Board of Advisors

All TKE chapters are required to be incorporated under the laws of their state, so by agreeing to serve on the BOA, you have become a corporate board member. This form of organization offers the advantage of a recognized legal entity for all purposes including centralization of management, delegation of authority to represent, and limited liability for board members. Management is entrusted to a board of directors as a group.
 

The Board of Advisors is selected and organized according to the International Constitution and Bylaws, which is also known as The Black Book. In addition, your BOA should operate under a set of bylaws.
 

The primary role of the Board of Advisors, Chapter Advisor, and Faculty Advisor, is to advise the chapter. It is best to take a pro-active stance in working with the chapter, which can be accomplished by meeting regularly, requesting minutes from chapter meetings, receiving reports from chapter officers, and then acting to encourage continued improvement. One of the best measures of improvement is the Key Result Area Scorecard, located in the TKE Chapter Module. This evaluation is normally conducted annually by an official representative of the Fraternity, whose visitation reports can be found in the TKE Chapter Module.
 

One of the most important BOA functions is to prevent possible problems from developing in the chapter. Keeping an eye on the calendar and deadlines will help keep the chapter focused. Chapters often run into difficulty when the BOA does very little with the chapter until a major problem exists. An active and interested BOA is an essential element in all successful chapters of TKE.
 

Strong chapter financial operations is critical, whether you're working with the chapter or managing its real estate, which is a responsibility mandated by The Black Book. Your advice, encouragement, and motivation with membership recruitment will keep the chapter strong and healthy.
 

The Offices of the Grand Chapter is available to assist you in every way possible so that you may be an effective and responsible BOA member. Should you need help, contact a member of the TKE Area Servicing Team.
 

Role of the Board of Advisors

• Provide guidance, advice, support and assistance to the Chapter.
   
• Provide continuity for the Chapter.
   
• Serve as the corporate Board of Directors for the legal entity.
   
• Direct supervision of all Chapter property and finances.
   

Duties of the Board of Advisors

• Keep the BOA in existence by holding regular elections.
   
• Elect Officers: President, Vice President, Secretary, Treasurer.
   
• Conduct regular meetings, which should occur at least five times a year (ideally, monthly).
   
• Coordinate and work with the Chapter Advisor, Faculty Advisor, and Alumni Association President. Working with the Chapter should be a team effort.
   
• Act as liaison between the Chapter, alumni, the Fraternity, and the school.
   
• Enforce the International Constitution and Bylaws of the Fraternity, BOA and Chapter policies, and University regulations.
   
• Fulfill the state legal requirements to ensure the corporation remains active.
   
• Maintain BOA Bylaws.
   

Board Selection and Organization

The Black Book states that the activities of each collegiate chapter shall be supervised by a Board of Advisors consisting of the Chapter Advisor, the Chapter Prytanis, the Chapter Crysophylos, and at least four other persons, the majority of whom should be alumni or honorary members of the International Fraternity. The BOA shall act in compliance with the Articles of Incorporation, Constitution, Bylaws, laws, traditions, usages, obligations, and principles of the Fraternity and to set by example the standard of conduct for collegiates and non-members to emulate. The Chief Executive Officer shall have power to remove from office any member of the BOA, and may fill by appointment all vacancies thereby created.
 

The elected members of the BOA serve for a term of four years, or for terms as approved by the BOA, and until their successors are elected.
 

The BOA selects its own membership and elects its own officers: Chairman, Vice Chairman, Secretary and Treasurer. The positions of Secretary and Treasurer may be combined. The Chapter Advisor may hold an office other than Chairman, but not unless there is a substantial reason. Collegiate members, other than the Prytanis and Crysophylos who are ex-officio members, are not to be members of the BOA. The remaining Chapter Officers should also attend BOA meetings for guidance and supervision, as needed.
 

It is recommended that the BOA membership represent a wide range of expertise. Every effort should be made to recruit people with knowledge or experience in the following fields: law, insurance, management, accounting/finance, real estate, engineering/construction, etc. Representatives of the local community as well as members of the university faculty/administration, should be actively sought as BOA members. The experience of individuals from such diverse backgrounds is invaluable.
 

If the chapter has an alumni association, it is suggested that it appoint a member to be its representative to the BOA. This helps to promote communication and coordination of activities.
 

Financial Operations

It is the responsibility of the Board of Advisors to ensure sound chapter financial management. Financial stability for the chapter begins with their Crysophylos, who is an ex-officio member of the BOA. The chapter will prepare their budget for the BOA to review. The Crysophylos will prepare regular financial reports for the BOA.
 

When housing is involved, the BOA is responsible for collection of rent and payment of housing expenses. It is not a good idea to burden the Crysophylos with this responsibility. Often, the BOA will hire a third party Business Manager or Property Manager to keep up with house operations.
 

Advising the Crysophylos
The job of Crysophylos can become difficult when it comes time to collect on delinquent accounts of Fraters. Those owing money to the chapter accuse the Treasurer of being "unfraternal" in expecting them to pay their accounts promptly. Statements such as, "If you were a real Frater, you would be more understanding," or "I thought brotherhood meant more to you than my money," are commonly used by delinquent members to stall efforts to collect. However, it is delinquent members, not the Crysophylos, who are being unfraternal in these situations. There are five main reasons why meeting the financial obligation is a part of Fraternalism:
 

1. A prompt payment policy promotes financial responsibility, one of the leadership traits for which the Fraternity exists.
    
