Whatcom Council of Nonprofits

Nonprofit News & Views

The Nonprofit News & Views section, brought to you by the WCN Advocacy Workgroup, addresses the issues that affect the nonprofit sector in the broadest sense.

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NEW HEALTH REFORM LAW GIVES TAX CREDITS FOR PROVIDING HEALTH CARE

The new health reform law gives a tax credit to certain small employers (including non-profits) that provide health care coverage to their employees, effective with tax years beginning in 2010. Re-filing is allowed to get this credit, which for non-profits is accomplished through credits against payroll trust taxes.

In the following Q&A, #2 and #11 are particularly addressed to 501(c)(3) organizations. 
http://www.irs.gov/newsroom/article/0,,id=220839,00.html

This is a quote from the following website: 
"If you have up to 25 employees, pay average annual wages below $50,000, and provide health insurance, you may qualify for a small business tax credit of up to 35% (up to 25% for non-profits) to offset the cost of your insurance. This will bring down the cost of providing insurance."
http://www.healthcare.gov/news/factsheets/2011/08/small-business.html (Posted 11/9/11)

WASHINGTON STATE IMPOSES SALES TAX ON AMUSEMENT AND SPORTS

Beginning this month, organizations in Washington State charging for admission to sports-related amusement or activities must charge and remit sales taxes to the state. The tax applies regardless of tax-exempt status. Nonprofits like local YMCAs and youth leagues remain exempt from property tax and sales tax for programs for members, but they must pay sales tax on non-member program fees associated with "amusement and recreation."  (From National Council of Nonprofits Advocacy Matters e-newsletter) (Posted 10/24/11)

THE iSECTOR: ARE YOU IN?

Depending on where you live, you may call them non-profits, not-for-profits, or non-governmental organizations (NGOs). These organizations educate kids, fight for justice, feed the hungry, house the homeless, eradicate poverty, protect our planet, fuel the arts, nurture our spirits, find cures for cancer and generally do everything in their power to make our world a better place. And yet, we define them by what they are not.

Intrepid, Inspired, Innovative, Invested, Impactful:  offers 5 words to reframe "nonprofit" sector. Check out this blogpost by Erica Mills of Claxon Marketing for an article that is part uplifting declaration, part reminder to continue aiming high and then higher. http://claxonmarketing.com/2011/10/04/the-isector-are-you-in/ (Posted 10/10/11)

NONPROFIT TAX QUIZ

Join the the fun by taking the nonprofit tax quiz with your co-workers.  You can find this in the latest edition of the Blue Avacado http://www.blueavocado.org/node/684 (Posted: 8/15/11)

HOW WILL THE CREDIT DOWN GRADE IMPACT NONPROFITS?

Join in the conversation happening in the online Nonprofit Quarterly http://www.nonprofitquarterly.org/index.php?option=com_content&view=article&id=14826:heres-what-sap-actually-said&catid=153:features&Itemid=336 (Posted: 8/15/11)

IRS INCREASES MILEAGE RATE TO 55.5 CENTS PER MILE: The IRS announced an increase in the optional standard mileage rates for the final six months of 2011. The rate will increase to 55.5 cents a mile for all business miles driven from July 1, 2011, through Dec. 31, 2011. This is an increase of 4.5 cents from the 51 cent rate in effect for the first six months of 2011. The new rates are contained in Announcement 2011-40 (opens a PDF) on the optional standard mileage rates. (Posted: 8/1/11)

501 COMMONS: ESC of Washington is now 501 Commons.  For more information, visit www.501commons.org .  501 Commons' mission is to boost the capacity of nonprofit organizations to thrive over the long term and effectively serve the community.  (Posted 3/28/11)

WESTERN WSHINGTON NONPROFITS AND THE ECONOMIC DOWNTURN: Are Western Washington's nonprofit organizations rebounding from the recession and preparing to further strengthen their programs and increase their services? Or do they remain in a more troubling condition, in which slow economic growth, major constraints on government spending, and competition for donors combine to require that many nonprofits perma nently restructure their programs and shrink their scope of services? These are the questions explored by a class of graduate students from the Evans School of Public Affairs at the University of Washington in their recent interviews with nonprofit executive directors and program managers throughout the region. This report on the impact of the economic downturn summarizes those interviews and has been prepared by the Nancy Bell Evans Center on Nonprofits and Philanthropy at the Evans School (the "Center").  To read more click here:  Download Resilient Nonprofits (136 KB PDB) (Posted 3/14/11) 

WHERE ARE WE NOW? ECONOMIC PRESSURE ON THE NONPROFIT SECTOR: A survey of Whatcom County Nonprofits was conducted in September 2010 by the Whatcom Community Foundation, St. Luke's Foundation and the United Way of Whatcom County for the Whatcom Funders Alliance. To read the results and analysis use this link. (Posted 2/28/11)

A "NEW" HOME FOR THE WHATCOM COUNCIL OF NONPROFITS

The Whatcom Community Foundation (Foundation) has readopted the Whatcom Council of Nonprofits (WCN) as a Foundation program following the closure of the Whatcom Coalition for Healthy Communities (Coalition). WCN was created with support from the Foundation in 1999. WCN was designed to build relationships, share resources, and communicate the vital roles of nonprofit organizations in Whatcom  County.  The program was dormant for several years until a group of Leadership Whatcom participants revived it, finding a new a home for it with the Coalition which also launched Leadership Whatcom. When the Coalition closed its doors at the end of 2010, the Foundation's Board was approached about taking WCN in as one of its programs. According to Joyce Pedlow, Foundation Board Chair, "The Foundation Board sees great value in WCN and recognizes its essential role in supporting area nonprofits. It's an excellent complement to the Foundation's work."

