QUESTION:
I
understand that PTA is supposed to be for all children, so is it inappropriate
for our PTA to raise funds to support and/or sponsor an activity that benefits
less than the full school (e.g. an activity limited to a particular grade, or
to those students who want to participate in the specific activity, such as a
chess club)? What concerns are there if
the activity is going to involve school staff and/or be a school activity? If
the PTA does fundraising to help defray the costs, can we allocate the proceeds
only to support those students who participated in the fundraising?
ANSWER:
The answer to
your first question is yes, subject to certain conditions. First, you are correct that PTA’s purpose is
to help all students, but that doesn’t mean that PTAs are limited to those
activities in which all children can or will participate. It only means that the scope of all PTA
activities taken together should support the entire school community. Second, you should make sure that the
particular activity is within your mission, as laid out in the PTA’s Articles
of Incorporation and in the 1023 form filed with the IRS in seeking tax
exemption for the PTA. If not you will
need to amend those documents. Third,
the activity has to be provided for in the budget, at least in a general sense,
such as student enrichment activities.
Again, if not, the budget would need to be amended at a general
membership meeting to include the activity.
To answer your second question, if the support is for a
school activity, such as a field trip, the best practice is to make a grant of
the moneys to the school district, restricted so the funds can only be used for
that particular activity at that school.
If it is to be a PTA activity, then the PTA should be involved in all
aspects of the activity, including advertising, making logistics arrangements,
handling the funds, and signing any applicable contracts. Remember that if transportation is involved,
the PTA liability insurance policy from AIM does NOT cover transportation.
The answer to your third question is an absolute unqualified
NO. Resources of a tax exempt nonprofit
are to be used for the well-being of the public as a whole, and not to benefit
any particular individual or individuals.
You can provide scholarships based on need but not on the basis of
whether the child’s parents are PTA members or participated in the
funding.
