202.12(7)(a)3.
3. Retain, for at least 3 years, the accounting the fund-raising counsel is required to provide to the charitable organization under s.
202.13 (4) (a) and make this accounting available to the department upon request.
202.12(7)(a)4.
4. Maintain an account at a financial institution within which the fund-raising counsel shall deposit, in its entirety, within 5 days after its receipt, a contribution of money received by the fund-raising counsel on behalf of the charitable organization. The account shall be in the name of the charitable organization, and the charitable organization shall have sole control of all withdrawals from the account.
202.12(7)(b)
(b) A charitable organization that is required to be registered under sub.
(1), and that permits a professional fund-raiser to perform any material services for the charitable organization, shall do all of the following:
202.12(7)(b)1.
1. Before permitting the professional fund-raiser to perform any material services for the charitable organization, ensure the professional fund-raiser is registered under s.
202.14 (1) or is not required to be registered.
202.12(7)(b)2.
2. Before permitting the professional fund-raiser to perform any material services for the charitable organization, contract in writing with the professional fund-raiser. Requirements for the contract are specified in s.
202.14 (4).
202.12(7)(b)3.
3. Before permitting the professional fund-raiser to perform any material services for the charitable organization, file with the department a written confirmation that any solicitation notice filed with the department under s.
202.14 (3), and any material accompanying that notice, are true and correct to the best of the charitable organization's knowledge.
202.12(7)(b)4.
4. Retain, for at least 3 years, the accounting the professional fund-raiser is required to provide to the charitable organization under s.
202.14 (7), and make this accounting available to the department upon request.
202.12(7)(b)5.
5. Maintain an account at a financial institution within which the professional fund-raiser shall deposit, in its entirety, within 5 days after its receipt, a contribution of money received by the professional fund-raiser on behalf of the charitable organization. The account shall be in the name of the charitable organization, and the charitable organization shall have sole control of all withdrawals from the account.
202.12(8)(b)
(b) Before the department makes any adjustment under par.
(a), the department shall send a notification of the proposed adjustment to the cochairpersons of the joint committee for review of administrative rules. If the cochairpersons of the committee do not notify the secretary of financial institutions within 14 working days after the date of the department's notification that the committee has scheduled a meeting for the purpose of reviewing the proposed adjustment, the adjustment may be made as proposed. If, within 14 working days after the date of the department's notification, the cochairpersons of the committee notify the secretary of financial institutions that the committee has scheduled a meeting for the purpose of reviewing the proposed adjustment, the adjustment may be made only upon approval of the committee.
202.12(8)(c)
(c) The department shall notify registrants of any adjustment under this subsection by posting the adjustment on the department's Internet site.
202.12 Cross-reference
Cross-reference: See also ch.
DFI-Bkg 60, Wis. adm. code.
202.13
202.13
Regulation of fund-raising counsel. 202.13(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.
202.12 (1) unless the fund-raising counsel is registered with the department under this subsection.
202.13(1)(b)
(b) Applicants for a fund-raising counsel registration shall apply to the department, in the form and manner prescribed by the department. Each application that is not a renewal application shall be accompanied by any information required by the department, including all of the following:
202.13(1)(b)1m.
1m. The registration fee determined by the department under s.
202.041, except that no registration fee is required under this subdivision for an individual who is eligible for the veterans fee waiver program under s.
45.44.
202.13(1)(e)
(e) All fund-raising counsel registrations expire on August 31 of each year.
202.13(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. The fund-raising counsel shall maintain the bond in effect as long as the registration is in effect. The bond, which shall be in a form prescribed by and acceptable to the department, 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.
202.13(2m)
(2m)
Annual report. Each fund-raising counsel registered under sub.
(1) shall, on or before March 31 of each year, file a report with the department giving such reasonable and relevant information as the department may require concerning the business and operations conducted by the registrant. This report shall be in the form prescribed by the department.
202.13(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.
202.12 (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.
202.13(4)
(4)
Accounts; deposits; record keeping. 202.13(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 fund-raising counsel shall keep the accounting for at least 3 years after the date on which services under the contract are completed.
202.13(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.
202.13(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:
202.13(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.
202.13(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.
202.13(4)(d)
(d) All records described in this subsection shall be made available to the department upon the department's request.
202.13(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 children and families or a county child support agency under s.
59.53 (5).
202.13(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.
202.12 (1), register under sub.
(1).
