STUDENT ACTIVITY BUDGETS AND FUND-RAISING by frm19550

VIEWS: 28 PAGES: 29

									    XENIA
  COMMUNITY
   SCHOOLS


     A GUIDE TO
  STUDENT ACTIVITY
 BUDGETS AND FUND
      RAISING
        AND
BOOSTER/NON-SCHOOL
   ORGANIZATIONS


        26
                                       INDEX


                            STUDENT ACTVITY GUIDELINES

STUDENT ACTIVITY BUDGETS AND FUND-RAISING …………………………………. 3

ACTIVITY PURPOSE, GOALS AND BUDGET…………………………………………….. 4

SALES PROJECT POTENTIAL FORMS           …………………………………………..……. 6
           Sales Project Potential Form Completed (Example) …………….….. 8
           Student Fund Raising Project Record Form …………………………. 10

ACTIVITY REQUISITION FORM ………………………………………………………….. 11

TICKET SALES PROJECT POTENIAL FORM ……………………………….                       12

ATHLETIC TICKET SALES AND CASH ACCOUNTABILITY FORM …………………….13

REQUEST FOR DISPOSAL OF RECORDS FORM             …………………………………….14


                        BOOSTER ORGANIZATION GUIDELINES

Guidelines for Booster Organizations            …………………………………………15

Statement of Booster/Non-School Organizations            ...……………………16


REFERENCES:
     Ohio Revised Code ………………………………………………………………….17
     State Auditor's Description of Student Activity Funds ……………………………18
     Board Policies
            Student Activity Funds 7.15 …………………………………………                19
            Cash In School Buildings 7.14      ………………………………….           21
            Community Relations - Raising & Soliciting Funds 6.08 ……….. 22
            District Support Organizations ……………………………………...            23
            Parent Organizations …………………………………………………                    24
            Booster Organization 6.151 ……………………………………….                 25
            Gifts, Grants and Donations 6.16 ………………………………..             26
     OSBA Guidance for Booster Organization ……………………………………… 27




                                         2
                       STUDENT ACTIVITY BUDGETS AND FUND-RAISING

All fund raising projects are to be approved and scheduled by the building administrator. Detailed
purpose statements and budgets are due to the building administrator by May 15. Proposed fees for
the activity (e.g. Uniform rentals, participation fees, etc.) must be submitted along with the budgets
and approved by the building administrator. Fund raising projects should be scheduled at the end of
the year for the following school year.

Each advisor planning a fund raising project must submit a “Sales Project Potential” form at least
two weeks (earlier if necessary for good to arrive on time) prior to the beginning of the sale, for
approval by the building administrator and the treasurer. The requisition form for purchase of the
sale items should be submitted with the “Sales Project Potential” form. The Board office, upon
approval will prepare and mail the purchase order to the vendor and the approved sales potential will
be returned (no orders are to be placed prior to this).

Solicitations on Sunday and raffle-type fundraisers are not permitted. Students are not permitted to
drive automobiles for the purpose of fund raising because of liability concerns.

All monies collected during fund raising must be deposited with the building Activities Secretary
Daily. No teacher or advisor may hold activity funds.

When the fund raising activity has been concluded, the bottom of the sales project potential form
must be completed in full and should be submitted to the building administrator within two weeks. If
the project involved the sale of tickets, then the “Record of Ticket Events” must be attached. If the
project involved the sale of an item, the “Student Record of Sales” sheet(s) must be attached.

NOTE: Checks are to be requested at least three weeks in advance and purchase orders are to be
requested at least two weeks in advance. No purchase orders or checks will be issued manually,
except in emergency situations. Planning is imperative!

DISPOSAL OF STUDENT ACTIVITY RECORDS: The Auditors have indicated that the Treasurer
should approve the disposal of all records. Student activity records must be maintained for the
current year, plus an additional two school years. At the end of that time period, a request for
disposal of records must be sent over to the Treasurer's office. The Treasurer will review the
request and return it to you indicating approval or disapproval.




                                                  3
                            XENIA COMMUNITY SCHOOL DISTRICT
                               STUDENT ACTIVITY PROGRAM
                              PURPOSE, GOALS AND BUDGET

School ______________________________________________ For School Year 20__

Activity/Organization _____________________________________________________

Sponsor/Advisor ________________________________________________________

Student Treasurer (If Applicable) ___________________________________________

      NOTE: This report shall be submitted to the Building Principal by May 15th of the
      preceding school year for approval.



