2013-2014_Colorado_PTA_Principal__Handbook[1]
Each year as the summer winds down, PTA boards around the state meet to form a plan of action for the coming school year. That plan should include what programs and services the PTA will provide its students, how much money it will take to support that plan, and how to raise those funds. With district dollars dwindling, many principals look to the PTA to cover shortfalls in their budgets.
While PTAs want to do everything they can for their children and their schools, there are legal limitations to what a PTA can and cannot fund.
The national PTA issued the following guidelines to help clarify the lines that have become blurred as to the vision, mission and purpose we follow and how PTA funds should be used.
PTA VISION AND MISSION
PTA’s vision is making every child’s potential a reality. PTA’s mission is to be:
• A powerful voice for all children,
• A relevant resource for families and communities, and
• A strong advocate for the education and well-being of every child.
PTA PURPOSES AND HISTORIC GOALS
• To promote the welfare of the children and youth in home, school, community, and place of
worship.
• To raise the standards of home life.
• To secure adequate laws for the care and protection of children and youth.
• To bring into closer relation the home and the school, that parents and teachers may cooperate intelligently in the education of children and youth.
• To develop between educators and the general public such united efforts as will secure for all children and youth the highest advantages in physical, mental, social, and spiritual education.
HOW PTAs WORK
• The national PTA organization is a separate legal entity having both a Federal tax number
(FEIN) and IRS 501(c)(3) exempt status.
• Each local PTA unit elects a separate board and officers, and only the elected officers can contractually bind that unit and only for their term of office.
• PTA budgets can only be ratified and approved by a vote of the membership (not just the board).
• PTA funds raised by PTA members belong exclusively to PTA and can only be used for purposes approved by its members through the budgetary and amending process. Approved uses of funds should be in line with the mission and objectives of the PTA body as a whole.
WHAT PTAs ARE NOT
PTAs are not a supporting organization for the schools where they hold their meetings. Supporting organizations often contract directly with school districts to act on behalf of the schools and are subject to school oversight and approvals for such items as their budgets.
Teachers or members of the school system holding office in local units may not officially represent the school system on the PTA’s board.
Such an arrangement comprises a conflict of interest and will be used to demonstrate that the local unit is acting as a supporting organization.
PTAs are not an additional funding resource for goods, services, and payroll for public schools. School funds should be supplied by governmental entities. PTAs advocate for the adequate funding of schools from governmental sources. They do not replace funds not supplied by governments.
PTAs are not to pay bills handed over by the principal of the school. If the membership agreed to a purchase using PTA funds, the check must be written to the school for the school to purchase. Local unit PTAs exist to provide enrichment for their children, school, and local community and to advocate for children.
PTAs are not intended to be solely fundraising organizations for their schools.
BASIC PTA DO’s AND DON’Ts
In the “Do” category the basic premise to remember here is that the PTA funds need to impact the greatest number of students possible.
• PTAs funds may cover the cost of classroom or grade level educational field trips.
• PTA funds may cover educational assembly speakers.
• PTA funds may cover classroom enhancement via teacher requests. One note: if an item is purchased, like headsets or software so kids can learn a second language, those materials do not belong to the teacher, but to the classroom. The items stay in the classroom if the teacher transfers, retires, or leaves the school for any reason.
• There is a gray area in sport and playgrounds. PTAs are discouraged from purchasing playground
and sports equipment because of the liability to which they expose the unit. There are two options available though, if the PTA membership votes to purchase equipment: 1) The PTA can purchase the equipment and then “sell” it to the school; 2) The school may purchase the equipment and ask the PTA for reimbursement. In both cases there must be a letter from the school clearly accepting ownership and all liability for the said equipment. If this cannot happen, then the PTA should not make the purchase.
The very basic rule is that if the school district typically funds something, the PTA should not.
In the “Don’t” category the basic premise to remember is this: PTAs are not to replace, but to supplement.
• PTA funds should not be used to purchase personal gifts, equipment for staff lounges and lunchrooms or furnishings for principals’ offices. (Personal gifts include, but are not limited to, baby showers, bereavements, weddings, or birthdays.)
• PTA funds can NEVER go toward salaries. To do so jeopardizes the PTA’s non-profit status.
• PTA funds should not be spent on textbooks, office supplies, maintenance or school renovations or additions. This can, however, also be a gray area. Many PTAs in Colorado have purchased marquees. These should be handled similarly to playground equipment, with the PTA reimbursing the school.
HANDLING OF PTA FUNDS
This is not meant to be a complete list, just the basics.
• PTA funds must be deposited into the PTA’s account as soon as possible following an event or fundraiser. No individual PTA member may ever take PTA funds home with them.
• At least two members must count money.
• PTAs must have two signatures on every check.
• Have the bank statement reviewed and signed by a non-check signer at each meeting.
• Signers of PTA accounts cannot have disbursement authority over school/school district funds.
• PTA funds may NEVER be deposited into a school or district account or school safe. PTAs are stewards of charitable dollars. As such, each PTA must be able to directly track all of their expenditures. This cannot be done if PTA funds are deposited into a school’s general account.
• Checks may NEVER be written to a principal or a teacher without express advance approval of the membership and proper receipts, etc.
In closing, you know that PTAs do not want to disappoint you or say “no” to any teacher requests. There is a reality here, though. You can help PTAs avoid uncomfortable situations, lawsuits, and possible revocation of their non- profit status by not pressuring PTA leaders to bend the rules. We all want the best for our children. Let’s concentrate on what PTAs can do for our schools instead of what they cannot.
You can also help by being a champion for your PTA. Please encourage teachers to support and participate in PTA and its functions. You too!
Parents and students love to see teachers and principals at events. We take the “T” in PTA very seriously. Together we will enrich every child’s educational experience.
Most important, Colorado PTA thanks you for your collaboration and support of the work we do for all of our children!