Transcript Slide 1

2013 Combined Federal
Campaign (CFC)
Application Training
Application Timeline
April 1 – Deadline for 2013 local application
period (campaigns may set earlier deadlines)
April 30 – Deadline for LFCC to notify local
organizations of eligibility decisions in writing
June 4 – Deadline for decisions by LFCC on all
local organization appeals
July 31 – OPM completion of local appeal
reviews
2013 Changes
• Certifying official signature does not have
to be original
• Revisions to Pro Forma 990
Requirements
• 0% AFR must be verified by audit
• Appeal documentation
Review Process
Sampling of Federation Members
• Federations MUST submit full
applications of all members not
approved for participation in 2012
• 20% Sampling of federation
membership encouraged
Completeness Review
• Contact applicant regarding
administrative oversights
Key Application Documents
Att. A
Att. C (if appl.)
2012 Service
Description
Att. B
2013 CFC
Application
Certifications
IRS
Determination
Letter
Audited
Financial
Statements
Att. D
IRS Form 990
(same period
as audit)
CFC Application Cover Page
• Organization address must be a physical
mailing address. No P.O. Boxes
• Contact info may include P.O. Boxes
• Use of Electronic Funds Transfer (EFT) by
campaigns is optional
• If campaign is not using EFT, it may be
removed from the application cover page
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
• Local – Office in local campaign area
open 15 hours per week with a
dedicated phone line
• Adjacent – Local presence (above)
within an adjacent campaign area
• Statewide – Provided services to 30%
of target population or in 30% of state’s
geography
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
• Hours of Operation
• Location – County/State
• 2012 Human Health and Welfare
Services
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
• WHO received the service, benefit, or
assistance
• WHAT the service, benefit, or assistance is
• WHEN it was delivered
• WHERE it was delivered
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
Factors OPM/LFCC will consider:
– Nature and extent of the service, benefit,
assistance, or program activity
– Frequency, continuity, and duration of
services
– Impact on, or benefit to, beneficiaries
– Number of beneficiaries
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
Applicants should avoid…
– Generalized statements
– Listing “offered” services
– Listing location of members, affiliates, or board
members
– Listing the residences of visitors to a facility
– Listing services provided by the service recipient
or other entity
– Fundraising activities as a service
CFC Certification Statement #1
Local or Adjacent Presence
Examples of Qualifying Attachment A:
Georgia
Athens, November 1-3, 2012 ABC Charity held its
annual meeting. ABC Charity staff made
presentations on new research, provided advocacy
training to attendees, and facilitated a discussion
between policymakers and medical researchers. 120
healthcare industry professionals attended the
three-day conference
CFC Certification Statement #1
Statewide Presence
Example of Qualifying Attachment A:
Georgia – Calendar Year 2012 (scholarships awarded
bimonthly)
• Charity International awarded scholarships to the
following Georgia high school students pursuing a
degree in computer technology to attend the college
or university of their choice:
 A. Smith, Baker County ($1,800)
 J. Doe, Warren County ($5,000)
 B. Callahan, Chattahoochie County ($1,200)
 D. Johnson, Cobb County ($800)
 C. Jones, Gwinnett County ($900)
CFC Certification Statement #1
Local or Adjacent Presence
Examples of Non-Qualifying Attachment A:
Americus, GA December 2012 Charity Central held a
Family Day attended by local physicians.
Atlanta, GA November 2012 ABC Charity’s Georgia
chapter held a workshop for local families interested
in learning more about ABC’s research programs.
Presentations were made by ABC Charity Georgia’s
Executive Director and Vice President of Research.
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
Example of Non-qualifying Statewide Attachment A:
Atlanta 2012 ABC Charity coordinates free ground
transportation for cancer patients by encouraging
rental car companies to donate vehicles to the
patients. The counties and number of individuals
served in calendar year 2012 were:
Cobb County (18 beneficiaries)
Jefferson County (1 beneficiary)
Johnson County (2 beneficiaries)
Lamar Country (1 beneficiary)
CFC Certification Statement #1
Local, Adjacent, or Statewide Presence
Example of Non-qualifying Attachment A:
Atlanta The Philanthropy Museum, based in San Diego,
recorded 300 visitors from 27 Georgia counties since
2009.
Macon August 10, 2012 XYZ Institute conducted a
fundraiser at the Macon Independence Day
celebration that raised $22,000. 250 Georgian
residents, representing 45 counties contributed.
CFC Certification Statement #2
Tax-Exempt Status
Not part of group
exemption
 Has own IRS letter
Part of Group
Exemption
 Name may not
be unique
 EIN listed in IRS
BMF
501(c)(3)
TaxExemption
Chapter/Affiliate
 Letter from CEO
 Name and EIN may be
same as the parent org.
CFC Certification Statement #2
Tax-Exempt Status
Family support and youth activities (also known as
Morale, Welfare and Recreation organizations or
“MWRs”) must meet criteria outlined at 5 CFR
950.204(d).
Commanding officer’s letter must specify that
organization is a “Non-Appropriated Fund
Instrumentality that supports the installation
MWR/FSYA program.”
Day care centers located on Federal property may not
participate under these guidelines.
CFC Certification Statement #2
Tax-Exempt Status
Any charity that has not been verified by OPM
as having 501(c)(3) tax-exempt status cannot be
approved by the LFCC. DO NOT approve a
charity contingent on OPM’s verification at a
later date.
CFC Certification Statement #5
Audited Financial Statements
Total Revenue
Per 990
Accrual
Accounting
(GAAP)
Audited
Annually
Submit Audit
>$250k

