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Archive for February, 2012
Hawaii Nonprofits Fighting Against Itemized Deduction Caps
Feb 29th
Hawaii nonprofits are pushing back against a 2011 law that they say will discourage charitable giving for the local population.
The Pacific Business News reported yesterday that local nonprofits, led by the Hawaii Alliance of Nonprofit Organizations, asked state lawmakers to remove a provision in a State Senate bill that places a cap on the amount of itemized deductions can claim on their charitable contributions. The cap applies to individuals that earn an adjusted gross income of $100,000 or more, a joint or surviving spouse that earns $200,000 or more, and a head of household that earns $150,000 or more.
Nonprofits say that these caps will remove a big tax incentive to give for wealthy individuals. The thought is these people would be more willing to spread their money around via large donations to charities. While this is certainly not the only reason people give donations, nonprofits say that it does help boost giving.
The issue of charitable deduction has been national in recent months. President Barack Obama has repeatedly tried to cap it, most recently in his latest federal budget proposal. He had last tried to insert it in the American Jobs Act he proposed last fall. That provision was eventually pulled from the bill by Senate Democrats. An October 2011 study by the Center on Philanthropy at Indiana University estimated that itemized giving would decline by nearly $800 million in the first year if Obama's proposal were to have been instituted. That decline would increase to $2.43 billion in the second year.
You can read the full article on this story on The Pacific Business News website.
The Pacific Business News reported yesterday that local nonprofits, led by the Hawaii Alliance of Nonprofit Organizations, asked state lawmakers to remove a provision in a State Senate bill that places a cap on the amount of itemized deductions can claim on their charitable contributions. The cap applies to individuals that earn an adjusted gross income of $100,000 or more, a joint or surviving spouse that earns $200,000 or more, and a head of household that earns $150,000 or more.
Nonprofits say that these caps will remove a big tax incentive to give for wealthy individuals. The thought is these people would be more willing to spread their money around via large donations to charities. While this is certainly not the only reason people give donations, nonprofits say that it does help boost giving.
The issue of charitable deduction has been national in recent months. President Barack Obama has repeatedly tried to cap it, most recently in his latest federal budget proposal. He had last tried to insert it in the American Jobs Act he proposed last fall. That provision was eventually pulled from the bill by Senate Democrats. An October 2011 study by the Center on Philanthropy at Indiana University estimated that itemized giving would decline by nearly $800 million in the first year if Obama's proposal were to have been instituted. That decline would increase to $2.43 billion in the second year.
You can read the full article on this story on The Pacific Business News website.
Can Illinois Nonprofit Hospitals Keep Their Tax Exemptions?
Feb 28th
Illinois governor Pat Quinn last year told the state to stop challenging nonprofit hospitals' property tax-exemptions so the state could come up with a solution. The goal was to come up with guidelines for what would constitute appropriate levels of care by March 1. With that deadline quickly approaching, details are emerging about potential proposals.
The Chicago Tribune reported yesterday that the state is considering competing proposals that would set up standards for how nonprofit hospitals could keep their tax exemptions. This issue came to the forefront after the Illinois Department of Revenue denied three hospitals their tax exemption, citing a 2010 Illinois Supreme Court ruling that defined the amount of money that needed to be put into care. Gov. Quinn later told the state to hold off on any further rulings so he could work with the hospital industry and legislators to find a compromise.
The first proposal was sent to the Governor's office on Feb. 17 by the Fair Care Coalition, a group of healthcare advocates. Their plan states that each hospital would have to provide 6 percent of its total revenue for charitable benefits in order to keep tax exempt status. Eighty percent of that would have to be in the form of free or discounted care for poor patients. Failing to meet these standards would not only make hospitals ineligible for tax exemption, but would also make them pay into a pool of funds that would be distributed to nonprofit and public hospitals that met this criteria. It seems unlikely the Illinois Hospital Association would agree to this proposal, as they have opposed similar measures in the past.
Another proposal came on Monday from the Civic Federation. Under the Federation's proposal, hospitals would be required to provide charitable care and other benefits to the community equal or greater than the amount they would pay if they paid property taxes.
Gov. Quinn's March 1 deadline is only two days away. It's not clear what will happen if a compromise is not reached before that date. You can read the full story in The Chicago Tribune.
The Chicago Tribune reported yesterday that the state is considering competing proposals that would set up standards for how nonprofit hospitals could keep their tax exemptions. This issue came to the forefront after the Illinois Department of Revenue denied three hospitals their tax exemption, citing a 2010 Illinois Supreme Court ruling that defined the amount of money that needed to be put into care. Gov. Quinn later told the state to hold off on any further rulings so he could work with the hospital industry and legislators to find a compromise.
