information must be provided in order to adequately monitor and enforce the conditions of chapter affiliation. 

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2. Chapter shall maintain reasonable records related to all of its programs, activities and operations, including financial statements.  Upon the written request of The Arc Chapter shall provide The Arc with copies of its audited financial statements (including management letter, if any) or, if no audited statements are available, its unaudited statements.  Upon the written request of The Arc and at The Arc’s expense, Chapter shall permit The Arc or The Arc’s designated agent to review appropriate records of Chapter pertaining to its programs, activities and operations as necessary and appropriate to determine whether Chapter continues to meet the requirements of affiliation as a chapter of The Arc.  Alternatively, The Arc shall send to The Arc copies of such records. 

  

3. Chapter shall notify The Arc immediately, and provide periodic updates upon request, of the commencement of any civil or criminal lawsuit or administrative enforcement action, or the receipt of any adverse notice from a governmental agency, which could affect to its rights to conduct business, including but not limited to its corporate status, tax‐exemption, authority to engage in charitable solicitation, licensure to operate programs and services for people with I/DD or qualification to receive Federal funds, including Medicaid and Medicare (hereinafter “business rights”).  An adverse notice shall include any correspondence informing Chapter that it is at risk of loss of its business rights.  

 4. Chapter shall notify The Arc immediately, and provide periodic updates upon request, 

of any death, other than by natural causes, or of any incidents, including alleged abuse or neglect, which resulted in harm to a person who is recipient of programs, services and supports from Chapter and whose death or harm occurred while under the care or supervision of Chapter.  The requirement of notification shall be considered met, for purposes of this paragraph, by providing The Arc a copy of any report which is required to be filed with state regulatory authorities. 

 5. Chapter shall notify The Arc immediately of any actual or alleged financial 

misfeasance, including but not limited to embezzlement or misappropriation of funds, by an officer, director or employee of Chapter, and shall provide periodic updates upon request. 

 6. Chapter shall notify The Arc immediately  in the event of bankruptcy or financial 

insolvency.    

7. Chapter shall notify the Arc immediately of any unfavorable news coverage that has the potential to harm the reputation of The Arc and its state and local chapters.   

 

8. Chapter shall respond to reasonable requests for information regarding complaints received by The Arc from members of the public and/or unfavorable news coverage 

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that has the potential to harm the reputation of The Arc and its state and local chapters.   

 9. Any notification made to The Arc pursuant to this section D shall also simultaneously 

be made to the applicable State Chapter of The Arc, if any.  

E. Affiliation Dues.  Chapter shall pay affiliate dues in the amount set forth in the dues scheduled and determined by the Board of Directors. 

 F. Reporting of Chapter Information.  Chapter shall submit to The Arc, no less than once per 

year, a list of the names titles and contact information, including both postal mail and email addresses, of the following categories of individuals: 

 1. Corporate officers, 2. Board members, 3. Chief Executive Officer or Executive Director, 4. Key Employees as required to be reported on the IRS Form 990. 

 G. Reporting of Membership Information.  Chapter shall submit to The Arc, no less than once 

per year, a list of the names and contact information, including regular mail and email addresses, and telephone numbers of the members of Chapter (“membership list”), which information shall be used by The Arc solely for the following purposes.   

1. to determine the number of votes Chapter is entitled to pursuant to the Bylaws, 2. to communicate with members regarding public policy developments, including 

requesting their involvement in advocacy; and 3. to provide them with general information and updates about the work of The Arc, 

including periodic electronic and print newsletters.   Note 6 Any additional use of the membership list will be subject to the terms of a separate Member Data Sharing Agreement between The Arc and Chapter.  Nothing in this paragraph is intended to limit in any way The Arc’s communication with a person who is a board member or staff member of a chapter, or with a person or entity whose name and contact information was obtained directly by The Arc.   

 H. Commitment to Core Values.  Chapter pledges to uphold the Core Values and Guiding 

Principles of The Arc, as they exist and may be revised from time to time (all of which are incorporated by reference herein).  

I. Programs and Activities. Chapter shall endeavor to conduct its programs and activities in a manner that furthers the purposes and objectives of The Arc and is consistent with the Core 

                                                            6 This section codifies the existing practice under which chapter provided membership information is used for only the limited purposes specified.  The envisioned Member Data Sharing Agreement will provide other options for a greater level of sharing and use of such information. 

