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WELCOME Welcome to fiscal sponsorship with Intersection for the Arts! Our membership is composed of over 170 artists and art organizations, from 9 counties across the Bay Area, working in various disciplines, from visual arts to performance to arts education and advocacy. We’re proud to serve the artists and entrepreneurs that make our communities better, healthier, more exciting and dynamic places to live our lives. Thank you for the work you do. This handbook will guide you through the process of being fiscally sponsored by Intersection for the Arts. Keep it handy when questions and issues arise. THIS HANDBOOK IS…

… a guide for the policies and procedures related to your fiscal sponsorship with Intersection for the Arts. If you’d like further help, you can always contact us.

… subject to change. We’ll keep it updated as Intersection evolves.

THIS HANDBOOK IS NOT…

… legally binding or serving as legal advice. This handbook is provided for informational purposes only and does not represent a commitment of any kind from Intersection for the Arts. Intersection’s obligations are limited to the obligations provided in the Fiscal Sponsorship Agreement. The terms of the Agreement take precedence if anything in this handbook conflicts with the information in the contract.

… entirely error-free. We’ll try our best.

NOTE: Intersection for the Arts does not make warranties, and expressly disclaims all warranties, express or implied, by providing this handbook. All such information is provided "as is" without warranty of any kind. Intersection is not liable for any damages, including direct, indirect, special, or consequential damages, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the information in this handbook, even if advised of the possibility of such damages.

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TABLE OF CONTENTS Jump to any section by clicking on the section heading below. Return to this page by clicking “Table of Contents” in the bottom right corner of every page.

ABOUT INTERSECTION

OUR MISSION

OUR PROGRAMS

OUR VALUES

STAFF CONTACTS

ABOUT YOUR MEMBERSHIP

MEMBER RESOURCES

WEBSITE MEMBER PORTAL

LOW-COST SPACE RENTALS

MEETING & EVENT RENTAL OFFERINGS

LOW-COST COWORKING

COWORKING PERKS

COWORKING OFFERINGS

MAIL SERVICE

PROFESSIONAL DEVELOPMENT

WORKSHOPS

PROGRAMS

ARTS COACHING

GRANT REVIEW

COMMUNITY

PROMOTION

HOW TO CREDIT INTERSECTION

ACCOUNTING SERVICES

BOOKKEEPING & TAX REPORTING

INDEPENDENT CONTRACTOR REPORTING

REQUESTING REIMBURSEMENT FOR INDEPENDENT CONTRACTOR PAYMENTS

INTERNATIONAL INDEPENDENT CONTRACTORS

AB5 LEGISLATION

POPULATIONS WITHOUT ACCESS TO FINANCIAL RESOURCES

ACCOUNT BALANCE & STATEMENTS

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STORAGE OF RECORDS

CUSTOMER RELATIONS MANAGER

FEES, TAX STATUS + RESTRICTIONS

ADMINISTRATIVE FEES

TAX STATUS + SEPARATE ACCOUNTS

SOLE SPONSORSHIP

PUBLIC ADVOCACY

DEPOSITING + REQUESTING FUNDS

CHECKS

CASH

DEPOSIT FORMS AND IN-KIND DONATION FORMS

RELEASING RESTRICTED FUNDS

REQUESTING PAYMENTS

PER DIEMS

PETTY CASH, CASH CARDS, GIFT CARDS, OR PREPAID CREDIT CARDS

FUNDRAISING

INDIVIDUAL CONTRIBUTIONS + FUNDRAISING EVENTS

FLIPCAUSE + ONLINE DONATIONS

CUSTOMIZING YOUR FLIPCAUSE ACCOUNT

SQUARE + CREDIT CARD DONATIONS/PAYMENTS

COLLECTING DONOR INFORMATION

APPROVED REVENUE PLATFORMS

EVENT TICKETING

IN-KIND DONATIONS + NONPROFIT DISCOUNTS

DONATIONS OF STOCKS AND SECURITIES

APPLYING FOR GRANTS

RECEIVING + REPORTING GRANTS

PROGRAM PARTNERS

LIABILITY & INSURANCE

INSURANCE PROVIDERS

DISPUTES + PROJECT TERMINATION

BECOMING YOUR OWN 501(c)(3)

FINDING A NEW FISCAL SPONSOR

CLOSING DOWN YOUR PROJECT

FAILURE TO PAY ANNUAL DUES

ARBITRATION

A NOTE ABOUT FISCAL SPONSORSHIP

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ABOUT INTERSECTION Founded in 1965, Intersection for the Arts is a bedrock Bay Area arts nonprofit that’s dedicated to helping artists grow. Through vital resources, including fiscal sponsorship, low-cost coworking and event space, and professional development, we empower people to continue creating, thinking big, and taking weird and wonderful risks. We believe art and culture are necessary elements of wellbeing. That’s why we serve people working in the arts—from artists to educators to administrators to funders. We take the stance that artists should be at the top of the systems that were originally created to support their work. Art institutions would not exist but for artists’ creativity, sweat, blood, tears, and enormously generous hearts. We stand by artists every day in their efforts to make our communities better, healthier, more exciting, and dynamic places to live our lives.

OUR MISSION To provide people in arts and culture with resources to grow.

OUR PROGRAMS GET SUPPORT We provide personalized fiscal sponsorship for people and groups who have yet to form or choose not to form a 501(c)3 nonprofit. Serving 170+ projects in the Bay Area across many disciplines, we are the “go-to” arts fiscal sponsor. GET SPACE We provide low-cost coworking and event space for artists and nonprofits in San Francisco. GET SKILLS We provide professional development training and workshops that build business skills.

OUR VALUES PEOPLE – ART – SERVICE – INTEGRITY – TRANSPARENCY – HUMOR – DIVERSITY – EQUITY – INQUIRY – CONNECTION – PROFESSIONALISM – RIGOR

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STAFF CONTACTS Randy Rollison Executive Director randy@theintersection.org 415-626-2787 ext. 3 Randy’s job is to provide the overarching vision and direction for Intersection for the Arts, which includes finding new ways to support artists. Randy is available for coaching sessions and check-ins by appointment. Allison Snopek Deputy Director allison@theintersection.org 415-626-2787 ext. 2 Allison’s job is to help Intersection members achieve their creative and strategic goals. She is your first point of contact for all of the transactional elements of your sponsorship: bookkeeping, grant administration and reporting, contracts, etc. She can help you with anything related to account set up and management. Daniel Harvey Space Program Director daniel@theintersection.org 415-626-2787 ext. 4 Daniel manages our coworking and space rental program. His job is to make sure Intersection’s members and staff have a great space to work in and to be a resource on all things ‘space.’ Amy Kweskin Director of Professional Development Programs amy@theintersection.org 415-626-2787 ext. 5 Amy’s job is to design and implement Intersection’s professional development programs that help artists and arts managers build their business of art muscles. Scott Nielsen Finance Director scott@theintersection.org 415-626-278 ext. 6 Scott’s job is to provide all Intersection members with the financial information they need to make informed decisions about their projects as well as helping to manage the audit process and banking relationships.

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Jae Tioseco Administrative Manager jae@theintersection.org 415-626-2787 ext. 1 Jae’s job is to take care of members’ transactional requests and to assist with day-to-day member inquiries. Please direct all inquiries about your online financial request forms to finance@theintersection.org (all online financial request forms are shared to this address when submitted via the online forms). Izzy Parlamis Communications Manager izzy@theintersection.org 415-626-2787 ext. 0 Izzy is in charge of Intersection’s marketing, web design, and communications. Please direct all inquiries about event promotion or our website to communications@theintersection.org (all online Flipcause update request forms and event promotion request forms are shared to this address when submitted via the online forms).

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ABOUT YOUR MEMBERSHIP As a fiscally sponsored member of Intersection for the Arts, you’re part of a dynamic community of people making art in the Bay Area. Membership includes fiscal sponsorship, administrative support, and resources, plus discounts on workshops, arts coaching, and coworking space. Intersection is a resource for your project. Whether you’re on the path to become a nonprofit, aren’t ready to become a nonprofit, or simply don’t want to, we’re here to empower you to realize your goals. Many projects choose to remain fiscally sponsored indefinitely, making ongoing use of our infrastructure to support their evolving projects. Here are the key things to note about your fiscal sponsorship: ● We’ve extended our tax-exempt status to your activities. By accepting your project for

Fiscal Sponsorship, we have determined that it furthers our artistic and charitable goals and have extended our tax-exempt status to your activities. Unless you make written changes to your project description, your original application will be the basis on which we support your work.

● You can secure funding from sources that give only to nonprofit organizations.