$100250k




<$100k
CFC Certification Statement #5
Audited Financial Statements
• Audit must cover the fiscal period ending on or
after June 30, 2011 (18 months prior to January
2013)
• Audit must state organization accounts for its
funds in accordance with generally accepted
accounting principles (GAAP) and it was audited
in accordance with generally accepted auditing
standards (GAAS)
“except for” statements may cause denial
• Audit report must be signed, dated and be on the
audit firm’s letterhead
CFC Certification Statement #6
990 vs. Pro Forma 990
IRS Form 990
Pro Forma 990
• Filed with IRS
• Match FY of Audit
• FY ended on or
after 6/30/11
• Officer’s Signature
• All sections
•Download 990 from
IRS website
•FY ended on or
after 6/30/11
•Officer’s Signature
•Parts I, II, VIIA, VII,
IX and XII only
CFC Certification Statement #7
AFR
Regulatory Formula:
In Part IX (Statement of Functional
Expenses, ADD Line 25, Column C to the
amount in Line 25, Column D. Divide the
sum by Part VIII (Statement of Revenue,
Line 12, Column A (Total Revenue).
The regulatory formula must be used. No other
calculations/methods are allowed
CFC Certification Statement #8
Governing Body
“I certify that an active and responsible
governing body, whose members have no
material conflict of interest and a majority of
whom serves without compensation, directs
the organization named in this application.”
• The number of voting members on page 1 must
be equal to or less than the number of individuals
identified as a director or trustee in Part VII (see
CFC Memo 2010-5).
• If page 1 lists more voting members than are
listed in Part VII, the organization must either
provide an explanation of the difference or
submit an amended IRS Form 990
CFC Certification Statement #8
(cont.)
• An organization’s IRS Form 990 that does not include
a complete list of the officers, Board of Directors,
trustees and key employees, and their
compensation, if any, is incomplete and will result in
a denial.
• Uncompensated members must have a -0- in the
compensation column or the box above the table in
Part VII must be checked.
CFC Certification Statement #8
(cont.)
CFC Certification Statement #8
(cont.)
Certifying Official’s Signature
• Certifying official does not have to be
Executive Director, but must be individual in
a position to verify the validity of the
application and all attachments.
• Applicants must check the box next to each
statement to demonstrate agreement to
comply with the statement
Federation Requirements
• Listing of Eligible Member Organizations (Legal
name, DBA, EIN, AFR, and Local Presence Category)
• Submission of Audit Regardless of Size
 Audit must include verification organization is
honoring designations
• Board Terms and Meeting Dates/Locations
• Annual Report
 Describe Dues and/or Fees Arrangements
Appeals Process
• LFCC must provide information on how to
appeal at the local and national levels
• Appeals limited to the facts justifying the
reversal of the original decision
• No oral arguments. All appeals are in writing
only.
• Appeals may not be used to supplement
applications with missing or outdated
documents