2015 Combined Federal Campaign (CFC)

CHARITY APPLICATION GUIDE

www.alaskacfc.org

For more info please contact (907)263-3834 or bdreyer@ak.org

The purpose of this guide is to assist you with the application process. This guide does not intend to replace the application instructions issued by the OPM. For more detailed instructions and thorough information about the 2015 CFC Charity Application, please see the complete application packet that is available at www.alaskacfc.org and www.opm.gov/cfc.

The decision on your organization’s application is made by the LFCC (board of directors of the local CFC). The CFC staff is not involved in the approval or denial of applications.

DISCLAIMER

The mission of the CFC is to support and to promote philanthropy through a voluntary program that is employee-focused, cost-efficient and effective in providing all Federal employees the opportunity to improve the quality of life for all.

CFC Mission

All aspects of the CFC, including the eligibility for participation, are strictly governed by Federal regulation.

The current CFC regulations can be viewed on OPM’s website at www.opm.gov/combined-federal-campaign/reference-materials/.

CFC regulations

Deadline for 2015 Application is 3/30/2015 at 5 pm. Please check back on our website periodically

at www.alaskacfc.org for updates and latest information.

Announcement was made via email on 2/6/15. The CFC will not accept late applications.

Requests for consideration after the deadline will not be considered.

Deadline

Overview

◦ Where to Obtain the Application & the Required Attachments

◦ How to submit a Completed Application◦ Filling out the Application◦ Attachment A: ◦ Attachment B: IRS 501(c )3 Determination letter◦ Attachment C: Audited Financial Statements◦ Attachment D: IRS Form 990/ IRS Form 990 Pro Forma◦ Attachment E: 25 Word Statement◦ Appeal process

2015 Charity Application

To participate in the Alaska Combined Federal Campaign which covers the state of Alaska, please submit a completed 2015 CFC Application and required Attachments to:

By mail:Alaska CFC701 West 8th AvenueSuite 230Anchorage, Alaska 99501

In person:Alaska CFC807 G StreetSuite 100Anchorage, Alaska 99501 For inquiries, please call (907) 263-3834 or email Barb Dreyer at bdreyer@ak.org.

SUBMITTING Your APPLICATION

There are 13 certification statements in the application. 12 of which require applicants to check the box next to them.

Applicants must check the box corresponding to each of these certification statements to indicate agreement to comply with the statement and to certify that it meets the requirement.

Unchecked certifications will be considered intentional and a refusal to certify will result in denial of the application.

Application Form

Name of Organization (Page 9). Please fill out the name of your organization as it appears in the IRS Business Master File, 501(c)3 Determination Letter, IRS 990 and Audited Financial Statements.

DBA (Doing-Business-As) Name is acceptable only if you provide official documentations from the IRS or State Government authorizing use of this name with EIN identical in all documents.

Application Form (con’t)

Certification Statement #1 (Page 9)

If you check the box for Certification #1 it indicates that your organization has substantial Local Presence in the geographical area covered by the Local Campaign.

Local Presence

A staffed (by paid staff or volunteer) facility, office or portion of a residence dedicated exclusively to that organization

Physically accessible by the public seeking its services

Must be open at least 15 hours a week Must have a telephone dedicated

exclusively to the organization. Service delivering locations and the main

office can be in different addresses.

Local Presence (2)

Certifying Official’s Signature

Certifying official does not have to be the Executive Director, but must be an 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.

Annual Report for Calendar Year 2014 is acceptable. Description of actual “Human Health and Welfare”

services and activities provided in 2014. Organizations are encourage to submit the

following:◦ Number of beneficiaries/services/program recipients of

each service provided by the organization in 2014. ◦ The value of financial assistance provided in 2014.

“2014” must be printed on Attachment A.

Program services and activities that rely on a 800 number, website, mail or a combination of them are not eligible.

Attachment A

A Copy of the most recent IRS Determination Letter is required.

If the Name of the organization differs on the IRS Determination Letter, IRS Form 990, and/or audited Financial statements, documentation from IRS or State Government authorizing this name change must accompany the application.

Organizations that are part of an IRS Group Exemption must provide a copy of the IRS letter granting the group exemption along with the list of subordinates (with individual EINs) that are covered by the group exemption.

Attachment B: 501(c)3 Status

Bona fide chapters or affiliates of a National Organization that do not have an IRS Determination Letter for the local chapter must provide a certification letter signed by the CEO or CEO equivalent of the National Organization (must be dated on or after 10/1/2014) stating the local organization operates as a bona-fide chapter/ affiliate in good standing of the National Organization and it is covered by the national Organization’s 501(c)3 tax exemption, IRS Form 990 and Audited Financial Statements.

A copy of the National organization’s 501(c)3 letter must

accompany the CEO’s certification letter.

501(c )3 & Bona fide Chapters

To verify your organization’s current tax-exempt status please contact the IRS at (877) 829-5500.

IRS

Organizations with $100,000 or more in annual revenue are required to conduct an Annual Financial Audit following guidelines as below.

Only Organizations with $250,000 or more in annual revenue are required to submit the Auditor’s Report & Audited Financial Statements.