The first proposal was sent to the Governor's office on Feb. 17 by the Fair Care Coalition, a group of healthcare advocates. Their plan states that each hospital would have to provide 6 percent of its total revenue for charitable benefits in order to keep tax exempt status. Eighty percent of that would have to be in the form of free or discounted care for poor patients. Failing to meet these standards would not only make hospitals ineligible for tax exemption, but would also make them pay into a pool of funds that would be distributed to nonprofit and public hospitals that met this criteria. It seems unlikely the Illinois Hospital Association would agree to this proposal, as they have opposed similar measures in the past.
Another proposal came on Monday from the Civic Federation. Under the Federation's proposal, hospitals would be required to provide charitable care and other benefits to the community equal or greater than the amount they would pay if they paid property taxes.
Gov. Quinn's March 1 deadline is only two days away. It's not clear what will happen if a compromise is not reached before that date. You can read the full story in The Chicago Tribune.
Is Starting a Business an Art or a Science?
Feb 28th
When it comes to launching a business, should you trust your gut or employ a more analytic approach? Professor Steve Blank and behavioral economist Kay-Yut Chen square off.
Featured Nonprofit Job: Interactive Marketing Associate
Feb 28th
Marketing jobs have certainly changed a lot in the last decade or so. With the increasing popularity of the Internet and computers, marketers have turned to that medium for a lot of their work. It's now virtually unheard of for a nonprofit or other business not to have some sort of e-mail marketing campaign. If this is the kind of work you are interested in, the Nonprofit Job Seeker has an exciting opportunity available.
The New York City office of Doctors Without Borders/Médecins Sans Frontières (MSF), an international humanitarian organization, is looking to hire an Interactive Marketing Associate. Working under the supervision of the Integrated Marketing Manager, this position will help implement the organization's e-marketing and telemarketing campaigns. The accepted applicant will also work closely with the web and programming team to maximize income and create and improve performance of web donation forms.
Other Responsibilities:
Other Responsibilities:
- Works with fundraising systems team to ensure that gift processing standards and financial controls are followed as they relate to online giving.
- Assists in reporting needed by the Integrated Marketing Manager on all aspects of data for telemarketing campaigns.
- Maintains understanding of direct marketing campaign tools, and campaign plans, and backs up Integrated Marketing Manager in the development of direct marketing campaigns across all channels.
- Responsible for monitoring reports on marketing expenditures on a per project basis, as needed, and participates in budgeting process.
- 4-year Bachelor's degree, or equivalent combination of education and experience, in relevant field.
- At least 3 years of relevant work experience, preferably at a nonprofit.
- Solid understanding of web-based donations applications and web development best practices such as accessibility, Search Engine Optimization (SEO), readability, etc.
- Experience with online direct marketing implementation.
- Ability to work with little supervision.
You can read more about this job, including salary information, on our website. If you think you have what it takes to take on this position, apply immediately!
IRS Adjusts Disclosure Requirements
Feb 27th
The North Bay Business Journal reported today that, in a recently released Jan. 11 memo, the IRS outlined changes to Form 990 for the 2011 tax year. While the changes are relatively small, they are designed to help reduce some of the headaches that come with disclosure requirements. Among the changes is a clarification of what could be considered income for executives and other highly compensated employees, including information from their W-2 forms. This change should make it easier for nonprofits to know what they need to report when it comes to executive compensation.
Another change that was discussed in the memo involves how nonprofits should treat partnerships on their balance sheet. It is now required that organizations report the share of assets between the partner organizations as a separate item, showing the ending capital from the joint venture. The IRS also sought to clarify requirements to foreign activity, which is important for nonprofits that run missions overseas. Foreign investments can now be valued up to $100,000 before disclosure, whereas organizations were only required to disclose this information if the investments resulted in a $10,000 net revenue or expense.
While all these changes are designed to make the Form 990 easier to understand, it will undoubtedly lead to more work for nonprofits come tax day. We'd like to hear your thoughts on these new changes. Do you think they will make things easier, or do you foresee new headaches because of them?
You can read the full story in The North Bay Business Journal.
Komen Surveying Supporters
Feb 27th
After a couple of relatively quiet weeks, it seems that Susan G. Komen For the Cure is stirring up controversy once again. This time it comes in the form of a survey.
In the latest edition of NPT Weekly, we report on a story that the Irving, Texas-based organization had hired a consulting firm to do some damage control in the aftermath of the Planned Parenthood controversy. This firm created a survey that was to be sent to supporters asking them a variety of questions about their opinion of the nonprofit. Among the questions were whether the organization owes donors an apology, followed by a list of potential apologies that would be acceptable. The survey also asks supporters to rate a list of potential new spokespeople, including musician Melissa Etheridge.
