BPPM

A. Mission, Vision, Values, and Strategic Priorities

[approved by the board January 2025]

• Mission: To represent, support, and promote English language programs in the USA.
• Vision Statement: To be the recognized voice of English language programs in the USA.
• Values: Community, Collaboration, Advocacy, Integrity, Professionalism
• Strategic Priorities:
  • Solidify our position as the voice of English language programs
  • Expand and strengthen influence through strategic alliances
  • Provide relevant professional development opportunities
  • Ensure association effectiveness and sustainability

B. Specific Purposes

EnglishUSA is organized as the trade association of English language programs in the United States, and its specific purposes include, but are not limited to the following:

1. promote ethical and professional standards for English language programs.
2. provide a liaison between English language programs and organizations which use their services and those whose actions affect them, including but not limited to U.S. and foreign government agencies, sponsors, admissions officers, and counselors.
3. increase awareness abroad of opportunities for English language study in the United States.
4. encourage a collegial and cooperative spirit within the English language program industry and thereby create an inclusive community through engagement and collaboration, based on integrity and excellence. (Section 2.03 Bylaws)

C. Strategic Plan

Click here for the most recent version of the strategic plan.

D. History

In 1986, an ad-hoc group of IEP directors met in San Antonio concurrently with the NAFSA conference. This group selected a committee to draft a mission statement and goals for a new association. The following year at the NAFSA conference in Long Beach, the group debated the mission statement and goals, elected pro-temporary officers, and appointed a bylaws committee. In 1988 at the NAFSA conference in Washington, D.C., 65 directors from throughout the country, representing both university-governed and independent IEPs, agreed to charter an official organization. In 1989, AAIEP incorporated in Colorado and began publishing a newsletter. In 1990 a set of standards for post-secondary IEPs was adopted.

NCG prepares the following by the 20^th of the subsequent month and forwards to the Executive Director and Treasurer the following:

• Statement of Financial Position
• Statement of Financial Activity (P & L Statement)
• Budget vs. Actuals

C.  Basis of Accounting

EnglishUSA employs the accrual basis of accounting. Under the accrual basis, revenues are recognized in the accounting period in which they become both measurable and available to finance expenses of the fiscal period, i.e., collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenses are recognized in the accounting period in which the liability is incurred. The Association utilizes the same basis of accounting in preparing its program budgets as is used in the accounting system. Budgets are reviewed by the Board at meetings. Equipment with a cost of $500 or more is capitalized and is recorded in the accounting system as fixed assets at cost. Depreciation is computed on a straight-line basis over the estimated useful lives of the property, generally three years.

D.  Form 990

The Finance Committee, followed by the Board of Directors, will review (and sign off that they have reviewed) the Tax Form 990 prepared by an external accountant, prior to submission to the IRS.

E.  Internal Controls Processes

Adopted May 2018 / Amended June 8, 2018

Incoming Payments:

• NCG receives, opens, and distributes mail
• Accounting deposits the checks or records the credit card transaction in QBO
• Association Assistant records the payment in database

Outgoing Payments:

(Invoice payments, ED reimbursements, volunteer reimbursements, etc.)

• Requests for payment of any kind are received by Association Manager (AM) to review for: accuracy, adherence to policy, alignment with budget. AM will either approve or forward:
• Items that require explanation to ED for discussion and approval (e.g., unusual expenses, unexpected charges, items that exceed projected budget line items, etc.) to have written evidence on file
• Board member reimbursement questions/concerns (any expenses that do not correspond with the Travel Guidelines) to the Treasurer (copy ED)
• Refer to Disbursements Policy for additional information on ED discretionary spending / contracts
• AM submits approved payments to accounting, delineating which budget area it will hit
• ED will make a note of any items that required explanation for the Finance Committee
• Board members who submitted reimbursement requests will be emailed notification of receipt
• Payments which are not approved for any reason will be returned to the requestor with rationale
• Accounting will cut the check
• Natalie Nardone reviews the check and all backup (copy of the invoice, etc.) and signs the check
• Accounting mails the check

Monthly Reporting:

• Reports: Balance Sheet Comparative, Reconciliations, P&L Budget v. Actual, P&L Comparative, and P&L Detail
• Sent to AM
• Upon internal review, sent to ED who forwards to Treasurer and Finance Committee for their review, along with any additional explanations that may have arisen

