Special Event: "A Conversation with NYS Comptroller Thomas P. Di Napoli And Panel Discusscion on Strategic Alliances & Partnerships

Presented by The Community Foundation for the Greater Capital Region and the New York Council of Nonprofits.

May 10, 2010
8:30am - 11:30am
NYSUT Headquarters
800 Troy Schenectady Rd
Latham, NY

Welcoming remarks from Secretary of State Lorraine Cortés-Vázquez
Panelists:
Doug Sauer, CEO: New York Council of Nonprofits, Inc.
Cristine Cioffi, Partner: Cioffi, Slezak, Wildgrube; Chair: Ellis Medicine Board of Trustees
David W. Palmquist, Head: Museum Chartering, NY State Museum
Jason R. Lilien, Bureau Chief: Charities Bureau (invited)

Potential Topics of Discussion:

• Ways in which state agencies can work to assist the not-for-profit sector as it faces today's complex challenges
• Aspects of the current economic environment that may compel not-for-profit organizations to consider strategic affiliations, shared services, and possible mergers
• Trends, models, and best practices for strategic alliances & partnerships
• How funders and regulatory agencies can encourage and support responsible affiliations

Continental Breakfast Sponsored by NYSUT
SPACE IS LIMITED

Please respond to jcuilla@cfgcr.org to reserve your seat.

400,000 Nonprofits Tax Exemption at Risk

The NY Times reported that As many as 400,000 nonprofit organizations are weeks away from a doomsday.

At midnight on May 15, an estimated one-fifth to one-quarter of some 1.6 million charities, trade associations and membership groups will lose their tax exemptions, thanks to a provision buried in a 2006 federal bill aimed at pension reform.

“It’s going to be an unholy mess once these organizations realize what’s happened to them,” said Diana Aviv, president of the Independent Sector, a nonprofit trade group.

The federal legislation passed in 2006 required all nonprofits to file tax forms the following year. Previously, only organizations with revenues of $25,000 or more — or the vast majority of nonprofit groups — had to file.

The new law, embedded in the 393 pages of the Pension Protection Act of 2006, also directed the Internal Revenue Service to revoke the tax exemptions of groups that failed to file for three consecutive years. Three years have passed, and thus the deadline looms.

Read more here.

Nonprofit Legislative Issues

The following Spring Legislative Agenda information is provided by NYCON's national affiliate the National Council of Nonprofits

With only six weeks remaining until Memorial Day recess, legislators have perhaps their last and best chance to reach bi-partisan agreement on major bills before the election season is fully upon them. The following provides a synopsis of key bills we are following:

Financial Regulatory Reform and Consumer Protection: The Senate is expected to take up a bill to overhaul regulation of the financial services sector, but all 41 Republican Senators signed a letter expressing opposition to the measure as currently written. This stalemate could change, however, due to a lawsuit filed by the Securities and Exchange Commission against Goldman Sachs alleging fraud in transactions at the root of the market collapse. The consumer protection components of the bill are of interest to many nonprofits.

Federal Budget for FY 2011: The Senate and House Budget Committees are finalizing their budget resolutions in preparation for floor action scheduled for the coming weeks. The odds are that Congress will not be successful in adopting a formal budget, which is frequently the case in election years. The debate is still worth following because leaders use the document to establish priorities, and rank-and-file members frequently seek to force votes on controversial issues, such as advocacy rights and the estate tax.

American Workers, State and Business Relief Act of 2010: This bill, which includes extension of the IRA Rollover and provides pension funding relief and $28 billion in additional funds to help the states balance their budgets, passed the Senate in March and must be reconciled with a House-passed bill. There is bi-partisan support for each of the initiatives, but legislators must come up with around $30 billion in additional revenues to pay for the bill.

Estate Tax: The tax expired at the end of 2009, but will return to higher 2001 levels next year. The President has proposed restoring the tax at 2009 levels - exemptions of $3.5 million/individual and a tax rate of 45%; Senators Lincoln (D-AR) and Kyl (R-AZ) are calling for weakening the estate tax by raising the exemption to $5 million/individual and lowering the tax rate to 35%. A weaker estate tax would generate nearly $100 billion less to the U.S. Treasury and provide less of an incentive for charitable giving.