Through fiscal sponsorship, you can access funding from sources such as foundations, government agencies, corporations, or individual donors who wish to receive tax deductions in return for their contributions. These donations are then tax-deductible to the fullest extent allowed by law. Being fiscally sponsored does NOT make your project in itself "nonprofit" or "tax-exempt" – only the IRS can make a tax-exempt ruling. For more information, please go to the IRS website.

● Intersection exercises control over the funds that it receives on behalf of your project.

We monitor the use of your funds to ensure that your spending is aligned with your project’s charitable mission, and that restricted grant funds are spent according to the grant’s pre-approved budget. We could lose our nonprofit status if we don’t exercise sufficient control and let funds be used inappropriately.

● Intersection claims no ownership on the work itself. Once you’ve gained funds to

realize your project’s work, Intersection claims no ownership on the work itself. In return, Intersection accepts no liability. This means the artistic work is entirely yours, but you must protect Intersection from any potential claims related to it.

● Intersection’s Fiscal Sponsorship Program is based on a “Model C.” Model C pertains to

a “pre-approved grant relationship,” described in Greg Colvin's 1993 book, Fiscal

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Sponsorship: 6 Ways to Do It Right. For an excerpt about funds management, liability and ownership, please see the back of this handbook.

YOUR RESPONSIBILITIES

● Only use Intersection’s fiscal sponsorship for activities described in your application

or otherwise approved by Intersection in writing

● Keep Intersection informed of all project fundraising activities and any changes in

your project description

● Alert Intersection if there are any changes in project leadership or contact information

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MEMBER RESOURCES

WEBSITE MEMBER PORTAL URL: https://theintersection.org/members-only/ PASSWORD: Intersection1446 Visit the password-protected Members Only area on Intersection’s website to access forms, grant application materials, and general resources related to your membership. This is where we house our Arts Resource Directory, a page containing a wealth of information and resources for professional artists and arts organizations.

LOW-COST SPACE RENTALS Members get discounts on event space rentals. You can use our spaces for meetings, workshops, rehearsals, staff retreats, and other gatherings. Take a virtual tour and view photos of our event spaces. Contact our Space Program Director Daniel Harvey at daniel@theintersection.org with any questions. MEETING & EVENT RENTAL OFFERINGS

SPACE SqFt CAPACITY DAYS AVAILABLE HOURS MEMBER RATE (PER HOUR)

The Nook 200 4-6 Mon - Sun 8 am - 11 pm $5.00

The Meeting Room 200 6 - 8 Mon - Sun 8 am - 11 pm $7.50

The Rhombus Room 350 10 - 12 Mon - Fri 8 am - 11 pm $15.00

The Rhombus Room 350 10 - 12 Sat/Sun 8 am - 11 pm $25.00

The Gathering Space 1000-1200 50 seated Mon - Fri 5 pm - 11 pm $30.00

The Gathering Space 1000-1200 50 seated Sat/Sun 8 am - 11 pm $55.00

The Big Room 1500 100 seated Mon - Fri 8 am - 11 pm $35.00

The Big Room 1500 100 seated Sat/Sun 8 am - 11 pm $60.00

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LOW-COST COWORKING We provide below-market rate coworking workspace to people working in art, culture, and nonprofits. We feel strongly that artists and cultural workers deserve to work somewhere affordable, beautiful and centrally located. We offer a range of membership options depending on how much time you need in the space and the type of set up you’d like.

COWORKING PERKS ● Natural Light ● Fast WiFi ● Next to Bart and MUNI ● Business-class Printer ● Kitchen & Lounge Area

● Meeting Rooms ● 24hr Access for Dedicated Desks ● Discounts for Rooms Rentals ● Staff Support ● Beautiful Space

COWORKING OFFERINGS

WORKSPACE PRICE HOURS/ MONTH

MEETING CREDIT

ANNUAL SERVICES FEE

ACCESS TIMES

INCLUDED PRINTING/ MONTH

STORAGE

Dedicated Desk

$350/desk /month

Unlimited $40/desk /month

$300/desk /year

24/7 B&W: 1000 C: 100

Included

Virtual Office $75/member /month

N/A $10 /month

N/A N/A N/A N/A

Open Desk 1 $100/person/month

15 hrs $10 /month

$25/person /year

M-F 8am -5pm

B&W: 200 C: 20

$15/month /shelf

Open Desk 2 $150/person /month

25 hrs $15 /month

$50/person /year

M-F 8am -5pm

B&W: 400 C: 40

$15/month /shelf

Open Desk 3 $200/person/month

50 hrs $20 /month

$100/person /year

M-F 8am -5pm

B&W: 600 C: 60

$15/month /shelf

Open Desk 4 $250/person/month

80 hrs $25 /month

$150/person /year

M-F 8am -5pm

B&W: 800 C: 80

$15/month /shelf

Open Desk 5 $300/person/month

Unlimited $30 /month

$250/person /year

24/7 B&W: 1000 C: 100

Included

NOTE: The services fee goes toward covering the costs of running the facility including utilities, wifi, consumables etc. This can be paid monthly or annually.

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MAIL SERVICE Mail service is included with all coworking memberships, however, it is NOT included with your fiscal sponsorship membership. Intersection will receive payments, donations, grant letters, and other communications sent to Intersection on behalf of your project. However, we cannot receive packages and/or personal mail that is not intended for Intersection to process on behalf of the project. Please explore the Virtual Office coworking membership to get mail service for your project at Intersection.

PROFESSIONAL DEVELOPMENT We offer resources, programs, and workshops so that you can learn the business side of creative work. WORKSHOPS We host workshops that cover topics such as grant writing, taxes, health insurance, art residencies, and more. PROGRAMS Our intensive programs equip artists and cultural workers at any point in their careers with the training needed to take their creative projects to the next level. The Accelerator is an annual program in which participants work in a cohort over several months to gain insights into the business of art. Members receive discounts for these programs. Email our Director of Professional Development Amy Kweskin at amy@theintersection.org if you want to participate in a professional development workshop. ARTS COACHING Arts coaching is a one-hour session in which our expert coaches give you one-on-one advice based on your needs. You can get coaching in fundraising, staff management, workshop facilitation, organizational development, and more. Coaching sessions are typically one-time meetings and you can meet via Skype or in person. Members get a discounted rate of $60 per session for 2 coaching sessions (standard coaching rates range from $100 – $150 per session). See our roster of coaches & consultants.

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For questions or to schedule a coaching session, please email our Deputy Director Allison Snopek at allison@theintersection.org or submit this form.

GRANT REVIEW If you’re applying for a grant, you can submit your grant for review to our Grant Specialist, Krista Smith. To learn more about the policy and procedures for Grant Reviews, click here.

COMMUNITY We host an Annual Member Gathering for our fiscally sponsored projects to meet each other, make connections, and get inspired. We periodically host various other opportunities for members to learn from and connect with one another. Contact Deputy Director Allison Snopek at allison@theintersection.org with any ideas you have for getting folks together.

PROMOTION We promote members’ events on our social media platforms. Submit your event for promotion and follow us to see resources, articles, and art opportunities on our social media channels and newsletter. Reach out to our Communications Manager Izzy Parlamis at izzy@theintersection.org with specific questions, press articles, and more ideas on how we can help promote your work. ● Instagram: @intersectionforthearts ● Facebook: @theintersectionforthearts ● Twitter: @intersection_sf ● Sign up for our newsletter in our website footer: https://theintersection.org/

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HOW TO CREDIT INTERSECTION Credit your membership at Intersection for the Arts by using our promotional language and logo for your fiscally sponsored project’s marketing and fundraising materials.

DOWNLOAD INTERSECTION’S LOGO FOR FUNDRAISING Display Intersection’s logo + use the following language and hyperlink when communicating with donors to ensure you’re accurately explaining Intersection’s sponsorship:

We are fiscally sponsored by Intersection for the Arts, a 501(c)(3) nonprofit organization, which allows us to offer you tax deductions for your contributions. Please make checks payable to Intersection for the Arts, and write [NAME OF YOUR PROJECT] in the memo line. This ensures that you’ll receive an acknowledgement letter for tax purposes, and your donation will be available for our project.

FOR WEBSITES Display Intersection’s logo and include the following text and hyperlink on your website(s):

We are a member of Intersection for the Arts, a historic Bay Area arts nonprofit that provides people working in arts and culture with fiscal sponsorship and resources to grow.

FOR PRINT MATERIALS Display Intersection’s logo and include the following text:

We are a member of Intersection for the Arts, a historic Bay Area arts nonprofit that provides people working in arts and culture with fiscal sponsorship and resources to grow.