Other Notes:

• ED and Treasurer have read only access to QuickBooks Online
• After each board member reimbursement for travel, the AM will email each board member (copy Treasurer) with his/her remaining ‘balance’
• The Finance Committee meets three times/year to review the status of the budget to assist the Treasurer in preparing reports to the Board

F.  Travel Reimbursement Policy & Guidelines for Board

Adopted: January 19, 2016 / Amended: May 29, 2017 (allotted amount)
Amended: October 3, 2017 (alloted amount) / Amended June 2026 (allotted amount)

Reimbursements are intended to cover the expenses related to the Board meetings. EnglishUSA acknowledges that some institutions/programs may or may not fund all or part of the EnglishUSA events surrounding board meetings. Circumstances for funding vary greatly among programs; general practice is that attending the EnglishUSA events is not compulsory, although Board members receive complimentary registration for the Annual Conference and Professional Development Conferences. Board members, may, however, budget their funding over the year as they best see fit to fulfill their duties as a board member and to attend the events. Board travel expenditures are not reimbursable when that individual board member has exceeded his/her allotted funds. 

1. Travel and meals, along with all EnglishUSA expenses, are funded by our member dues. We are honored to utilize these funds in the furtherance of the EnglishUSA mission.
2. Expenses should be limited to those essential to EnglishUSA business.
3. Board members have agreed to serve with the understanding that they will receive some financial support from EnglishUSA (Candidate Agreement Form), but that the allotted funds are not expected to cover all expenses. Currently, each board member has access to $900 with 1 in-person meeting for reimbursableexpenses for transportation, lodging and meals the day before, the day(s) of, and the day after board meetings/EnglishUSA activities, with the in-person board meeting of the year the day before the Annual Conference. If not all $900 is used, it will be returned to the EnglishUSA budget.

Travel

1. Every effort should be made to book air travel at the most economical rates.
2. Travelers using rental cars should use compact or subcompact sized cars unless several persons will be sharing the car.
3. Every effort should be made to use low-cost ground transportation when possible. Use of public transportation is encouraged but not required.
4. Personal car usage is reimbursable at the current IRS rate. When one chooses to drive to a meeting, reimbursement will be made at the lower of the mileage reimbursement rate or lowest available airfare + airport/hotel/venue parking + mileage to airport + baggage fees + ground transportation from airport to destination. NOTE: A general rule of thumb on comparing driving vs. flying reimbursements = 800 miles round trip.
5. Travelers will be reimbursed for the equivalent of one round trip ticket/trip from the board member’s home city to the venue city of the board meeting. Travelers who do any intermediary personal/professional travel (i.e., take an additional flight to a different city) must submit airfare information that compares the direct route costs and be responsible for any differences in fares.
6. Fines for parking or traffic violations are not reimbursable expenses.

Lodging and Meals

1. Conference/moderately priced hotels should be used. When traveling with a partner, spouse or other(s), travelers are expected to pay additional costs, if any, for double or additional rooms.
2. Travelers should consider sharing rooms during meetings, but this is not required.
3. Meals when traveling are reimbursable with original receipts. Alcoholic beverages are not reimbursable.
4. Reasonable tips ($10/day or less) for such things as housekeeping and baggage handling are reimbursable (receipt is not necessary).

Reimbursement Procedures (Board)

Expenses must be submitted for reimbursement within 30 days of the meeting/event using the EnglishUSA Travel and Expense Report. All scanned receipts for lodging, travel and meals should be provided in one document, if possible. The cost of each meal should be itemized separately on the form provided. The original receipts must be scanned and submitted. NOTE: Board members can request reimbursement for airfare in advance of travel, but if the board member does not use the ticket, he/she will reimburse EnglishUSA the full fare of the ticket.

The following steps should be followed when submitting for travel reimbursements:

1. The Board member sends report and receipts as attachments to the NCG Account Manager (srssocmanager@englishusa.org
2. The NCG Account Manager will refer to the Travel Guidelines and to individual board member board meeting fund balances to process the reimbursement. Any questions or conflicts with guidelines will be directed to the Treasurer (with Executive Director copied).
3. NCG processes check payments on Thursdays for Friday mailing and emails the board member to inform him/her that payment is being processed. This reimbursement process usually takes about two weeks; however, Board members should allow 30 days for processing during peak post-conference periods.
4. NCG keeps track of each Board member’s remaining balances.