202.14
202.14
Regulation of professional fund-raisers. 202.14(1)(a)
(a) No professional fund-raiser may solicit in this state for a charitable organization that is required to be registered under s.
202.12 (1) unless the professional fund-raiser is registered under this subsection.
202.14(1)(b)
(b) Applicants for a professional fund-raiser registration shall apply to the department, in the form and manner prescribed by the department. Each application that is not a renewal application shall be accompanied by any information required by the department, including all of the following:
202.14(1)(b)1m.
1m. The registration fee determined by the department under s.
202.041, except that no registration fee is required under this subdivision for an individual who is eligible for the veterans fee waiver program under s.
45.44.
202.14(1)(e)
(e) All professional fund-raiser registrations expire on August 31 of each year.
202.14(2)
(2)
Bond. At the time of applying for registration under sub.
(1), a professional fund-raiser shall file with and have approved by the department a bond, in which the professional fund-raiser is the principal obligor, in the sum of $20,000. If a professional fund-raiser does not at any time have custody of any contributions, the bond shall be in the sum of $5,000. The professional fund-raiser shall maintain the bond in effect as long as the registration is in effect. The bond, which shall be in a form prescribed by and acceptable to the department, 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 professional fund-raiser or arising out of a violation of this subchapter or the rules promulgated under this subchapter.
202.14(2m)
(2m)
Annual report. Each professional fund-raiser registered under sub.
(1) shall, on or before March 31 of each year, file a report with the department giving such reasonable and relevant information as the department may require concerning the business and operations conducted by the registrant. This report shall be in the form prescribed by the department.
202.14(3)(am)(am) Before performing services under a contract with a charitable organization that is required to be registered under s.
202.12 (1), a professional fund-raiser shall file with the department a completed solicitation notice in the form and manner prescribed by the department. Forms prescribed by the department under this paragraph may contain any content or requirement that the department, in its discretion, determines necessary. The charitable organization on whose behalf the professional fund-raiser is acting shall file with the department a written confirmation that the solicitation notice and any accompanying material are true and complete to the best of its knowledge.
202.14(3)(bm)
(bm) Within 7 days after any material change occurs in information filed with the department under par.
(am), the professional fund-raiser shall report the change, in writing, to the department.
202.14(4)(a)(a) A professional fund-raiser may not solicit contributions on behalf of a charitable organization that is required to be registered under s.
202.12 (1) unless the professional fund-raiser has executed a written contract with the charitable organization that clearly states the respective obligations of the professional fund-raiser and the charitable organization.
202.14(4)(e)
(e) The contract required under par.
(a) shall include all of the following:
202.14(4)(e)4.
4. The terms of the contract, including a clear description of the services to be performed by the professional fund-raiser.
202.14(4)(e)5.
5. A clear statement of the financial arrangement between the professional fund-raiser and the charitable organization, including, if applicable, a statement of all of the following:
202.14(4)(e)5.a.
a. The percentage or dollar amount of the total funds collected on behalf of the charitable organization that shall be paid to, or retained by, the charitable organization.
202.14(4)(e)5.b.
b. The percentage or dollar amount of the total funds collected on behalf of the charitable organization that shall be paid to the professional fund-raiser or any other person for purposes other than the exclusive benefit of the charitable organization's charitable purposes.
202.14(4)(e)5.c.
c. The fixed fee, if any, to be received by the professional fund-raiser.
202.14(4)(e)5.d.
d. All contractual expenses to be incurred by the professional fund-raiser but charged to the charitable organization. This list of expenses shall contain specific dollar amounts or projected estimates of these costs.
202.14(4)(e)5.e.
e. The costs per unit for the services to be provided and the projected number of units to be provided.
202.14(4)(e)6.
6. The signature of an owner or principal officer of the professional fund-raiser and the signatures of 2 authorized officers, directors, or trustees of the charitable organization.
202.14(7)
(7)
Financial report. Within 90 days after completing services under a contract described in sub.
(4), and on the anniversary of the signing of a contract described under sub.
(4) lasting more than one year, the professional fund-raiser shall, if the charitable organization is required to be registered under s.
202.12 (1), account in writing to the charitable organization for all contributions received and all expenses incurred under the contract. The professional fund-raiser shall retain the accounting for at least 3 years and make it available to the department upon request.
202.14(8)
(8)
Depositing contributions. A professional fund-raiser shall deposit, in its entirety, a contribution of money received by the professional fund-raiser, on behalf of a charitable organization required to be registered under s.
