Non-profit changes will affect local charities
Non-profit charitable or civic organizations will find they have to deal with a radically reorganized county system for the 2004-2005 budget year, according to County Mayor Kenneth Rogers. These types of organizations will now be required to go before the Rules and Procedures Committee instead of the committees they have appeared before in years past. They will also be subject to much more stringent requirements in records keeping and financial reporting if they wish to obtain funds from the county.
Rogers said the new procedures were implemented because there were concerns about how the funds were being handled after they were issued.
“In years prior they have come in here and they’ll just ask for some money,” Rogers said, “and they’ll give it to them. Then they’ll come up and just get a lump sum and we don’t even know where it goes or what they spend it for.”
With the new system, Rogers said the organizations will have to submit a bill for supplies or services and then the county will issue enough money to cover that bill from the yearly funds the county allotted to the non-profit group. They will also be required to keep records of any expenditure of funds that come from the county.
Health and Welfare had handled the majority of non-profit contributions from the county in previous years, but controversy over some organizations soliciting funds from other standing committees, even in some cases after being refused by Health and Welfare, was one of the situations which resulted in the change, according to Rogers, who felt all the groups should come before the same committee.
“This way every non-profit is going to have to come through the Rules Committee,” Rogers said. “They won’t be allowed anymore to take it to another committee to get it passed through. They’ve got to all come through this one.”
In addition, every non-profit or charitable organization will have to comply with a written submission procedure as well as appearing before the Rules and Procedures Committee. Submissions will be required to include the following documentation and information:
1. The most current financial statement, including an itemized statement of expenditures for the previous year as well as a statement of available funds the organization has on hand at the time of the request. These statements bust be signed by an officer of the organization.
2. A statement of proposed expenditures for the upcoming year, for which funds are being requested, along with the scope of service for the organization.
3. A list of current officers and Board of Directors for the organization.
4. A copy of the internal Revenue Service 501(c)(3) non-profit designation, if so filed.
The commission will also be limiting the total amount of funds allotted to non-profits and will be dividing that money up between the organizations as it sees fit. Rogers said the committee may designate larger or smaller amounts to the different non-profits each year from now on depending on the situation.
“But there will be an amount set aside that we cannot go over,” Rogers said. That amount has not been announced as yet, but Rogers said the total will not be allowed to exceed what was allotted in the 2003-2004 budget.
The commission will be sending out letters to the non-profit, civic and charitable organizations who have applied to the county previously which will explain the new procedures. Non-profits making their first application can get more information by contacting the County Mayor’s office at 473-2505.