FOR SOCIAL MEDIA ● Tag @intersectionforthearts when you mention us on Facebook and Instagram ● Tag @Intersection_SF when you mention us on Twitter

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ACCOUNTING SERVICES We provide bookkeeping and financial management assistance to members. We manage your deposits and expense payments, maintain records of financial transactions, and report necessary information to the proper tax authorities. We write checks directly to your collaborators and vendors, and reimburse you for expenses (for detailed information on check-writing, see section on Requesting Payments).

BOOKKEEPING & TAX REPORTING We record all your transactions in our accounting system using Quickbooks software, and we can generate several types of reports on your financial activities. These reports may be useful for reconciliation, grant reporting, grant applications, etc. We request that all projects reconcile their records to our annual report at the end of each Intersection Fiscal Year (June 30) and report any discrepancies by the end of July. Once the books have been closed for our annual audit we cannot make any adjustments. (See Intersection’s End of Year Deadlines). Projects may update their Financial Report Preferences for recurring reporting (monthly, quarterly, or annually) by emailing our Deputy Director Allison Snopek at allison@theintersection.org. Funds that we receive on your behalf are included in Intersection’s financial statements, and reported to the IRS via our own Form 990.

INDEPENDENT CONTRACTOR REPORTING Artists and other individuals who provide services to your project and are paid by Intersection on your behalf are considered independent contractors. If these individuals earn $600 or more in a calendar year, they will receive a 1099 tax form from Intersection by January 31, and may owe income tax on these payments. This includes project directors, in the case you request that any fees be paid directly to yourself for work done on the project. (For more information on tax issues, see section on Tax Status & Separate Accounts).

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It is our policy to collect a W9 form from anyone who is receiving income from Intersection on behalf of our fiscally sponsored project. This includes all payments, even those under $600. REQUESTING REIMBURSEMENT FOR INDEPENDENT CONTRACTOR PAYMENTS If you pay someone out of your own pocket for work that is classified as an independent contractor service, and then request a reimbursement from your project through Intersection, the reimbursement will be classified as an independent contractor payment, and you will be tax liable for the payment. It is best for Intersection to make direct payments to your independent contractors (artists, performers, admin staff, etc.), so that Intersection is tax liable and responsible for issuing 1099s at the end of the tax year. INTERNATIONAL INDEPENDENT CONTRACTORS Intersection for the Arts works with a diverse array of projects that serve many different cultural groups and communities. Many of our members work to celebrate forms of art and culture that originate outside of the United States and involve artists and performers who reside internationally. Intersection supports these cultural connections, and understands the value that international artists bring to the local arts landscape in the Bay Area and beyond. In order to uphold our charitable nonprofit status with the IRS and continue our dedicated work for the arts, it is imperative that Intersection abides by the government's strict employment laws. Therefore, Intersection must require that all independent contractors have a US social security number. Projects that plan to work with international independent contractors should contact Intersection staff 6 weeks in advance to schedule a meeting to discuss the options and strategize around our policies. AB5 LEGISLATION It is the project’s responsibility to use the ABC test as established by the State of California to determine whether their payees should be classified as contractors or employees. The ABC test as distilled by AB5 legislation prohibits a hiring entity from classifying a worker as an independent contractor unless the hirer can establish that:

A. The hiring entity does not control or direct the worker in performing the work in fact or under the terms of a contract.

B. The work performed is outside the “usual course” of the hiring entity’s business. C. The worker is customarily engaged in an independently established trade, occupation, or

business of the same nature as that involved in the work performed. Find more information and resources on AB5.

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POPULATIONS WITHOUT ACCESS TO FINANCIAL RESOURCES Intersection for the Arts works with many projects whose charitable mission is to serve communities who may have limited or restricted access to financial institutions or resources, i.e. homeless or undocumented populations. Due to strict nonprofit guidelines imposed by the IRS, we are unfortunately limited in how we may pay these community members. Please contact Intersection staff to discuss the options available and to strategize around our requirements.

ACCOUNT BALANCE & STATEMENTS You will automatically receive an account statement and detail of activity annually. Additionally, we recommend that projects opt to receive financial reports on either a monthly or quarterly basis. We request that you review these reports and reconcile them to your own records. If there are any questions, or discrepancies, please contact us. We provide these reports as an accounting of activity for your project, but we also require that you keep your own records for your arts project for business purposes, as well as an additional system of checks and balances. Your reports will be added to your project’s Google Drive folder. We have created an Accounting Tool Template to help you set up your books in alignment with our systems. NOTE: Report windows can be adjusted as needed (i.e. budget years, grant windows, etc.). You may request your account balance or additional reports for grant reporting/applications, budgeting, etc. by emailing Deputy Director Allison Snopek at allison@theintersection.org. Please allow for at least 48 hours (weekdays) to receive the information.

FREQUENTLY ASKED QUESTIONS

Can my collaborators have access to the project’s account information?

Yes, but only if registered project directors request so in writing, and/or add them to the Fiscal

Sponsorship Agreement as a secondary or tertiary project director. Collaborators with permission

will be able to check on balances and pending grants, as well as request account statements. Only

the project directors can make payment requests.

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STORAGE OF RECORDS We keep a separate physical file for each of our members, which includes deposit logs, requests for payments, contracts, and grant documentation. In addition every member has a separate folder on Google Drive, which contains digital copies of contracts, grant documents, and financial reports. CUSTOMER RELATIONS MANAGER A Customer Relations Manager (CRM) platform can help you keep track of the records that don’t live at Intersection. CRMs are software that let you create profiles for individuals, groups or organizations so you can see their overall activity (like donations or event attendance), keep track of your communications, and organize grant applications. You can customize CRMs depending on what you want to know about the C’s you want to M. Although it might feel mercenary, artist projects need to track engagement with their audience and donors just as much as for-profit businesses. Most CRMs are free depending on the functionalities you desire. Find a few CRMs (and other tools) we recommend on our Arts Resource Directory under “Arts Business Tools.”

FEES, TAX STATUS + RESTRICTIONS ADMINISTRATIVE FEES You must sign an open ended contract and pay an annual membership renewal fee of $100 due at the launch of each fiscal year (July 1 annually). See Intersection’s Schedule of Fees. As an administrative fee, Intersection retains 10% of all funds that you deposit with us. This fee applies to funds from both contributed sources (ie: foundation grants, individual donors) and earned sources (ie: ticket sales, class tuitions, contracted services). Intersection does not retain a percentage of any funds raised prior to membership that are deposited as establishing balances when the project first joins as a Fiscally Sponsored Member.

YOUR RESPONSIBILITIES

● Keep your own transaction records and compare to Intersection’s reports regularly.

● Keep your membership current by paying registration and renewal fees.

● Factor our administrative fee into the budgeting for your project.

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TAX STATUS + SEPARATE ACCOUNTS In order to qualify for most grants or provide a tax deduction to donors, funds must be deposited with Intersection and overseen by us. However, it is your choice whether you want to house your project’s earned income here or in your own outside bank account. (Earned income is defined as money received in exchange for something, such as ticket sales, class tuitions, and contracted services.) Some things to consider when making this decision: any funds housed at Intersection are tax-free, meaning that you do not have to pay income tax (follow this link to the IRS website to learn more about income tax exemptions for nonprofit organizations). So, while we retain a percentage of funds to cover administrative fees, any funds held outside of Intersection are subject to income tax, at your own personal tax rate (which can be over 30%). You may be able to expense this out via a Schedule C tax form, but it would be your responsibility to work that out on your own or with an accountant or tax preparer. In addition, we cannot help you reconcile accounting for funds held outside of Intersection (if you deposit all your funds with us, then we can generate your project’s full financial record). If you do choose to keep any project funds outside of Intersection, we recommend that you open a separate bank account for this purpose (rather than just mixing them with your own personal funds). You should never try to open an account in Intersection’s name, or by using Intersection’s Federal Employer Identification Number (FEIN). If yours is a group project, we recommend that you establish your own FEIN by filling out a half-page SS-4 form. Please remember that anything we pay you for, including your own services (such as project management) is taxable, and it is your responsibility to report such income to the IRS. However, payments that we make to your vendors, or to reimburse you for project expenses, carry no tax liability for you.

YOUR RESPONSIBILITIES

● Keep us informed of your decision to house earned income at Intersection or

elsewhere.

● If yours is a group project and you want an EIN to open a bank account, file an SS-4

form with the IRS.

● Report any income you receive for your own personal project work to the IRS.

SOLE SPONSORSHIP You may not simultaneously retain another fiscal sponsor for the same project that we are sponsoring. However, you are permitted to house different projects at other fiscal sponsors.