I.    General Purpose (objectives of this Activity:

      A. To promote the general welfare, education and moral of all the students and to finance
         the normal legitimate co-curricular activities of the student body organization.
      B. _______________________________________________________________________
         _______________________________________________________________________
         _________________________________________
      C. _______________________________________________________________________
         _______________________________________________________________________
         _________________________________________

II.   Goals of this Activity Program for the school year indicated above.

      A. _______________________________________________________________________
         _______________________________________________________________________
         _________________________________________
      B. _______________________________________________________________________
         _______________________________________________________________________
         _________________________________________
      C. _______________________________________________________________________
         _______________________________________________________________________
         _________________________________________




                                                 4
                              ACTIVITY TREASURER’S BUDGET
                                     7/01/20____ - 6/30/20____

        Date_____________ Original        Date______________ Amendment # ____

Activity Name: _________________________ Building: ______________________

Sponsor/Advisor: ______________________________________________________

III.   Proposed Budget - Fund:__________ SCC______________:
                               Balance on Hand July 1, 20____ $________________
Estimated Resources:
               Source of Income                  Projected Dates     Amount
(1)1610 Admissions:


(2)1620 Sales:


(3)1630 Dues & Fees:


(4)1820 Donations:


(5)1890 Miscellaneous:


                          Total Estimated Receipts:

   Total Beginning Balance and Estimated Receipts

Estimated Expenditures:
Func.    Obj.                 Description               Projected     Amount
                                                          Dates




                         Total Estimated Expenditures

                     Total Estimated Balance on Hand 06/30/20___

Prepared by Sponsor/Advisor _____________________________ Date ___________

Principal’s Signature _____________________________________ Date ___________

Superintendent/Treasurer Approval __________________________________________


                                                 5
                                SALES PROJECT POTENTIAL
            (This Part must be completed in full prior to approval of any fundraiser)
                    (A requisition must also be attached for any purchases)


This Sales Project Potential is a form designed to account for the income (actual and projected) from
sales projects conducted by student activity programs.

The purpose is to provide information to sponsors and administrators of the various projects and
whether they are functioning in accordance with board policies.

       Organization _________________________________________________

       Proposed Sales Project _________________________________________

       Vendor Name _________________________________________________

       Company Address ______________________________________________

       Quantity to be Ordered ______________ Cost per Unit ________________

       Proposed Sales Price per Unit: From: ___________ To:_________________

       Date of Sale: From _____________________ To ______________________

Requested by:                                        Approved by:




       Sponsor/Advisor Signature                     Principal or Bldg. Administrator

                                                     ____________________________________
Date                                                 Treasurer                    Date




            The reverse side must be completed upon completion of project!




                                                 6
                                   COMPLETED PROJECT

PO#(s)__________________________________________

EXPENSES:
                                                                      Sales Price/     Potential
Quantity      Description      Cost/Each       Total Cost                Each          Income
  (1)                             (2)           = (1)x(2)                 (3)          = (1)x(3)




                    Less Returns           (                 )

      (A) COST OF GOODS SOLD          $                          (B) POTENTIAL INCOME $

INCOME: (Total Deposited with Treasurer)
  Date        Amount             Date               Amount              Date           Amount




                                           (C) TOTAL GROSS INCOME $

ITEMS/MONEY NOT ACOUNTED FOR: (Please Explain)

_______________________________________________________________________

_______________________________________________________________________

_______________________________________________________________________

                    (B-C) = TOTAL AMOUNT NOT ACCOUNTED FOR                         $



PROFIT WORKSHEET:
                                   GROSS INCOME FROM SALES (C): $

                                   LESS: COST OF GOODS SOLD (A): $(                              )

                                                    NET PROFIT/(LOSS)          $




Sponsor/Advisor Signature          Date             Principal/Bldg. Admin. Signature      Date


Treasurer                          Date




                                                7
                          EXAMPLE - SALES PROJECT POTENTIAL
            (This Part must be completed in full prior to approval of any fundraiser)
                    (A requisition must also be attached for any purchases)


This Sales Project Potential is a form designed to account for the income (actual and projected) from
sales projects conducted by student activity programs.

The purpose is to provide information to sponsors and administrators of the various projects and
whether they are functioning in accordance with board policies.

