1. The Benefits and Challenges of CreatingYour Own 501(c)(3) Organization Jim Nicholson Senior Director InvestmentsOppenheimer & Co. Inc. Joanne PatrickAcademy CoordinatorSeattle Public Schools Wednesday, July 17, 2012

2. #NAFNext 3. 501(c)(3)Worth the timeExciting? Beneficial? and energy? 4. Why a 501(c)3?1. Fundraising simplicity2. Eligible to apply for private foundation grants3. Control of Funds4. Asset segregation from School District Funds#NAFNext 5. 5. Recognition and legitimacy of Organization6. Exemption from Federal Income Tax7. Tax Deductible Charitable Contributions8. Eligible to use 3rd class postage rate for Bulk mailings#NAFNext 6. Challenges1. Have law firm complete application process2. Anticipate 6-12 months to complete3. Use IRS Publication 4220 for Guidelines4. Academy entity#NAFNext 7. 5. Create or update Academy By-Laws to include Articles of Dissolution6. Apply for Articles of Incorporation with state7. Apply for Business License#NAFNext 8. 501(c)3 check list Complete application process Submit Fee Receive Tax ID number from IRS#NAFNext 9. Brainstorm Who do you know who can help you with this process? Resources: http://naf.org/staff-board-bios http://naf.org/become-naf-partner#NAFNext 10. Yearly requirements Hold Annual Meeting Keep detailed records File Annual Report Form 990 Disclosure Requirements#NAFNext 11. Suggestions Use CPA specializing in Non-Profit tax laws Set up tax year to match school year September 1 August 30 Develop Procurement Form Use it!#NAFNext 12. S eat t l e Ac ademies F o un dat io nD o n at io n Pr o c ur emen t F o r mTHANK YOU for donating to our Fundraiser. Proceeds benefit a variety of enrichmentprograms for our Academy of Finance, Hospitality & Tourism, and Information Technologystudents. Please provide us with the information requested below.DONOR INFORMATIONMr./Ms. First Name: ___________________ Last Name: _____________________________Donor Name: ________________________ Business Phone:__________________________Street: ______________________________ Email: _________________________________City: _______________________________ State: ______ Zip: _______________________GIFT INFORMATION Gift Item Name: ___________________________________________________________ Fair Market Value:$____________ I would like to contribute cash. Amt.$____________Item Description/Other: ________________________________________________________* Recommended expiration of December 30, 2013 will be applied unless otherwise instructed. Please includebrochures/menus/ business cards for display if appropriateDate item will be delivered:_____________ Item pick up date:_____________Other (please specify): _________________________________________________________Seattle Academies Foundation Tax ID # 20-1954948 501( c ) (3) Non-Profit OrganizationPLEASE SEND DONATION ITEMS TO: Mrs. Joanne Patrick, Academy Coordinator Seattle Academies Foundation7510-29th Northwest Seattle, WA 98117-4615(206) 252-0745 w (206)252-0731 f email: cjpatrick@seattleschools.org 13. Benefits Accountability Combined Academies Grant Applications Pressure off Director#NAFNext 14. Follow up What are your next steps? Who do we do this for? Focus statement: Our students are worthy of our Investment!#NAFNext 15. Thank you!Contact information Jim Nicholson James.nicholson@opco.com 425-709-0462 Joanne Patrick cjpatrick@seattleschools.org 206-252-0745#NAFNext