Booster Club Training
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- Clemence Gray
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1 PRESENTS: Booster Club Training Presented By: Denise Jaramillo, Asst. Supt. Financial Services Patti Allara, Director Risk Management Nicole Lash, Director Fiscal Services Phuong Nguyen, AP Alhambra HS Cindy Prentice, Mark Keppel HS John Scanlan, San Gabriel HS Welcome! Thank you for your interest in becoming a booster club of Alhambra Unified School District. Why you are here What is a Booster Club? A booster club is an organization that is formed to support (e.g. coordinate events, contribute money, etc.) an associated club, sports team, or organization. Booster clubs are popular in American schools and are generally run and organized by the parents of the students in the supported organization, and by athletic supporters and fans. Its main function is to develop support for the student program. 1
2 What is not a Booster Club? Booster Clubs Are Not: Legal components of AUSD A social club PTA A foundation (AEF) Student comprised team or ASB What is not a Booster Club? (cont.) Booster club funds and district funds, including ASB funds, must never be commingled. Booster clubs and the school entity must remain separate, including with respect to name, tax status, identification numbers and accounting. Booster clubs may donate funds, or materials and supplies, to the student organization(s); however, after they do so, only the student organizations can control how the funds will be used. TODAY S AGENDA 1. Getting Started 2. Operations 3. Year-end 4. General Provisions 5. Title IX 2
3 Getting Started Inform the school Application Constitution and Bylaws Insurance 501(c) Inform the School In order to operate as a Booster Club for the following fiscal year (July 1 st through June 30 th ) you must communicate your intent to the respective school by June 1 st to be on the list for Board approval. Booster clubs may not operate until recognized and approved by Alhambra Board of Education. Application All Booster Clubs must submit an application for operation annually. Renewal is required each fiscal year. In order to operate as a Booster Club for the following fiscal year (July 1 st through June 30 th ), you must submit your completed application to the school site administrator by June 15 th to be reviewed and approved at the June AUSD Board of Education meeting. 3
4 Application (cont.) New booster clubs can be recognized and approved at subsequent meetings of the AUSD Board of Education through the same application process. The application is in the Booster Club packet and must be signed by the school site Principal. Constitution and Bylaws Each Booster Club is required to submit a Constitution and Bylaws for operation. Any rules and regulations developed for the organization must conform to the law, the AUSD Board of Education s policies and regulations, and the school site s rules and procedures. Constitution and Bylaws (cont.) A good constitution should contain the basic elements of how your organization functions. It should have only fundamental information and should be made very difficult to amend. The items which are subject to frequent revision should be placed in the bylaws. The bylaws contain all the standing rules of the organization. *For your convenience, a sample constitution and bylaws have been provided in your packet. Please revise for your specific organization 4
5 Insurance Each Booster Club is required to obtain comprehensive general liability insurance with a minimum limit of $1 Million per occurrence naming the Alhambra Unified School District and their specific school as additional insureds. Insurance (cont.) It is the responsibility of the booster club to ensure that all activities are covered by their insurance policy before such activities are conducted. If you need help with finding insurance, please contact Risk Management Becoming a 501(c) Nonprofit Organization A 501(c) is a tax-exempt nonprofit organization of the US, referenced in the Internal Revenue Code. Some of the benefits include: Tax-exempt organizations are not required to file an information return (Form 990) unless the organization's annual gross receipts exceed $25, (c) organizations are exempt from Corporate income tax and can also be eligible for state tax benefits and reduced postal rates. Contributions to organizations that are exempt under Code section 501(c)(3) are deductible on the donor's income tax return. Limited liability of members 5
6 Becoming a 501(c) Nonprofit Organization (cont.) If you choose to not become a 501(c), the Booster Club will operate at its own member s liability. Booster clubs are not legal components of the school district and therefore, may not use AUSD tax identification number (TIN). *For more information on becoming a 501(c), please contact the Franchise Tax Board Operations Activities Financial Guidelines Facility Use Access to Students School District Employees Activities All Booster Clubs are required to submit a list of all activities for the fiscal year to the school site administrator before activities begin. These activities include but are not limited to: fundraising, social events, meals, banquets, and donations. 6
7 Financial Guidelines $ Financial Records and Treasury $ Cash Receipts and Bank Reconciliations $ Cash Disbursements $ Fundraising Financial Records and Treasury Booster clubs are responsible for ensuring that sound business practices and proper internal controls exist for all of their financial activities. In accordance with its bylaws, each booster club should elect a treasurer who is assigned responsibility for recording, documenting and organizing all financial activities. Booster clubs are required to maintain financial records of their activity. Financial Records and Treasury (cont.) Sound business practices include, but are not limited to, the following: The treasurer or designated officer should prepare monthly financial statements that are presented to the organization along with a copy of the most current bank statement and reconciliation. Financial records may include cash receipts, cash disbursements, checking account beginning and ending balances, balance sheets, income statements and other relevant items. 7
