HB-6633, As Passed Senate, December 19, 2008
SENATE SUBSTITUTE FOR
HOUSE BILL NO. 6633
A bill to amend 1975 PA 169, entitled
"Charitable organizations and solicitations act,"
by amending section 3 (MCL 400.273).
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
3. (1) Before a solicitation, a Unless the charitable
organization
which is not an exempt organization and which is not
described
in that is exempt from
licensing and reporting under
section
13, which a charitable organization
that solicits or
intends to solicit or receives or intends to receive contributions
from
persons by any means whatsoever, shall file an application for
a
license under this act with the
attorney general, upon on forms
prescribed
by him , an application for a license or her.
It
(2) An application for a license under this act shall include
the following information:
(a)
The name of the organization and the any name under which
it
intends it uses or intends to
use to solicit contributions.
(b) The principal address of the organization and the address
of any office in this state. If the organization does not maintain
a principal office, the organization shall include the name and
address
of the person having that
has custody of its financial
records.
(c) The names and addresses of the officers, directors,
trustees, chief executive officer, and state agent of the
organization.
(d) Where and when the organization was legally established,
the form of its organization, and its tax exempt status.
(e)
The purpose for which it the
organization is organized and
the purposes for which contributions to be solicited will be used.
(f) The fiscal year date of the organization.
(g) Whether the organization is or has ever been enjoined from
soliciting contributions.
(h) All methods by which solicitations will be made.
(i) Copies of contracts between charitable organizations and
professional fund raisers relating to financial compensation or
profit
to be derived by the professional fund raisers. When the If
a contract described in this subdivision is executed after filing
of
the application, statement, the organization shall file a
copy
shall
be filed of the contract with
the attorney general within 10
days of the date of execution.
(j) Other information as required by rule.
(3) If a charitable organization received contributions in its
immediately preceding tax year, as reported on the charitable
organization's internal revenue service form 990, 990-EZ, 990-PF,
or other 990-series return, in the amount of $500,000.00 or more,
the charitable organization shall include financial statements with
its application for license under this section, prepared according
to generally accepted accounting principles and audited by an
independent certified public accountant. If a charitable
organization received contributions in its immediately preceding
tax year, as reported on the charitable organization's internal
revenue service form 990, 990-EZ, 990-PF, or other 990-series
return, in the amount of $250,000.00 or more, but less than
$500,000.00, the charitable organization shall include financial
statements with its application for license under this section that
are either reviewed or audited by an independent certified public
accountant. The attorney general may waive this requirement 1 time
for a charitable organization.
(4) Both of the following apply for purposes of subsection
(3):
(a) For license applications submitted under this section on
or after January 1, 2015 and before January 1, 2020, the dollar
amounts of contributions in subsection (3) at which reviewed
financial statements and at which audited financial statements are
required with the application are increased by $25,000.00. Those
dollar amounts are increased by an additional $25,000.00 for every
subsequent 5-year period, beginning on January 1, 2020.
(b) "Contributions" means all contributions and support
reported on a charitable organization's form 990, 990-EZ, 990-PF,
or other 990-series return. The term includes special fund-raising
event receipts, net of direct expenses, but does not include
contributions or grants received from governmental agencies.