§ 7-5.3-12. Preparation of annual benefit report.
(a) A benefit corporation shall prepare an annual benefit report including all of the
following:
(1) A narrative description of:
(i) The ways in which the benefit corporation pursued general public benefit during the
year and the extent to which general public benefit was created.
(ii) Both:
(A) The ways in which the benefit corporation pursued a specific public benefit that the
articles of incorporation state it is the purpose of the benefit corporation to create;
and
(B) The extent to which that specific public benefit was created.
(iii) Any circumstances that have hindered the creation by the benefit corporation of general
public benefit or specific public benefit.
(iv) The process and rationale for selecting or changing the third-party standard used
to prepare the benefit report.
(2) An assessment of the overall social and environmental performance of the benefit corporation
against a third-party standard:
(i) Applied consistently with any application of that standard in prior benefit reports;
or
(ii) Accompanied by an explanation of the reasons for:
(A) Any inconsistent application; or
(B) The change to that standard from the one used in the immediately prior report.
(3) The name of the benefit director and the benefit officer, if any, and the address
to which correspondence to each of them may be directed.
(4) The compensation paid by the benefit corporation during the year to each director
in the capacity of a director.
(5) The statement of the benefit director described in § 7-5.3-8(c).
(6) A statement of any connection between the organization that established the third-party
standard, or its directors, officers, or any holder of five percent (5%) or more of
the governance interests in the organization, and the benefit corporation or its directors,
officers, or any holder of five percent (5%) or more of the outstanding shares of
the benefit corporation, including any financial or governance relationship that might
materially affect the credibility of the use of the third-party standard.
(7) If the benefit corporation has dispensed with or restricted the discretion or powers
of the board of directors, a description of:
(i) The persons that exercise the powers, duties, and rights and who have the immunities
of the board of directors; and
(ii) The benefit director, as required by § 7-5.3-8(f).
(b) If, during the year covered by a benefit report, a benefit director resigned from
or refused to stand for reelection to the position of benefit director, or was removed
from the position of benefit director, and the benefit director furnished the benefit
corporation with any written correspondence concerning the circumstances surrounding
the resignation, refusal, or removal, the benefit report shall include that correspondence
as an exhibit.
(c) Neither the benefit report nor the assessment of the performance of the benefit corporation
in the benefit report required by subsection (a)(2) needs to be audited or certified
by a third party.