While it's not exactly unusual for a nonprofit to test messaging through a survey, the reaction has been fairly strong because they don't usually become so public. Rebecca Devine, co-founder and principal of Philadelphia, Pa.-based Maven Communications, told The NonProfit Times that Komen needs to be asking these same questions with core stakeholders. She also said the organization should be holding one-on-one discussions with donors to ask how they can make the situation better.
You can read the full story on our website. For more stories like this, make sure to sign-up for NPT Weekly or our other free eNewsletters.
In the latest edition of NPT Weekly, we report on a story that the Irving, Texas-based organization had hired a consulting firm to do some damage control in the aftermath of the Planned Parenthood controversy. This firm created a survey that was to be sent to supporters asking them a variety of questions about their opinion of the nonprofit. Among the questions were whether the organization owes donors an apology, followed by a list of potential apologies that would be acceptable. The survey also asks supporters to rate a list of potential new spokespeople, including musician Melissa Etheridge.
While it's not exactly unusual for a nonprofit to test messaging through a survey, the reaction has been fairly strong because they don't usually become so public. Rebecca Devine, co-founder and principal of Philadelphia, Pa.-based Maven Communications, told The NonProfit Times that Komen needs to be asking these same questions with core stakeholders. She also said the organization should be holding one-on-one discussions with donors to ask how they can make the situation better.
You can read the full story on our website. For more stories like this, make sure to sign-up for NPT Weekly or our other free eNewsletters.
A Dad’s Cautionary Advice Led to a Growing Family Business
Feb 25th
After a near-accident while training for a marathon, an entrepreneur develops a line of identification gear for outdoor athletes.
A Dad’s Cautionary Advice Led to a Growing Family Business
Feb 25th
After a near-accident while training for a marathon, an entrepreneur develops a line of identification gear for outdoor athletes.
Featured Job: Political Representative
Feb 24th
Politics is a big part of today's society, and fundraising is a big part of politics. If you ever wanted to integrate these two things into your career, the Nonprofit Job Seeker has just the job for you.
Orlando-based Florida Realtors is looking for a highly motivated individual to be its next Political Representative. The accepted applicant will be responsible for one-third to one-half of the organization's districts, and will plan, organize, and coordinate fundraising and political activities on behalf of the Realtors Political Action Committee and the Issues Mobilization Committee. The job will also involve assisting in state and federal lobbying occasionally. Other responsibilities include:
Orlando-based Florida Realtors is looking for a highly motivated individual to be its next Political Representative. The accepted applicant will be responsible for one-third to one-half of the organization's districts, and will plan, organize, and coordinate fundraising and political activities on behalf of the Realtors Political Action Committee and the Issues Mobilization Committee. The job will also involve assisting in state and federal lobbying occasionally. Other responsibilities include:
- Planning, organizing, and conducting workshops/instructional seminars at the district level and at state meetings to train and motivate local political involvement.
- Designing, developing, and producing political education materials, grassroots efforts, and fundraising plans for use by local boards/associations.
- Coordinating the Key Contact Program, which pairs Realtors with local jurisdictions.
- Communicating regularly with local boards/associations to monitor progress and provide follow up assistance.
- Assisting and guiding local boards/associations in the implementation of fundraising techniques and programs.
Think you have what it takes for this job? Make sure you meet the following requirements before you apply:
- Must have proven abilities in coordinating a large and continuing fundraising and education program.
- Must possess strong communication and organizational skills.
- A four-year degree in a related field is required.
- Should have the capability to perform work under constant stress.
- A working knowledge of the political process is a must.
- The accepted candidate should be prepared to travel regularly to fulfill duties of the position.
Once you are sure you meet all of these requirements, apply for this job on our website! Make sure to read application instructions carefully.
Nonprofits Want Talent, Not Cash
Feb 24th
The Washington Post published an article today by Jean Case, CEO of the Case Foundation, in which she discussed the nonprofit sector's need for more talent in strategic areas of importance. On the other side, businesses are having trouble retaining their talent and differentiating their products and services in order to stay competitive. These two needs have led to the expansion of pro bono work, which is when businesses allow their employees to volunteer for nonprofits in need.
Businesses of any size can let their employees do pro bono work, but large corporations have led the way. Companies like Deloitte, IBM, and Morgan Stanley have already provided more than $300 million worth of volunteer time to their employees. This is not to say smaller companies are not doing their part. In fact, Case wrote that these companies are starting to increase skills-based volunteering in their communities. She cites the Omaha-based Nebraska Global, a software investment fund, which has seen its 51 employees volunteer over 4,500 hours to local nonprofits like the Boys & Girls Club of Lincoln. The company also plans to lead a campaign to recruit 100 Nebraska business to start their own pro bono programs.
Has your organization been the recipient of any pro bono volunteers from local businesses? We'd like to hear any stories you have. Meanwhile, you can read the full story on this topic in The Washington Post.
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