Click to edit Master title style FINANCIAL AND LEGAL MATTERS 1September 2015

Click to edit Master title style Standards for Accounting Conferences maintain records on people assisted. Conferences maintain receipts, ledgers and journals. Conferences acknowledge each donation of $ or more Conferences may not accept donations "earmarked" for a particular person. All expenditures by the Conference should be paid by check, with proper supporting documentation. 2

Click to edit Master title style Assistance from a Conference must not be self-serving. Client information must be kept in the strictest confidence. Records must be kept in a secure location and their use maintained in confidence. Conferences should share summary information with its contributors and the parish community. Standards for Accounting (cont’d) 3

Click to edit Master title style Standards for Accounting (cont’d) Money donated to the Society can only be used for Society business Giving money donated to another organization must be avoided. Surplus funds should be twinned Conferences should not hoard money Conferences needing funds should contact their District Council. Conferences who do have an excess of funds should twin domestically or internationally 4

Click to edit Master title style Tax Exemption Councils and Conferences must have a 501(c)(3) Tax Exemption, either by: – from their District or Diocesan Council –their own 501(c)(3), or –inclusion in the National SVdP Group Exemption Coverage through the Church no longer applies 5

Click to edit Master title style National Group Exemption Applying to be in the National Group Exemption: 1.Must have its own EIN (cannot be the parish EIN) 2.If not, obtain EIN number in Conference name using the SS-4 form found on 6

Click to edit Master title style Tax Filings Every Council or Conference with their own EIN must file a Filing InstructionsForm to File Gross receipts of $50,000 or less990-N Gross receipts between $50,000 and $200,000 And total assets less than $500, EZ or 990 Gross receipts more than $200,000 and/or total assets exceed $500,

Click to edit Master title style Loss of Exempt Status Tax exempt status will be revoked for failure to file 990 for three years in succession If tax exempt status is revoked –Must file a Form 1023 to gain independent tax exempt status –Must pay a filing fee –Cannot join or rejoin any group Loss of Council status affects Conferences as well 8

Click to edit Master title style Liability Concerns Situations that may cause claims or lawsuits If Conferences not covered by the Council liability insurance, Conferences may get coverage through the National Group Insurance Program. Some claims may not be covered by terms of the insurance policy –Some claims may be directly against individuals for their actions that do not fall under the insurance coverage of the Society. –Anyone operating outside the rules and guidelines of the Society may not be protected. 9

Click to edit Master title style Liability Concerns (Cont’d) If an incident occurs, contact the District Council immediately. Late reported claims can be denied by the insurance company. DO NOT TRY TO NEGOTIATE A SETTLEMENT WITH A CLIENT (CLAIMANT). Call the police to all traffic accidents, period. Do not discuss any incident with anyone except the police, the Society's insurance carrier's representative or your own lawyer. Do not talk (or accept a phone call) from the claimant’s attorney or insurance company 10

Click to edit Master title style Avoiding Liability Concerns Common sense rules to avoid potential problems: Always operate within the rules and guidelines of the Society. NEVER HOME VISIT OR MEET A CLIENT ALONE. Use common sense when making physical contact with clients 11

Click to edit Master title style Avoiding Liability Concerns Cont’d Common sense rules to avoid potential problems: All Vincentians must have their own vehicle insurance. Do not share clients' personal problems. Vincentians are generally not trained counselors Keep members informed of Liability Concerns and Common Sense Rules 12

Click to edit Master title style Questions/Comments 13