WCN is also sponsored by the Mary Redmond Foundation and the Bellingham Public Library. The Foundation is actively seeking additional sponsors to support this program. Please contact Pamela Jons or Mauri Ingram for more information 360-671-6463. To learn more about the Foundation, please visit www.whatcomcf.org. (Updated: 2/25/2011)

SOLICITING FOR CHARITY IN WASHINGTON STATE: The provisions of RCW 19.09 with notes on the effect of HS 1485 if passed. 

By Putnam Barber, February 3, 2011

RCW 19.09: Washington's Charitable Solicitations Act appears as chapter 19.09 of the Revised Code of Washington; there are also associated rules in the Washington Administrative Code (WAC 434-120-010 to -280). The Act and the WAC regulate four related kinds of activities:

·         The act of solicitation of a charitable contribution.

·         The fundraising practices of "charitable organizations."

·         The business practices of "commercial fundraisers."

·         The content of contracts between "commercial fundraisers" and "charitable organizations."

PROPOSED CHANGES - HB 1485: The Secretary of State's office has proposed several amendments to RCW 19.09 in a bill under consideration by the 2011 Legislature.  Notes in the text below indicate the principal effect these changes would make should HB 1485 be adopted as submitted.  The text and legislative history of this bill can be accessed online at http://apps.leg.wa.gov/billinfo/summary.aspx?bill=1485&year=2011  To read more click on the following:  Legislative Analysis (Posted 2/14/11) 

FINDING INCENTIVES FOR NONPROFIT COLLABORATION (Posted 12/20/10 from Nonprofit News http://nonprofitwww.org/) 

In the early months of the economic downturn, many organizations considered the idea of collaboration. Many of our colleagues were open to the idea of strategic alliances ranging from shared back-office operations to full-blown mergers. Yet in the Nonprofit Finance Fund's 2010 survey of nonprofit groups, only 1 percent of the organizations actually reported having merged with another one. One conclusion is that it appears that the urgency for organizations to align themselves strategically has waned, although foundation funding to nonprofits continues to decline or disappear completely. More...

FROM THE NATIONAL COUNCIL OF NONPROFITS: IRS Extends Filing Deadline for Small Nonprofits (Posted 9/13/10)

The IRS has announced relief for small nonprofit organizations to come back into compliance and retain their tax-exempt status even though they failed to file for three consecutive years. The smallest organizations (under $25,000) that are required to file the Form 990-N (e-Postcard) can maintain their tax-exempt status by filing the required electronic notice by October 15, 2010. Other small organizations that are eligible to file Form 990-EZ for all three years can use a one-time voluntary compliance program (VCP). If an organization loses its exemption, it will have to reapply to regain its tax-exempt status.
FMI: http://www.irs.gov/charities/article/0,,id=225705,00.html

FROM 'BLUE AVOCADO' (Posted 9/13/10)
Recently several Blue Avocado readers have written to say their organizations are considering creating advisory boards or advisory committees of one kind or another. At the same time, others write to ask how to disband troublesome or obsolete advisory committees. Here are some guidelines for advisory committees, as well as a sample letter inviting an individual to join such a group:
 
The board of directors of a nonprofit organization is its legal, governing body. In contrast, an advisory board does not have any formal legal responsibilities. Rather, an advisory board is convened by the organization to give advice and support.
Probably the most common experience nonprofits have with advisory boards is that they invite people successfully onto such a board, and then fail to have that board accomplish much of anything. So it's worth a few minutes to consider the options for doing it right, and even whether to do it at all.

There are four common types of nonprofit advisory boards, illustrated in the following examples:

Fundraising:Organization W wants to invite prospective donors onto some kind of official body, but it doesn't think these individuals would be good board members. In some cases the individuals probably don't have the time or interest, and others are not seen as being appropriate (for a variety of reasons) for the board. By creating an advisory board, W hopes to . . . to read the complete article subscribe (free) to Blue Avocado: http://www.blueavocado.org/contact-jan-masaoka

INDICATORS NORTHWEST (Posted 9/13/10)Pundits

MOSCOW, Idaho -The new Indicators Northwest website provides the most up-to-date social and economic data for states, counties, Native American reservations, and tribes for Idaho, Montana, Oregon and Washington.

The University of Idaho, with support from the Community Action Partnership headquartered in Lewiston, developed the new website. It provides a publicly available tool to help citizens and officials better understand community trends in the Northwest. Check out the website: http://www.indicatorsnorthwest.org/ 

 Washington Nonprofits Providing a voice for nonprofits in all parts of the state                    (Posted 9/13/10)
Washington now joins 36 other states in having a state association to provide benefits and services and act as a connecting entity across the state. FMI : www.washingtonnonprofits.org/.

