Feed for /1997/statutes/statutes/440 PDF
440.41(9)(d) (d) The sale of, or offer or attempt to sell, a membership or an advertisement, advertising space, book, card, tag, coupon, device, magazine, merchandise, subscription, flower, ticket, candy, cookie or other tangible item in connection with any of the following:
440.41(9)(d)1. 1. A request for financial support for a charitable organization or charitable purpose.
440.41(9)(d)2. 2. The use of or reference to the name of a charitable organization as a reason for making a purchase.
440.41(9)(d)3. 3. A statement that all or a part of the proceeds from the sale will be used for a charitable purpose or will benefit a charitable organization.
440.41(10) (10) "Unpaid solicitor" means a person who solicits in this state and who is not a professional fund-raiser.
440.41 History History: 1991 a. 278, 315.
440.42 440.42 Regulation of charitable organizations.
440.42(1)(1)Annual registration requirement.
440.42(1)(a)(a) Except as provided in sub. (5), no charitable organization may solicit in this state or have contributions solicited in this state on its behalf unless it is registered with the department under this subsection.
440.42(1)(b) (b) The department shall promptly register a charitable organization that does all of the following:
440.42(1)(b)1. 1. Submits to the department an application for registration on a form provided by the department.
440.42(1)(b)2. 2. Submits to the department a registration statement that complies with sub. (2).
440.42(1)(b)2g. 2g. Submits to the department an annual financial report for the most recently completed fiscal year of the charitable organization, if the charitable organization received contributions in excess of $5,000 but not more than $100,000 during its most recently completed fiscal year.
440.42(1)(b)2r. 2r. Submits to the department an audited financial statement for the most recently completed fiscal year of the charitable organization, if the charitable organization received contributions in excess of $100,000 during its most recently completed fiscal year.
440.42(1)(b)3. 3. Pays to the department a $15 registration fee.
440.42(1)(c) (c) The department shall issue a certificate of registration to each charitable organization that is registered under this subsection. Renewal applications shall be submitted to the department, on a form provided by the department, on or before the expiration date specified in s. 440.08 (2) (a) and shall include a registration statement that complies with sub. (2) and the renewal fee specified in s. 440.08 (2) (a).
440.42(1)(d) (d) Within 20 days after receiving an application for registration or for renewal of a registration under this subsection, the department shall notify the charitable organization of any deficiencies in the application, registration statement or fee payment.
440.42(2) (2)Registration statement. Except as provided in sub. (3), a registration statement required under sub. (1) shall be signed and sworn to by 2 authorized officers, including the chief fiscal officer, of the charitable organization and shall include all of the following:
440.42(2)(a) (a) The name of the charitable organization and the purpose for which it is organized.
440.42(2)(b) (b) The address and telephone number of the charitable organization and the address and telephone number of any offices in this state or, if the charitable organization does not have an address, the name, address and telephone number of the person having custody of its financial records.
440.42(2)(c) (c) The names and the addresses of the officers, directors and trustees and the principal salaried employes of the charitable organization.
440.42(2)(f) (f) A statement of whether the charitable organization is authorized by any other governmental authority to solicit.
440.42(2)(g) (g) A statement of whether the charitable organization has ever had its authority to solicit denied, suspended, revoked or enjoined by a court or other governmental authority.
440.42(2)(h) (h) The charitable purpose or purposes for which contributions will be used.
440.42(2)(i) (i) The name or names under which it intends to solicit.
440.42(2)(j) (j) The names of the persons within the charitable organization who have final responsibility for the custody of contributions.
440.42(2)(k) (k) The names of the persons within the charitable organization who are responsible for the final distribution of contributions.
440.42(2)(L) (L) If the registration statement is submitted to the department with an initial application for registration, all of the following:
440.42(2)(L)1. 1. A copy of the charitable organization's charter, articles of organization, agreement of association, instrument of trust, constitution or other organizational instrument and bylaws.
440.42(2)(L)2. 2. A statement of the place where and the date when the charitable organization was legally established, the form of its organization and whether it has tax-exempt status.
440.42(2)(L)3. 3. Copies of any federal or state tax exemption determination letters received by the charitable organization.
440.42(2)(m) (m) Any other information required by the department.
440.42(3) (3)Annual financial report; audit requirement.
440.42(3)(a)(a) Except as provided in pars. (am) and (b) and in rules promulgated under sub. (8), a charitable organization that received contributions in excess of $5,000 during its most recently completed fiscal year shall file with the department an annual financial report for the charitable organization's most recently completed fiscal year. The department shall prescribe the form of the report and shall prescribe standards for its completion. The annual financial report shall be filed within 6 months after the end of that fiscal year and shall include all of the following:
440.42(3)(a)1. 1. A balance sheet.
440.42(3)(a)2. 2. A statement of support, revenue, expenses and changes in fund balance.
440.42(3)(a)3. 3. A statement of functional expenses that, at a minimum, is divided into categories of management and general, program services and fund-raising.
440.42(3)(a)4. 4. Other financial information that the department requires.