       Organization           XHS DANCE COMPANY

       Proposed Sales Project                Nut and Candy Sales

       Vendor Name                   Weight Gain Nut Company

       Company Address               1602 Snowy Lane

       Quantity to be Ordered **     350               Cost per Unit         $1.00

       Proposed Sales Price per Unit: From:           $2.50   To:            $5.00

       Date of Sale: From            11/1/05           To              11/15/05

Requested by:                                         Approved by:




       Sponsor/Advisor Signature                      Principal or Bldg. Administrator

                                                      ____________________________________
Date                                                  Treasurer                    Date


** It is acceptable to say see attached order form or attached requisition if you have a number of
different prices.



            The reverse side must be completed upon completion of project!




                                                  8
                                      COMPLETED PROJECT
                                               Example

PO#(s)                 50538

EXPENSES:
                                                                       Sales Price/          Potential
Quantity         Description       Cost/Each      Total Cost              Each                Income
   (1)                                 (2)         = (1)x(2)               (3)                = (1)x(3)
50          Honey Roasted nuts     1.00          50.00               2.50                 125.00
100         Choc Covered Nuts      1.00          100.00              3.50                 350.00
200         Cashews                1.00          200.00          5   5.00                 1000.00


                     Less Returns:        (     10.00        )              (35.00)
                           A credit would show up on invoice
               (A) COST OF GOODS SOLD        $ 340.00 (B) POTENTIAL INCOME $ 1440.00

INCOME:     (Total Deposited with Treasurer/Building Secretary)
  Date            Amount             Date            Amount              Date               Amount
11/15/05    750.00
11/20/05    500.00
11/30/05    175.00



                                                           (C) TOTAL GROSS INCOME $ 1425.00


ITEMS/MONEY NOT ACOUNTED FOR: (Please Explain)

Randy did not turn in receipts – put on student bill - $10.00

Paul X did not turn in receipts – put on student bill - $5.00
_______________________________________________________________________

                       (B-C) = TOTAL AMOUNT NOT ACCOUNTED FOR                       $         15.00



PROFIT WORKSHEET:
                                      GROSS INCOME FROM SALES (C): $                    1425.00

                                      LESS: COST OF GOODS SOLD (A): $(                   340.00       )

                                                       NET PROFIT/(LOSS)        $       1085.00




Sponsor/Advisor Signature             Date             Principal/Bldg. Admin. Signature       Date


Treasurer                             Date


                                                   9
                  STUDENT FUND RAISING PROJECTS RECORD FORM

Organization                                  Items Sold

Advisor                                     Dates

                              NO. OF     NO. OF        NO. OF
                              ITEMS      ITEMS         ITEMS    SELLING    AMOUNT
 STUDENT’S SIGNATURE   DATE   TAKEN    RETURNED         SOLD     PRICE    TURNED IN




                                       10
                       TICKET SALES PROJECT POTENTIAL
                   (This part must be completed in full prior to approval)

The Ticket Sales Project Potential form is designed to account for the income from student
activities involving ticket sales.

The purpose is to provide information to sponsors and administrators of the various projects
and whether they are functioning in accordance with adopted board policies and guidelines.

       Organization

       Proposed Ticket Sales Project

Requested by:


Sponsor Signature                                    Principal or Bldg. Administrator


Date                                                 Treasurer                             Date



                               Ticket Sales Summary
    (Complete Record of Ticket Accountability on Reverse and Summarize Below)

                                Quantity               Price                             Total


       Adults                               x                        =           $

       Students                             x                        =           $

       Other                                x                        =           $

                                                                         Total               $


                                                Error (+ or -)              $

                                                         Cash Deposit                $


Sponsor Signature                                    Principal or Bldg. Administrator



Date                                                 Treasurer                             Date


                The reverse side must be completed upon completion of project!

                                                11
                                  TICKET ACCOUNTABILITY

                            Beginning               Ending
  Tickets Used            Ticket Number         Ticket Number                    Quantity

Adult Tickets
 Color (________)




                                                      Total Adults

Student Tickets
Color (________)




                                                   Total Students


                                                Total Tickets Sold




         Beginning Ticket(s)                                         Ending Ticket(s)
               Attach Here                                                 Attach Here




                                           12
  RECORD OF ATHLETIC TICKET SALES AND CASH ACCOUNTABILITY


Event                                                           Date

Adult Ticket Color                             Student Ticket Color

                           SECTION I – TICKET ACCOUNTABILITY

                             Beginning                    Ending
   Tickets Used            Ticket Number              Ticket Number                        Quantity

