WELCOME TOGUIDELINES FOR PARENT

ORGANIZATIONS AND BOOSTER CLUBS 2018/19

7:00 - 8:30 PM

Presented by:Dr. Jennifer Williams, Executive Director Administrative ServicesMs. Joan Velasco, Assistant Superintendent Business Services Mr. David Bennett, Director Business Services

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PRIMARY OBJECTIVE•The Board of Trustees recognizes that parents may wish to organize for the purpose of supporting extracurricular programs such as athletic teams, debate teams, and musical groups.

•The Board supports such activities and welcomes parental interest and participation.

•The Board, Superintendent, Administration, and teachers/coaches appreciate your support!

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FUNDAMENTALS•This presentation represents best practices of School Districts in California.

•Booster and parent organizations are not legally part of the School District but normally adhere to District direction.

•Most boosters are school-connected supporting their students.

•The funds raised are normally voluntary donations from donors in the community.

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OBJECTIVES OF THIS TRAINING•Discuss regulations related to parent organizations as they interact with public schools

•Provide information on District specific Board Policies and procedures for community activities

•Give ideas to simplify the accounting challenge for nonprofit organizations

•Discuss general guidelines for nonprofits

•Q&A

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RELATIONSHIP OF BOOSTERS TO DISTRICT

• ASB’s are legally part of the District and thus tax exempt and are annually audited

• Boosters are not legally part of the District and not currently audited

• Therefore, the funds of these two groups cannot be commingled

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DEFINITIONS•School-connected organizations (Boosters) exist to raise money for their kids.

•Boosters raise money from the local community and from parents (via the students).

•Boosters represent that solicitations are for the School.

•Boosters will operate using the name of the School or District (providing the District has approved the Boosters). If the purpose of a Booster group changes, the District can revoke the Booster group charter.

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WHY DOES THE GOVERNING BOARD REQUIRE AN ANNUAL RENEWAL?

• Board requires annual renewal – Why?

• Includes approved organizations and “Board approved” fundraising under District’s Insurance Policy (safeguard for organization & District)

• Provides ability for community members to obtain list from District of approved boosters organizations and fundraisers

• Control - Allows Superintendent ability to govern

• Grants the Board the right to audit financial records at any time

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DISTRICT BOARD POLICIES• District BP 4222: Code of Ethics of the Teaching Profession- has been in place since 1978.• Integrity, ethical standards, no commercial gain

• District AR 4222.1 Code of Ethics and Conduct for all Athletic Coaches, Advisors, and all Individuals Working with Co- and Extracurricular Activities• Cannot begin service until cleared, duty to report, no personal

gain outside of District procedures, ethical behavior at all times

• District BP 4236 Non-School Employment (Conflict of Interest)

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In 1874 the Supreme Court held that students are entitled to education at public expense, known as “FAPE”.

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FEES

●On September 9, 2010, ACLU filed a lawsuit against California and the Governor

●Stated that the State allowed Districts to charge fees for books and other supplies and that this practice “discriminates” against children from a low socio-economic background which results in an unfair education system

●On December 9, 2010, the Governor reached a settlement with ACLU which states that Districts will be notified of the prohibition of fees not specified in Ed Code as allowable

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Always in the News

“After investigation, a determination was made pursuant to Education Code

49010, that enough confusion existed about whether the Spirit Packs were

mandatory or optional because of the flyer’s discussion of ‘personal space items’

being required,” wrote Sasha Scott, assistant principal of student activities, in a

letter to parents on Thursday. “As such, a finding was made that the purchase of

last year’s spirit pack was an illegal fee for parents who believed the items were

required to be purchased from the District to participate in cheer.”

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FREE PUBLIC SCHOOL SYSTEM• Title 5 CCR, Section 350 – “A pupil enrolled in a school shall not be required to pay any fee, deposit, or other charge not specifically authorized by law,” as a condition of participation in curricular or extracurricular activities• May ask/suggest “donation” sum

• California Constitution – Article IX, Section 5 – “No student shall be required to raise a specified amount of money as a condition of participation in an activity sponsored by a school-connected organization• Fundraising must always be “voluntary”

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ALLOWABLE FEES• Cost of District furnished

materials the student gets to keep and take home

• Cost of food served to pupils

• Charges to parent for lost or defaced books or other school property

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ALLOWABLE FEES• No pupil shall be prevented from participating in a field trip

due to lack of sufficient funds.

• Parents may donate funds to support the costs of field trips and transportation costs.

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• Districts must provide insurance for field trips or make available, and which cost of insurance may be paid by parents.

• No pupil shall be denied the opportunity to participate in a school camp. The District may charge a fee for parents willing to pay for the camp program.

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● Districts must provide insurance for each athletic team member or make available, and which cost of insurance may be paid by parents.

FEES Specifically Allowed by Law:

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USE OF SCHOOL FACILITIES• Booster groups may use District facilities by:

• Verifying availability with school Principal or designee• Creating an account on the District reservation system

• https://fjuhsd.districtcalendar.org (see Handout)

• The Laws:• Community programs on district school premises

• Education Code sections 10900-10915 (B.2)• Civic Center Act - Use of school property for public purposes • Education Code sections 38130-38139 (B.3)

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EXAMPLES OF ASB OR BOOSTER ALLOWABLE or PROHIBITED FUNDRAISERS

Allowable• Athletic events (compliant with

league agreements)• Concession sales• Entertainment and dances• Advertising• Publications• )• Book fairs• Cultural events• Car washes- ok per ASCIP, but with

concerns about water, the District is saying No.

