EO Radio Show

Welcome to EO Radio Show. This nonprofit basics episode is intended to help a founder of a new charity to navigate the complex rules that describe a public charity. Many people think that the designation 501c3 means an organization is a charity, but there is more to it than that.

In this episode, we'll talk about the IRS classifications that distinguish between a public charity and a private foundation. We'll talk about the four basic paths to public charity status and try to dispel some of the mysteries surrounding what it means to be recognized by the Internal Revenue Service as a public charity. Then, we'll close with some tips for a new organization that intends to qualify for public charity status based on fundraising from the public or, alternatively, primarily from generating income from their exempt function.

If you have suggestions for topics you would like us to discuss, please email us at [email protected]. Additional episodes can be found at EORadioShowByFarella.com.

Resources:

Exempt Organization Types: https://www.irs.gov/charities-non-profits/exempt-organization-types

Schedule A, Public Charity Tests: https://www.irs.gov/pub/irs-pdf/f990sa.pdf

Instructions to Schedule A: https://www.irs.gov/pub/irs-pdf/i990sa.pdf

The Wonderful World of Foundation Classification:

https://www.stayexempt.irs.gov/home/depth-topics/wonderful-world-foundation-classification and

https://www.stayexempt.irs.gov/se/files/downloads/FoundationClassification_Print.pdf

Internal Revenue Code Sections: https://www.law.cornell.edu/uscode/text/26/509

https://www.law.cornell.edu/uscode/text/26/170

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion.

The worst nightmare for most nonprofit board members is a complaint that sparks an investigation of misconduct at the organization. The ember may have been burning for some time before the board becomes aware of it or may be a sudden wind-driven catastrophe that started with one person's bad or inept act.

No matter the source, how can the board best surround the organization with a defensible space? And, once battling the heat of the disaster, what to do?

In today's EO Radio Show we'll discuss best practices in board policies that help to identify issues early, respond early, and minimize the toll of an investigation.

Resources:

Investigations, Audits, Subpoenas, Oh My! (Webinar)

Filing a Complaint About a Charity or Charitable Solicitation

California Form RRF-1

Aviva J. Gilbert, Partner, Farella Braun + Martel

If you have suggestions for topics you would like us to discuss, please email us at [email protected]. Additional episodes can be found at EORadioShowByFarella.com.

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion.

Under state law, the business and affairs of a nonprofit corporation must be managed and all corporate powers are to be exercised by and under the direction of the board of directors. Each director has personal duties to the corporation.

Principally, these duties are the duty of care and the duty of loyalty, and that's what we'll talk about in this episode of EO Radio Show.

Resources:

Attorney General's Guide for Charities; Best Practices for nonprofits that operate or fundraise in California; see Chapter 7, Directors & Officers of Public Benefit Corporations

What Every Prospective Nonprofit Board Member Needs to Know, by Lauren A. Galbraith

If you have suggestions for topics you would like us to discuss, please email us at [email protected]. Additional episodes can be found at EORadioShowByFarella.com.

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion.

This Nonprofit Basics episode covers some of the roles that people play in the governance of a nonprofit corporation. We are focused here mostly on nonprofit corporations, although nonprofits can be formed as charitable trusts.

Let's go over the nonprofit corporation governance positions first, and then we'll circle back to how these concepts of governance apply in the trust structure.

Resources:

New York Attorney General Publication on Nonprofit Director Responsibilities

Guidebook for Directors of Nonprofit Corporations, Third Edition

National Association of State Charity Officials Resources page

If you have suggestions for topics you would like us to discuss, please email us at [email protected]. Additional episodes can be found at EORadioShowByFarella.com.

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion.

This Nonprofit Basics episode gives an overview of the choices of legal form for nonprofit organizations that are intended to be tax exempt under US law.

Before we even get to the questions of tax exemption, charitable fundraising, regulatory compliance, governance and the myriad legal issues that charity and foundation leaders need to think about, a basic understanding of the legal entity is really important.

If you have suggestions for topics you would like us to discuss, please email us at [email protected]. Additional episodes can be found at EORadioShowByFarella.com.

Resources:

The ABCs of Nonprofits, Second Edition By Lisa Runquist

Delaware Model Certificates of Incorporation

Model Nonprofit Corporation Act, and states where adopted

Uniform Law Commission on Uniform Unincorporated Association Act status

DISCLAIMER: This podcast is for general informational purposes only. It is not intended to be, nor should it be interpreted as, legal advice or opinion.

Welcome to EO Radio Show, Your Nonprofit Legal Resource, brought to you by the Exempt Organizations Group at Farella Braun + Martel.

My name is Cynthia Rowland. I'm a business and tax partner at Farella with more than 30 years of experience advising clients on nonprofit and charity law. I help philanthropists, including private individuals as well as for-profit and nonprofit organizations, who wish to make the world a better place.

Through this podcast, our lawyers and guests will discuss a range of legal and business issues impacting the nonprofit world because we understand you work hard every day to make your community a better place to live and work.

We hope you will appreciate discussions of basic legal principles, as well as in-depth technical discussions of the legal and regulatory landscape.

Topical presentations and guests on EO Radio Show will focus on helping you reach a solid understanding of what it takes to organize, operate and lead an effective charitable organization that presents itself as a professional and trustworthy partner.

Starting with a key legal concept, each show will focus on an essential piece of the framework in which charities operate, and will explain how the right understanding leads to a well-functioning organization.

We will also help you understand the legal world in which charities operate and will provide detailed links and connections to additional resources on the topic of the day.

We want you to think of EO Radio Show as a modern-day audio treatise on charity legal issues and the practical application of legal principles for the effective operation of a charity.

EO Radio Show is for all professionals, whether you are leading, funding, advising, or operating a public charity or private foundation that aspires to be a force for good in your space. You work hard every day to make your communities and the world a better place.

We're happy you've chosen to join us on this journey here or on any podcast platform, or by visiting EORadioShowByFarella.com.

Again, welcome to EO Radio Show. We're glad you're here.