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 % Sampling of federation membership encouraged Completeness Review Contact applicant regarding administrative oversights

Key Application Documents Att. A 2012 Service Description Att. B IRS Determination Letter Att. C (if appl.) Audited Financial Statements Att. D IRS Form 990 (same period as audit) 2013 CFC Application Certifications

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 Macon August 10, 2012 XYZ Institute conducted a fundraiser at the Macon Independence Day celebration that raised $22, Georgian residents, representing 45 counties contributed.

CFC Certification Statement #2 Tax-Exempt Status 501(c)(3) Tax- Exemption Not part of group exemption Has own IRS letter Part of Group Exemption Name may not be unique EIN listed in IRS BMF 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 (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 >$250k$ k <$100k Accrual Accounting (GAAP) Audited Annually Submit Audit

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 Filed with IRS Match FY of Audit FY ended on or after 6/30/11 Officer’s Signature All sections Pro Forma 990 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 ). 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.)

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