FINANCIAL AND LEGAL MATTERS

1. FINANCIAL AND LEGAL MATTERS September 2015

2. Standards for Accounting • Conferences maintain records on people assisted. • Conferences maintain receipts, ledgers and journals. • Conferences acknowledge each donation of $250.00 or more • Conferences may not accept donations "earmarked" for a particular person. • All expenditures by the Conference should be paid by check, with proper supporting documentation.

3. Standardsfor Accounting (cont’d) • Assistance from a Conference must not be self-serving. • Client information must be kept in the strictest confidence. • Records must be kept in a secure location and their use maintained in confidence. • Conferences should share summary information with its contributors and the parish community.

4. Standardsfor Accounting (cont’d) • Money donated to the Society can only be used for Society business • Giving money donated to another organization must be avoided. • Surplus funds should be twinned • Conferences should not hoard money • Conferences needing funds should contact their District Council. • Conferences who do have an excess of funds should twin domestically or internationally

5. Tax Exemption • Councils and Conferences must have a 501(c)(3) Tax Exemption, either by: • from their District or Diocesan Council • their own 501(c)(3) , or • inclusion in the National SVdPGroup Exemption • Coverage through the Church no longer applies

6. National Group Exemption Applying to be in the National Group Exemption: • Must have its own EIN (cannot be the parish EIN) • If not, obtain EIN number in Conference name using the SS-4 form found on www.irs.gov .

7. Tax Filings • Every Council or Conference with their own EIN must file a 990

8. Loss of Exempt Status • Tax exempt status will be revoked for failure to file 990 for three years in succession • If tax exempt status is revoked • Must file a Form 1023 to gain independent tax exempt status • Must pay a filing fee • Cannot join or rejoin any group • Loss of Council status affects Conferences as well

9. Liability Concerns Situations that may cause claims or lawsuits • If Conferences not covered by the Council liability insurance, Conferences may get coverage through the National Group Insurance Program. • Some claims may not be covered by terms of the insurance policy • Some claims may be directly against individuals for their actions that do not fall under the insurance coverage of the Society. • Anyone operating outside the rules and guidelines of the Society may not be protected.

10. Liability Concerns (Cont’d) • If an incident occurs, contact the District Council immediately. Late reported claims can be denied by the insurance company. • DO NOT TRY TO NEGOTIATE A SETTLEMENT WITH A CLIENT (CLAIMANT). • Call the police to all traffic accidents, period. • Do not discuss any incident with anyone except the police, the Society's insurance carrier's representative or your own lawyer. • Do not talk (or accept a phone call) from the claimant’s attorney or insurance company

11. Avoiding Liability Concerns Common sense rules to avoid potential problems: • Always operate within the rules and guidelines of the Society. • NEVER HOME VISIT OR MEET A CLIENT ALONE. • Use common sense when making physical contact with clients

12. Avoiding Liability Concerns Cont’d Common sense rules to avoid potential problems: • All Vincentians must have their own vehicle insurance. • Do not share clients' personal problems. • Vincentians are generally not trained counselors Keep members informed of Liability Concerns and Common Sense Rules

13. Questions/Comments Questions/Comments