SECRETARY OF STATE

The combined fund drive is the only authorized solicitation of Washington state employees in the workplace. The intent of the combined fund drive is to:

(1) Lessen the burdens of government and of local communities in meeting the needs of human health and welfare;

(2) Provide a convenient channel through which state employees, higher education employees and public agency retirees may contribute to the efforts of the participating organizations and federations providing services in Washington state and around the world; and

(3) Minimize ((both)) the disruption of the state workplace ((and the costs to taxpayers)) caused by multiple charitable fund drives((; and

(4) Ensure that participating organizations and federations are fiscally responsible in the uses of the moneys so raised)).

The following definitions apply to chapter 434-750 WAC:

"CFD" means Washington state combined fund drive.

"CFD campaign" means the period of organized solicitation of state employees, higher education employees and public agency retirees. This solicitation is conducted to obtain voluntary contributions, donations and charitable commitments to be allocated to ((approved, not-for-profit)) participating organizations and federations. State agencies ((or)) and higher education institutions ((of higher education)) have the flexibility to conduct a CFD campaign once a year at any time during the year.

"Federation" means a public or private not-for-profit umbrella organization made up of five or more individual member organizations approved by the CFD ((committee)) to participate in the CFD campaign.

"Participating organization" means a public 170 (c)(1) or private 501 (c)(3) not-for-profit organization ((whose application is)) approved by the CFD to participate in the CFD campaign.

"Year of contributions" means the annual calendar year for collection of the voluntary payroll deductions for charitable contributions authorized by state employees and public agency retirees pursuant to these rules. The normal, full annual calendar year of contributions will begin with January and end with the ensuing December.)) "Volunteer" means a state employee or higher education employee chosen to represent the CFD and run the CFD campaign at their respective agency or higher education institution. Volunteers may be referred to as "volunteer," "campaign leader," or "local coordinator."

The office of the secretary of state ((will establish a)) must follow established procedures ((for CFD staff to collect,)) to process and deposit payroll deductions and individual ((employee)) contributions. Contributions may be accepted in the form of payroll deduction, checks, money orders, credit cards, cash or electronic methods. Contributions from fund-raising efforts will be deposited into the CFD account in the custody of the state treasurer according to state laws.

The office of the secretary of state ((will)) may establish staff positions to administer the CFD, and volunteer positions and committees ((as necessary to assist in the annual)) to administer the CFD campaign.

The CFD may enter into contracts and partnerships with a private institution, persons, firms or corporations for the benefit of the beneficiaries of the CFD. The CFD may authorize its volunteers, on a case-by-case basis, to enter into contracts and partnerships with a private institution, persons, firms or corporations for the benefit of the beneficiaries of the CFD. The CFD and its volunteers may also engage in advertising activities for the support of the administrative duties of the CFD. However, CFD activities ((will)) must not result in the direct commercial solicitation of state employees, higher education employees or public agency retirees or in a benefit or advantage that would violate one or more provisions of chapter 42.52 RCW, the state ethics law.

Agency directors, elected officials and higher education presidents are authorized and encouraged to designate employees ((the opportunity)) to serve as CFD campaign ((executives)) leaders and local coordinators to assist in the conduct of the CFD campaign. ((The)) CFD campaign ((executive opportunity is a rotational assignment that develops leadership, communication, and teamwork skills that will benefit the employing organization upon the employee's return. Those appointed as CFD campaign executives)) leaders and local coordinators remain on the payroll of their employing organization during this assignment.

State agencies and higher education institutions, at their discretion, are authorized to use reasonable state resources to support, promote, communicate information, and conduct the annual combined fund drive campaign within their organization in compliance with ethics board opinions (Executive Ethics Board Advisory Opinion 00-09). Reasonable uses are not excessive in volume or frequency as determined by the agency director or institution president.

Each ((state)) participating employer may establish local CFD campaigns within the geographical area it covers. Each ((state)) participating employer and local county committee may develop promotional and fund-raising events, provide training and recognition to CFD local coordinators, develop marketing plans, supervise CFD campaign ((executives)) leaders and local coordinators, and expend reasonable state resources or CFD funds to conduct the local CFD campaign.

Each year the director of each ((state)) participating agency and president of each higher education institution may determine the time period of the agency's or institution's CFD campaign. ((Each annual CFD campaign normally is conducted for a seven-week period. However, in unusual circumstances, the individual state employers may extend the seven-week period as local conditions require.))

((The local state employer may grant sharing of information during the CFD campaign, by participating organizations if the agency or institution determines such communication is not disruptive to the local state office or institution.)) All CFD participating organizations and federations must be given an equal opportunity for communication in a ((state)) participating employer's local CFD campaign.

This section ((will)) may not be construed to require a ((state)) participating employer to distribute or arrange for oral or written information other than the official CFD campaign and publicity material.

Solicitations of state employees ((will)) or higher education employees must be conducted during work hours using methods that permit true voluntary giving. Solicitations ((will)) must reserve to the individual the option of disclosing any ((gift or keeping it confidential)) contribution or maintaining confidentiality to the extent confidentiality is permitted by law. Campaign kick-offs, recognition events, trainings, meetings, awards and other nonsolicitation events to build support for the CFD are encouraged. CFD fund-raising events, such as raffles (as permitted by RCW 9.46.0209 and 42.52.805), drawings, auctions, bake sales, carnivals, athletic events, or other activities not specifically provided for in these rules are permitted when approved, in advance, by the ((state)) participating employer. At the discretion of each ((state)) participating employer, state employees or higher education employees may be authorized to attend CFD promotional and fund-raising events on state work time.

