[crw-talk] CRW By-Laws circa 2018, Now By-LAWS 2017 as sent to the IRS to pursue non-profit status and Follow Up. And some visioning!

Wed Oct 18 10:05:57 CDT 2023

My opinion – 
Yes, reinstatement is worthwhile. 
NO to any special assessment. We have $3K+ bank balance. This gets paid from that general fund. 

Aaron Gesicki

From: Adrian Novak <adrian.novak at charter.net> 
Sent: Tuesday, October 17, 2023 8:27 PM
To: Membership mailing list for the AAW Chapter Coulee Region Woodturners. <crw-talk at crwoodturner.com>
Cc: Aaron Gesicki <aaronagesicki at gmail.com>; Bobraasch2 <bobraasch2 at gmail.com>
Subject: Re: [crw-talk] CRW By-Laws circa 2018, Now By-LAWS 2017 as sent to the IRS to pursue non-profit status and Follow Up. And some visioning!

If the $275 is a problem I will make a 10% contribution. If 9 others match this amount. 

Adrian 

On Oct 17, 2023 at 8:08 PM, <Raaschb <mailto:raaschb at charter.net> > wrote:
Dear members,
Follow up on B-L’s and pursuance of 501 (c) (3) status.  Aaron opened the door in his recent newsletter, I just walked in and wrote yesterday’s piece.  
I’ve been informed by our club’s  previous president, Adrian,  there may be a process for reinstatement; some paperwork and a possible outlay of  about $275 required. Good news right?

I have included some detail here as the process may be less intimidating than our wild imaginations may think. Should the club decide reinstatement is positive for club growth, bringing forth opportunities for grants, etc., some work has already been done here, well ya now know where to start the process.   Kinda like the tree has been cut down, hauled to your shop, snow brushed off (yup that season justa round the corner), the bowl blanks prepared for your creative endeavor, right? I know it’s a stretch, but ya get my point!?

Some quick research on the IRS website, under form 2022-1 has a document titled Automatic Revocation – How to Have your Tax-Exempt Status Reinstated. I’m not a tax lawyer, no surprise here,  and don’t even play one on TV, but it would appear that since the club’s tax-exempt status was automatically terminated more than 15 months ago for the reasons outline in my previous note, AND the club’s non-exempt status was not previously automatically terminated, the club may submit Form 2023 and  others, plus submission of $275, from the club’s treasury to Department of the Treasury, IRS, Ogden, UT. I’m sure the process is not quick and probably some hurry up and wait; we know govt wheels spin SLOWLY. 

Sure there’s a wee bit more, but, would be worth the effort if the collective membership view a tax exempt status as desirable.  Some helpful links for those interested: 
Form 2022-1 Internal Revenue Bulletin: 2022-01 | Internal Revenue Service (irs.gov) <https://www.irs.gov/irb/2022-01_IRB#REV-PROC-2022-1> .   AND 
Automatic Revocation - How to Have Your Tax-Exempt Status Reinstated | Internal Revenue Service (irs.gov) <https://www.irs.gov/charities-non-profits/charitable-organizations/automatic-revocation-how-to-have-your-tax-exempt-status-reinstated>    .  

The actual procedure, outlined in Revenue Procedure 2014-11 explains the 4 procedures an organization may use to apply for reinstatement. 
A small committee of 2-3 can work thru this, I volunteer to join that group if formed.  
Thanks, Adrian, for forwarding this IRS information. 

The following article by AAW executive officer, Jennifer Newburg may speak to you, as it did to me this morning while reading at the coffee shop. While the article specifically addresses the AAW, we can imagine substituting the CRW for the AAW.  
If you’re an AAW member, this can be found in the American Woodturner, October 2023 issue.  IMHO  this message may speak to us, the collective CRW membership, as we look hopefully to 2024 as a chance to get back to our roots, but now move forward.  I’m convinced or at least hopeful; new leadership will lead the way, be engaged, be open, inclusive, listen to the voices, then act in an appropriate and responsible manner to  launch us forward.    
Regards,
CRW member Bob Raasch

From: raaschb at charter.net <mailto:raaschb at charter.net>  <raaschb at charter.net <mailto:raaschb at charter.net> > 
Sent: Monday, October 16, 2023 11:15 PM
To: 'Aaron Gesicki' <aaronagesicki at gmail.com <mailto:aaronagesicki at gmail.com> >; CRW-Talk at crwoodturner.com <mailto:CRW-Talk at crwoodturner.com> 
Cc: raaschb at charter.net <mailto:raaschb at charter.net> ; bobraasch2 at gmail.com <mailto:bobraasch2 at gmail.com> 
Subject: RE: CRW By-Laws circa 2018, Now By-LAWS 2017 as sent to the IRS to pursue non-profit status

Dear fellow members, 
I am including important information pertaining to the topic, hoping some will read, reflect and possibly take notice. 
The substance of the official IRS correspondence to the club regarding non-profit status, is in the bottom half of this document. The By-Laws reflect parameters required for 501 c 3 status.