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PUBLIC ADVOCACY We encourage you to take an active role in society, to advocate for the value of the arts and to lobby for legislation that will support creative expression. However, when acting in your capacity as project director, you must follow the guidelines placed on nonprofit organizations, and respect the legal limits placed on such activities. Therefore, no “substantial” portion of your project’s activities may consist of lobbying for or against pending legislation, such as funding for government arts agencies. If you expend less than 5% of your project’s resources on such activities, you are likely within these limits. Please note that your project may not participate in any candidate’s campaign for public office. There is, however, no limitation on your ability to “advocate” on behalf of the value of the arts in society, if this does not relate to legislation or candidates. Please note that when acting as a private citizen, independent of your fiscally sponsored project, you may engage in whatever lobbying and electioneering you like.

YOUR RESPONSIBILITIES

● When acting on behalf of your project, restrict your lobbying activities to permissible

nonprofit limits.

● When acting on behalf of your project, refrain from participating in candidate

campaigning.

DEPOSITING + REQUESTING FUNDS In order to protect our nonprofit status, Intersection must fully understand your funding sources and exercise control over any funds that we receive on behalf of your project. Intersection is legally responsible for ensuring that the activities of the project match your sponsorship application and funds are spent in keeping with your funders’ wishes. Funds are available for disbursement as soon as your deposit has cleared our bank, typically one week after funds arrive at Intersection. Exceptions include checks from grantors, funders, or donors that are restricted for a particular purpose. In this case, funds will be released upon request of the project director once the restriction has been met signifying the funds have now been “earned”. Project directors must fill out an online Release of Funds (ROF) request form to release restricted funds into their account (read about how to fill out the Release of Funds request form). Intersection’s administrative fees are deducted from grant funds as they are released into your account, so your Release of Funds request must include a line item for the 10% fee.

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If you are taking payments via a Square reader or any other payment/revenue platform (you can set this up with Intersection), we request that you send us your payout reports and notify us via email of each transaction’s appropriate account line. Square funds are credited to your account at the end of each month. Notifying us of the proper coding will help ensure accuracy on your financial statement. Remember that any funds in your account must be considered the property of Intersection and we must exercise control over how they are spent. However, we are bound to use these funds in accordance with your funders’ wishes, which are typically specified through your own appeal letters and grant applications. In order to help us manage your funds effectively, please follow the procedures detailed below for depositing and requesting funds. CHECKS Checks can be dropped off or mailed to Intersection. Please have checks made out to “Intersection for the Arts” and include the name of your project on the memo line. All checks must be accompanied by a Deposit Form, except for donations sent directly to us by donors (read below about deposit forms). If a check that you deposit bounces, we will pass on the bank fee to you (currently $35), by deducting it from your Intersection account. CASH Cash deposits must be made in person by appointment only. An authorized Intersection representative will count the cash in your presence to verify the cash amount of the deposit and sign off on the deposit form. Contact finance@theintersection.org or artistservices@theintersection.org to schedule an appointment. DEPOSIT FORMS AND IN-KIND DONATION FORMS Deposit forms and in-kind donations forms are available in both fillable and printable PDF versions on the Member Portal. You should download these forms and use the most updated version of Adobe Reader or Adobe Acrobat Pro to fill out these forms electronically. You can download Adobe Reader for free here. Adobe Reader or Adobe Acrobat will allow you to create a digital ID/signature you can use to sign these documents electronically. For more info on creating and using a digital ID click here. Deposit forms and in-kind donations forms can also be printed out and sent to us, dropped off with attached documentation (by appointment only), or emailed to finance@theintersection.org with backup documents. Contact finance@theintersection.org or artistservices@theintersection.org to schedule an appointment.

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FILLING OUT THE DEPOSIT FORM

Our deposit form contains separate sections for cash deposits, check deposits, and electronic payments. You will need to categorize the income using the account numbers provided at the bottom/right of the form. Please record the denominations of cash deposits in the Cash Tally box and ensure that the total cash tally matches the cash subtotal.

● Project & Date: In the top portion please write the name of your project and date of

the request.

● Account #: Please look at the right of the form for a list of account numbers, and

write the number that corresponds to each deposit on this line. Different account

numbers can be used for different amounts deposited in a single batch.

● Source/Deposit Description: Please write a brief description of each deposit, as you

want it reported on your financial statement. If a deposit is intended to support a

particular aspect of your work, you should note it on this line. The more information

you include, the clearer your statements will be.

● Amount, Total & Notes: Please include the dollar amount of each deposit on the

corresponding line. Our fillable PDFs will automatically total cash and check

subtotals as well as the deposit total. If using a printed form, please subtotal and

total each section. Include any necessary notes or instructions in the Notes section at

the bottom.

YOUR RESPONSIBILITIES

● Be sure all checks are made out to “Intersection for the Arts”, with your project name

in the memo line.

● Include a Deposit Form with all deposits.

RELEASING RESTRICTED FUNDS If you receive restricted funds (i.e., a grant designated for a specific project), those funds will not immediately show up in your account balance. Instead, you must request that funds be released into your account in order to request payment against them. Funds may be released for expense reimbursements, payment to vendors, or payments to individuals for services rendered (as written into your original grant budget plan). Intersection will not release funds to your account without a Release of Funds (ROF) request. The Release of Funds (ROF) request form is an online form that is customized for each project (containing your

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available grant information). You can log into your online form on the Member Portal, or find your unique ROF link in your project’s Google Drive folder. The ROF request form is designed to be a cash flow projection tool. Project directors and administrators should anticipate upcoming expenses and request funds be released to cover project expenses. ROF requests do not need to exactly equal Requests for Payment (RFPs) (read about requesting payments), but can be rounded up to cover anticipated expenses. Intersection’s 10% administrative fee is taken from your restricted funds when you release them into your account. Therefore, you must include a line item in your ROF form that accounts for the 10% fee on the amount released. NOTE: Intersection does not advance funds for purchases. As stated above, please plan accordingly to release your restricted funds in order to cover your expenses. We will only make payments up to the amount in your account, so be sure to plan your costs accordingly.

FILLING OUT THE ONLINE RELEASE OF FUNDS (ROF) REQUEST FORM

Only designated project directors and project representatives (whose names are printed on the fiscal sponsorship agreement) will have access to submit online request forms.

● First and Last Name: This should be the name of the person (project director or

project representative) who is completing the form.

● Name of Grantor: You must copy and paste the exact Grantor Name directly from the

Awarded Grants section at the bottom of the form.

● Total Award Amount: The total amount awarded to your project under this grant.

● Grant ID: You must copy and paste the exact Grant ID directly from the Awarded

Grants section at the bottom of the form. Please note that the Grant ID is the 18 digit

number.

● Account #, Projected Expenses & Projected Amount: Record any anticipated

expenses to be applied against the grant award here, designating the expense

account number (refer to the list at the bottom of the form), and anticipated cost.

● Intersection 10% Administrative Fee: Include a line item that accounts for the 10%

fee on the amount released. Use account number 6350 for Fiscal Sponsorship Fees.

● Total: The online form will automatically total projected expenses.

● Additional Projected Expense Description: Use this section only if you need

additional expense lines on the form. Be sure to include account #s, projected

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expenses, and projected amounts. The total from this section will need to be entered

into line 5 of the Projected Expenses so that the Total Funds to be Released populates

correctly.

● Notes: Include any necessary notes or instructions in the Notes section at the

bottom.

● Signature: ROF requests must be signed only by the official project director or

project representative.

● Submit, print for your records, and confirm: Click Submit at the bottom of the form.

View a summary of your request, select print (or print and save as a PDF) for your

records, then click CONFIRM to complete your submission. You will receive a

confirmation email that your request has been submitted and is awaiting approval.

YOUR RESPONSIBILITIES

● Monitor your account activity and release funds to your account to cover expenses as

needed.

● Include a line item for Intersection’s 10% administrative fee on the amount released.

REQUESTING PAYMENTS In order to request a payment, you must submit a Request for Payment (RFP) form. This is an online form that is customized for each project (containing your available grant information). You can log into your online form through the Member Portal, or find your unique RFP link in your project’s Google Drive folder. RFPs must be accompanied by supporting documentation such as invoices or contracts for services rendered, or receipts (proof of payment) for purchases made. Sample invoices and contracts can be found on the Member Portal under TOOLS + TEMPLATES. Bank or credit card statements are not a valid proof of payment, unless accompanied by an official receipt or invoice issued or signed by the vendor detailing the allowable expense (budgeted for and/or grant specified). Reimbursements can be claimed for direct business expenses that are allowable per your budget. In order for something to qualify as a direct business expense, we must see payment made to an outside vendor/business for an expense that is in your budget. Reimbursements that are co-mingled with personal expenses such as rent, airfare, food, phone, etc. are subject to review and may not be allowable.