Adult Tickets




                                                            Total Adults

Student Tickets




                                                         Total Students


                                                      Total Tickets Sold

                           SECTION II – CASH ACCOUNTABILITY

                               Quantity             Price                              Total

        Adults                             x                       =           $

        Students                           x                       =           $

        Other                              x                       =           $

                                                                       Total               $


                                               Error (+ or -)              $

                                                      Cash Deposit                 $


Ticket Taker’s Signature                                 Advisor’s Signature

        Beginning Ticket(s)                                                Ending Ticket(s)
             Attach Here                                                        Attach Here

                                               13
              REQUEST FOR DISPOSAL OF STUDENT ACTIVITY RECORDS


I request approval to dispose of the records of the

Student Activity for the                              School Year._______________



Advisor                           Date


_____ Approved


_____ Disapproved

Reason for Disapproval




Treasurer                         Date




Note: Activity Records must me retained for the current school year plus the two (2)
preceding school years.




                                              14
                          BOOSTER/NON-SCHOOL ORGANIZATIONS
                              ADMINISTRATIVE GUIDELINES

Application and Approval

All Booster/Non-School Organizations must be formally recognized and approved by the Xenia
Community Schools Board of Education. In order to be approved, each organization must complete
the Statement of Booster/Non-School Organizations form and submit it to the Xenia Community
Schools Board of Education.

Rules and Regulations

      1. Funds of the organization will only be used for the purpose for which the organization
         was established.

      2. There will at no time be any commingling of funds with student activity accounts, nor with
         funds of the Xenia Community School District.

      3. Any cash or equipment donated to the district must be accepted by resolution of the
         Board of Education.

      4. Funds shall be accounted for by the appropriate officer of the organization.

      5. Proper bookkeeping procedures must be adhered to, and the individual responsible for
         the finances of the organization must be identified by the organization, annually, in writing
         to the Xenia Community School District's Treasurer.

      6. Any purchases made by the organization may not be represented as school district
         expenditures nor may the organization use identification numbers of the district (Tax I.D.
         numbers, sales tax exemption forms, district purchase orders, etc.)

      7. The net income, revenue less operating expenditures, must be spent on the activity for
         which the organization was established.

      8. It is understood that the majority of booster fund-raising is done by parents and other
         community members, and not students.




                                                15
          STATEMENT OF BOOSTER/NON-SCHOOL ORGANIZATIONS
Name of Organization:

The above-named organization, which has been formed as a support, non-school organization for
the benefit of the Xenia Community School District and its students, and wishes to be recognized by
the Xenia Community School District, states it’s purpose to be:




Said organization, which is an entity that clearly distinguishes itself from the district, also provides
the following assurances relating to its procedures and accountability:

       1. The funds of the organization will be used only within the framework of the purpose of the
          organization (as established by it’s by-laws which are attached) with the understanding
          that the funds are not to be construed as public moneys;

       2. There will be no commingling of funds with student activity accounts nor with funds of the
          Xenia Community School District and any cash or merchandise donated to the district by
          the said organization will be accepted by resolution of the Board of Education; funds
          generated will be accounted for by the appropriate officer of the group and not the school
          district treasurer;

       3. Proper bookkeeping procedures are adhered to and those persons who have financial
          responsibility have been identified; and purchases by the group are not represented as
          school district expenditures and do not use identification numbers of the district (Tax I.D.
          numbers, sales tax exemption forms, district purchase orders, etc.);

       4. The organization guarantees that the net income (revenue less expenses) of all funds
          collected will be spent on student activities.

       5. The organization agrees to abide by all other policies and guidelines established by the
          Xenia Community School District.

Witness our hands at ______________, Ohio, this _____day of ________________, 20___ for the
above-named organization.


                                                         By
Witness
                                                               its

                                                         By
Witness
                                                               Its



                                                    16
                                            REFERENCES

                                         Ohio Revised Code

Section 3315.062

(B) If more than fifty dollars a year is received through a student activity program, the
moneys from such program shall be paid into an activity fund established by the board
of education of the school district. The board shall adopt regulations governing the
establishment and maintenance of such fund, including a system of accounting to
separate and verify each transaction and to show the sources from which the fund
revenue is received, the amount collected from each source, and the amount expended
for each purpose. Expenditures from the fund shall be subject to approval of the
board.


Section 009.38

As used in this section and section 009.39 of the Revised Code, "color of office,"
"public office," and "public official" have the same meanings as in section 117.01 of the
Revised Code.

