The Rotary Club of Ankeny is a 501(C)4 corporation - Service Organization - and donations are not considered tax deductible. During the September Board meeting, the Board reviewed a proposal for the Club to form a 501(C)3 non-profit corporation. Forming a non-profit is an issue that has come up several times in the past, but it was felt the benefits did not justify the organizatioal cost and reporting requirements. The opportunity to receive contributions for the Kathy Sibbel Legacy Endowment Fund required the Board to take a fresh look at forming a 501(C)3 corporation. In addition to receiving funds for this endowment, it is beleived forming the 501(C)3 will encourage additional contributions to our club, allow the club to qualify for additional sponsorships and grants from companies that only donate to 501(C)3 organizations, and qualify some member donations to be matched by their employer.
The application fee is only $275, if the company has less than $50,000 in gross receipts in any year, and there is a biannual report required, but there is an EZ form which is simply a postcard that we could use. Iowa has a $50 filing fee and requires an annual report, and $30 annual fee. Del Mohler offered to complete the application for the corporation, prepare the corporate documents, and file the paperwork with the Secretary of State. The name of the new corporation is the Rotary Club of Ankeny Foundation. As of the end of September, the application has been filed and we expect to receive the letter of approval from the IRS in the next few days, the Articles of Incorporation have been filed with the Secretary of State, and we have received an Employer Identificatin Number. The Board of directors for the Rotary Club of Ankeny Foundation will be the Rotary Club of Ankeny President, President Elect, Secretary, and Treasurer and Rick Sibbel. This foundation will be used to manage the Kathy Sibbel Endowment and other non-profit donations and accounts for the Rotary Club of Ankeny.