Additional Guidelines

1. Only expenses related to volunteer service are reimbursable from the EnglishUSA budget. If a board or committee member incurs expenses for non-EnglishUSA activities (such as extra hotel nights related to non-board related business prior to or following a board meeting/EnglishUSA conference), these expenses will not be reimbursed. If these costs are directly billed to EnglishUSA the individual will be required to reimburse EnglishUSA for such expenses within 30 days.
2. If a Board member loses a receipt and a credit card was used, he/she will forward the credit card statement (with transaction indicated) along with the travel expense report and other receipts to receive the reimbursement.
3. Flight itineraries are not considered receipts. An airfare receipt must have a traveler’s name, date, amount, and credit card account number.
4. Light breakfast food/beverage, at least one lunch and one dinner at Board meetings are usually provided and paid for by the organization account. Board members who do not partake in these provided meals may submit receipts for reimbursement from their allotted funding.
5. Board members who dine together should request separate checks to submit for reimbursement.
6. Board members who share rooms should obtain separate receipts with names/dates.

G.  Insurance: General Liability & Directors and Officers Insurance

Board service includes fulfilling legal duties that require you to use care and good judgment when governing. Please refer to the section on Fiduciary Responsibility for further details. As the guardian of EnglishUSA and its assets, the Board must be diligent in its decision making, properly identifying, and addressing conflicts of interest and supporting the mission as well as applicable laws and regulations. D & O insurance is designed to protect individual Board members from unintended consequences in case the decisions the Board makes go awry.

Directors and officers who act in good faith are also covered under the organization’s liability insurance policy. However, that policy does not cover conduct that is fraudulent or dishonest. The D & O insurance policy (along with the General Liability insurance policy) can be reviewed upon request.

H.  EnglishUSA Conference Fees

Establishment of the registration fee(s) for the Annual & Professional Development Conferences will be the responsibility of the Executive Director, with input from Nardone, the Finance and Committees.

There will be an "early registration" fee for the conference. Payment of this fee regardless of the method of registration will be only accepted up to and including a date established by the EnglishUSA Staff. Registrations after this date will be higher than the "Early Registration" fee.

A higher fee structure will be established for non-members. All fees will be established well in advance of the conference and will be clearly published in conference registration material.

I.  Compensation Policy for Executive Director

Proposed: December 2017 / Approved: January 17, 2018

EnglishUSA is committed to provide a fair and equitable compensation package for the Executive Director. The Executive Director plays a vital role to the success of the organization, and the EnglishUSA Executive Board recognizes that salary adjustments should be considered on annual basis.

There are two types of compensation changes that will be considered. As a small non-profit organization, the financial health of the organization must be considered when making any recommendations for changes to Executive Director compensation.

Merit Increase: The Executive Director will be evaluated on their job performance annually under the direction of the current President. Prior to the June Board meeting, the President may present to the Board a recommended merit increase in consultation with the Treasurer and Governance Committee. Note that a merit increase to the Executive Director salary is a permanent (recurring) expense to the EnglishUSA budget.

Bonus: The Executive Board reserves the right to award a discretionary bonus to the Executive Director. Considerations for bonuses will be made by the Treasurer and Governance Committee. Note that a bonus is a one-time lump sum payment to the Executive Director and is a non-recurring expense to the EnglishUSA budget.

Recommendations and Approvals

Based on the above definitions, the Board may approve one of four alternatives: 1) only a merit increase, 2) only a bonus, 3) both a merit increase and a bonus, or 4) no increase or bonus.

Final decisions for compensation changes will be presented in the Annual Budget voted by the Executive Board during the June Board meeting. All changes will be subject to approval and based on assuring the fiduciary health of EnglishUSA.

J.  Disbursements Policy

Proposed: April 19, 2017 / Adopted: May 29, 2017

Each year at the June Board meeting, the budget for the upcoming year is reviewed and approved by the Board. The budget is regularly reviewed by the Executive Director. Each month, the financial reports (profit & loss actual vs. budget, balance sheet, accounts receivable, and other reports agreed upon by the Executive Director and Treasurer) are prepared by the outside bookkeeper. The Executive Director forwards these reports to the Finance Committee upon receipt (on or around the 20^th of each subsequent month).