2. Fraters should not expect to get a "free ride" from the Fraternity. They should not enjoy all the benefits or privileges without paying the price.
    
3. Alumni owing their chapters even small amounts of money will rarely visit the campus to participate in chapter functions. Thus, prompt payment will increase the chances that graduate members will be active alumni.
    
4. Chapters operate on a cash basis and need cash in order to meet their expenses to continue to operate.
    
5. When more than a small minority of members owe money, it suddenly becomes a popular thing to do with the rest of the chapter. Prompt payment ensures that Fraters will share equally in the responsibility of financing the chapter.
    

The BOA needs to receive regular financial reports from the Crysophylos, especially aging reports, so they can help him with collections. Any Frater who owes the chapter money should be brought to the BOA for an explanation.
 

Budgets
The budget is the first thing to be considered in chapter financing. A budget should be for the fiscal year or school year, and then broken down for each school term. It must be a dynamic vehicle subject to change.
 

A chapter budget should be presented to the BOA each term. The utmost care is to be taken to ensure an accurate estimate of income and expenditures. The figures for the preceding year will not be sufficient. The budget of one year should never be applied blindly to another. There should be a very accurate estimate of the number of Fraters who will return to school.
 

A housing budget, and meal plan budget, is the responsibility of the BOA. It too should be created on an annual basis, with regular reporting back to the BOA. If you operate a kitchen, some time should be spent on the charges to be made for food, the cost of which depends considerably on the number to be fed regularly. The estimation of budgets for food is very difficult and depends greatly upon the local market.
 

Before attempting to estimate upkeep and repairs of a house, the BOA should make an inspection of the entire property, including the exterior and landscape. After inspection, a fair estimate and schedule can then be made of the requirements for upkeep and repairs. It is best to secure estimates from competent contractors before determining the final figure for this item of the budget.
 

Other income, such as salaries of cooks, house mother and any other paid help, are also fixed in amount. If you compensate chapter officers, limit the number of paid officer positions, as experience gained by serving as an officer has sufficient benefits for most officers. In most cases, reimbursement for services is subject taxes. The cost of fuel, water, electricity and waste collection can be estimated from the previous year. You must accumulate a reserve fund for the replacement of kitchen equipment, upkeep and other repairs done to the entire property.
 

Both the chapter budget and the housing budget should be strictly adhered to. Any major changes in expenditures should be approved by the BOA.
 

Reserve Fund (Sinking Fund)
The BOA is best advised to establish a reserve fund beyond the amount necessary for housing operations. These funds are deposited in a bank, money market fund, etc. so as to obtain the highest interest rate. Wise investing will provide a contingency reserve against default or failure of the chapter. Interest will serve as working capital for house repairs and furnishings, if the chapter has a house. Chapters which do not own housing can establish a Building Fund to save and invest monies for a future housing purchase.
 

The reserve accounts are not to be used for mortgages unless an emergency occurs. Mortgages, insurance, and tax money should be held in an account specifically for that purpose. If finances are properly managed, then any short-term loans by the chapter or loans or notes between the chapter and its members are unwise and unnecessary. The chapter should never become a lending institution or a charity.
 

Suggested Bylaws

Chapter I: Organization
The _____ Board of Advisors of _____ Chapter of Tau Kappa Epsilon Fraternity, specifically adopts, accepts and acknowledges the International Constitution and International Bylaws and Traditions of Tau Kappa Epsilon Fraternity and, in addition, the following Bylaws are adopted under which this Board of Advisors shall operate.

Chapter II: Purpose
The purpose of the Board of Advisors are:

1. To serve as the board of directors of the Chapter corporation.
    
2. To supervise the finances and property of the Chapter.
    
3. To establish such policies deemed necessary.
    
4. To ensure the continuation of the Board.
    

Chapter III: Membership
Section 1. The Board of Advisors shall consist of at least seven, but no more than fifteen, elected members. The Chapter Advisor, the Faculty (or Campus) Advisor, the Chapter Prytanis, and the Chapter Crysophylos are ex-officio members of the Board of Advisors, with full voting powers.

Section 2. Members serve for a 3 year term, staggerd such that at least two members are elected every year. There is no term limit for the number of years that a member may serve.
 

Section 3. A member who is absent for more than three consecutive meetings shall be automatically removed from membership.
 

Chapter IV: Officers
Section 1. The officers of the Board of Advisors shall be: President, Vice President, and Secretary/Treasurer.

Section 2. Each officer shall be elected for a term of three years. A member serves until his successor is elected.
 

Section 3. There is no restriction on how many terms an Officer may serve.
 

Section 4. In the event of a vacany in office, due to end of term or otherwise, the President will appoint a member to serve the remainder of the term. In the event of vacancy of the President, the Vice-President becomes President.
 

Chapter V: Meetings
Section 1. Regular meetings shall be held in August, October, December, February and April.

Section 2. The April meeting shall be the Annual Meeting at which time new members and officers shall be nominated and elected.
 

Section 3. Special meetings maybe called by the President or by a majority of the members.
 

Section 4. Quorum consists of a simple majority.
 

Chapter VI: Amendments
Section 1. Amendments to these Bylaws may be made by a majority vote during a regular meeting. Such amendment must have been submitted in writing and sent to all members at leasst 14 days in advance.