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Nonprofit Law/Parent's Booster as a Sub-Group for a 501(c)(3) Rowing Club

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Question
A parentís booster has recently been formed for junior athletes as a sub-group of the board of a 501(c)(3) rowing club open to all ages. This parent booster sub-group has been unanimously approved by the club board of directors to be included on their budget as a line-item general fund. The funds for all junior athletes regardless of donation or funds raised and/or refunded by the parent booster sub-group are planned and approved by the board to go toward the support and payment of items such as regatta (travel, lodging, and food) related activities/functions, race specific uniforms, equipment purchases/repairs and a portion to be determined to the ongoing contribution to the club for club ongoing normal expenses (insurance, paid coaching, club advertising, ect) and a new building fund. It is our hope and intention that the booster club sub group works within the 501(c)(3) legal and proper guidelines to provide financial support for the junior athletes and the club board that has graciously allowed them to participate in the joy of crew rowing. Any advice or thoughts that you can provide for us would be greatly appreciated.

Answer
I suggest that you don't use the term "parent's group" as a 501(c)(3) booster organization should be able to have assistance from people who are not parents.  Anyway, the sub-group, which be generally called a "Division" must follow the legal guidelines for booster organizations. My summary of IRS regulations relating to 501c3 booster organizations is at:
http://goo.gl/ULw6f6
and you may be interested to read that.

Harvey Mechanic, Attorney at Law -
Harvey108@hotmail.com

P.S. This response is intended to be a general statement of law, should not be relied upon as legal advice and does not create an attorney/client relationship.  

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Harvey Mechanic

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I am an attorney and I volunteer time to answer general questions about U.S. Federal income tax issues of nonprofit 501(c)(3) public charities only. Those questions could be about establishing and maintaining legal requirements for such non-profit organizations in the United States, including Internal Revenue service filings and requirements. I will not be working on this free forum to answer questions about Nonprofit's possible unrelated or for-profit businesses or how to fill out forms. This forum is only for general questions about federal tax law, not as the law applies to your specific situation. If you do not make your question public then I will not be spending much of my donated time on answers that would not benefit the public. If you have other questions, please contact me at Harvey108@hotmail.com I will reply from my email. In any case, do not reveal confidential information to me until after I have contracted with you to provide personal legal services. My responses on this forum are intended to be general statements of law, should not be relied upon as legal advice, and do not create an attorney/client relationship. For me to consider your individual situation and how the law applies, I would need to gather extensive information about the situation. To search my previous answers you can do a Google search by "site:allexperts.com/q/nonprofit" without the quotes and then add your search terms before hitting enter.

Experience

I have been practicing law and especially the law of nonprofit organizations since 1990 when I was admitted to the New York Bar and I have maintained my status with the Bar since that time.

Education/Credentials

B.S. Columbia University in New York City, 1970

J.D. (Law Degree) Brooklyn Law School, 1990 -- Cum Laude.


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