I think discussing which type of non-profit to be (501(c)3 vs. 501(c)6 vs.
___ is putting the cart before the horse. There are advantages and
disadvantages to both and depending what the goals are one may be better
than the other or they both may be unnecessary. There also needs to be
discussion on where to incorporate (that is done, in the USA, at a state
level). As someone who is currently on the board of a 501(c)6 and and past
president and co-founder of a 501(c)3, I can tell you that there are lots
of forms, accounting, legal, and other requirements. If the reason for
doing it is to make a little profit off of t-shirts and coffee mugs, it
isn't worth it. You'll lose more in bank fees. If it is to be a fiscal
agent for the whole Code4Lib Conference (and thus take in and expend all of
the money involved with the conference it may be, but it will also
complicate things, like will you need insurance?) there needs to be boards,
treasurers, elections, etc.
I am not saying I'm against it. I advocated for it years ago when it was
less popular [1]. However, I think the purposes and goals need to be
decided first before worry about what tax status the organization would fit
into and if incorporated is even worth it. I'd also highly recommend
looking into partnering with some other organization such as DLF or Lyrasis
to do this [2]. Changing the state the treasurer, president/chair, and
other officers are located in is a big headache (how big depends on the
constitution, bylaws, banks, and the state incorporated in).
Edward
[1] http://code4lib.org/conference/2008/corrado
[2] I only mention these because they came up, but it should be noted even
DLF isn't going it alone. They are a program of CLIR. I'm sure there are
also many others that could be good choices.
On Sun, Apr 13, 2014 at 10:05 PM, Andreas Orphanides <[log in to unmask]>wrote:
> Historically, there's resistance to forming anything like an organization
> around Code4Lib proper. A great point of pride in the community is our
> generally anarcho-communist approach to self-organization and
> self-determination -- Code4Lib is manifestly not an organization, and yet
> [X], for many values of X that are challenging for even "proper"
> organizations to pull off. There's definitely concern that forming an
> organization and bylaws and the like would make it harder for Code4Lib to
> do its thing as Code4Lib, up to and including potentially fundamentally
> disrupting what Code4Lib is at its core.
>
> On the other hand, there would be a definite value -- and there is a
> demonstrated need -- for some kind of ongoing structure to support the
> community's regular activities, help manage budget handoffs between
> conferences, and the like. I think the notion of a "Friends of Code4Lib"
> has the potential of solving the financial trust/financial continuity issue
> without putting the community itself at risk of being burdened by too much
> structure.
>
> That being said, I think even the idea of Friends of Code4lib, organization
> once removed, is probably worthy of serious discussion among the community
> so we can understand how it's going to fit in with the bigger Code4Lib
> organism.
>
> -dre.
>
>
> On Sun, Apr 13, 2014 at 9:51 PM, Riley Childs <[log in to unmask]
> >wrote:
>
> > I think someone should put together bylaws and then we should vote on
> > them, if they are passed we should then vote on a board (I really don't
> > know w/w/w on this) after that we should incorporate as code4lib LLC and
> > apply for status as a 501(c)6 (members don't have to pay) or a more
> > welcoming option would be a 501(c)3 which would give us access to tax
> > deductible donations (yay!). just my $2 (which I will gladly give if this
> > becomes an entity ;)
> >
> > Riley Childs
> > Student
> > Asst. Head of IT Services
> > Charlotte United Christian Academy
> > (704) 497-2086
> > RileyChilds.net
> > Sent from my Windows Phone, please excuse mistakes
> > ________________________________
> > From: Simon Spero<mailto:[log in to unmask]>
> > Sent: 4/13/2014 3:33 PM
> > To: [log in to unmask]<mailto:[log in to unmask]>
> > Subject: Re: [CODE4LIB] Friends of code4lib (was Re: [CODE4LIB] Call for
> > Old Conf Tshirt Logos)
> >
> > 501(c)(3) would be preferable ; the only part of congress that C4L has
> to
> > deal with is the Library of same, and I don't think edsu does much
> > legislating.
> >
> > A good application should be doable in a few months. Fees for
> incorporation
> > and IRS charges could be raised by selling off anarchivist's glasses as
> the
> > next google glass. ["how did he know that? he must be connected to the
> > net."]
> >
> >
> >
> http://www.irs.gov/Charities-&-Non-Profits/Top-Ten-Reasons-for-Delays-in-Processing-Exempt-Organization-Applications
> >
> >
> >
> > On Sun, Apr 13, 2014 at 1:19 PM, Esmé Cowles <[log in to unmask]
> > >wrote:
> >
> > > It seems like the main things a 501(c)(6) can do that a 501(c)(3) can't
> > is
> > > engage in advertising, lobbying, supporting candidates for office, etc.
> > > Other that that, it can engage in the same activities as a 501(c)(3).
