Fundraising and the Use of Parent Organizations, Foundations, and Vendors

Fundraising can help supplement a school’s educational needs and provide additional resources and enrichment opportunities for your students. But many charter schools cannot afford to hire professional fundraisers, and rely on school leaders and parent volunteers to help organize these efforts.

In this session, the presenters will summarize the legal obligations that apply when conducting school fundraisers, such as the charitable trust doctrine, state and local registration requirements, IRS rules on donations, and even Title IX and federal and state food standards sometimes apply. They will also highlight strategies to maximize how these donated funds can be used, the best practices for tracking donations and how they are used, and what to do with donations that come with strings attached. Participants will engage in discussion strategies to resolve common issues that occur when charter schools collaborate with parent organizations, and school foundations or “friends of” organizations, such as governance and conflict of interest concerns, sharing employees or employee time between the organizations, and how a school’s fiscal policies and legal requirements may apply to their activities. The presenters will also update participants on the new legal requirements that apply when contracting with outside vendors, including commercial fundraisers and fundraising platforms, and the special rules that apply to raffles and bingo games.