RESPONSIBLE CITY AGENCY: Accounting Division
KEYWORDS: Charity, charitable, fund-raising, solicitation, donation, organization.
1. General
1.1 Salt Lake City Corporation allows charitable solicitations of its employees by “umbrella organizations” meeting the following criteria:
A. The umbrella organization has ten or more individual members;
B. The IRS recognizes the umbrella organization and each of its individual members as meeting Section 501(C)(3) of the Internal Revenue Code;
C. At least 80% of the funds received from Salt Lake City Corporation employees must be used directly for the purposes for which the umbrella organization’s members were created. No more than 20% may be used for overhead purposes of the umbrella organization or its individual members;
D. The umbrella organization and each of its members must demonstrate to the satisfaction of the Mayor or his/her designee that its accounting and auditing policies and procedures comply with accepted accounting and auditing standards;
E. The umbrella organization has either:
1. Four years of experience raising funds and can demonstrate that for the last four years no more than 20% of funds collected from business employee fundraising drives was used for administrative and fund-raising costs; or
2. Four years experience participating as an umbrella organization with Salt Lake City Corporation in which no more than 20% of Salt Lake City Corporation employees’ contributions was or will be used for administrative or fund-raising costs;
F. New umbrella organizations may show management and cost containment plans that demonstrate to the Mayor or his/her designee that no more than 20% of funds collected from Salt Lake City Corporation employees will go to administrative or fund-raising costs.
1.2 Umbrella organizations must agree to pay to the city the justified and reasonable costs of the charitable fund drive and furnish to the Mayor or his/her designee copies of:
A. An independent certified audit of the most recent fiscal year’s financial, revenue, and expense reports;
B. Its most recent IRS 990 Report;
C. Management and cost containment plans, when required, and
D. Any further information requested by the Mayor or his/her designee as they in their sole discretion deem necessary.
1.3 Fund drives on behalf of individual charities are not allowed.
1.4 Charitable solicitation fund drives must be designed to minimize disruption of the workplace and intrusions into the lives of employees.
2. Participation
2.1 Charitable solicitation campaigns shall be allowed once each year, and shall not exceed 20 days from start to finish.
2.2 At least 25 employees must request a payroll deduction before it will be implemented.
2.3 This policy does not apply to fund drives conducted by employees for employee gifts (see City policy 2.01.07 -- Trust Funds).
CURRENT REFERENCES: Expenditure of Public Funds policy
Trust Funds policy
PRE-1995 REFERENCES:
EFFECTIVE DATE: July 8, 1996
DATE APPROVED BY CABINET: July 3, 1996