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If you do not have enough funds to cover your request for payments, Intersection will cut checks up to the amount you have in your account after monthly admin fees have been deducted. We will process full RFPs up to this amount, but will not issue partial payments on RFPs. We will either hold the RFP per your request, or process a newly submitted RFP with a lesser amount payable to your vendor. All requests for payment and reimbursements must be submitted within 30 day after the work was completed and/or the purchase was made. All payments and reimbursements must be processed within the same fiscal year as the completion of the work or the purchase. Payments are issued once each week. Requests received by Sunday are processed on Monday - Wednesday, and issued/mailed by Thursday.* Checks over $10,000 require a board signature, which can delay the payment process. Please do not pay individuals for services yourself and then request reimbursement – if you do, you may become liable for taxes that they owe at the end of the year. This means the amount of payment made by you to an individual for services will be included in your Form 1099. *NOTE: The payment schedule is subject to change under extenuating circumstances. Intersection staff will communicate any changes to all members as soon as possible. Changes to the schedule due to holidays are posted on the Member Portal under Interesction’s Check Schedule & Holidays.

FILLING OUT THE ONLINE REQUEST FOR PAYMENT (RFP) FORM

Only designated project directors and project representatives will have access to submit online request forms.

● First and Last Name: This should be the name of the person (project director or

project representative) who is completing the form.

● Payee Name & Address: Please include the name and address of the person or

vendor to whom you would like the payment issued.

● W9 Form: We require a W9 Form for all new payees and vendors. This policy extends

to both fees and reimbursements, as our auditor reserves the right to determine the

taxability of any payments at year-end.

● Check Handling: Please indicate whether the check should be mailed, Direct Pay, or

held in Intersection’s will-call box for pick-up (these options are subject to change).

● What type of funds will you be requesting?: Indicate whether you will be requesting

a payment to be taken from General Funds (unrestricted contributions or earned

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income) or Grant Funds. Only one funding source (General Funds or Grant Funds, not

both) may be indicated on each RFP. Only one grant can be indicated on each RFP.

● For Grant Funds: Enter the Grant ID. IMPORTANT: You must copy and paste the exact

GRANT ID (18 digits) directly from the Awarded Grants section at the bottom of the form.

● Account #: Please look at the bottom of the form for a list of account numbers, and

write the number that corresponds to each expense on this line. Multiple account

numbers can be used for expenses included in a single payment. This is particularly

important if you are paying someone partly for services and partly for expense

reimbursement (such as a graphic designer who charges for design work as well as

printing costs), since only a portion of the payment should be coded as taxable

income.

● Name of Event/Expense Description: Please write a brief description of each

expense, as you want it reported on your quarterly statement. If your project includes

multiple shows or publications, you should write the name of that specific work. The

more information you include on this line, the clearer your statements will be.

● Total: Online forms will automatically total expenses.

● Supporting Documentation: If you are requesting reimbursement for a purchase,

you must attach the original receipts. If you are paying an individual or business for

services rendered, you must attach an invoice or contract stating the specific nature

of the work done. Be sure that the person receiving the payment understands that

they are being hired as an Independent Contractor of Intersection and they will be

sent a 1099 form at the end of the calendar year for tax purposes.

● How many files are you attaching?: Indicate the number of files, and attach PDF or

JPG files only.

● Additional Projected Expense Description: Use this section only if you need

additional expense lines on the form. Be sure to include account #s, expense

descriptions, and amounts. The total from this section will need to be entered into

line 5 of the Projected Expenses so that the Total Payment populates correctly.

● Notes: Include any necessary notes or instructions in the Notes section at the

bottom.

● Signature: A Release Request must be signed by the project director or project

representative (whose names are printed on the fiscal sponsorship agreement).

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● Submit, print for your records, and confirm: Click Submit at the bottom of the form.

View a summary of your request, select print (or print and save as a PDF) for your

records, then click CONFIRM to complete your submission. You will receive a

confirmation email that your request has been submitted and is awaiting approval.

PER DIEMS If a project requests a per diem payment for an independent contractor, this must be categorized as income, unless detailed receipts (showing proof of payment/transaction) are provided to account for the entire amount. These purchases must take place within the same fiscal year in which the payment was issued. Receipts must be submitted within 30 days of receiving the per diem payment. PETTY CASH, CASH CARDS, GIFT CARDS, OR PREPAID CREDIT CARDS Intersection cannot issue petty cash, cash cards, gift cards, or prepaid credit cards. Projects should plan to take care of miscellaneous expenses by using unrestricted funds. If this policy seems to be a barrier to your project plans, please schedule a meeting with intersection staff to strategize a way to manage this.

YOUR RESPONSIBILITIES

● Request funds only for purposes that match your fiscal sponsorship application and

funders’ guidelines.

● Request payments within 30 days (and within the same fiscal year) of the when the

work was completed or the purchase was made.

● Submit RFPs by end of day Sunday for payment by noon on the following Wednesday.

● Complete RFP forms fully, including W9 forms for all individuals.

● Attach original receipts, invoices or contracts to all RFP forms.

● Request payments to individuals directly from Intersection, rather than paying them

yourself and seeking reimbursement.

FREQUENTLY ASKED QUESTIONS

Can another member of the project be permitted to sign RFPs?

Only designated project directors as designated on your Fiscal Sponsorship Agreement can sign

requests for payments. If you need someone else to sign RFP’s temporarily (for instance, if you’re

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leaving town for a little while), you must alert us in writing, and the new signer must attend an

orientation meeting. If you want someone else to become a Project Director permanently, that person

will also have to sign a Fiscal Sponsorship Agreement directly with Intersection and attend an

orientation.

What if I need to pay artists for their work but neglected to sign contracts with them?

The artists need to submit an invoice or contract in order to be paid. You will need to submit their

address and W9 with the RFP, and they may receive a 1099 tax form if the amount of payments to a

particular person total $600 or over.

What do I do if someone doesn’t receive a check that I requested?

You should contact Intersection immediately so that we can confirm that the check was cut and sent

to the correct address. If the check is lost, we will contact our bank to stop payment and determine

whether a stop payment fee should be assessed.

FUNDRAISING Intersection has a long history of presenting and sponsoring artistic work, and is well respected by local and national funding organizations, providing a solid context for your own fundraising efforts. Please note that Intersection does not currently award grants or apply for grants on behalf of its members. Instead, we provide the access and resources for you to apply for funding. Remember to keep us in the loop with all your fundraising plans and correspondence. The more you keep us updated, the more we can help. There’s nothing worse than a funder calling Intersection with questions about a proposal that we didn’t know about. We also request that you consider yourself a part of a larger community of artists that are also fundraising for their projects. Therefore, please keep in mind that late reports, missing information, not informing us of your activities or not fulfilling grant requirements could affect our relationship and reputation with a funder, and consequently impact other artists using our fiscal sponsorship services. Time is critical to any service Intersection provides, so the more notice you give us, the more likely that we will be able to help you. We may be unable to provide last minute support.

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INDIVIDUAL CONTRIBUTIONS + FUNDRAISING EVENTS Your donors can take a tax deduction for contributions they make through Intersection. In order to be 100% tax deductible, the donation must be given without an exchange of goods or services (tickets, artwork, dinner, entertainment, anything of value). Donations can be made to Intersection for the Arts directly, or you may collect and bring them in yourself. You can solicit such contributions through individual conversations, appeal letters, or fundraising events. If you are writing an appeal letter, please submit it to Intersection for feedback and approval at least a week before you send it out, and be sure to credit Intersection as your fiscal sponsor using our sample fundraising language. Please have all checks made out to “Intersection for the Arts,” with your project name written on the memo line. We can accept cash donations as well, if you bring them into the office yourself (by appointment only) and the amount of the cash deposit is verified and signed off on by a staff representative. See Flipcause + Online Donations for more information on online contributions. Contact finance@theintersection.org or artistservices@theintersection.org to schedule an appointment. When we receive any contribution for your project, we send all donors who contribute $250 or more an acknowledgement letter which they may submit to the IRS to deduct the contribution from their taxes. If a donor does give an amount below $250 and wants a letter we will generate it for them by request. If the donor sends the contribution directly to Intersection, we will alert you that it has arrived. We encourage you to thank your donors as well, through informal cards or phone calls.

YOUR RESPONSIBILITIES

● Explain to donors that Intersection is your fiscal sponsor.

● Request prior approval from Intersection for your donor appeal letters.

