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SCHOOL SUPPORT ORGANIZATION FINANCIAL ACCOUNTABILITY ACT

Public Chapter 326, Acts of 2007 enacts the "School Support Organization Financial Accountability Act" which requires local education agencies to adopt a policy concerning local school support groups.  This policy must be in place by July 1, 2008.

The policy must require, at a minimum, that local school support groups do the following:

  1. Furnish a form stating the organization's status as a nonprofit organization, the goals and objectives of the organization and the telephone number, address and position of each officer of the organization
  2. Provide annual information as to each officer
  3. Provide an annual detailed statement of receipts an disbursements to the applicable school principal
  4. Maintain financial records for a period of at least 4 years
  5. Operate within the applicable standards set by a related state association, if applicable
  6. Ensure that funds are safeguarded and spent only for purposes related to the goals and objectives of the organization by having accounting procedures
  7. Get prior approval from the director of schools or the director's designee before the organization undertakes fundraising activities (due to scheduling conflicts); Without prior approval, all such fundraising activities are prohibited
  8. Provide access to all books, records, and bank account information upon request

The act prohibits school representatives from acting as a treasurer or bookkeeper of a school support organization and prohibits a majority of the voting members of the group's board from being school employees.  School representative would include board members, the director of schools, coaches, trainers or sponsors.

To help parents keep informed of the recognized support groups, the director of schools or the director's designee must post or publish annually a list of organizations that are recognized as a schools support group.

The Act defines "student activity funds" and "school support organization funds" and requires that student activity funds continue to be deposited and accounted for as school funds.

Local education support groups will be prohibited from using the school's or school district's sales tax exemption number.

These groups would be subject to audit by the office of the Comptroller of the Treasury.


STATE CONTACT INFORMATION FOR SUPPORT GROUPS

 


 


 

 

 

 

 

 

 

 

 

 

Henderson County School System 2009