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Values and Guiding Principles and Position Statements.  Chapter shall use its best efforts to ensure that such programs and activities are of the highest quality and are consistent with the Core Values and Guiding Principles and Position Statements of The Arc.   

 J. Advocacy Efforts.  A state chapter shall endeavor to conduct public policy advocacy and 

public education consistent with the purposes and objectives of The Arc and to the fullest extent possible given available resources.   A local chapter shall endeavor to conduct public policy advocacy, individual advocacy and public education consistent with the purposes and objectives of the Arc and to the extent possible given available resources.   In performing these functions, Chapter shall work with The Arc in order to ensure national consistency in these efforts. 

 K. State Chapter Affiliation.  A local chapter of The Arc must at all times maintain affiliation 

with applicable state chapter, if any.  

L. Identifying National Affiliation.  Subject to the further requirements set forth in section V herein, a Chapter of The Arc must prominently identify itself to the public as an part of The Arc by either:    1. using the “The Arc” brand identity as its sole and exclusive business trade name and identity, with geographic or other chapter specific identification; or  2. for entities that use a business trade name that does not include the include any of The Arc’s trademarks, include The Arc’s “affiliated chapter” logo. 

 IV. Individual and Associate Membership in The Arc     Note 7 

 A. Individual Memberships 

1.  An individual may become a “member” of The Arc by joining at any level of the organization (i.e. national, state and local).  A “member” is someone who supports the purposes of The Arc and pays dues.   However, a chapter may elect to waive the dues requirement. 

2. Chapter shall provide individuals the opportunity to become a “member” of The Arc, which includes membership at all levels of the organization (i.e. national, state and local). 

3. An individual “member” of The Arc is not a corporate member of The Arc of the United States, Inc. and has no voting or other right to participate in the governance of The Arc of the United States, Inc.  An individual “member” of The Arc has such membership rights and privileges at the state and local level as are conferred by the applicable state and local chapters. 

4. State chapters, local chapters and The Arc may determine the types of membership to offer (e.g. individual, family) and whether to automatically confer membership status 

                                                            7 This is all new and builds on the description of membership in section 2.2.7 of the proposed Bylaws providing the additional detail needed. 

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on different classes of persons (e.g. donors, employees, volunteers, service recipients, public officials, etc.) and the dues applicable.   

 B. Associate Members 

1. As part of its fundraising program, a Chapter may establish and offer one or more categories of “associate membership” for persons or entities that support the purposes of the corporation including, but not necessarily limited to, the following categories:  (a) Business 

i. Consultants/Sole Proprietors  ii. Small Business iii. Larger Business 

(b) Government Agencies (c) Academic faculty, departments, researchers  (d) Self Advocacy Groups   (e) Other Nonprofits  

 2. A Self‐Advocacy group or other nonprofit that serves people with I/DD should first be 

offered the opportunity and encouraged to become a Chapter of The Arc and should only be allowed to sign on as an associate member if it does not meet the qualification to be a chapter of The Arc or specifically chooses not to do so.  

3. A Chapter shall not represent or imply that an Associate Member is a Chapter of The Arc and shall not authorize or allow an Associate member to represent itself to be a chapter of The Arc or use other language suggestive of a similar relationship.  On Chapter’s website or other marketing and promotional efforts, an associate member shall be publicly identified using language such as “supporter” or similar terms.   An Associate Member may not be allowed to use or display The Arc’s name or logo in its own website or any of its promotional materials, other than to identify itself as a “supporter” of or “donor” to Chapter. 

 4. Associate membership is specific to Chapter from which the membership was 

obtained and does not confer associate membership at any other level of The Arc.    An associate member is not a corporate member of The Arc of the United States, Inc. and has no voting or other right to participate in the governance of The Arc of the United States, Inc.  In addition, Associate Members are not counted for purposes of determining the number of votes held by Chapter.  An individual, company or organization that would like to be an associate member at multiple levels of The Arc, or of multiple chapters at the state or local level, is required to join each chapter separately.    

 5. The Arc, state chapters and local chapters will collaborate in sharing associate 

membership information and in encouraging associate members to support The Arc at the national, state and local level.  The sharing of associate membership lists will be 

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subject to the terms of a separate Member Data Sharing Agreement between The Arc and Chapter.   

 V. Use of Trademarks, Intellectual Property and Confidential Information. 

 A. Brand Identity.  Chapter understands that this Agreement does not grant authority to 

Chapter to use the trademarks, name, symbols and other markings of which The Arc is the legal and beneficial owner (“Trademarks”) and that such usage is subject to the terms of to the separate Chapter Trademark Licensing Agreement or Affiliated Chapter Trademark Licensing Agreement.  