● Have donors make checks payable to “Intersection for the Arts,” with your project

name on the memo line.

● Thank your donors informally, in addition to the formal IRS letter that we send them.

FREQUENTLY ASKED QUESTIONS

Can Intersection send an acknowledgement letter to a donor who contributes cash?

Yes, as long as you provide us with the donor’s address when you deposit the cash with us.

Can I or my immediate family take tax deductions for contributions we make to my project?

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Generally not, so be careful here. Contributions are tax-deductible only if the donor receives no direct

“benefit” from the contribution. The IRS may consider that you and your immediate family receive

“benefit” from contributions made to your project. Please visit the IRS website for more information,

at www.irs.gov.

If I provide food & entertainment at fundraising events or give thank-you gifts to donors, can their donations still be considered tax-deductible?

It depends on the value of what you give the donor. You should place a value on whatever you give

them, and then subtract that from the donation or admission charge – the remainder can be

considered a tax-deductible contribution. If you give your donors something quite minimal (such as

t-shirts, finger foods, or readings of works-in-progress), you can usually consider the whole donation

or admission charge tax-deductible. Please visit the IRS website for more information, at www.irs.gov.

Can I hold a fundraising auction?

Yes, but you or the buyer will need to pay sales tax on any items auctioned. We can help you with that

process if you alert us in advance. If the donor seeks a tax deduction for their purchase of an auction

item, the worth of that item must be subtracted, then anything over that can be considered a

tax-deductible contribution.

Will Intersection sponsor a liquor license for our special event?

No, Intersection will not sponsor liquor licenses.

FLIPCAUSE + ONLINE DONATIONS If donors wish to contribute via credit card, you may direct them to our fundraising service, Flipcause. They can access your individual campaign page through your unique URL or by visiting the Meet Our Members page on our site. Flipcause takes a handling fee (4.9% + 30 cents per transaction) which can be paid by the donor or deducted from your total donation based on the donor’s preferences. You will receive notice that the contribution has been made. Flipcause allows us to create individual campaign pages for each project and link them directly to our website. You can also link to your individual campaign page from your own website/social media by using the unique URL for your project. Your individual campaign page will be created using the information from your intake form and sent to you via email within two weeks of joining our membership. You can also

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access your unique URL by visiting our Meet Our Members page and clicking on your project name. Voila! You can link this page to your own website, and create a donation button. If you’d like to embed your campaign into a website, contact our Communications Manager Izzy Parlamis at izzy@theintersection.org to receive the HTML code (</>). With this code you (or your supporters) can include that campaign thumbnail directly on your (their) website. CUSTOMIZING YOUR FLIPCAUSE ACCOUNT Intersection will host a "Donation" campaign for each project that contains your logo/project image and mission/about statement. Please note that Intersection staff will not be editing your campaigns on an ongoing basis. If you'd like to make an update/correction to your donation page, you can submit the new information by going to the Member Portal and selecting "Update Your Flipcause Campaign." If you’d like more functionality from your account, Flipcause has generously partnered with us to offer individual accounts to projects. For $35/month you can:

● Use their other fundraising tools and features including Event Ticketing, Crowd-funding Campaigns with Rewards, Online Gift Shops, Volunteer Management, and more.

● Have complete control over the look and feel of your page and campaigns (including images and video).

● Have access to your own donor and attendee reports. For a low-monthly fee, Flipcause can replace: Eventbrite, Kickstarter/Indiegogo/Etc., Paypal, Square, and could even function as your website. Click Here for more information on their features. If you don't feel that you can take advantage of all of the services offered in the full account, but would like to use Flipcause for an event, fundraiser, or campaign, Intersection can also create and host extra campaigns for your project for a one-time $50 set-up fee. If you are interested in getting your own Flipcause account or have any other questions, please email our Deputy Director Allison Snopek at allison@theintersection.org. Please also contact Allison before beginning any fundraising campaigns on other online platforms (i.e. Kickstarter) to ensure that we can properly receive your funds (see the section titled Approved Revenue Platforms). SQUARE + CREDIT CARD DONATIONS/PAYMENTS Projects can create a free Square account at squareup.com, and then contact Intersection to add our banking information so that payouts go directly to your account. You will need to provide your project’s login information in an email to allison@theintersection.org.

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If you are taking contributions or selling merchandise via Square, we request that you send us your payout reports via email, and provide each transaction’s appropriate account line. Square funds are credited to your account at the end of each month. Notifying us of the proper coding of funds will help ensure accuracy on your financial statement. COLLECTING DONOR INFORMATION On occasion, you can collect credit card information at fundraising events and submit it to us for processing. You will need to collect the patron’s name, full address (including billing zip code), phone number, credit card number, expiration date, and CVV code on the back of their card. Please make sure that all information is legible. To ensure this, we recommend that you write out this information on behalf of your patrons. The net amount of the charge after the credit card company fees will be deducted from your account. APPROVED REVENUE PLATFORMS We want to help you bring in money! Please see below for our list of approved revenue platforms. We can log into your project’s account and enter Intersection’s banking information so that payments made to these platforms go directly to your account with Intersection.

● Benevity (employer matching) ● Eventbrite (event ticketing and donations) ● Facebook Fundraiser Campaigns (fundraising) ● Flipcause (fundraising) ● GoFundMe (crowdfunding) ● Indiegogo (crowdfunding) ● Patreon (crowdfunding) ● Stripe (payment processing) ● Square (payment processing)

If your project is interested in using a platform that is not listed above, please contact us. Our staff will evaluate whether or not we are able to accommodate the request. EVENT TICKETING Selling event tickets via a ticketing platform is helpful when you have to account for all tickets sold (for example, when reporting on revenue to your fiscal sponsor, a.k.a. us) or when you want to gather contact information to follow up with your audience after the event. Find ticketing platforms designed for artists on our Arts Resource Directory under “Arts Business Tools.” If your project is interested in using any platform or cash app not listed under Approved Revenue Platforms, please contact us. Our staff will evaluate whether or not we are able to accommodate the request.

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YOUR RESPONSIBILITIES

● Contact Intersection about any online fundraising that you would like to host.

● When using online platforms to collect revenue, submit payout reports to Intersection

as promptly as possible so that the funds can be assigned to your project upon

arriving in Intersection’s bank account.

IN-KIND DONATIONS + NONPROFIT DISCOUNTS In-kind donations are any contributions of tangible goods, such as film equipment, art supplies, or auction items. They may be tax-deductible if the gift is used only for purposes related to the project. If the donor wishes to take a tax deduction, please use our In-Kind Donation Form to submit information about the gift. The form is available in both a fillable and printable version on the Member Portal. All forms must have accompanying documentation from the donor valuing the donation (i.e. invoice, letter, receipt). We will send in-kind donors an official acknowledgement letter just like we would for a monetary donation, referencing the items donated. Please note that our form requests the estimated value of the gift, but this will not be referenced in our thank-you letter. Donors are responsible for valuing any IRS deductions themselves. If donors have questions about how to receive a tax deduction, they should contact an accountant or learn about IRS credits and deductions. Sometimes businesses will donate goods or services to fiscally sponsored projects, or provide them at discounted rates. You will typically need to give them Intersection’s Tax ID number (otherwise known as our FEIN number), which you can get by contacting our Administrative Manager Jae Tioseco at jae@theintersection.org. NOTE: Services can be considered tax-deductible donations ONLY if the service is provided by a business that normally profits by billing for that service. DONATIONS OF STOCKS AND SECURITIES Intersection accepts donations of stocks and securities. However, Intersection is not responsible for fluctuations in the value of the stocks or securities from the time of the donation to when the sale is ordered. Additional fees may apply.

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Donors are required to complete Intersection’s Stock Donation Form. Please inquire with our Executive Director Randy Rollison at randy@theintersection.org for the appropriate procedures.

YOUR RESPONSIBILITIES

● Use in-kind contributions only for the benefit of your project.

● Submit an In-Kind Donation form if the donor wishes to receive an acknowledgement

letter.

● Be aware that services can be considered tax-deductible donations ONLY if the service

is provided by a business that normally profits by billing for that service.

FREQUENTLY ASKED QUESTIONS

Can donors take tax-deductions for services or rental discounts provided to my project?

Services must be a “billable service” from a business that normally offers that service for a fee.

However, in-kind contributions are most commonly tangible goods, rather than services or

discounts. Please have donors consult with an accountant or the IRS for more details about donating

services or discounts for a tax-deduction.

Can I accept donations of automobiles or real estate through Intersection?

No, Intersection will not handle automobile nor real estate donations.