Washington Nonprofit Handbook Available: Published by Washington Attorneys Assisting Community Organizations
8-2010
The "Washington Nonprofit Handbook:  How to Form and Maintain a Nonprofit Organization in Washington State" (2009) is now available for free in pdf format on our website at www.waaco.org (type in 'nonprofit handbook' in the 'search' area).  This handbook, authored by Washington business and nonprofit attorneys, contains information about the various laws impacting nonprofit organizations in Washington.  Chapter topics include How To Form a Nonprofit; Governance and Operations; Obtaining Recognition as a 501(c)(3) Organization; Maintaining Federal Tax-Exempt Status for Your 501(c)(3) Organization; International Activities and Grantmaking; Fundraising: The Obvious and Not-So-Obvious Pitfalls; Washington State Taxes and Nonprofit Corporations; Fiscal Sponsorships, Joint Ventures, and Other Collaborations; Employment Issues; Intellectual Property Considerations; Personal Information Security and Online Privacy Issues for Nonprofit Organizations; and Ceasing Operations.

From the National Council of Nonprofits: Make a Difference in August
7-2010
Pundits typically point to Labor Day as the official beginning of the political season, but in reality the election season actually begins after the Independence Day recess.  This means that virtually everything Congress does from now until Election Day, November 2nd, will be viewed through the lens of scoring points with voters. This also means that direct contact with voters is at its highest premium for the next several months. Representatives and Senators WANT to meet with you, so Congressional leaders have made it especially easy this year for incumbents to connect with constituents by scheduling unusually long August breaks.  The August break is the ideal time to introduce your nonprofit organization to your federal officials, impress them with the impact of your work, and influence their thinking. Don't be shy! Make democracy work by keeping your federal officials informed by reaching out NOW to schedule those all-important meetings for educating them about the significant community challenges your nonprofit is tackling.The choice is yours: will you speak up for your community's needs, or sit silently on the sidelines? http://www.councilofnonprofits.org/ 

Volunteer Report
7-2010
United Way of King County announces the release of a new report "Volunteer Management: Challenges and Opportunities Facing Nonprofits."    Written by a leading expert in the field of volunteer management, the report is based on results from a United Way of King County survey that included more than 600 respondents from organizations across King County.  The analysis addresses challenges of volunteer engagement, hopeful signs, and implications for organizations, leadership, and funders. The increased local and national focus on mobilizing volunteers requires an examination of the infrastructure needed to support service.  We hope this report will be used to guide nonprofits in investing time, money and other resources into their volunteer engagement practices and stimulate funders to explore how service is - or could - be supported in their work.

Washington Nonprofits
2-2010
Posted by: Trula Nicholas, WCN Steering Committee Chair
A new state association has been formed in 2010 that will provide Washington’s 50,000+ nonprofits with representation in state and federal policy decisions.  Its mission is to provide a voice for nonprofits and associations from all parts of the state and increase the ability of public benefit organizations to achieve their missions and serve their communities. FMI: http://www.washingtonnonprofits.org/. 

December 2009 Report on Nonprofit Capacity
3-2010
Posted by: Sheri Emerson, WCN Advocacy Committee
Philanthrophy Northwest recently released a report on nonprofit capacity building and needs in Washington State, including Whatcom County data. This report was funded by several major foundations, including the Bill & Melinda Gates Foundation Medina Foundation M.J. Murdock Charitable Trust and others. It focuses on the important of building the capacity of individual nonprofits and of the sector, which "is not only the right thing to do, it is strategic, logical and good business practice."  To view "An Assessment of Capacity Building in Washington State", go to http://www.philanthropynw.org/s_pnw/sec.asp?CID=14919&DID=34321.

The 2010 Trends in Northwest Giving Report
4-2010
Posted by: WCN intern
Philanthropy Northwest announced the release of the 2010 edition of Trends in Northwest Giving. The 2010 edition analyzes more than 22,000 grants from more than 450 organizations, totaling more than $1.3 billion in funds to Northwest nonprofits in 2008. This report analyzed 22,669 grants to Northwest nonprofits from 458 funders in 2008, totaling $1,322,509,298. This comprehensive report is published once every two years offering an in-depth look at giving from foundations and corporations to six states in the Northwest - Alaska, Idaho, Montana, Oregon, Washington and Wyoming. FMI: http://services.philanthropynw.org/Trends%20pdfs/Trends2010_FINAL.pdf 

New State Legislation HB 2576 Signed Into Law
5-2010
Posted by: Sheri Emerson, WCN Advocacy Committee
Washington's Governor Gregoire signed state legislation, HB 2576, on April 27, 2010 authorizing restructuring fees for the division of corporations and affirming authority to establish fees for the charities program of the Office of the Secretary of State. FMI: http://search.leg.wa.gov/pub/textsearch/ViewRoot.asp?Action=Html&Item=2&X=511141606&p=1 and http://apps.leg.wa.gov/billinfo/summary.aspx?year=2010&bill=2576.