440.42(3)(am) (am) A charitable organization that operates solely within one community and that received less than $50,000 in contributions during its most recently completed fiscal year may apply to the department for an exemption from the reporting requirement under par. (a). The department shall promulgate rules specifying the criteria for eligibility for an exemption under this paragraph, and shall grant exemptions from the reporting requirement under par. (a) to a charitable organization that satisfies those criteria.
440.42(3)(b) (b) Except as provided in rules promulgated under sub. (8), in lieu of filing a report under par. (a), a charitable organization that received contributions in excess of $100,000 during its most recently completed fiscal year shall file with the department an audited financial statement for the charitable organization's most recently completed fiscal year, prepared in accordance with generally accepted accounting principles, and the opinion of an independent certified public accountant on the financial statement. The audited financial statement shall be filed within 6 months after the end of that fiscal year.
440.42(3)(c) (c) Except as provided in rules promulgated under sub. (8), a charitable organization that is registered under sub. (1) and that received $5,000 or less in contributions during its most recently completed fiscal year shall file with the department an affidavit that the charitable organization received $5,000 or less in contributions during that fiscal year. The affidavit shall be signed and sworn to by 2 authorized officers, including the chief fiscal officer, of the charitable organization and shall be filed within 6 months after the end of that fiscal year.
440.42(4) (4)Acceptance of other information. The department may accept information filed by a charitable organization with another state or with the federal government instead of the information required to be included in a registration statement under sub. (2) if the information filed with the other state or with the federal government is substantially similar to the information required under this section.
440.42(5) (5)Exemptions from registration.
440.42(5)(a)(a) The following are not required to register under sub. (1):
440.42(5)(a)1. 1. A person that is exempt from filing a federal annual information return under section 6033 (a) (2) (A) (i) and (iii) and (C) (i) of the internal revenue code.
440.42(5)(a)2. 2. A candidate for national, state or local office or a political party or other committee or group required to file financial information with the federal elections commission or a filing officer under s. 11.02.
440.42(5)(a)3. 3. Except as provided in par. (b) and in rules promulgated under sub. (8), a charitable organization which does not intend to raise or receive contributions in excess of $5,000 during a fiscal year, if all of its functions, including solicitation, are performed by persons who are unpaid for their services and if no part of its assets or income inures to the benefit of, or is paid to, any officer or member of the charitable organization.
440.42(5)(a)3m. 3m. A fraternal, civic, benevolent, patriotic or social organization that solicits contributions solely from its membership.
440.42(5)(a)4. 4. A veterans organization incorporated under ch. 188 or chartered under federal law or the service foundation of such an organization recognized in the bylaws of the organization.
440.42(5)(a)5. 5. A nonprofit, postsecondary educational institution accredited by a regional accrediting agency or association approved under 20 USC 1099b, or an educational institution and its authorized charitable foundations which solicit contributions only from its students and their families, alumni, faculty, trustees, corporations, foundations and patients.
440.42(5)(a)6. 6. A person soliciting contributions for the relief of a named individual if all contributions, without any deductions, are given to the named individual.
440.42(5)(a)7. 7. A state agency, as defined in s. 20.001 (1), or a local governmental unit, as defined in s. 605.01 (1).
440.42(5)(a)8. 8. A private school, as defined in s. 118.165.
440.42(5)(b) (b) Except as provided in rules promulgated under sub. (8), if a charitable organization would otherwise be exempt under par. (a) 3., but it raises or receives more than $5,000 in contributions, it shall, within 30 days after the date on which its contributions exceed $5,000, register as required under sub. (1).
440.42(6) (6)Reporting tax exemption or organizational changes. If a charitable organization registered under sub. (1) receives any federal or state tax exemption determination letter or adopts any amendment to its organizational instrument or bylaws after it is registered under sub. (1), within 30 days after receipt of the letter or adoption of the amendment, the charitable organization shall file with the department a copy of the letter or amendment.
440.42(7) (7)Contracts.
440.42(7)(a)(a) Before a fund-raising counsel performs any material services for a charitable organization that is required to be registered under sub. (1), the charitable organization shall contract in writing with the fund-raising counsel, except as provided in par. (c). Requirements for the contract are specified in s. 440.43 (3).
440.42(7)(b) (b) Before a professional fund-raiser performs any material services for a charitable organization that is required to be registered under sub. (1), the charitable organization shall contract in writing with the professional fund-raiser. Requirements for the contract are specified in s. 440.44 (4).
440.42(7)(c) (c) Paragraph (a) does not apply if the fund-raising counsel is exempt under s. 440.43 (6) from contracting in writing with the charitable organization.
440.42(8) (8)Contribution limits. The department may promulgate rules that adjust the $5,000 limit in subs. (3) (a) and (c) and (5) (a) 3. and (b) and the $100,000 limit in sub. (3) (b).
440.42 History History: 1991 a. 278; 1995 a. 27, 277.
440.42 Annotation Complying With the Charitable Solicitations Act. Sweet & Petershack. Wis. Law. Oct. 1993.
440.43 440.43 Regulation of fund-raising counsel.
440.43(1) (1)Registration requirement.