Do I need to pay Intersection an administrative fee for accepting in-kind contributions?

No, there is no fee associated with our accepting in-kind contributions on your behalf.

APPLYING FOR GRANTS Please keep us informed about your grant writing plans, and make use of Intersection’s expertise to improve your chances for funding. The application you filled out to join our program is designed like a grant application, so you may want to use it as the basis for future grant narratives and budgets. You can find our Bay Area Grants list on the Arts Resource Directory page.

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When you apply to fund any aspect of your programming, you will need to submit a draft of the grant (both narrative and budget) to Intersection for approval, at least two weeks before it is due to the foundation. Use Intersection’s Grant Review Form, available in your Member Drive folder and on the Member Portal. This allows us to not only provide helpful feedback that may strengthen the proposal but to also prepare any supplemental materials we may need to provide as part of the application. Once you have gotten approval of your grant narrative for a specific project, any similar application does not require review, however you must submit each application to Intersection via the Grant Form for our records. We must receive the same two week notification in order to prepare supplemental materials. There is a $50 late fee if we receive the materials after the two week deadline. With rare exceptions, we will not review grant materials within 48 hours of the deadline. After receiving your review and making the appropriate edits, Intersection requires that you submit your final application via the Grant Review Form by selecting the form option that indicates: This is the final version that I will be submitting to the grantor. I have already received a grant review, and have updated my application per the advice of Intersection's Grant Specialist. If Intersection has waived your project’s requirement for grant reviews, you are still required to submit the final application via the Grant Review Form by selecting the form option that indicates: This is the final version that I have already submitted to the grantor. I have received permission from Intersection to skip the grant review, and I am submitting my application for Intersection's records. If you are even considering applying for a particular grant, please alert us. This enables us to determine whether there is any conflict of interest with other applications that Intersection may be sponsoring. We would much rather get advance notice that you are applying even if you ultimately decide not to, than to learn that you intend to apply at the last minute, particularly if we need to scramble to pull together attachments or signatures. You must provide Intersection with a copy of all grant applications or correspondence with foundations, within one week of their submission to the funder. It’s generally a good idea to send a copy to us at the same time as you send it to the foundation. We often get calls from foundations asking about our sponsored projects, and the better informed we are, the more successfully we can communicate about them and increase your chances for funding. Even if your grant application is successful, we cannot release any funds to you until we receive a copy of the application for our files. This ensures that we can manage funds according to your specific proposal to the foundation.

BEFORE APPLYING FOR A GRANT PLEASE CONSIDER THE FOLLOWING QUESTIONS:

1. Does this foundation accept proposals from fiscally sponsored projects?

a. Most foundations will accept fiscally sponsored proposals, but a handful will not.

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b. If there is no mention on their website or application guidelines, check with

Intersection to see if we know the answer before calling the foundation directly.

2. Do the grant guidelines match your project?

a. You should apply only for grants that fit your project. We recommend

close-reading the guidelines to ensure the grant fits you, and you’re not contorting

yourself to fit the grant.

3. What attachments are commonly required by the grant application?

a. Several types of attachments will need to come from Intersection, such as:

i. 501(c)(3) determination letter (the letter we have from the IRS proving

Intersection’s nonprofit status)

ii. Proof of fiscal sponsorship (which comes in the form of a letter from us)

iii. Current operating budget (as opposed to the project budget, which comes

from you)

iv. Income & Expense statement from past years (sometimes required to be

“audited”)

v. 990 tax form (which is our annual nonprofit tax form)

vi. Board of Directors list (our board technically has legal oversight of your

project). We recommend that you form your own “advisory board” of

community supporters and include that list with your applications, but this

body has no legal authority and cannot be called a “board of directors.”

b. If you require any attachments from Intersection, we need at least two week’s notice to pull

them together for you.

4. What signatures are required on the grant application?

a. If an application requires the signature of Intersection’s Executive Director or

Board President, please submit your narrative at least two weeks in advance so

they can read it before signing.

5. Is it clear whose information goes where on the application forms?

a. Some cover sheets are quite clear about what information they want from you vs.

Intersection, others are more confusing. Sometimes financial numbers relate to

your project budget, but sometimes they relate to our operating budget. When in

doubt, include information for both of us.

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i. For instance, where it asks for contact name and phone number, feel free to

include your information as well as Intersection’s.

ii. The one exception to this is the mailing address – please include only

Intersection’s mailing address on grant applications, to ensure that the grant

contract and check are sent to the right place.

b. If you have questions, check with us to see if we know the answer before calling

the foundation directly.

YOUR RESPONSIBILITIES

● Alert Intersection of your intent to apply for each grant.

● Secure approval of your first grant application or any new applications by submitting

draft proposals to Intersection at least two weeks in advance.

● Use Intersection as the official mailing address on all grant application cover sheets.

● Request grant attachments or signatures at least two weeks in advance.

● Provide Intersection with a copy of all grant proposals or correspondence with

foundations.

● Submit ALL final versions of grant applications via the Grant Review Form.

FREQUENTLY ASKED QUESTIONS

If a foundation gives grants directly to individuals, do I need to run the application through Intersection?

No. A handful of foundations are able to give fellowships or grants directly to individuals, and you

are not required to run these applications through Intersection. However, it may be advantageous to

do so from a tax perspective, so please review the section on Tax Status + Separate Accounts.

If a foundation requests a self-addressed envelope to return my video or work sample, whose address should I put on the envelope?

Use your own mailing address for this purpose. While we do require that you list Intersection as the

official contact address on your grant cover sheets, you should have videos and other artistic work

samples returned directly to you. If such samples are returned to Intersection, you will need to stop

by and pick them up within two weeks or they will be discarded.

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RECEIVING + REPORTING GRANTS All grants should be sent directly from the foundation to Intersection. Sometimes foundations send an award letter or a grant contract first, which must be signed by our Executive Director before a check can be released. We will alert you via email if a letter comes in, whether you received funding or not, and upload a digital copy of any contracts that we sign to your project’s Google Drive folder. Please note that you are not legally permitted to sign a grant contract yourself, since it must be signed by your nonprofit fiscal sponsor. Grant contracts typically spell out the activities that are being funded (based on the application that they received from you), and this contract will guide which expenses we can cover with the grant funds. We may request more information, including a copy of your application, for accounting purposes. The grant contract will also specify the time period of the grant and your reporting requirements. Foundations typically expect you to send them a report at the end of the grant period, explaining how the project went, how you spent their funds, and who experienced it. This may simply be a letter that you send them, or may be a specific form provided by the grantor. Please note that it is your responsibility to submit a final report to any foundation yourself. We will do our best to track when it’s due and send reminders, but cannot submit a report on your behalf. Be aware that if you neglect to submit these reports to foundations, you may put Intersection’s own funding in jeopardy. Please be sure to send us a copy of any grant report within a week of submitting it to the foundation.

YOUR RESPONSIBILITIES

● Have grant contracts signed by Intersection.

● Submit grant reports to your funders in a timely manner.

● Provide Intersection with a copy of all grant reports.

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PROGRAM PARTNERS We partner with the following organizations that offer an array of classes and consulting on topics like fundraising, marketing, management, legal issues, and more. Our members often receive discounts and special access to their programming and services—look out for discount offers in our monthly Member’s Digest newsletter. ARTSPAN Produces workshops, discussions, and events to aid artists with the professional side of their art practice and form professional connections. WEBSITE: www.artspan.org ADDRESS: SOMArts Cultural Center, 934 Brannan Street, San Francisco, CA 94103 PHONE: 415-861-9838 CALIFORNIA LAWYERS FOR THE ARTS A state-wide nonprofit organization that provides lawyer referrals, dispute resolution services, educational programs and publications to artists and arts organizations. WEBSITE: www.calawyersforthearts.org ADDRESS: Fort Mason Center, Building C, #255, San Francisco, CA 94123 PHONE: 415-775-7200 DANCERS’ GROUP Serving the dance community via public programs and services for performing artists. WEBSITE: dancersgroup.org ADDRESS: 44 Gough St, Suite 201, San Francisco, CA 94103 PHONE: 415-920-9181 ROOT DIVISION A visual arts nonprofit that builds creativity & community via arts education, exhibitions, and studios. Use code INTER20 for 20% off professional development workshops. WEBSITE: rootdivision.org ADDRESS: 1131 Mission Street, San Francisco, CA 94103 PHONE: 415-863-7668 THEATRE BAY AREA Providing communication networks, opportunities, and resources for theatre companies, theatre workers, and theatre lovers. WEBSITE: www.theatrebayarea.org ADDRESS: 1663 Mission Street #525, San Francisco, CA 94103 PHONE: 415-430-1140