The Executive Director has discretionary spending power up to $10,000 per vendor. Any expense beyond this, regardless of whether it was pre-approved by the board in the original budget, will need to be approved by the Finance Committee in advance.

Recurring or multi-year contracts over $5,000 (but within budget approval) do not require Finance Committee approval but do require signature by the President.

Process

1. The Executive Director submits a description of the requested or upcoming expenditure (over $10,000) with a rationale, including, if applicable, the budget line item originally approved. Any supporting documentation will also be submitted (including additional comparison of bids, if applicable). Within a 48-hour period, each member of the finance committee will Reply All by email with his/her (dis)approval and/or ask relevant questions to the committee members. If necessary, a conference call will be scheduled within 1 week of the request/comments.
2. Once the Finance Committee approves the expenditure (three members), the Executive Director will move forward with the purchase. If a contract is involved, the signature of the President is also required.

K.  Reserves Policy

Adopted: May 28, 2018 / Amended: May 2019

The purpose of the Reserve Funds for EnglishUSA is to help ensure the long-term ability of the organization to meet its mission. EnglishUSA will maintain reserves to achieve the following objectives:

• To enable EnglishUSA to sustain operations by covering losses
• To pay for one-time, nonrecurring expenses that will build capacity
• To create a long-term investment fund that allows EnglishUSA to manage cash flow and maintain financial flexibility Because EnglishUSA is a non-profit organization, investments should not be designed for speculation. It must be recognized, however, that all investments carry with them some degree of risk, not only as to the safety of the principal itself, but also with regard to the inflationary erosion which occurs from failure to achieve an adequate return on invested assets.

General Investment Principles

1. Investments shall be made solely in the interest of the Funds and its beneficiaries.
2. The Funds shall be invested with the care, skill, prudence, and diligence under the circumstances then prevailing that a prudent man acting in like capacity and familiar with such matters would use in the investment of a fund of like character and with like aims.
3. Investment of the Funds shall be so diversified as to mitigate the risk of large losses, unless under the circumstances it is clearly prudent not to do so
4. The Board may employ one or more investment managers of varying styles and philosophies to attain the Fund's objectives
5. The Funds may be used for various purposes such as maintaining the overall stability of EnglishUSA and maximizing its ability to build capacity over the long term.

Performance Expectations

The desired objective is to maintain purchasing power by keeping up with inflation with a long-term rate of return on assets that is at least 5% over any three-year period, The board understands that projections or other information generated by software regarding the likelihood of various investment outcomes are hypothetical in nature, do not reflect actual investment results and are not guarantees of future results.

Asset Class Guidelines

Allowable Assets are detailed in the two reserve funds outlined below

Prohibited Assets and Restricted Transactions

1. Private Placements
2. Options
3. Short Selling
4. Margin Transactions

Investment Policy Review

The Board will review this policy in odd-numbered years at the time of the fiscal year budget approval to determine whether stated investment objectives are still relevant and the continued feasibility of achieving the same. It is not expected that the policy will change frequently. In particular, short-term changes in the financial markets should not require adjustments to the policy.  

ypes of Reserves Funds

EnglishUSA will investment in two types of reserves funds:

5. • Operational Reserve Fund
   • Long-term & Innovation Reserve Fund

Operational Reserve Fund

Ensures the stability of the mission, programs, employment, and ongoing operations of the organization. The Operating Reserve is intended to provide an internal source of funds to cover losses due situations such as a decrease in membership dues, decline in conference registration or sudden and unanticipated increase in particular expenses such as legal counsel, additional trip to Washington, DC, equipment malfunction, and other situations that may arise. The Operating Reserve Fund is not intended to replace a permanent revenue loss or ongoing budget gaps. The purpose of the Operating Reserve Fund is to be used and replenished within the following fiscal year.