The Coulee Region Woodturning club leadership was apprised of the IRS requirements to maintain non-profit status many times over the course of the past year, WELL prior to the 3 year limit of failing to file the appropriate documentation.  Further, I’ve been assured that the IRS understands the problems that COVID has caused the country, that indeed, as for many organizations, correspondence between the Coulee Region Turning club and the IRS would have mitigated the termination of our non-profit status.  At this juncture, if non-profit status were to be sought,  reapplication would seem inevitable. 

Members, please note that much thought and work went into writing the club By-Laws to comply to the IRS guidelines for meeting nonprofit status. I was a board member at the time, and recall much discussion and had input as many others did as well,  AND,  the club membership voted to apply for this determination rendered by the IRS and allocating the required funding from the club treasury. The membership at that time, albeit prior to the COVID-19 shutdown and prolonged epidemic saw the value over the long haul of such a charitable non-profit designation. Of  minor benefits are a small tax break that may result in making charitable contributions. The larger benefit is applying for grant dollars, getting club programming into organizations that take 501 (c) (3) status. All these and more benefits could be realized. At that time of seeking non-profit status, the club was substantially abundant in membership size, growing and participating in several community engagement activities, was highly viable, and conducting programming which spoke to the club’s mission.  That was a time of great fun, satisfaction, collegial relationships and introducing the craft of woodturning  to many people, fairly young and mature alike. 

I don’t recall the specific club expenditure of funds, which were approved by membership, somewhere in the area of about possibly $600?  It is my view now and for some period now, that club leadership frittered this opportunity away by not filling out the “simple” Form 990-EZ, essentially a post card, within 3 years of the IRS letter dated Sep 27, 2019.  To be sure, we know many organizations suffered during the COVID times. However, the club began meeting in person during the early part of 2021, I believe June at the Lion’s Shelter, next to the Onalaska Community Center, indeed outdoors,  and  even board meetings were conducted albeit over zoom.

I do not know or understand why the IRS correspondence lapse occurred ( there would be no cost other than a postage stamp),  but we all know the challenges and angst this lapse may have caused. If any of our personal household finances suffered an approx. $600 deficit,  our psyche would be affected as well as our financial bottom line. 

The meat of the IRS document that was returned to the club on about Sep 27, 2019 follows.

The latest By-Law’s were written Wed Apr 12, 2017 and sent to the IRS. 
If interested in the accuracy, see the posted a message to the CRW-Talk mailserver, located in the club electronic archive on April 12, 2017, 501 c 3 update.   ByLaw’s   <http://crwoodturner.com/pipermail/crw-talk_crwoodturner.com/> The crw-talk Archives (crwoodturner.com)

A rendering of the IRS document follows.

On Sep 27, 2019, the CRW  INC received notification, From Internal Revenue Service
PO Box 2508
Cincinnati, OH 54201

Public Charity Status: 509 (s) (2)
Form 990/999-EZ/900 -N-Required: YES
Effective date of Exemption: Sep 17, 2019
Contribution Deductibility: YES
Addendum Applies: NO

Department of Treasury 
Contract Telephone Number: 877 829 5500
Contact Person: Lee Crouch
CRW’s EIN: 82-1153646

The body of the letter informs us:  CRW INC is determined exempt from Federal Income Tax under Internal Revenue Code (IRC) Section 501 (C) (3).  Donors can deduct contributions they make to you under Internal Revenue Code IRC Section 170.
You’re also qualified to receive tax deductible bequests, devices, transfers or gifts under Section 2055, 2106, or 2522. This letter could help resolve questions on your exempt status. Please keep it for your records. 
Organizations exempt under IRC Section 501(c) (3) are further classified as either public charities or private foundations. We determined you’re a public charity under the IRC Section listed at the top of this letter. 
……..our records show you’re required to file an annual information return (Form 990 or Form 990-EZ) or electronic notice (Form 996-N, the e-Postcard. If you don’t file a required return or notice for three consecutive years, you’re exempt status will be automatically revoked.

If we indicated at the top of this letter that if an addendum applies, the enclosed addendum is an integral part of this letter
For important information about your responsibilities as ai tax-exempt organization, go to www.irs.gov/charities <http://www.irs.gov/charities> . Enter 4221-PC in the search bar to view Publication 4221-PC, Compliance Guide for 501 (C) (3) Public Charities, which describes your recordkeeping, reporting and disclosures. 

Coulee Region Woodturners INC.

Sincerely,
Stephen………
Director, Exempt Organizations
Rulings and Agreements

End of IRS communication

I send this note to you, my fellow club members to make one last attempt to revive the vision that was integral to the club in the recent past. Seeking a non-profit status would indeed open many doors for club growth,  if the club desires growth. By not doing so,  those doors are closed.  

Sincerely,   
CRW Member Bob Raasch

From: Aaron Gesicki <aaronagesicki at gmail.com <mailto:aaronagesicki at gmail.com> > 
Sent: Monday, October 16, 2023 2:00 PM
To: Aaron Gesicki <aaronagesicki at gmail.com <mailto:aaronagesicki at gmail.com> >
Subject: CRW By-Laws circa 2018

Please see attached. These will be discussed during the next CRW Meeting. Attendees will be asked for input. 

Aaron Gesicki

1317 Woodpark Road
Winona, MN 55987

507-615-0233  home
303-551-2450  cell

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