Prohibited Not insurable and/or allowed by law• Watercraft activities • Raffles or games of chance• Animal and mechanical rides• Jump/bounce houses or

trampolines• Use of darts or arrows• Objects thrown at live targets• Use of any water tanks• Cosmetic sales, manicure/makeup

booth• Used jewelry, clothing, bedding

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FOOD SALES

•Because Food Laws are important and complex, our recommendation is that you consult with your Food Services personnel for any and all types of proposed food-connected sales during school hours

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FUNDRAISING ACTIVITIES•Door-to-door sales by students

• Not allowed by District policy (safety issues)• Permissible for sales to family and friends

•Raffles and games of chance• 501(c)(3) status may conduct raffles and games of chance which require payment of a fee

• Nonprofit must register annually with Attorney General Office before conducting raffle

• Minors cannot participate

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FUNDRAISING SAFEGUARDS• Pre-designate the use of funds and know why you are raising funds

• Read all contracts carefully and know what you are agreeing to in the contract

• Make sure there is insurance coverage

• Discuss all planned use of funds during open Booster meetings and include decisions in all meeting minutes (provides a record)

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OTHER REGULATIONS•District employees should not serve as a signor

•No individual shall personally benefit from not-for-profit activities

• NO compensation, loans

• NO transfer of property

• NO furnishment of goods, services, facilities, etc.

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OTHER REGULATIONS • Organizations may not hire or directly pay individuals who work frequently and directly with students, e.g. walk-on coaches

• May donate funds to District to cover salary and benefit costs if approved in advance by governing board, and not in conflict with CIF and Collective Bargaining agreements

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Boosters Assisting With Coaching Needs

• The District hires coaches, not the Booster organization.

• For athletic programs governed by CIF the District only allows Booster Clubs to donate money for summer pay.

• Boosters do not advise coaches on how to coach the team.• Boosters will not be consulted in site Administrative decisions related to coaches.

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OTHER REGULATIONS

• Fingerprinting and background checks are required for volunteers who interact withminors who are not under immediate supervision of a District employee

• Must prepare IRS Form 1099 for Independent Contractors for all payments greater than $600 in one year

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WHO ACCOUNTS FOR MONEY FROM FUNDRAISERS

•Booster funds are to be maintained completely separate from ASB accounts

•Nonprofits must account for all funds raised, received, and spent by the organization - Good Bookkeeping

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•Different individuals should perform the three general duties of management (approval), accounting (recording), and maintaining (custody) of the funds…A-R-C

ApprovalCustody of the Funds

Recording

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•No one person should have control of two or three of the functional responsibilities

•Relatives cannot serve on the board together unless they are holding the same position together, i.e., “Co-Presidents”

•Examples: Person reconciling the bank statement is different than the one writing the checks; Person signing checks is different than the one writing the checks

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SAFEGUARD ASSETS● Two Booster officers sign every Contract and check● Money should be counted by two or more persons● Keep money safe and put in bank ASAP● Never pay people or buy anything with cash from fundraiser● Bank reconciliations prepared monthly and reviewed at meetings

● Financial Reports discussed at regular meeting

● Discourage large amounts of cash in anyone’s possession

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INCOME & RECEIPTS• Records are maintained with

pre-printed sequentially numbered receipt books or lists of donors and amounts

• Identify the holders of receipt books • Copies of voided receipts are retained

• Reconcile receipt books to deposits

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TRACKING SALES•Track Inventory of all goods you are selling

•Sell tickets for outside food vendor sales, do not allow the vendor to collect the cash

•Tacos, Funnel Cakes, etc.

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What to do if your Booster group wants to disband? • If the Booster group’s services are no longer necessary…

• Either suspend for a specific time period by putting the entire organization on hold (or)

• Close the Booster• To close the group

• Have the group vote to disband• Donate any remaining funds to

• Either the ASB account for the same student activity (or)• Donate the funds to the school’s general ASB budget for use by all

students at the school• Under no circumstances may the funds be taken for use by any

outside group• Under no circumstances may the funds be given directly to

students or parents for personal use

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DISBURSEMENTS•All expenditures approved prior to purchase

•Pay with a check and keep supporting documentation and reflected in the

meeting minutes

•No blank, pre-signed checks

•Use checks in proper sequence

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DISBURSEMENTS•All invoices must be approved and submitted for payment promptly

•All invoices should be cancelled by marking them:• Date paid• Check number used• Amount paid

•All invoices should beretained for audit purposes

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REIMBURSEMENTS •Limit the amount of reimbursements

•Requestor should provide a receipt, invoice, or other evidence of expenditure.

• If there is no receipt, then have the requestor write out a statement as to why no receipt and describe expenditure.

•Attach evidence to check copy or numerically associate it to the check

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KEY ELEMENTS OF 501(c)(3)

•Purpose of organization•Describe programs and activities•List funding sources•Names, addresses and titles of board officers•Financial information (historical if applicable or proposed budgets)

•Must file tax return or 990

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OTHER WAYS TO HELP YOUR STUDENT•Optionally may join or operate under the “umbrella” of another school-connected organization approved by the District Board

•Parents may serve in a support role to student and school activities• Student group(s) sponsor and manage fundraising activities and

funds• Eliminates the need for a Tax ID and financial accounting and

reporting

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ONLINE ASSISTANCE

• www.fjuhsd.org>Business Services Tab (Booster Manual)

• www.parentbooster.org/ (Booster Info)

• www.guidestar.org (Non-Profit Info)

• https://www.irs.gov/charities-non-profits/exempt-organizations-select-check (Non-Profit Status)

• www.fcmat.org/stories/storyReader$911 (ASB Manual)

• www.ocfoodinfo.com/tff (Orange County Health Department)

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BOOSTER RESOURCES

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WE APPRECIATE AND VALUE YOUR SUPPORT OF OUR STUDENTS AND

SCHOOLS!

Thank you for attending

Any last questions??

Jennifer