U.S. ARMY RECRUITING COMMAND

1. U.S. ARMY RECRUITING COMMAND 2007 PCC FAMILY READINESS GROUPS (FRGs)

2. CHANGES • DA PAM 608-47 rescinded more than a year ago. • Army and DOD regulations, as well as our interpretations of these rules, have changed. FRGs are now a part of the Command, and no longer private organizations • CFSC developed the Commander’s Guide to FRG Operation to assist Commanders and FRG Leaders understand the legal and ethical considerations of Family Readiness Group (FRG) support and funding • AR 608-1, Appendix J (Jan 2007).

3. COMPARISON OLD NEW Unclear classification of FRG status. FRG funding guidance spread across several regulations. FRGs maintain informal funds. Informal funds capped at $1,000. FRGs conduct fund-raising activities to support social activities. FRGs are an official Army program. FRG mission activities must be supported using appropriated funds to the same extent as any other commander’s program. No change. $5,000 income cap per year. Fundraising limited to internal group.

4. SCENARIO #1 • My unit was denied use of a VTC.  A commercial company has agreed to conduct a VTC for us.  Can the FRG raise funds to pay for the VTC?

5. SCENARIO #1 • My unit was denied use of a VTC.  A commercial company has agreed to conduct a VTC for us.  Can the FRG raise funds to pay for the VTC? No. FRGs are now an official program of the Department of the Army. Therefore, their mission activities must be supported using appropriated funds (APFs) to the same extent as any other Commander’s program. Non-appropriated funds (NAF) cannot be used.

6. APPROPRIATED FUNDS • FRGs may use Government office space, equipment and vehicles for official FRG purposes. These include formal activities such as meetings and training for statutory volunteers. This does not include purely social activities, meals or refreshments.

7. SCENARIO #2 • My FRG expects to bring in $10,000 in fundraising this year for it’s informal fund.  Can we do this? 

8. SCENARIO #2 • My FRG expects to bring in $10,000 in fundraising this year for it’s informal fund.  Can we does this? Informal Funds rule: According to our new guidance, FRGs should limit their annual incomes to under $5,000.  Income over $5,000 may be subject to Federal tax liability.

9. SCENARIO #3 • My FRG wants to secure donations from local vendors to help pay for family functions at our next ATC. Is this permissible under the new guidance?

10. SCENARIO #3 • My FRG wants to secure donations from local vendors to help pay for family functions at our next ATC. Is this permissible under the new guidance? No. Because they are now considered an official Army program, FRGs may not engage in external fundraising. Army personnel and FRG volunteers must abide by ethics rules including the prohibition against soliciting for gifts or donations (5 CFR § 2635.101(b)).

11. SCENARIO #4 • Our Battalion is located on an Army installation. Since we can’t solicit donations from local businesses, can we hold a car wash on post to raise money to help pay for family functions at our next ATC?

12. SCENARIO #4 • Our Battalion is located on an Army installation. Since we can’t solicit donations from local businesses, can we hold a car wash on post to raise money to help pay for family functions at our next ATC? Maybe. Fundraising must be (1) for the informal fund; and (2) approved by the unit commander and installation commander. The fundraiser must also be of some benefit to the installation (for example, 10% of the proceeds will go to ACS).

13. FUNDRAISING ON MILITARY INSTALLATIONS • The Office of General Counsel (Ethics and Fiscal Law) and the Army Standards of Conduct Office has interpreted the Joint Ethics Resolution to mean that an Army organization (including but not limited to units, installations, and Family Readiness Groups) may officially fundraise from its own community members or dependants and from all persons benefiting from the Army organization. For example, an installation may benefit from the Brigade or Unit FRG.

14. MORE ON INFORMAL FUNDS • Informal funds may be used for purely social activities, holiday and FRG parties and outings, volunteer recognition, supplemental unit send-offs and welcome home social activities

15. SCENARIO #5 • My FRG customarily provides a fruit basket to incoming Soldiers and their family. Can we still fund this?

16. SCENARIO #5 • My FRG customarily provides a fruit basket to incoming Soldiers and their family. Can we still fund this? Yes. Informal funds can be used for new FRG member welcome gifts. Appropriated funds may not be used for this purpose.

17. SCENARIO #6 • My FRG is unhappy with the prohibition for external fund raising and wants the commander to set up a private organization to do our FRG fundraising?  Can a commander do this?

18. SCENARIO #6 • My FRG is unhappy with the prohibition for external fund raising and wants the commander to set up a private organization to do our FRG fundraising?  Can a commander do this? No.  Commanders cannot organize private organizations (POs) or direct their activities, including how POs spend their money.  Private organizations (POs) may be established by individuals, to include FRG members if they so desire, to support shared goals and objectives. 

19. POTENTIAL FUNDRAISING ALTERNATIVE: PRIVATE ORGANIZATIONS • Private organizations are separate and distinct organizations from the military unit and the unit FRG. Commanders cannot officially endorse private organizations (JER,Para 3-210, and AR 210-22). FRG leaders or commanders should not be managers or Board members of private organizations with the same family support mission. FRG members and commanders should remember not to use FRG resources or government equipment for PO business.   

20. USAREC PAM 608-5 • Revision of Chapter 4 in-progress to conform with new guidance. • Issues: Fundraising Maintaining informal funds (who will have control?) Spending Interaction between FRGs and Private Organizations

21. Questions?