A state officer, employee, or agent shall pay to the treasurer of state all public moneys
received by him as required by rule of the treasurer of state adopted pursuant to
section 113.09 of the Revised Code. A public official other than a state officer,
employee, or agent shall deposit all public moneys received by him with the treasurer
of the public office or properly designated depository once every twenty-four
consecutive hours. If a public official receives public moneys for a public office of
which he is not a public official, he shall during the first business day of the next week
pay to the proper public official of the proper public office the moneys so received
during the current week.


Section 117.01

As used in this chapter:

(A) "Color of office" means actually, purportedly, or allegedly done under any law,
ordinance, resolution, order, or other pretension to official right, power, or authority.

(C) "Public money" means any money received, collected by, or due a public official
under color of office, as well as any money collected by any individual on behalf of a
public office or as a purported representative or agent of the public office.

(D) "Public office" means any state agency, public institution, political subdivision, other
organized body, office, agency, institution, or entity established by the laws of this state
for the exercise of any function of government.

(E) "Public official" means any officer, employee, or duly authorized representative or
agent of a public office.



                                                    17
            STATE AUDITOR’S DESCRIPTION OF STUDENT ACTIVITY FUNDS

There are three funds which are available to buildings to allow building principals, teachers, student
advisors or athletic coaches to do fund raising activities, such as candy sales, vending machine
sales, picture sales, ticket sales, etc. Those funds are, as defined by the State Auditor’s Office:

•   018 – Public School Support Fund

    Authority:        Section 5705.12, Ohio Revised Code

    A fund provided to account for specific local revenue sources, other than taxes or expendable
    trusts (i.e. profits from vending machines, sale of pictures, etc.), that are restricted to
    expenditures for specific purposes approved by board resolution. Such expenditures may
    include curricular and extra-curricular related purchases.

•   200 – Student Managed Activity Fund

    Authority:        Section 3315.062, Ohio Revised Code

    A fund provided to account for those student activity programs, which have student participation
    in the activity and have students involved in the management of the program. This fund typically
    includes those student activities which consist of a student body, student president, student
    treasurer, and faculty advisor (e.g., Student Council, Student Classes, etc.).

•   300 – District Managed Activity Fund

    Authority:        Section 3315.062, Ohio Revised Code

    A fund provided to account for those student activity programs which have student participation
    in the activity and have students involved in the management of the program. This fund usually
    includes athletic programs, but could also include the band, cheerleaders, flag corps, and other
    similar types of activities.




                                                  18
                                                                                                   7.15

                                 STUDENT ACTIVITY FUNDS

It is the purpose of this policy to establish financial controls for the administration of the normal,
legitimate extracurricular activities of the student body organization which promote the general
welfare, education, and morale of all students. In accordance with O.R.C. §3315.062, which places
the responsibility for administration of activities upon the Board of Education of the school district,
the Xenia Community Boar4 of Education has adopted and placed into effect a system of accounting
for the use of student activity programs as detailed in the document "Xenia Community School
District Direct Activity Funds Policy and Procedures." The Treasurer shall keep a copy of this
document on file.

Each activity covered by this policy must be recognized by the Board of Education before
monies can be collected or disbursed in the name of said activity.

The Treasurer of the Board shall be the treasurer of the student activities fund. The
Superintendent shall approve the policy, purpose, and budget statement for each student
activity fund.

The establishment and maintenance of student activity funds shall be in compliance with the
laws of the State of Ohio as follows:

   A. Funds collected shall be turned into the Treasurer on the next business day following receipt if
      the total amount of the funds received exceeds One Thousand Dollars. If the total amount of
      the funds received does not exceed One Thousand Dollars, the funds shall be turned
      into the Treasurer within three business days of receipt, provided that the person is
      able to safeguard the funds until they are deposited with the Treasurer. Provisions and
      procedures shall be established by the Treasurer to safeguard public moneys until they
      are deposited;

   B. Records shall be maintained of the receipt and disbursement of all such monies in
      accounts according to the activity involved;

   C. Disbursements shall be made by check only upon the request of staff advisor and the
      approval of the Treasurer and accompanied by a certificate of availability;

   D. An invoice shall be obtained to verify payment;

   E. The expenditure of monies must serve a public purpose and directly or indirectly
      benefit students; and

   F. Expenditures must be consistent with the policies and/or purposes established .for the fund.




                                                  19
                                                                                            7.15 page 2

All funds should be of an exchange nature and large balances should not be permitted to
accumulate. Money should not be raised or collected unless there is a definite purpose for
doing so.

