H-3765              _______________________________________________

 

                                                   HOUSE BILL NO. 2974

                        _______________________________________________

 

State of Washington                               51st Legislature                              1990 Regular Session

 

By Representatives May, R. Meyers, S. Wilson, Baugher, Nealey, Hankins, Brooks, Phillips, Horn, Jacobsen, Youngsman, Schoon, Silver, Brumsickle, Holland, Winsley, Moyer, Wood, Forner, D. Sommers, Bowman, Sprenkle, Beck, Betrozoff, Spanel, Nutley, Day, Crane, Basich, Padden, P. King, Walker, Brough, Miller, Locke and Wolfe

 

 

Read first time 1/29/90 and referred to Committee on Judiciary.

 

 


AN ACT Relating to disclosure requirements for solicitations; and amending RCW 19.09.100.

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

 

        Sec. 1.  Section 10, chapter 13, Laws of 1973 1st ex. sess. as last amended by section 11, chapter 230, Laws of 1986 and RCW 19.09.100 are each amended to read as follows:

          The following conditions apply to solicitations as defined by RCW 19.09.020:

          (1) Each person or organization soliciting charitable contributions shall disclose orally or in writing to each person or organization solicited:

          (a) The name of the individual making the solicitation;

          (b) Whether the individual making the solicitation is being paid for soliciting contributions; if paid, whether payment is by salary or commission, or both; and, if paid by commission, the method for determining earnings;

          (c) The name of the charitable organization;

          (((c))) (d) The purpose of the solicitation, and the name of the organization that will receive the funds contributed; and

          (((d))) (e) Whether the charitable organization is or is not properly registered under this chapter, and if registered, that information relating to its financial affairs is available by contacting the office of the secretary of state, giving the secretary's toll-free telephone number, if available.

          (2) Each person or organization soliciting charitable contributions shall conspicuously disclose in writing to each person or organization solicited:

          (a) If the solicitation is conducted by a charitable organization, the percentage relationship between (i) the total amount of money applied to charitable purposes; and (ii) the dollar value of support received from solicitations and from all other sources received on behalf of the charitable purpose of the organization, as contained in the organization's most recent solicitation report filed in accordance with RCW 19.09.075(7);

          (b) If the solicitation is conducted by an independent or nonprofit fund raiser, the percentage relationship between (i) the amount of money disbursed to charitable organizations for charitable purposes; and (ii) the total value of contributions received on behalf of charitable organizations by the independent or nonprofit fund raiser, as contained in the fund raiser's most recent solicitation report filed in accordance with RCW 19.09.079(7) or 19.09.078.

          (3) Each person or organization soliciting charitable contributions by telephone shall make the disclosures required by ((RCW 19.09.100(2) (a) or (b))) subsection (2)(a) or (b) of this section in writing within five days of the receipt of any contribution.  If the person or organization sends any materials to the person or organization solicited before the receipt of any contribution, those materials shall include the disclosures required in ((RCW 19.09.100(1)(d), and 19.09.100 (2) (a) or (b))) subsection (1)(e), and (2) (a) or (b) of this section, whichever is applicable.

         (4) Each person or organization soliciting charitable contributions shall not represent orally or in writing that:

          (a) The charitable contribution is tax deductible unless the charitable organization for which charitable contributions are being solicited or to which tickets for fund raising events or other services or goods will be donated, has applied for and received from the internal revenue service a letter of determination granting tax deductible status to the charitable organization;

          (b) The person soliciting the charitable contribution is a volunteer or words of similar meaning or effect that create the impression that the person soliciting is not a paid solicitor unless such person is unpaid for his or her services;

          (c) The person soliciting the charitable contribution is a member, staffer, helper, or employee of the charitable organization or words of similar meaning or effect that create the impression that the person soliciting is not a paid solicitor if the person soliciting is employed, contracted, or paid by an independent fund raiser.

          (5) If the charitable organization is associated with, or has a name that is similar to, any unit of government each person or organization soliciting contributions shall disclose to each person solicited whether the charitable organization is or is not part of any unit of government and the true nature of its relationship to the unit of government.

          (6) A charitable organization shall comply with all local governmental regulations that apply to soliciting for or on behalf of charitable organizations.

          (7) The advertising material and the general promotional  plan for a solicitation shall not be false, misleading, or deceptive, and shall afford full and fair disclosure.

          (8) Solicitations shall not be conducted by a charitable organization or independent fund raiser that has, or if a corporation, its officers, directors, or principals have, been convicted of a crime involving solicitations for or on behalf of a charitable organization in this state, the United States, or any other state or foreign country within the past ten years or has been subject to any permanent injunction or administrative order or judgment under RCW 19.86.080 or 19.86.090, involving a violation or violations of RCW 19.86.020, within the past ten years, or of restraining a false or misleading promotional plan involving solicitations for charitable organizations.

          Failure to comply with subsections (1) through (8) of this section is a violation of this chapter.