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LIABILITY & INSURANCE As mentioned in the Fiscal Sponsorship Overview at the beginning of this handbook, Intersection makes no claims of ownership over your artistic work. In return, we accept no liability, so you must protect us from any potential claims related to your project. This is known as “indemnifying” us, meaning that if anyone does sue Intersection because of your project activities, you must agree to pay any judgment or settlement yourself. This is why we require that you carry insurance. The most common claims stem from physical injury, such as audience members tripping and falling at your event, or collaborators hurting themselves during the rehearsal or fabrication of your work. You can protect yourself from such claims by purchasing limited forms of insurance. Special Event Insurance can be purchased just to cover the times and places of your public events, to protect you in case one of your patrons gets hurt. Volunteers Insurance can be purchased to cover medical costs incurred by your collaborators through the creation and presentation of your work. You can also sign indemnification agreements with your collaborators, agreeing that they work “at their own risk.” For more details on indemnification and insurance requirements, please consult your fiscal sponsorship contract. None of these options are completely foolproof, but we recommend that you put a number of these precautions in place. Other types of insurance may be required to fully protect your activities, including general liability, health and dental, unemployment, or workers compensation. Intersection may demand that you line up some combination of insurance coverage as a requirement for your fiscal sponsorship. Please be assured that we do so with your best interests in mind. Projects operating facilities must carry general liability insurance coverage and name as additionally insured:

Intersection for the Arts 1446 Market Street San Francisco, CA 94102

NOTE: Intersection is not able to extend any of its own insurance coverage for member activities conducted off-site or to apply for ABC Permits on behalf of members. We will do our best to advise you on your options.

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INSURANCE PROVIDERS We recommend the following providers. This list is also found in our Arts Resource Directory. ARTISTS, CRAFTERS, AND TRADESMAN INSURANCE For those seeking vendor insurance for events or annual policies for year round coverage. WEBSITE: https://www.actinsurance.com/ PHONE: 844-520-6991 CRIMSON INSURANCE A San Francisco-based insurance agency offering general liability, professional liability, worker’s compensation, small group health, and other business policies. WEBSITE: https://www.crimsoninsurance.com/ PHONE: 888-405-7479 HEFFERNAN INSURANCE BROKERS An employee-owned agency out of Walnut Creek offering various types of comprehensive insurance policies for all industries. WEBSITE: https://www.heffins.com/ PHONE: 855-700-1988 LOCKTON AFFINITY ARTIST INSURANCE General liability, special event, art and equipment, and employment practices liability insurance for artists. Previously partnered with Fractured Atlas. WEBSITE: https://artists.locktonaffinity.com/ PHONE: 844-412-5957 NEWFRONT INSURANCE San Francisco-based insurance agency offering customized insurance policies for businesses and specialized brokers for nonprofit issues. WEBSITE: https://www.newfront.com/ PHONE: 415-754-3635 SPECIAL MARKETS INSURANCE CONSULTANTS Obtain a quote for event coverage and a certificate of insurance within 24 hours. LINK: https://smic.tulip.specialmarkets.com/ THE HARTFORD National agency offering small business, general liability, and worker’s compensation insurance policies for various industries. WEBSITE: https://www.thehartford.com/ PHONE: 855-829-1683

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DISPUTES + PROJECT TERMINATION There are several ways to terminate your membership with Intersection. Either one of us may terminate the membership for any reason within 30 days with written notice. If either party violates the contract, then we both have the power to terminate the membership immediately. Additionally, if you do not pay your annual renewal fee within 60 days of Intersection’s fiscal year (by August 31), your account will be frozen. If you do not pay your renewal fee within 90 days of the end of Intersection’s fiscal year (by September 30) your membership will be terminated. There are a few common reasons for terminating one’s membership with Intersection, each with slightly different procedures for handling any funds remaining in your Intersection account.

BECOMING YOUR OWN 501(c)(3) Some of our members strive to become their own nonprofit organization. Remember that it’s a two-stage process to get incorporated by the state, then get your 501(c)(3) determination letter from the IRS. Please do consult with us along the way, as we can provide valuable advice about your readiness to become a nonprofit and tips for making a smooth transition. Once your IRS determination letter has been received, you may petition us to receive funds remaining in your account. If any substantial portion of those funds came from grants or individual contributions, we will need to check with the funders before transferring the money directly to you. Some funders are fine with a transfer while some prefer that we continue to manage the funds on your behalf. It’s no problem to remain fiscally sponsored even if you’ve become a nonprofit, and all procedures would be handled the same way until your account is depleted. For information and resources on becoming a 501(c)(3), visit our Arts Resource Directory.

FINDING A NEW FISCAL SPONSOR At some point, you may prefer to contract with a new fiscal sponsor. Once you let us know in writing, we can typically transfer the funds from your account. However, the same

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restrictions apply to grants and donations, so we may have to check with your funders before we can do this.

CLOSING DOWN YOUR PROJECT There are many reasons why you may eventually need to close down your project, including burnout or changes in your life circumstances. If there are funds left in your account, we will work with you to identify outstanding expenditures for which you have not yet requested reimbursement, or project management fees that may be due to you. If there are funds remaining beyond that, we will contact your funders to determine their wishes. Typically they will request that the funds be refunded to them, nominate a different project to receive them, or permit Intersection to transfer them to our own general fund. If the funds are not tied to specific funders, you may make a request to have the funds handled in a particular way, but ultimately we will make these determinations ourselves within three months of terminating your project.

FAILURE TO PAY ANNUAL DUES If annual dues are not received by August 31 of each year the project will be frozen until the dues are paid and no activity can occur. If we do not receive the renewal fee by September 30 we will terminate the project and follow the same procedures as Closing Down Your Project, described above.

ARBITRATION Please note that if you terminate your membership, the administrative fee that we previously charged on your deposits cannot be refunded or discounted. If any disputes arise between us, our contract specifies that the matter will be settled through binding arbitration rather than lawsuits in the open courts. For more information on arbitration, please visit www.calawyersforthearts.org.

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A NOTE ABOUT FISCAL SPONSORSHIP Intersection’s Fiscal Sponsorship program is based on a model of pre-approved grant relationship, known colloquially as a “Model C” relationship.

EXCERPT FROM FISCAL SPONSORSHIP: SIX WAYS TO DO IT RIGHT BY GREG COLVIN (SF STUDY CENTER, 1993) In Model C, the project does not become a program belonging to the sponsor. Instead, the sponsor chooses to further its exempt purposes indirectly by giving financial support to another entity or person for a specific project that the sponsor has reason to believe will advance the sponsor's charitable goals… The sponsor is not seeking ownership of any part of the results of the work, but simply an assurance that the project will use the grant funds in a reasonable effort to accomplish the ends described in the grant proposal… The sponsor and the project sign a written grant agreement setting forth all the terms and conditions that apply to the project’s use of the grant and relations with funding sources. The specific work to be performed by the project using grant funds should be spelled out… The project, the sponsor, or some combination of the two, solicit funds for the specific grant to be made by the sponsor to the project… Such solicitations shall be made only on the condition that the sponsor retains complete control and discretion over the use of all contributions it receives… Ordinarily, however, the funds for a preapproved grant are solicited for a particular purpose. Funders would naturally expect the sponsor of a pre-approved project to fund the project so long as the project follows its grant agreement. For instance, the terms of a government grant to a sponsor might provide that the funds are to be spent for a specific work of art to be created or film to be produced, with the funds to be returned to the government agency if the project fails. Similarly, if a project has been adhering to its grant agreement with a sponsor and the sponsor is holding back funds for the project, the project should be able to enforce the grant agreement as a contractual obligation of the sponsor to pay… (If no one else can finish the project, the law of cy pres requires the sponsor to use the funds in a manner that will accomplish the donor’s intentions as nearly as possible. If the funds originally came from a government agency or private foundation grant, that contract or grant agreement may dictate the final disposition of funds).

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The sponsor may establish a charge for general administration… commonly the charge is set at a certain percentage of the funds raised for the project. In actuality, the sponsor is not charging the project a fee; the sponsor is simply retaining a certain portion of funds which are the sponsor’s property anyway. The liabilities of the grantor are generally quite limited in a grantor-grantee relationship. The grantee does not act as the agent of the grantor legally, and so any obligations incurred, damages or injuries caused, or misconduct committed by the grantee, should not be the responsibility of the sponsor… Basically, the sponsor is liable only for properly selecting and paying the grantee, and for reasonably monitoring the grant to make sure the funds are spent in accordance with the grant agreement. For more information on fiscal sponsorship, view the publications available at www.adlercolvin.com.

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