Governance

I took our existing bylaws and asked ChatGPT to audit them. #1 below is the result. Next I asked ChatGPT to rewrite them correcting the errors and it came back with a rewrite but also made 2 or 3 suggestions to even improve the bylaws. I then asked for the improvements and then it came back with more suggestions or possible problems. This went on for ever and I stopped with what you see below. Sometime it would actually change its own opinion, it changed the paragraph numbering approach twice, sometimes it gave me choices as to what I wanted. I made some choices which I found later-on that were incorrect. So here is what I ended up with.

At his time I think the Bylaws and the Rules & Operations are what we need to concentrate on first.

If we can get the Bylaws and the Rules & Operations part ready, which is the part that the Convention needs to pass, the rest can just be done thru the SBD. This approach would also make it easier for the chapters to comprehend the changes. (we can discuss this)

See the Example at the bottom of this page as to what ChatGPT will give you when asked for something.

Below you will find links to specific books that ChatGPT said we needed:

Introduction

Bylaws book 1

Rules & Order book 2

Policies book 3

Procedures Book 4

Forms & Appendices book 5

  1. I had ChatGPT audit our bylaws and this is the result.

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2) as I was rewriting the documents, some questions came up and these are some of my notes and questions

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3) I used a different AI tool (Claude) to write a BCHI Chapter handbook, this was the first draft. I don’t think it is important at this time. We need to concentrate on Bylaws and the Rules and operations first.

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4) Same thing, don’t need to spend time on this yet. I was just curious to see what the AI tool would come up with.

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ChatGPT EXAMPLE: After coming back from the Convention I had a thought, so I asked ChatGPT about it and this is what happened:

Question: Can an organization work with multiple years such as fiscal, membership and reporting to the federal government

Yes. An organization can legally operate with several different “years” at the same time. Many nonprofits do this because different functions serve different purposes. The key is simply to define each year clearly in your governing documents or policies.

For an organization like Backcountry Horsemen of Idaho (BCHI), the three most common “years” would be:


1. Fiscal Year

This is the financial accounting year used for budgeting, bookkeeping, and financial reports.

Examples:

  • January 1 – December 31 (calendar year)
  • July 1 – June 30

Used for:

  • Budget approval
  • Financial statements
  • Treasurer reports
  • Audit or financial review

Many nonprofits choose Jan–Dec because it simplifies taxes and reporting.


2. Membership Year

This is the period that a member’s dues and voting eligibility apply.

Examples:

  • January 1 – December 31
  • Convention to Convention
  • Rolling 12-month membership

Used for:

  • Determining who can vote
  • Determining chapter membership counts
  • Calculating convention delegates

Some organizations align this with the fiscal year, but they do not have to match.


3. Federal Reporting Year

For U.S. nonprofits, this refers to the IRS reporting period for Form 990.

Key points:

  • The IRS reporting period must match the fiscal year.
  • The Form 990 is due 4½ months after the fiscal year ends.

Example:

Fiscal YearIRS Form 990 Due
Jan 1 – Dec 31May 15
July 1 – June 30Nov 15

So in reality, the federal reporting year is the same as the fiscal year, but the filing deadline is later.


Example Structure for BCHI

You could legally have something like this:

Type of YearExample
Fiscal YearJan 1 – Dec 31
Membership YearConvention to Convention
IRS Reporting YearSame as fiscal year

Governance Best Practice

In your BCHI Bylaws, it is best to define at least the fiscal year.

Example language:

ARTICLE — FISCAL YEAR

The fiscal year of BCHI shall be January 1 through December 31 unless otherwise established by the Board of Directors.

Membership timing can be placed in Policy or Procedures, which allows easier adjustment.


For BCHI specifically, many organizations like yours choose:

  • Fiscal Year: Jan–Dec
  • Membership Year: Jan–Dec
  • Delegate eligibility: based on membership count 30–60 days before convention

This keeps everything simple.


If you want, I can also show you the cleanest way to structure these three “years” in the BCHI governance books (Bylaws vs Policy vs Procedures) so you don’t lock yourself into something hard to change.

So I said YES

Where the Different “Years” Should Be Defined

1. Fiscal Year

Location: Bylaws

The fiscal year affects legal filings, financial accountability, and IRS reporting, so it should be defined in the bylaws.

Example bylaw language:

ARTICLE — FISCAL YEAR

The fiscal year of the Backcountry Horsemen of Idaho shall begin January 1 and end December 31 unless otherwise established by resolution of the Board of Directors.

Why bylaws?

  • Financial governance is fundamental
  • Banks and auditors rely on it
  • The IRS reporting period must match it

2. Membership Year

Location: Policy Book

Membership timing is administrative and may need adjustment in the future. Putting it in policy avoids constant bylaw amendments.

Example:

POLICY — MEMBERSHIP YEAR

Purpose
To establish the period during which membership dues are valid and membership privileges apply.

Policy

  1. The BCHI membership year shall run from January 1 through December 31.
  2. Membership shall be considered active upon payment of dues.
  3. Chapters may establish local membership procedures consistent with this policy.

3. Delegate Eligibility Year

Location: Convention / Delegate Policy

This determines who can vote at the convention.

Example policy wording:

POLICY — DELEGATE ELIGIBILITY

  1. Delegate representation for each chapter shall be based on active membership recorded as of September 30 preceding the Annual Convention.
  2. Chapters shall certify their delegates in accordance with the Delegate Certification Procedure.

This prevents last-minute membership spikes before convention.


4. Federal Reporting Year

Location: Financial Management Policy

You usually do not need to repeat the IRS rule in the bylaws, but a policy helps officers understand it.

Example:

POLICY — FEDERAL REPORTING

  1. BCHI shall file required federal nonprofit reports in accordance with Internal Revenue Service regulations.
  2. The reporting period shall correspond to the organization’s fiscal year.
  3. The Treasurer shall ensure filing of the annual Form 990 or applicable return.

Clean Governance Layout for BCHI

Book 1 — Bylaws

  • Fiscal Year

Book 2 — Rules of Order

  • Convention voting procedures

Book 3 — Policies

  • Membership Year
  • Delegate Eligibility
  • Financial Reporting
  • Convention administration

Book 4 — Procedures

  • Delegate certification steps
  • Membership reporting procedures
  • Form filing instructions

Why This Structure Works Well

Advantages for BCHI:

  1. Bylaws stay short and stable
  2. Administrative details can change easily
  3. Convention rules remain clear
  4. Future officers can adjust policy without a convention vote

This is especially important for a 16-chapter delegate organization like BCHI.


✅ If you’d like, I can also show you the “Four Clocks Problem” that causes many statewide organizations to collapse into governance confusion—and how to prevent it in your BCHI system.