November/December 2019

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NAVIGATING THE CHANGING ROLE OF THE NONPROFIT CFO By KATHLEEN HOFFELDER

NJCPA CONTENT EDITOR

CFOs have experienced one of the most dramatic transformations of any in recent years — from number crunchers to strategic advisors who help lead the direction of their organizations. Nonprofit CFOs are no different, except they often face even more challenges amid shifts in tax policy and finding alternative ways to obtain revenue. They are more analytical than ever, but they need to also consider the organization’s growth. As James P. Ferrone, CPA, CGMA, director at Gramkow, Carnevale, Seifert & Co., LLC, notes, the nonprofit CFO/ controller function has changed such that the CFO is not only the tracker of

expenses and revenue, but a person who is key to fundraising. The controller/ CFO needs to stay current on any changes in reporting, he says, to make sure the nonprofit is in compliance with the Financial Accounting Standards Board (FASB) and other regulations. “They need to be the person with the full skills, knowledge and experience no matter the size of the nonprofit,” he adds. Dr. Joseph Howe, CPA, CFE, CGFM, the CFO of a government entity in New Jersey, agrees. “Being a nonprofit CFO today is much more than balance sheets and income statements. The job entails a command of communication and risk

CONTRIBUTORS In order of appearance

JAMES P. FERRONE, CPA, CGMA Director Gramkow, Carnevale, Seifert & Co., LLC

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DR. JOSEPH HOWE, CPA, CFE, CGFM

NOVEMBER/DECEMBER 2019 | NEW JERSEY CPA

BRIDGET HARTNETT, CPA Partner SobelCo

CAREN C. JESSEMAN, CPA, MBA