1. Type of fund: This fund will be available in cash or cash equivalent funds and will be managed by Raymond James as part of the existing English USA portfolio. Allowable Investments:
   1. Cash Equivalents
   2. Savings or Checking Accounts
   3. Treasury Bills
   4. Money Market Funds
   5. FDIC Insured Certificates of Deposit
2. Target Minimum Amount Goal:  EnglishUSA will maintain an operating reserves fund of a minimum of six (6) months operating expenses.
3. Funding of Reserves: Operational reserves will be funded by revenue surplus or gains in investment funds. Replenishing the operational fund will be determined by the Executive Director and Finance Committee and with approval by the Board. Funding of reserves must ensure target minimum goal as defined above and replenishing of funds must occur within the following budget year.

Use of Operating Reserves:

1. Identification of appropriate use of funds: The Executive Director and Finance Committee will identify the need for access to reserve funds and confirm that the use is consistent with the purpose of the reserves as described in this Policy. This step requires analysis of the reason for the shortfall, the availability of any other sources of funds before using reserves, and evaluation of the time period that the funds will be required and replenished.
2. Authority to use operating reserves: To access the funds in the operating reserves, the Executive Director, Officers, and Board Members will follow the EnglishUSA Disbursement Policy found at the end of this document as Addendum A.
3. Reporting and monitoring of operating reserves: The Executive Director is responsible for ensuring that the Operating Reserve Fund is maintained and used only as described in this Policy. Upon approval for the use of Operating Reserve funds, the Executive Director will maintain records of the use of funds and plan for replenishment. They will provide regular reports to the Finance Committee/ Board of Directors of progress to restore the Fund to the target minimum amount. When the operating reserves is accessed, the subsequent year’s budget must be adjusted to account for any continued anticipated losses (if applicable) as well as the replenishing of the operational reserves fund.

Long-term and Innovation Reserve Fund

The Long-term and Innovation Reserve Fund allows EnglishUSA to build long-term capital gains while also providing access to funds for non-recurring expenses to allow for increased organizational capacity over the long-term. Examples of such innovative expenses are a one-time new training for Executive Director on a new technology being implemented; research and development; investment in infrastructure, such as a new database or platform to engage membership (e.g., advocacy tool), and other situations as they arise.

Type of Fund: The Long-term and Innovation Reserve Fund will be included in EnglishUSA’s Raymond James portfolio and will be diversified across various levels of risk. Funds can be accessed at any time for the purpose outlined in this policy. Allowable Investments are:

1. 1. Cash Equivalents
      • Treasury Bills
      • Money Market Funds
      • FDIC Insured Certificates of Deposit
   2. Fixed Income Securities
      • U.S. Government and Agency Securities
      • Corporate Notes and Bonds
      • Mortgage-Backed Bonds
      • Collateralized Mortgage Obligations
      • Mutual Funds & ETFs
   3. Equity Securities
      • Common Stocks
      • Mutual Funds & ETFs

Target Maximum Allowed for Innovation: Up to 25% of the total amount in the long-term investment fund may be allocated to be used for the purpose of innovation and growth as described in this policy.

1. 1. Funding of Reserves: Long-term and innovation reserves will be funded by revenue surplus or gains in investment funds. Replenishing the Long-term and Innovation Fund will be determined by the Executive Director and Finance Committee and with approval by the Board. Funding of reserves must ensure target minimum goal as defined above.

Identification of appropriate use of funds

The Executive Director and Board of Directors will identify the need for access to the long-term and innovation reserve funds and confirm that the use is consistent with the purpose of the reserves as described in this Policy. This step requires analysis of the benefits of the innovation investment on the mission and long-term goals of EnglishUSA, the availability of any other sources of funds before accessing these funds, and evaluation of the time period that the funds will be required and replenished.

Authority to use innovation reserves

To access the funds in the long-term investment reserves, the Executive Director, Officers, and Board Members will follow the EnglishUSA Disbursement Policy found at the end of this document as Addendum

Reporting and monitoring of innovation reserves

The Executive Director is responsible for ensuring that the Long-term and Innovation Reserve Fund is maintained and used only as described in this Policy. Upon approval for the use of innovation Reserve funds, the Executive Director will maintain records of the use of funds and plan for replenishment. He/she will provide regular reports to the Finance Committee/ Board of Directors of progress to restore the Fund to the target minimum amount. Raymond James will oversee the portfolio for the long-term and innovation reserve fund and will submit periodic statements to the Executive Director and Treasurer.