SEPTEMBER 2017

STATE LAW

Arizona

There is big charitable money in specialty license plates in this state. The Department of Transportation recently reported that specialty license plates have generated more than $9.8 million for charitable causes and programs. The program in Arizona was established in 1989. Specialty plates typically cost $25 with $17 of that going to benefit organizations.

Kansas

The former mayor of Lawrence was sentenced to 10 months in prison for embezzling from a food bank where he once served as the executive director. He was also ordered to pay $81,000 in restitution.

Kentucky

The ousted president of the University of Louisville Foundation was the nation’s highest paid officer at a public university foundation earning $2.4 million in 2014. Local publications have raised the question of whether this is “excessive compensation” as that term is defined by the Internal Revenue Code.

Nevada

Goodwill Industries in southern Nevada filed for bankruptcy. Published reports accuse the organization of having higher than normal salaries and expenses.

Oklahoma

School teachers are suffering the most in this state as a result of a series of budget cuts making teachers’ salaries some of the lowest in the nation. According to The Associated Press, charities are coming to the aid of the teachers by not only building housing but also providing meals for those in serious need.

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A sports marketing agent helped form several foundations for football players coming out of the University of Oklahoma. Federal authorities have charged the individual with diverting $136,000 from one foundation and spending over $39,000 on personal purchases using a foundation credit card. Part of the resolution of the pending charges will be significant restitution.

Pennsylvania

New registration forms are now available to download online. The Commonwealth has not decided the cutoff date for use of the older forms.

Wisconsin

Many charities have the word “the” at the beginning of their name. Yet, when you go to search for these organizations on the Wisconsin website, they do not appear. The reason is simple. Be advised that the state drops the word “the” from proper names.

OTHER MATTERS

FASB

The Financial Accounting Standards Board has issued an exposure draft on Topic 958 entitled “Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made.” Public comment is invited but must be received by November 1, 2017. Comments can be submitted using the electronic feedback form on the FASB website, by e-mailing comments to director@fasb.org, or by sending a letter to: Technical Director, File Reference No. 2017-270, FASB, 401 Merritt 7, PO Box 5116, Norwalk, CT 06856-5116.