FISCAL SPONSORSHIPS

 

RCF agrees to serve as the fiscal sponsor to a limited number of organizations that actively raise money but do not have their tax exempt status. In these cases, RCF extends its tax umbrella over the fledgling organizations. In order to give donors an appropriate tax deduction, all donations must flow through and be accounted for by the Foundation. Interested groups must make application to the Foundation for this privilege. For more information, please call us at (425) 282-5199.

 

GUIDELINES FOR FISCAL SPONSORSHIP

 

The Renton Community Foundation works on behalf of the entire community, advocating for, and supporting the efforts of, many charitable causes.  There are many groups within our community who work towards specific charitable goals and yet do not have tax exempt status, limiting their ability to raise necessary funds. Therefore, RCF recognizes providing Fiscal Sponsorship as part of its mission as long as the goals and objectives of the requesting organizations/groups align with that of the Foundation and sufficient safeguards are in place to protect the Foundation.

 

What does Fiscal Sponsorship mean?

 

Fiscal sponsorship means the Renton Community Foundation will allow another organization and/or project to operate under its 501 C3, tax-exempt status, allowing contributions to an established Fund within the Foundation to be tax-deductible.

As Fiscal Sponsor, RCF is legally responsible for all activities of the group or project (management, administration and disbursement of funds).  Therefore, RCF reserves the right to request minutes from board or committee meetings, review any aspect of the group/project at any time, require verification of insurance and/or other types of safeguards and to intercede if necessary to protect Foundation interests.

 

What services will RCF provide?

 

Fiscal sponsorship does not provide financial or fundraising support from RCF.  This means there should be no expectation by the sponsored program that Foundation staff or board members will attend events, have access to Foundation mailing lists, or be guaranteed of financial underwriting of any kind, whether in the form of a grant or sponsorship.

 

RCF will provide the following:

 

  1. Receipting and acknowledging of cash or in-kind contributions

  2. Managing contributions through our investment pool

  3. Authorizing and paying expenses and/or grants

  4. Providing monthly financial and donation reports

  5. Access to the Foundation Roundtable and other Foundation education and networking events

 

Requirements and Fee Structure

 

Groups requesting fiscal sponsorship must apply for the privilege by completing a Fiscal Sponsorship Application, establishing a Fund within the Foundation through which all contributions will flow and providing proof of adequate insurance coverage.  RCF’s administrative fee is 2% of all funds received (a minimum of $300 a year).  Additional fees may be negotiated depending on the level of activity within the Fund (See Administrative Fee Structure) and the board may require that funds deposited into the account remain for a minimum amount of time. 

Fundraising

 

While the sponsored program may apply to other sources for funding and/or conduct fundraising events, RCF staff must review and approve all fundraising plans and requests for funding.  A completed Fundraising Application must be completed and submitted a full 30 days in advance of any work to be completed.

 

Marketing/public relations

 

All copy used for marketing or fundraising purposes must be approved by the Foundation staff in advance and must include the Foundation’s logo and following language: This programt is affiliated with the Renton Community Foundation.

 

Accountability

 

Each organization or group who operates under RCF’s 501 C3 is responsible for the actions of its volunteers and must provide proof of the following:

 

  1. Adequate liability coverage against fraud, theft or accidents;

  2. Financial controls, including chain of custody for all contributions (especially cash);

  3. Appropriate ways to capture donors’ names and addresses;

  4. Proper education for volunteers who handle money;

  5. Complete review of potential underlying liabilities of specific events;

  6. A competent plan for selling tickets, taking reservations, providing confirmations & receipts, acquiring sponsorships and providing day-of-event logistics.

 

The sponsored program must date and sign a Fiscal Sponsorship Agreement annually, providing a current list of leadership and responsible volunteers.

 

For more information, please contact Lynn Bohart, FAHP, Executive Director at the Foundation office.

 

Fiscal Sponsorship Agreement