A copy of the Auditor’s Report and the Organization’s complete audited annual Financial statements◦ Must be Ending on or After June 30, 2013◦ Must match the period covered on the IRS 990◦ Must follow the GAAP & GAAS standard (GAAP requires the use of

the Accrual Method of accounting only. Cash basis, modified cash basis, or modified Accrual method are not acceptable)

◦ Must be signed by the CPA Auditor or the auditing firm<<Refer to the application>>

Attachment C: Audit

A Complete, Signed by an Officer IRS Form 990 (ending on or after June 30, 2013) is required. (Signed by an Officer listed as such in the 990- CEO/COO/CFO and not the preparer.) Including all supplemental statements and schedules (except Schedule B).

Electronic Copy of IRS 990 must also submit Form 8879-EO or Form 8453-EO in lieu of a signature on the IRS Form 990.

Voting Members:◦ If Part I, Line 3 is more than the number in Part VII, the organization

must provide an explanation for the difference.◦ **Compensation of Governing Body- A majority of them should serve

without compensation. (Memo 2012-03)◦ **Admin & Fundraising Rates: Charities that do not reflect Admin and

Fundraising expenses on IRS Form 990 resulting in 0% AFR will be denied unless the audited financial statements specifically state that these services were donated. (Memo 2012-03)

990EZ, 990PF or other comparable forms will not be accepted.

Attachment D: IRS Form 990

CFC regulation 5 CFR § 950.203(a)(3) requires an organization that is not required to prepare and submit an IRS Form 990 to the IRS to provide the CFC with certain portions of the IRS Form 990 as a pro forma document.  IRS Forms 990EZ, 990PF, 990-N and comparable forms are not acceptable substitutes.  To prepare a pro forma IRS Form 990, an applicant must download a copy of the IRS Form 990 (long form) from the IRS website (www.irs.gov) and complete the following sections.

Items A-M on Page 1 Part I (Summary) – Lines 1-4 only Part II (Signature Block) – the paid preparer’s signature is not acceptable in

lieu of the signature of an officer Part VIIA (Compensation of Officers, Directors, Trustees, Key Employees,

Highest Compensated employees, and Independent Contractors) – Section A only

Part VIII (Statement of Revenue) Part IX (Statement of Functional Expenses) Part XII (Financial Statements and Reporting)

IRS Pro Forma

Calculation of AFR; form 990:ADD:- Amount in Part IX (Statement of Functional Expense), Line 25,

Column C (Management and General Expenses) toLine 25, Column D (Fundraising Expenses)

Divide by - Total Revenue (Part VIII, Line 12, Column A)

** Charities which do not reflect Admin & Fundraising expenses in the Statement of Functional Expenses of the IRS form 990 resulting in a 0% rate but show such expenses on Audited Financial statement will be denied UNLESS the audited financial statement specifically state that these services were donated. (Instructions Page 6; last paragraph)

AFR

Amount in Part IX, Line 25, Column C is $23,586

Amount in Part IX, Line 25, Column D is $8,702

Amount in VIII, Line 12, Column A is $456,027

(23,586+8,702)/456,027 = 0.070802 AFR equals 7.1%

Example AFR Calculation

Should not repeat the Organization’s name. Both Legal & DBA Name will be listed Select 3 alpha Taxonomy Codes that describe the

services and activities of your organization the best.

The 26 Taxonomy Codes are listed here (pick 3): A Arts, Culture, and Humanities

B Educational Institutions & Related Activities C Envir. Quality, Protection & Beautification D Animal Related E Health – General and Rehabilitative F Mental Health, Crisis Intervention G Disease, Disorders, Medicinal Disciplines H Medical Research I Crime, Legal Related J Employment, Job Related K Food, Agriculture, and Nutrition L Housing, Shelter M Public Safety, Disaster Preparedness & Relief N Recreation, Sports, Leisure, Athletics O Youth Development P Human Services – Multipurpose and Other Q International, Foreign Affairs, National Security

R Civil Rights, Social Action, Advocacy S Community Improvement, Capacity Building T Philanthropy, Voluntarism & Foundations U Science & Technology Research Institutes, Services V Social Science Research Institutes, Services W Public, Social Benefit: Multipurpose, Other X Religion Related, Spiritual Development Y Mutual/Membership Benefit Orgs., Other Z Other

Example:

DBA Name (Official Name) (305)111-0000, www.opm.gov EIN#123456789 The description will contain no more than 25 words. 4.2% B,V,O

Attachment E: 25 words

There are a few changes we wish to bring to your attention:

◦ Every application must be signed by a certifying official, but OPM no longer requires that each application contains the original signature. 

◦ The instructions have been updated to incorporate guidance issued in CFC Memos 2012-03 and 2012-05.

◦ The taxonomy code titles have been revised.

Recent Changes

Applicants may appeal the board’s decision to deny their application to participate by sending a letter requesting reconsideration and providing the reason(s) why they believe the board’s decision was in error.

Requests for appeal must be received by the LFCC within 7 business days from the date of receipt of the initial LFCC decision or 14 calendar days from the date the decision was mailed, whichever is earlier. (§950.205(b))

If your appeal or request for reconsideration is denied again, you may appeal to OPM’s Director.

Appeal Process

www.alaskacfc.org

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For questions or comments please email bdreyer@ak.org