 B. Other Intellectual Property.  Chapter is hereby granted a limited, revocable, non‐exclusive 

license to use all copyrighted or proprietary information and materials provided by The Arc to Chapter during the Term of this Agreement (“Intellectual Property”) for official chapter‐related purposes, subject to the following: 1. The Intellectual Property must be used by Chapter in a professional manner and solely 

for the purposes for which the Intellectual Property was provided to Chapter by The Arc.    

2. The Intellectual Property is and shall remain at all times the sole and exclusive property of The Arc.   

3. Chapter shall not permit any third party to use the Intellectual Property without The Arc's express prior written approval.  

4. The Intellectual Property may not be used in any manner that violates any law, regulation or other public policy. 

5. Chapter ensures that the applicable copyright notices are used pursuant to the requirements of United States law, the laws of the Territory, and any other guidelines that The Arc may prescribe. 

  VI. Relationship of Parties.   

 The relationship of The Arc and Chapter to each other is that of independent contractors. Nothing herein shall create any association, joint venture, partnership, or agency relationship of any kind between the parties. Unless expressly agreed to in writing by the parties, neither party is authorized to incur any liability, obligation or expense on behalf of the other, to use the other's monetary credit in conducting any activities under this Agreement, or to represent to any third party that Chapter is an agent of The Arc.  

VII. Indemnification.    Chapter shall indemnify, save and hold harmless The Arc its subsidiaries, affiliates, related entities, partners, agents, officers, directors, employees, members, shareholders, attorneys, heirs, successors, and assigns, and each of them, from and against any and all claims, actions, suits, demands, losses, damages, judgments, settlements, costs and expenses 

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(including reasonable attorneys' fees and expenses), and liabilities of every kind and character whatsoever (a "Claim"), which may arise by reason of (i) any act or omission by Chapter or any of its subsidiaries, affiliates, related entities, partners, officers, directors, employees, members, shareholders or agents, or (ii) the inaccuracy or breach of any of the covenants, representations and warranties made by Chapter in this Agreement.    

 The Arc shall indemnify, save and hold harmless Chapter its subsidiaries, affiliates, related entities, partners, agents, officers, directors, employees, members, shareholders, attorneys, heirs, successors, and assigns, and each of them, from and against any and all claims, actions, suits, demands, losses, damages, judgments, settlements, costs and expenses (including reasonable attorneys' fees and expenses), and liabilities of every kind and character whatsoever (a "Claim"), which may arise by reason of (i) any act or omission by The Arc or any of its subsidiaries, affiliates, related entities, partners, officers, directors, employees, members, shareholders or agents, or (ii) the inaccuracy or breach of any of the covenants, representations and warranties made by The Arc in this Agreement.   The provisions of this Section shall survive any revocation, surrender or other termination of this Agreement. 

 VIII. Revocation or Surrender of Affiliation.    Note 8 

 A. Revocation of Affiliation. The affiliation granted by The Arc to Chapter hereunder shall 

remain in full force and effect unless and until revoked by The Arc or surrendered by Chapter in accordance with the provisions of this Agreement.  The Arc, through its Board of Directors or designee, shall have the authority to revoke the affiliation of Chapter if the Board of Directors determines that the conduct of Chapter is in breach of any provision of this Agreement.  The following procedures shall apply:   1. Any decision by The Arc to revoke Chapter’s affiliation shall be initiated by sending 

written notice to Chapter specifying the grounds upon which the revocation is based; provided, however, that The Arc shall provide Chapter with sixty (60) days from the date of such notice to cure any alleged breach of this Agreement.    

2. In the event that The Arc determines, in its sole discretion, that Chapter has not corrected the condition leading to The Arc’s decision to revoke Chapter’s affiliation, The Arc shall so notify Chapter in writing.   

3. If the ground for revocation is non‐payment of affiliation fees, the decision is final upon expiration of the sixty day period.   

4. For all other grounds for revocation, The Arc’s decision shall become final unless, within thirty (30) days of its receipt of written notice from The Arc, Chapter delivers to The Arc a written notice to appeal such determination.   

5. Upon the filing of such an appeal notice, Chapter shall have the opportunity to present its case, by written communication or in person, to the Board of Directors of The Arc pursuant to the applicable rules or procedures prescribed by The Arc's Board of Directors.  

