Funds held and managed exclusively by CO

[vumbi]

We are moving in this direction, probably next FY. Another organization of which I'm a member also has 501 c3 status and during a recent audit (not any fun at all, BTW) it was found that the organization was not meeting one of the requirements for this status as well as the IRS thought they should. We weren't kicked out of the status but rather given a year to correct our operations, which we are doing. I was unaware of all this until recently and it was embarassing to have this out there.

 

Anyway, our chartering organization is very careful of their status and in a recent meeting, this issue was raised. They suggested moving the treasury, the account, and the oversight to the chartering organization treasurer's office. We were actually relieved at this proposal because in past years, when our unit treasurers had come and gone, we had confusion with each transition and it took a lot of time away from actual scouting. This new move will solve that and even better, the chartering organization treasurer seems to relish the thought of adding this to their duties.  For us it will be win/win.

[John-in-KC]

We are moving in this direction, probably next FY. Another organization of which I'm a member also has 501 c3 status and during a recent audit (not any fun at all, BTW) it was found that the organization was not meeting one of the requirements for this status as well as the IRS thought they should.

 

With the IRS getting more stringent on charitable organization qualifications, this is probably going to the case more often, not less.

 

As to Mr Ed T24, you need to read the Charter Agreements again.  The contract is between the partner and the council.