Becoming incorporated and tax exempt takes money, time and energy, and may distract people from the program they are creating. As an alternative, people who have a new project, or an idea for one, often turn to a Fiscal Sponsor to get it off the ground. A Fiscal Sponsor is a non-profit organization with 501(c)(3) tax exempt status from the IRS, such as Prairie Hills, that acts as a guardian of grants and donations for a Project that does not have 501(c)(3) designation.
The successful Program Manager of active charitable programs at Prairie Hills are social entrepreneurs who use the opportunity to partner with us in order to grow their charitable programs to potentially self-sustainable levels. By administratively supporting these individual projects in many different charitable areas at nominal costs, Prairie Hills is able to affect constructive social change at a grassroots level, on a project by project basis.
Prairie Hills provides fiscal sponsorship as a cost effective way for charitable programs of any size and scope to be efficiently and effectively managed. Our mission is to help communities help each other by relieving the administration burdens which can inhibit doing good works
The Need For a Fiscal Sponsor
Situations that call for a Fiscal Sponsor include:
· Organizations or projects that can deliver programs effectively, but don’t have support staff.
· Projects that are short term, or temporary, that wish to avoid the time and expense of applying for a 501(c)(3).
· Supporting charitable events that happen infrequently, such as charity golf tourneys.
· Incubating new nonprofits that need time to grow.
· Starting grassroots or small community charitable programs.
BENEFITS OF Fiscal Sponsorship · Insures activity is exempt, Prairie Hills is a 501(c)(3)
· Provides mechanism for receiving tax exempt donation and grant funds.
· Insures expenditure responsibility.
· Provides cost effective management.
· Provides compliance with Federal and IRS requirements.
· No need to find a Board of Directors.
· PHRCD is legally responsible for the new program.
PHRCD’s Charitable Umbrella
In a Fiscal Sponsorship relationship, PHRCD extends its charitable umbrella over select projects whose missions closely match our own. Donations earmarked for a project operating under PHRCD’s sponsorship are actually given to PHRCD. This allows donors to receive the full benefits of making a charitable donation. Active Charitable Programs raise tax-deductible donations from the public. Donor-Advised Funds are charitable gifting funds that can only be used for scholarships and distributions to other qualified charities.
Tax Exempt Status
Prairie Hills RC&D maintains the highest audible quality control standards for projects. An annual audit is performed to ensure that financial statements are prepared using FASB generally accepted accounting principals, with IRS Code 501(c)(3), and with OMB A-122.
A one time program application fee of $400.00 is due upon submission of the signed Application and prior to program activation. This fee covers the time required to review the application conduct interviews, set-up internal accounts, and to create on-line donation/payment capabilities on our website. Other fees are assessed for the operation of your program.
Prairie Hills RC&D is an equal opportunity provider. We do not discriminate in admission, access to, treatment or employment in programs or activities on the basis of a handicap in violation of section 504 of the Rehabilitation Act.