202.12 (1), in an account at a financial institution within 5 days after its receipt. The account shall be in the name of the charitable organization. The charitable organization shall have sole control of all withdrawals from the account.
202.14(9)(a)(a) During the period in which a contract described in sub.
(4) is in effect and for not less than 3 years after its completion, a professional fund-raiser shall retain all of the following records:
202.14(9)(a)1.
1. The name and, if known to the professional fund-raiser, the address of each person contributing and the date and amount of the contribution.
202.14(9)(a)2.
2. The name and residence address of each employee, agent, or other person involved in the solicitation.
202.14(9)(a)3.
3. A record of all contributions that are at any time in the custody of the professional fund-raiser.
202.14(9)(a)4.
4. A record of all expenses incurred by the professional fund-raiser which the charitable organization is required to pay.
202.14(9)(a)5.
5. A record of the location and account number of each financial institution account in which the professional fund-raiser deposits contributions.
202.14(9)(b)
(b) If under a contract described in sub.
(4) the professional fund-raiser sells tickets to an event and represents that the tickets will be donated to an organization for use by others, the professional fund-raiser shall retain for the period specified in par.
(a) all of the following:
202.14(9)(b)1.
1. The name and address of the donors and the number of tickets donated by each donor.
202.14(9)(b)2.
2. The name and address of the organization receiving donated tickets and the number of donated tickets received by the organization.
202.14(9)(c)
(c) The professional fund-raiser shall make all records described in this subsection available for inspection by the department upon request.
202.14(10)
(10)
Nondisclosure. The department may not disclose information under sub.
(9) (a) 1. to any person 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 children and families or a county child support agency under s.
59.53 (5).
202.14(11)
(11)
Solicitation disclosure requirements. 202.14(11)(a)
(a) Prior to orally requesting a contribution or contemporaneously with a written request for a contribution, a professional fund-raiser shall clearly and conspicuously disclose all of the following:
202.14(11)(a)1.
1. The name of the charitable organization, as it appears on file with the department, on whose behalf the solicitation is being made.
202.14(11)(a)2.
2. A clear description of the primary charitable purpose for which the solicitation is made.
202.14(11)(a)3.
3. That the contribution is not tax-deductible, if this disclosure is applicable.
202.14(11)(a)4.
4. The name of the professional fund-raiser, as it appears on file with the department, and that the solicitation is being conducted by a professional fund-raiser who is being paid for his, her, or its services.
202.14(11)(a)5.
5. If the individual acting on behalf of the professional fund-raiser identifies himself or herself by name, the individual's legal name.
202.14(11)(a)6.
6. Upon request by a person from whom a charitable contribution is sought, the percentage of the contribution that will be paid to the charitable organization as a result of the person's contribution. If the professional fund-raiser does not receive a percentage of the contribution, the professional fund-raiser shall disclose the dollar amount it was to or will receive.
202.14(11)(b)
(b) If a solicitation is made orally, including a solicitation made by telephone, the professional fund-raiser shall, within 5 days after the solicitation, send to each person contributing or pledging to contribute a written confirmation, receipt, or reminder of the contribution.
202.14(11)(c)
(c) In addition to the information required by par.
(a) 1. to
5., any written solicitation, and any confirmation, receipt, or reminder required by par.
(b), shall, unless the charitable organization has obtained a disclosure exemption under s.
202.12 (6m) (e), conspicuously state the following verbatim: “A financial statement of the charitable organization disclosing assets, liabilities, fund balances, revenue, and expenses for the preceding fiscal year will be provided to any person upon request."
202.14(11)(d)
(d) The financial statement under par.
(c) shall, at a minimum, divide expenses into categories of management and general, program services, and fund-raising. If the charitable organization is required to file financial information with its annual report under s.
202.12 (3), the financial statement under par.
(c) shall be consistent with the financial information reported in that annual report.
202.14(11)(e)
(e) The professional fund-raiser may not represent that tickets to an event will be donated to an organization for use by others unless all of the following conditions are met:
202.14(11)(e)1.
1. The professional fund-raiser has a commitment, in writing, from the organization stating that the organization will accept donated tickets and specifying the number of donated tickets that the organization is willing to accept.
202.14(11)(e)2.
2. The professional fund-raiser solicits contributions for donated tickets from no more contributors than the number of tickets that the organization has agreed to accept under subd.
1. 202.14(11)(f)
(f) The disclosures required by this subsection are required unless the professional fund-raiser is soliciting a contribution for a charitable organization that is not required to be registered under s.
202.12 (1).