8 Financial Records and Treasury (cont.) A budget should be developed at the beginning of the year to project expected revenues and expenses, and should be revised as needed. The district has the express right to review and/or audit booster clubs financial records at any time to ensure the clubs financial integrity, whether by district personnel or a certified public accountant. Cash Receipts and Bank Reconciliation Prenumbered receipt books and supporting backup documentation. Preparation of deposit slip and/or bank receipt, cash count and fund-raising forms. Bank deposits should be made intact and in a timely manner and should reconcile to the books. Someone other than the individual(s) responsible for depositing funds and writing checks should perform bank reconciliations monthly. Cash Disbursements Checks should require a minimum of two signatures. Supporting documentation retained including invoices, receipts, etc. All expenditures should be approved by the booster board and the approval noted in the board meeting minutes. 8
9 Fundraising Fundraising activities should be conducted for a specific goal and not simply to raise money for the organization. All fundraising activity performed on a district campus must get prior approval from the school site administrator. No individual should personally benefit from the activities the organization conducts. Any profits from fundraising activities that are not spent for a booster club s purpose cannot be returned directly to members or their families. Facility Use All activities conducted on district premises must obtain a Civic Center Permit. Only organizations that have obtained prior approval from the school site administrator will be authorized to conduct such activities on district property. Access to Students Students may not participate in fundraising activities of the schoolconnected organizations without prior approval from the district. California Ed Code prohibits the solicitation of funds or recruitment of students during the regular school day. 9
10 School District Employees and School Site Interaction School connected organizations are prohibited from hiring or directly paying district employees or volunteers. Organizations may make donations to the district (not site) to cover the costs of additional employees, but only if such positions are approved in advance by the Board. At their discretion, employees may volunteer to perform activities for school connected organizations during nonworking hours. Year-End Financial Statements and Bank Statements Each Booster Club is required to provide the school administrator with copies of their revenue and expenditure activity for the fiscal year. These documents will be considered during the renewal process for each booster club. Ceasing Operations In case the booster club dissolves or terminates, any excess funds are to be distributed to the general ASB of the school. This must be incorporated into the Booster constitution or bylaws. General Provisions Upon consent of the Superintendent or designee, school connected organizations may use the school s name, school team s name, or any logo attributable to the school or district. 10
11 General Provisions Authorization of a booster club is valid for up to one year, however, the site Principal may revoke a booster club s authorization to conduct activities in the district if he or she determines that the booster club has violated district policy or applicable law. The booster club may appeal this decision to the Superintendent, and the Superintendent s decision shall be final for the remainder of the year. Title IX What is Title IX? How has it affected AUSD? Title IX Compliance What Title IX means to a Booster Club What is Title IX? Title IX states that no person in the United States shall, on the basis of sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any education program or activity receiving Federal financial assistance 11
12 Title IX and AUSD A class action complaint was filed in federal court against Alhambra Unified School District. The lawsuit alleged the unfair treatment, unequal benefits, and reduced participation opportunities given to female athletes at Alhambra High School. Title IX Compliance - Athletics Equal participation opportunities Equal access to facilities and competition Equal access to qualified coaches Equitable Expenditures Title IX Compliance Athletics (cont.) Fund Raising and trust fund accounts When the donation is made to the team, or the benefit reaches the students, the benefits must be allocated in accordance with AUSD Title IX regulations 12
13 Title IX Compliance Athletics (cont.) Fund Raising and trust fund accounts (cont.) All donations (money or merchandise) to interscholastic athletics will be allocated as follows: One third (1/3) of the value of the solicited donations shall be deposited into the ASB General Athletics Trust Account, and two thirds (2/3) of the value shall be benefited by the ASB Individual Trust Fund Account that corresponds to the team or teams that conducted the fundraising. Non-solicited fundraising activities will be allocated 100% to the ASB General Athletics Account. What Title IX Means to a Booster Club In order for students to accept any benefit from an athletic booster organization, the benefit must be compliant with Title IX and the matching funds requirement. Recap Notify the site of your interest in becoming a booster club and complete the application packet accurately (application, insurance, constitution, bylaws) Provide the site administrator of planned activities and keep open communication throughout the fiscal year Maintain adequate financial records for activity throughout the fiscal year to be provided to the site administrator at the year-end Adhere to all policies and procedures of AUSD including Title IX compliance If you re not sure, ask! 13
14 Contact Information Risk Management: (626) Fiscal Services: (626) Alhambra HS: (626) Mark Keppel HS: (626) San Gabriel HS: (626) References: Booster Club Packet is on AUSD website: Under Parent Resources tab Board Policy and Regulation #1230: Search Booster Questions? 14
15 THANKS FOR COMING! 15
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