The Xenia Community Board of Education, recognizing that an activity or graduating class
has raised funds to support its activities during school years, may have unexpended funds
available after the close of school in the year of graduation or have become inactive. It is the
Board's desire that these funds be used in any way that the class or activity may choose, after
Board approval and in accordance with Circular 81-9 of the State Auditor's Office.

A financial report of the condition of student activity funds shall be submitted to the Board.

Legal Reference:

O..R..C. §3315.062

State Auditor Circular 81-9.




                                                   20
                                                                                           7.14

                             CASH IN SCHOOL BUILDINGS

In order to safeguard cash in each school building, and in order to teach such procedures to
students, moneys collected by employees and by student treasurers are to be handled with
prudent business procedures.

All moneys collected shall be receipted accounted for and deposited every twenty-four (24)
hours. In the event that the person in charge of an activity is unable to deposit the money
within twenty-four (24) hours, the money shall be accounted for and deposited in the building
safe of each school. If a safe is not available, then the money must be deposited in the fiscal
office's safe. The money can be held no longer than three (3) business days after receipt and
the amount must be under $1,000.00.. If the amount is more than $1,000.00, or the money
cannot be adequately safeguarded it shall be deposited on the business day following the date
of receipt.

In no case shall more than $10.00 be left overnight in a school building if that building does
not have a safe. The Treasurer provides for making bank deposits after regular banking hours
in order to avoid leaving money in a school building overnight.

Legal Reference:

O. R.C. §9.38




                                              21
                                                                                       6.08
                       RAISING AND SOLICITING FUNDS

By Outside Organizations

A.    Generally

      In general, the schools shall not be used as a collection agency for outside
      organizations. However, voluntary contributions by students and employees to
      charitable causes (e.g. United Way and the United Negro College Fund) and fund
      drives of significance to the schools and the community are recognized as citizens'
      responsibilities.

B.    Emergencies and Disasters

      The Superintendent is authorized to approve the solicitation of' voluntary
      contributions to local fund drives that are of an emergency nature or that are in
      response to disasters having a strong emotional effect on the community.

Fundraising by Students
A.    In the Schools

      Fundraising activities that are within the schools and that are officially sanctioned
      by student organizations must be approved in advance by the Superintendent. The
      sale of food, services and merchandise or the use of other activities designed to
      raise funds must be assigned to student organizations on the basis of need,
      educational value of the project and other criteria deemed appropriate by the
      Superintendent.

B.    Outside the Schools

      In considering the approval of the plans of officially sanctioned student
      organizations to raise funds through sales of various items and services to
      merchants and people of the community, the Superintendent shall establish criteria
      that shall be no less than those applicable to sales within the school. The Board has
      no desire to overburden parents, citizens and merchants with continual appeals for
      the support of student activities or to have students in competition with local
      merchants.

      In consideration of the safety of students engaged in outside fundraising, the
      Superintendent shall restrict door-to-door solicitation to those age groups that are
      reasonably mature enough to benefit safely from the experience.




                                            22
                                                                                              6.15

                       DISTRICT SUPPORT ORGANIZATIONS

The Board of Education appreciates the efforts of all organizations whose objectives are
to enhance the educational experiences of district students, to help meet educational
needs of students and/or provide extra educational benefits not provided for, at the time,
by the Board.

These needs may be educational to parents and/or children. In addition to parents,
membership should be made available to district staff and members of the community.

Each volunteer organization shall work within the appropriate school setting and in
cooperation with the principal and other staff members and shall abide by the policies of
the Board.

The Board shall offer the opportunity for any authorized school support entity to receive
coverage under the district's liability insurance program to protect the entity against
claims resulting from damage or injury resulting from any act or omission of any school-
support entity. The entity shall pay for such coverage upon written notification from the
Treasurer.

District support organizations are encouraged to obtain not-for-profit tax exempt status from the
Internal Revenue Service (IRS), and to comply with the fund-raising and financial disclosure
requirements of the IRS and the Ohio Attorney General.




                                               23
                                                                                   6.14

                           PARENT ORGANIZATIONS

The Board encourages the formation of parent organizations to support the school
programs and to foster closer relationships between the school and the community. These
organizations may be considered as being school related organizations. The Board and
the school staff will cooperate with parent organizations to achieve the goals and
objectives of the school district.