> > >
> > > IMHO, a "Friends of code4lib" non-profit organization would fall
> squarely
> > > under the the advancement of education category (i.e. to support
> > > educational activities such as the conference, mailing list, website,
> IRC
> > > channel, etc.). So a 501(c)(3) seems like a better fit to me.
> > >
> > > -Esme
> > >
> > > On 04/13/2014, at 12:57 PM, Simon Spero <[log in to unmask]> wrote:
> > >
> > > > [Note that 501 (c)(6) only applies to membership organizations]
> > > >
> > > >
> > > > On Sun, Apr 13, 2014 at 12:55 PM, Simon Spero <[log in to unmask]>
> > > wrote:
> > > >
> > > >> Whilst it might be possible that code4lib might qualify under IRC
> > > >> 501(c)(3) it is also possible that code4lib might be a professional
> > > >> organization under IRC 501(c)(6) .
> > > >>
> > > >> 6. An organization formed to stimulate the development and
> > > >>> free interchange of information pertaining to systems and
> programming
> > > >>> of electronic data processing equipment may qualify for exempt
> status
> > > under
> > > >>> IRC 501(c)(6). The membership of the particular organization at
> issue
> > > >>> is composed of members who represent diversified businesses that
> own,
> > > >>> rent, or lease digital computers produced by various manufacturers.
> > The
> > > >>> organization holds semi-annual conferences to discuss operational
> > > >>> and technical problems. The activities of this organization
> provide a
> > > >>> forum for the exchange of information that will improve the
> > efficiency
> > > of
> > > >>> the use
> > > >>> of such computers, both by members and other interested users, and
> > > >>> thus improve the overall efficiency of the business operations of
> > each.
> > > >>> Rev. Rul. 74-147, 1974-1 C.B. 136. Distinguished in Rev. Rul.
> 83-164,
> > > >>> 1983-2
> > > >>> C.B. 95, discussed under The "Line of Business" Requirement, page
> 22.
> > > >>
> > > >>
> > > >> http://www.irs.gov/pub/irs-tege/eotopick03.pdf , page K-8
> > > >>
> > > >> See e.g. the ALA - a 501(c)(3) organization, vs. ALA-APA 501(c)(6).
> > > >>
> > > >>
> > http://ala-apa.org/about-ala-apa/governing-documents/501c6-tax-status/
> > > >>
> > > >> [IANAL. IANALL.]
> > > >>
> > > >>
> > > >> On Fri, Apr 11, 2014 at 2:51 PM, Heller, Margaret <[log in to unmask]
> > > >wrote:
> > > >>
> > > >>> Here is a good place to start:
> > > >>>
> http://www.irs.gov/Charities-&-Non-Profits/Charitable-Organizations.
> > I
> > > >>> don't think a Friends of Code4Lib would qualify as a 501(C)(4) or
> the
> > > other
> > > >>> types of exempt organization, but possibly.
> > > >>>
> > > >>> That said, we will run into all the problems that have stymied
> these
> > > >>> types of discussions in the past that are not legal problems but
> > > >>> philosophical problems. It's not hard to fill out the 501(C)(3)
> > > >>> application, but figuring out what to put in the boxes when you
> don't
> > > have
> > > >>> a legal entity is difficult. So someone would have to incorporate
> the
> > > >>> Friends organization. I am sure most of us work at places with
> > Friends
> > > of
> > > >>> the library and could see their bylaws to get some ideas.
> > > >>>
> > > >>> Margaret Heller
> > > >>> Digital Services Librarian
> > > >>> Loyola University Chicago
> > > >>> 773-508-2686
> > > >>>
> > > >>> -----Original Message-----
> > > >>> From: Code for Libraries [mailto:[log in to unmask]] On
> Behalf
> > > Of
> > > >>> Lisa Rabey
> > > >>> Sent: Friday, April 11, 2014 9:39 AM
> > > >>> To: [log in to unmask]
> > > >>> Subject: Re: [CODE4LIB] Call for Old Conf Tshirt Logos
> > > >>>
> > > >>> On Fri, Apr 11, 2014 at 8:30 AM, Francis Kayiwa <
> [log in to unmask]
> > >
> > > >>> wrote:
> > > >>>>
> > > >>>> +1
> > > >>>>
> > > >>>> Go for it Lisa!
> > > >>>>
> > > >>>> ./fxk
> > > >>>
> > > >>>
> > > >>> I can start digging into the hows/whys sometime in early May and
> > report
> > > >>> back. If anyone has anything of interest (past C4L list convos,
> > > >>> recommendations, etc), pass them along!
> > > >>>
> > > >>>
> > > >>> --
> > > >>>
> > > >>> Lisa M. Rabey | @pnkrcklibrarian
> > > >>>
> > > >>>
> > >
> >
> ------------------------------------------------------------------------------------
> > > >>> http://exitpursuedbyabear.net | http://lisa.rabey.net
> > > >>>
> > > >>
> > > >>
> > >
> >
>
|