440.43(1)(a)(a) Except as provided in sub. (6), no fund-raising counsel may at any time have custody of contributions from a solicitation for a charitable organization that is required to be registered under s. 440.42 (1) unless the fund-raising counsel is registered with the department under this subsection.
440.43(1)(b) (b) The department shall promptly register a fund-raising counsel that does all of the following:
440.43(1)(b)1. 1. Submits to the department an application for registration on a form provided by the department.
440.43(1)(b)2. 2. Files with the department a bond that is approved under sub. (2).
440.43(1)(b)3. 3. Pays to the department a $50 registration fee.
440.43(1)(c) (c) The department shall issue a certificate of registration to each fund-raising counsel that is registered under this subsection. Renewal applications shall be submitted to the department, on a form provided by the department, on or before the date specified in s. 440.08 (2) (a) and shall include the renewal fee specified in s. 440.08 (2) (a) and evidence satisfactory to the department that the fund-raising counsel maintains a bond that is approved under sub. (2).
440.43(1)(d) (d) Within 20 days after receiving an application for registration or for renewal of a registration under this subsection, the department shall notify the fund-raising counsel of any deficiencies in the application, bond or fee payment.
440.43(2) (2)Bond. At the time of applying for registration under sub. (1), the fund-raising counsel shall file with and have approved by the department a bond, in which the fund-raising counsel is the principal obligor, in the sum of $20,000, with one or more responsible sureties whose liability in the aggregate as sureties at least equals that sum. The fund-raising counsel shall maintain the bond in effect as long as the registration is in effect. The bond, which may be in the form of a rider to a larger blanket liability bond, shall run to the state and to any person who may have a cause of action against the principal obligor of the bond for any liabilities resulting from the obligor's conduct of any activities as a fund-raising counsel or arising out of a violation of this subchapter or the rules promulgated under this subchapter.
440.43(3) (3)Contract. Except as provided in sub. (6), before a fund-raising counsel performs any material services for a charitable organization that is required to be registered under s. 440.42 (1), the charitable organization and the fund-raising counsel shall contract in writing and the fund-raising counsel shall file the contract with the department. The contract shall contain information that will enable the department to identify the services that the fund-raising counsel is to provide, including whether the fund-raising counsel will at any time have custody of contributions.
440.43(4) (4)Accounts; deposits; record keeping.
440.43(4)(a)(a) Within 90 days after services under a contract required under sub. (3) are completed, and on the anniversary of the signing of a contract lasting more than one year, the fund-raising counsel shall account in writing to the charitable organization with which the fund-raising counsel has contracted for all contributions received and expenses incurred under the contract. The charitable organization shall keep the accounting for at least 3 years after the date on which services under the contract are completed and make it available to the department upon request.
440.43(4)(b) (b) The fund-raising counsel shall deposit, in its entirety, a contribution of money received by the fund-raising counsel in an account at a financial institution within 5 days after its receipt. The account shall be in the name of the charitable organization with which the fund-raising counsel has contracted. The charitable organization shall have sole control of all withdrawals from the account.
440.43(4)(c) (c) The fund-raising counsel shall keep for the duration of a contract, and for not less than 3 years after its completion, all of the following:
440.43(4)(c)1. 1. A record of all contributions at any time in the custody of the fund-raising counsel, including the name and address of each contributor and the date and amount of the contribution.
440.43(4)(c)2. 2. A record of the location and account number of each financial institution account in which the fund-raising counsel deposits contributions.
440.43(5) (5)Department disclosure. The department shall not disclose information under sub. (4) (c) 1. except to the extent necessary for investigative or law enforcement purposes and except that the department may, if requested under s. 49.22 (2m), disclose information regarding the name, address or employer of or financial information related to an individual to the department of workforce development or a county child support agency under s. 59.53 (5).
440.43(6) (6)Exceptions. This section does not apply to a fund-raising counsel who does not intend to earn more than $1,000 per year as a fund-raising counsel, except that a fund-raising counsel who does not intend to earn more than $1,000 but does earn more than $1,000 in a year shall, beginning 30 days after actually earning more than $1,000 in a year, comply with sub. (3) and, if the fund-raising counsel at any time has custody of contributions for a charitable organization that is required to be registered under s. 440.42 (1), register under sub. (1).
440.43 History History: 1991 a. 278; 1995 a. 27; 1997 a. 191.
440.44 440.44 Regulation of professional fund-raisers.
440.44(1)(1)Registration requirement.
440.44(1)(a)(a) No professional fund-raiser may solicit in this state for a charitable organization that is required to be registered under s. 440.42 (1) unless the professional fund-raiser is registered under this subsection.
440.44(1)(b) (b) The department shall promptly register a professional fund-raiser that does all of the following:
440.44(1)(b)1. 1. Submits to the department an application for registration on a form provided by the department.
440.44(1)(b)2. 2. Files with the department a bond that is approved under sub. (2).
440.44(1)(b)3. 3. Pays to the department a $50 registration fee.
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This is an archival version of the Wis. Stats. database for 1997. See Are the Statutes on this Website Official?