                                          24
                                                                                       6.15
                            BOOSTER ORGANIZATIONS

The Xenia Community Schools recognizes that some of the strongest support comes from
parents or organizations having a strong interest in a specific student or school activity.
Support from booster organizations should be encouraged wherever appropriate as a
means of involving the public in the activities and goals of the District. Principals and
teachers must seek to strengthen and support booster organizations by cooperating and
providing assistance to those booster organizations.

All booster organizations shall be formally recognized and approved by the Xenia
Community Schools Board of Education, and as such must follow all policies and
administrative guidelines related to booster organizations. Principals shall maintain close
communication with booster organizations to ensure harmony with the policies and goals
of the District. Principals shall assume responsibility for the conduct of any organization
approved by the Board, and for the organization's interaction with the students, staff or
programs of their school.




                                            25
                                                                                             6.16

                           GIFTS, GRANTS AND DONATIONS

The Board accepts its responsibility to provide from public funds sufficient supplies and
equipment for an effective instructional program. It recognizes, however, that from time to
time individuals or organizations in the community may wish to contribute additional
supplies or equipment to enhance or extend the instructional program. It shall be the general
policy of the district to direct those who desire to make contributions to consider equipment
or services that are not likely to be acquired from public fund expenditures. The Board may,
by resolution duly passed at a public meeting, accept any gift or grant of land with or without
improvement, and of money or other personal property, and acknowledge the purpose, if any,
for which the gift was made.

The Board reserves the right to refuse to accept any gift when the conditions and stipulations
connected with it deprive the Board of control of the gift or when ownership would tend to
deplete the resources of the district.

Any gift accepted by the Board shall become the property of the Board, may not be returned
without the approval of the Board and is subject to the same controls and regulations as are
other properties of the Board.

Contributions of equipment or services that may involve major costs for installation or
maintenance, or initial or continuing financial commitments from school funds shall be
presented by the Superintendent for Board consideration and approval.

Because of differences in economic resources available to the various schools, and for other
reasons, the purchase of equipment on a matching fund basis, (part of cost provided by an
individual or organization and part by the Board of Education from public funds) must
receive the prior approval of the Superintendent and the Board of Education.

Individuals or organizations desiring to contribute supplies or equipment will counsel with
school officials regarding the acceptability of such contributions in advance of the solicitation
of funds or the making of budgetary appropriations.

A list of supplies and equipment contributed primarily for school use should be reported to
the Board by the Superintendent or designee.

The Board will make every effort to honor the intent of the donor in its use of the gift, but
reserves the right to utilize any gift it accepts in the best interest of the educational program
of the district. In no case shall acceptance of a gift be considered to be an endorsement by the
Board of a commercial product or business enterprise or institution of learning.

Legal Reference:

O.R.C. §3313.36


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                            OSBA Guidelines for Booster Organizations

Booster groups may be created a number of different ways.

Most booster organizations probably fall into the category "unincorporated association." An
association is simply a group of people who have joined together for a common purpose. An
unincorporated association is one that has not filed documents and fees with the secretary of state
and therefore falls short of the title "corporation." This type of association may have some internal
governance structure, a set of bylaws or a charter and officers.

In addition to lacking the tax benefits afforded to other organizations as discussed below, there may
be some personal liability for members of such an organization.

The next level of organization involves incorporation. An incorporated association's actions are
governed by its articles of incorporation, which are filed with the secretary of state. It becomes a
legal entity that assumes risks, carries on business, may be sued and may acquire property. The act
of incorporation also gives the association certain benefits and protections under the law.

Certain incorporated associations may qualify for tax-exempt status. This involves a complex
application process to the Internal Revenue Service (IRS). The association will be deemed tax-
exempt if it receives a letter of determination from the IRS indicating that it is exempt from federal
income taxation (IR code 501(c)(3)). Contributions to the association are tax-deductible only if the
association has secured this letter of determination.

Legal counsel and a financial adviser should be consulted by the individuals interested in forming a
booster group before they decide on a specific corporate form.

                                      Booster Fund-raising efforts

Once the booster group is up and running, it can focus on raising money for the student group it
supports. This is done through a great deal of "sweat equity" on behalf of committed parents and
community members.

Pancake breakfasts, car washes, candy sales and operation of concession stands at school events
are just some of the ways these groups raise money. It should be noted that, unless an exception
applies, sales tax must be collected on retail sales (ORC 5739.02). Note also that certain
incorporated associations may have the advantage of the tax-exempt status discussed above.

Any questions should be directed to a financial advisor and/or the Ohio Department of Taxation.

What about raffles, bingo and other gambling schemes for fundraisers? Ohio law says, it is illegal to
conduct lotteries, pools, poker games, roulette, and other games or schemes of chance for profit.

