N.Y. Comp. Codes R. & Regs. tit. 9 § 335.10

Current through Register Vol. 46, No. 25, June 18, 2024

Section 335.10 - Distribution of contributions and pledges among participating organizations

(a) Contributions and pledges that have been designated to specific participant charitable organizations and received by a federated community campaign must first be distributed to those organizations, minus only the deduction for the SEFA campaign's administrative costs.

(b) In all campaign areas, undesignated contributions and pledges to the campaign shall be distributed in accordance with the following steps:

(1) The percentage of the total amount of contributions and pledges to the campaign that were designated to each specific participating organization shall be computed.

(2) Each participating charity shall be allotted the same percentage of total undesignated funds as it received as designated funds, minus only the deduction for the SEFA campaign's administrative costs.

(3) The calculation of the distribution of funds by the local SEFA committee shall be conclusive and binding on all participants.

(c) For the purposes of the calculations under the preceding subdivision, each constituent of a federation of charitable organizations shall be counted as a separate participant, but the federation of charitable organizations to which the constituent belongs shall receive that constituent's share, to be distributed in accordance with the federation's arrangement with its members, if any.

(d) Administrative costs.

(1) No later than May 1st of every year, each local SEFA committee shall review the financial report of the campaign for the previous year and proposed annual budget. Based upon such review, the local SEFA committee shall determine a fixed administration cost percentage, equally applicable to all participants, for the calculation of their respective contributions and pledges to the administrative costs for the next campaign.

(2) The administration cost percentage so determined shall not exceed 15 percent of the sum of SEFA contributions received in the prior calendar year, less pass through contributions received in such year. A higher percentage may be permitted pursuant to paragraph (3) of this subdivision. The statewide SEFA council shall have the right to review the administrative expenses of each federated community campaign, and to lower the percentage determined by the local SEFA committee if such percentage is deemed to be excessive. Such determination shall be made no later than June 15th of each year.

(3) If a local SEFA committee believes that a federated community campaign should receive more than 15 percent of the contributions received in the next SEFA campaign, such committee shall submit an application to the statewide SEFA council no later than May 15th, setting forth the percentage recommended and the reasons for such determination, as well as such data and documentation as the statewide SEFA council may require. The statewide SEFA council may permit a higher percentage amount only if it finds compelling reasons to believe that the reasonable and necessary costs of the next succeeding campaign must exceed 15 percent. Such determination, with the amount approved, shall be made by June 15th of each year.

(4) No later than May 15th, each federated community campaign will report its campaign's administration cost percentage and the planned time, or times, of distribution set out in its approved budget to the federated community campaign retained by the statewide SEFA council.

(5) Beginning in 2008, the federated community campaign retained by the SEFA council will provide notice of the administration cost percentage and planned distribution dates of each campaign, to each of the participants on the list provided under section 335.4(a)(5) of this Part. The method of notice will be determined by the statewide SEFA council. The method of notice may be limited to an electronic means such as web posting or e-mail, or limited to U.S. mail, or any other method reasonably determined to provide adequate notice. If the method of notice is limited to electronic means, the requirements of the State Technology Law will apply to such notice.

(6) Each participant shall remit the participant's share of the campaign costs from its distribution of funds. This amount shall be calculated by multiplying the sum of designated funds plus undesignated funds to be received by the participant by the percentage for administrative costs determined pursuant to this paragraph.

N.Y. Comp. Codes R. & Regs. Tit. 9 § 335.10