The Board Compensation Debate - McDermott Will & Emery

The Board Compensation Debate

Overview


Michael Peregrine advised that nonprofit hospitals should not address board member compensation without analyzing potential legal and tax implications. That should include determining if the relevant state permits such payments, because Mr. Peregrine said only one-third of state laws explicitly allow payment of nonprofit trustees. He thus recommended notifying the state attorney general’s office in advance of implementing board member compensation, as a courtesy to that office. Read the full article