There are exceptions that may apply to school groups that qualify as charitable organizations (ORC
2915.02(B)). Remember, this requires a tax-exempt status determination letter from the IRS.

Charitable organizations may hold lotteries, pools, poker games or bingo. If the boosters want to
engage in other forms of charitable gambling they do not need a license, with the exception of bingo.
However, there still1 are statutory restrictions about when and how such activities can be conducted
and the method for accounting for proceeds. All money raised, after deduction of necessary
expenses, must be applied to a charitable purpose. That means that after the raffle is over and the
1
1
    OSBA - Ohio School Boards Association

                                                   27
boosters have deducted the costs (if any) from their gross receipts, what's left must be used for
charitable purposes such as buying band uniforms or equipment for the weight room.

If a school group wishes to conduct bingo games, it must apply for a bingo license. An application
must be made to the Ohio Attorney General's office. The law is very specific as to what must be
contained in the application and the methods of conducting a licensed bingo game. Those rules are
beyond the scope of this article. For further information you should contact the Office of the Attorney
General, Bingo License Division at (614) 466-3180.

Booster group should get legal advice before proceeding.

The board of education is authorized to accept gifts, contributions and bequests from students,
community groups or members of the public. Any money received by student groups must go
through the treasurer's office.

Money raised by booster groups should be presented to the board and accepted by the adoption of
a resolution that is read into the board minutes. The resolution also serves to document the purpose
for the contribution or gift.

It is recommended that boosters maintain detailed records of all transactions.




                                                  28
Who’s in charge – booster groups or school
districts?
by Donna McGehean
OSBA management development specialist

          Fund raising by booster clubs is crucial in today's economic climate. While these groups should exist
to enrich students' involvement in extracurricular activities, sometimes they do not. Booster groups may
become entangled in school district business, mired in political problems or paralyzed by personal conflicts.
Then too, they may simply be ineffective in assisting students.
          Why be concerned about booster group activities? Because the booster group's actions will be seen as
being sanctioned by the district. This could enhance or impair community goodwill, as well as the district's
future ability to raise funds. Support groups can be valuable assets to a district, but they also can become a
liability.
          School districts have the right to review and control the activities of booster groups associated with
their schools. Booster groups must recognize this authority and work within a framework prescribed by school
administration.
          The board of education has a duty to manage the public schools in its district and has the authority to
make rules and regulations necessary to govern its students and schools. It is the primary authority to exercise
supervision and control in both academic and extracurricular activities. The boosters group's role should be
one of support.
          The district also is accountable for managing public money. Ohio Revised Code Section 3117.01 (C)
defines public money as any money received, collected by or due a public office, under the color of office, as
well as any money collected by an individual on behalf of a public office, or as a purported representative or
agent of the public office.
          In order to meet these obligations, a district needs specific board policies regarding boosters and other
support groups. These policies should define school-sponsored events, as well as address the proper use of
school
facilities, premises and equipment. District-supported organizations should be required to submit plans in
advance for fund-raising activities. They should abide by all board policies. Further, district-supported
organizations' bylaws should be submitted for review prior to any fund-raising activities.
          The value for many booster organizations and support groups is their association with the school
district. Therefore, the boosters will want to maintain ties to the schools. While a district cannot refuse to
recognize the booster group as a legal entity if the group establishes itself as a corporation or association, the
district may discontinue the extension of privileges. If the district cannot achieve a cooperative, open
relationship with any support group, then it should quickly disassociate from that organization.
      To deal effectively with booster group activities, the district must maintain and document the separation
of activities between the booster group and the school district. Following are recommendations to achieve this:

     •   Booster groups should not use the school's tax ID number.
     •   Booster groups should not accept checks made to the school, and vice versa.
     •   School district officials should have no leadership role in booster organizations.
     •   Fund-raising activities should not occur on school premises or during school hours unless a fee is
         charged for use of the premises or a policy exists to waive the fee and make the premises available to
         all community groups.
     •   Districts should require documentation on the group's ownership of property and fund-raising
         activities.
     •   Districts should regulate the use of district names, emblems, etc.
     •   Districts should notify the booster groups of the degree of authority the board will assume.
     •   Districts should require formal organizational structure of the booster group.
     •   Districts should require the booster group to provide regular reports on income, expenses and balance
         sheets.
     •   Districts should know who the booster group's members and officers are.

June 2004 OSBA School Management News


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