State employees, higher education employees and public agency retirees may only be ((solicited for contributions using payroll deduction, checks, money orders, credit cards, cash or electronic methods)) contacted directly by charities for no purposes other than acknowledgment. Exceptions include contact to state employees, higher education employees and public agency retirees directly from the CFD, any charity that has entered into an oral or written agreement with the CFD to assist with trainings in local areas, or any charity that has received written permission from the employee to contact them.

The CFD ((will)) must recover from the gross receipts of the CFD campaign, or state appropriations, its reasonable administrative expenses to conduct the CFD campaign. The secretary of state ((will)) must approve an annual budget to determine the administrative fee to be charged to the beneficiaries of the CFD.

Fund-raising expenses ((will)) must not be taken or deducted from donations collected during a fund-raising event. ((These)) Fund-raising expenses may be paid by the ((state agency or higher education institution)) participating employer and((, then,)) upon request and submission of proper documentation, reimbursed by the CFD.

The CFD campaign expenses ((will)) must be shared proportionately by all ((the)) participating ((not-for-profit)) organizations and federations reflecting their individual percentage share of gross CFD campaign receipts.

((Not-for-profit)) Participating organizations or federations must meet three requirements in order to ((be a member)) become a participating organization or federation with the CFD:

(1) Must have an approved federal IRS 501 (c)(3) or 170 (c)(1) status;

(2) ((Must submit a CFD membership application; and

(3))) Must be registered with the Washington state office of the secretary of state. Registrations must be kept in an active status; and

(3) Must submit a CFD membership application.

If a ((not-for-profit)) participating organization or federation is determined not to be eligible by the secretary of state charities program, the CFD ((will)) must provide written notice ((of its determination, including a description of the determination made, the date and by whom it was made, the basis for the determination, and the procedure for requesting reconsideration)) to the participating organization or federation of this status and the steps needed to correct noneligibility.

(4) Any written requests or notices made under this section will be deemed received three business days after deposited in the United States mail, properly stamped and addressed.)) Requests for reestablishment of eligibility must be submitted by the participating organization or federation to the secretary of state charities program. The affected participating organization or federation must make any required changes by the requirements set forth for eligibility in WAC 434-750-200. The secretary of state charities program will notify the CFD if the participating organization or federation has been deemed eligible.

Once approved for participation, any participating organization or federation may be decertified and disqualified from participation in the combined fund drive campaign by the CFD for one or more of the following reasons:

(1) Failing to comply with the rules contained in this chapter;

(2) Filing an application to participate in the ((state)) combined fund drive campaign which contains false or intentionally misleading information; ((or))

(3) ((Receiving less than two hundred dollars in total CFD contributions in a calendar year.)) Failing to deposit four disbursement payments within a year;

The CFD ((will)) must provide written notice of the decertification decision, including a description of the determination made, ((the date and)) by whom it was made, the basis for the determination, and the procedure for requesting reconsideration.

Decertification is effective ((on the first day of the quarter)) thirty calendar days following notice of decertification under WAC 434-750-240((. Quarters begin on the first day of January, April, July, or October of each year)) if a participating organization or federation does not notify the CFD that steps have begun to correct decertification, disqualification or noneligibility. A decertified participating organization or federation is disqualified from participating in the CFD campaign as of that effective date.

Requests for reconsideration of a decertification decision ((will be governed by the procedures set forth for reconsideration of eligibility)) must be submitted to the combined fund drive. The participating organization or federation must provide proof that steps have been taken to correct the initial violation in WAC ((434-750-220)) 434-750-230.

The CFD ((will direct payments)) must work directly with its donors to determine where to direct donations originally pledged to ((an)) a participating organization or federation that has been deemed noneligible, decertified, is in receivership, has filed for or been placed in bankruptcy, or ((has been or)) is in the process of being dissolved((, be returned to donors)). The CFD must provide the donor with options to disburse the pledged and collected donations to other participating organizations or federations or provide a refund of collected donations for the open quarter. If a donor does not respond to the CFD regarding redirecting donations, the CFD must issue a refund of all donations collected for the open quarter and cancel the donation. If the CFD determines it is not feasible to return such funds to donors, it ((will)) must determine the appropriate disposition of the funds.

The secretary of state may create a CFD advisory council to provide advice and guidance on matters pertaining to operating the CFD. The council ((will)) must consist of no more than ten members chosen by the secretary of state to represent a broad variety of charities, higher education institutions, and state agencies.

Members serve at the pleasure of the secretary. ((Terms are staggered, with the original board drawing for two- and three-year terms. All following terms are three years but all terms expire no later than when the appointing secretary leaves office.)) Vacancies may be filled by the secretary upon notice of a vacancy from the member. ((The council will elect a chairperson from its members annually. The frequency of meetings will be at least once a year but additional meetings may be called by the secretary or council.)) Council members are not compensated for their service, but may be reimbursed for expenses incurred in the conduct of their official duties. Reimbursement is at current state rates for travel and all reimbursement requests must be received within thirty days of incurring the expense.

The CFD is authorized to conduct special campaigns and disbursements for disaster relief or events with extraordinary circumstances. The CFD must contact all active participating organizations and federations to identify participating organizations and federations that are assisting with disaster relief or event efforts. Participating organizations and federations must be permitted to join a disaster relief campaign or event without bias if the participating organization or federation provides the CFD with proof of their efforts in the disaster relief campaign or event. The CFD reserves the following rights in regards to disaster relief campaigns or events with extraordinary circumstances:

(1) The right to fundraise for disaster relief or events with extraordinary circumstances;

(2) The right to determine the total number of participating organizations or federations involved;

(3) The length of the special campaign; and

(4) The right to determine if collected funds are disbursed earlier than the scheduled quarterly disbursement or during a scheduled quarterly disbursement.