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-   -   501c3 rules? (https://www.askmehelpdesk.com/showthread.php?t=577363)

  • May 20, 2011, 05:25 PM
    txgal70
    501c3 rules?
    My Subdivision has an swim team here in Houston, TX. They are a 501C3 organization. (Non-profit) It is 80.00 registration to join per child. In addition to the registration fee you must give them an 100.00 check they hold till the end of swim teem season. If u volunteer at swim meets and earn 30points you receive your check back. There is not enough volunteer work for all to earn 30 points to receive their 100.00 check back. If u choose to just let them keep it and not volunteer... they (the board members) get mad. Also part of the way you can earn points is by purchasing sodas and such for the concession stand that they profit from... so you spend money to earn points to get your money back. Is this legal?
  • May 20, 2011, 05:36 PM
    AK lawyer

    Yes.

    Non-profit organizations are permitted to charge fees such as those you describe.
  • May 20, 2011, 05:56 PM
    txgal70
    Comment on AK lawyer's post
    I understand the 80.00 registration fee but I don't understand asking for a separate 100.00 held hostage unless u do a lot of volunteering and still... even if u volunteer at each swim meet... the point system is designed in such a way that very few out of over a hundred parents would receive all 30 points. So most parents lose there 100.00 even though the volunteered at every available swim meet. They will not let you do more than one volunteer per meet... so it is designed for most to lose their 100.00 despite their best efforts to volunteer and earn 30 point to get their check back. Thought?
  • May 20, 2011, 06:36 PM
    AK lawyer
    Quote:

    Originally Posted by txgal70 View Post
    understand the 80.00 registration fee but I don't understand asking for a separate 100.00 ... Thought?

    Just think of it as a $180 registration fee coupled with a quasi-employment arrangement. I don't know what this extra $100 is called, but it really doesn't matter: it works out to a potential rebate on the registration fee. And since it is practically impossible to earn the rebate, as a practical matter no one gets it I assume? So actually it works out to a $180 fee.

    Most 501 (c) (3) organizations are non profit corporations organized under the laws of the state where they are located. Have you considered looking into the by-laws of this organization and/or seeing if you can join and change the fee from the inside (as a member of the board of directors)?
  • May 20, 2011, 08:03 PM
    Fr_Chuck

    Yes they can, but if you don't like it, find others that don't like it, and consider either a boycott of the team, starting your own team, or get enough backers and take over control of the group.
  • May 23, 2011, 10:19 AM
    txgal70
    Comment on AK lawyer's post
    Yes... I do look at it as a 180.00 reg fee with rebate if u volunteer every meet. But the only people who get the rebate back is friends of the board members who break the rule and let certain people double up their volunteering in one meet. They will not let u join board and if u push it... they just exclude u from all meetings and decisions. I will be checking into the by-laws of this organization. This is the only swim team in Houston that operates this way. Same board members for 10 + years.. imagine that... some body is profiting some where... I am sure of it!
  • May 23, 2011, 10:24 AM
    txgal70
    Comment on Fr_Chuck's post
    No one likes it! I am defiantly going to start shaking things up a bit. I know what the coach gets paid... I also know all other expenses and where else they raise money. There is no way this board is not profiting on this. Thank u!

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