                                                            8 This section codifies current practices. 

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6. The decision of The Arc's Board of Directors upon such appeal shall be final and not subject to further appeal. 

 B. Surrender of Affiliation.  Chapter may surrender its affiliation by delivering to The Arc 

written notice of its intention to do so no less than ninety (90) days prior to the effective date of such surrender. 

 IX.   Miscellaneous.  A. Entire Agreement.   Except with respect to the Chapter Trademark Licensing Agreement, 

Affiliated Chapter Licensing Agreement and Chapter Data Sharing Agreement mentioned herein, this Agreement: (i) constitutes the entire agreement between the parties hereto with respect to the subject matter hereof; (ii) supersedes and replaces all prior agreements, oral and written, between the parties relating to the subject matter hereof; and (iii) may be amended only by a written instrument clearly setting forth the amendment(s) and executed by both parties.  

B. Warranties.   Each party covenants, warrants and represents that it shall comply with all laws, regulations and other legal standards applicable to this Agreement, and that it shall exercise due care and act in good faith at all times in performance of its obligations under this Agreement. The provisions of this Section shall survive any revocation, surrender or other termination of this Agreement.  

C.  Waiver.   Either party's waiver of, or failure to exercise, any right provided for in this Agreement shall not be deemed a waiver of any further or future right under this Agreement. 

 D. Governing Law. All questions with respect to the construction of this Agreement or the 

rights and liabilities of the parties hereunder shall be determined in accordance with the laws of the District of Columbia.  Any legal action taken or to be taken by either party regarding this Agreement or the rights and liabilities of parties hereunder shall be brought only before a court of competent jurisdiction located within the District of Columbia.  Each party hereby consents to the jurisdiction of the courts located within the District of Columbia.  

E. Assignment. This Agreement may not be assigned, or the rights granted hereunder transferred or sub‐licensed, by either party without the express prior written consent of the other party. 

 G.  Heirs, Successors and Assigns. This Agreement shall be binding upon and inure to the 

benefit of each party, its subsidiaries, affiliates, related entities, partners, agents, officers, directors, employees, heirs, successors, and assigns, without regard to whether it is expressly acknowledged in any instrument of succession or assignment. 

 

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H.   Headings.  The headings of the various paragraphs hereof are intended solely for the convenience of reference and are not intended for any purpose whatsoever to explain, modify or place any construction upon any of the provisions of this Agreement. 

 I.    Counterparts.  This Agreement may be executed in one (1) or more counterparts, each of 

which shall be deemed an original and all of which taken together shall constitute one and the same instrument. 

 J.    Severability.   All provisions of this Agreement are severable. If any provision or portion 

hereof is determined to be unenforceable in arbitration or by a court of competent jurisdiction, then the remaining portion of the Agreement shall remain in full effect. 

 K.   Force Majeure.  Neither party shall be liable for failure to perform its obligations under 

this Agreement due to events beyond its reasonable control, including, but not limited to, strikes, riots, wars, fire, acts of God, and acts in compliance with any applicable law, regulation or order (whether valid or invalid) of any governmental body. 

 L.   Notice.  All notices and demands of any kind or nature that either party may be required 

or may desire to serve upon the other in connection with this Agreement shall be in writing and may be served personally, by telecopier, by certified mail, or by overnight courier, with constructive receipt deemed to have occurred on the date of the mailing, sending or faxing of such notice, to the following addresses or telecopier numbers: 

 If to The Arc: 

The Arc of the United States 1825 K St NW Ste 1200 Washington, DC  20006 Attn.:  Peter V. Berns, Chief Executive Officer FAX:  202.534.37231 

 If to CHAPTER: 

___________________________________ ___________________________________ ___________________________________ Attn.: ______________, _______________ FAX (___) ______‐___________  

 REMAINDER OF PAGE IS BLANK   

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IN WITNESS WHEREOF, the parties hereto have caused this Chapter Affiliation Agreement to be executed by their respective duly authorized representatives as of the Effective Date.     [NAME OF ORGANIZATION] By:    ___________________________________  _________________________________________ Board President/Chairman      Chief Executive Officer/Executive Director   __________________________________ Date 

 [Add multiple signature blocks as needed for related entities]  The Arc of the United States, Inc. By:    ___________________________________  _________________________________________ Board President/Chairman      Chief Executive Officer/Executive Director   __________________________________ Date