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House Engrossed Senate Bill
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State of Arizona
Senate
Forty-fifth Legislature
First Regular Session
2001
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SENATE BILL 1252
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AN ACT
AMENDING SECTION 44-6552, ARIZONA REVISED STATUTES; REPEALING SECTION 44-6553, ARIZONA REVISED STATUTES; AMENDING TITLE 44, CHAPTER 19, ARTICLE 1, ARIZONA REVISED STATUTES, BY ADDING A NEW SECTION 44-6553; RELATING TO SOLICITATION OF FUNDS FOR CHARITABLE PURPOSES.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 44-6552, Arizona Revised Statutes, is amended to read:
44-6552. Registration of charitable organizations
A. No later than three days after a charitable organization solicits its first
contribution EXCEPT AS PROVIDED IN SUBSECTION D OF THIS SECTION AND SECTION 44-6553,
BEFORE SOLICITING ITS FIRST CONTRIBUTION, whether through a contracted fund raiser or
otherwise and each January SEPTEMBER thereafter, the A charitable
organization shall file A REGISTRATION STATEMENT with the secretary of state IN
A FORMAT PRESCRIBED AND ADOPTED BY THE SECRETARY OF STATE BY RULE. A written
statement containing the following information:
1. The names, telephone numbers and business street addresses of the
charitable organization and its officers and directors, including a designation
of the office held by each officer and director.
2. The name, telephone number and business street address of any
contracted fund raiser engaged for remuneration to make solicitations on behalf
of the charitable organization. If the contracted fund raiser is located outside
of this state, the statement shall provide the name, telephone number and
business street address of a local contact person.
3. A general description of the methods, locations, types and amounts of
solicitations that the charitable organization, or any of its contracted fund
raisers, will use to solicit charitable contributions.
4. The duration of the solicitation period of the charitable
organization and any of its contracted fund raisers.
5. Either of the following:
(a) A current internal revenue service form 990.
(b) The total dollar amount of all charitable contributions received and
a detailed statement, on a form prescribed by the secretary of state, of all
expenditures relating to solicitations for charitable contributions by the
charitable organization during the preceding calendar year or, if the statement
is the charitable organization's initial statement and it is filed after June 30,
the total of all charitable contributions it received and expenditures it made
during that year to date.
6. A description of a conviction or plea of no contest to a felony or
misdemeanor involving fraud, dishonesty, false statement or the receipt or the
expectation of the receipt of anything of pecuniary value or a violation of
chapter 9, article 6 of this title of any contracted fund raiser for the
charitable organization pursuant to paragraph 2 including the date, place and
nature of the offense.
7. A specific description of the purpose of the charitable organization.
B. The president and treasurer or equivalent officers of the charitable
organization shall sign and swear to the written statements filed pursuant to
this section.
C. The charitable organization shall report in writing to the secretary
of state any material change in any information filed with the secretary of state
pursuant to this section within sixty days of the change.
D. B. The secretary of state shall file and preserve all
information required to be filed with the secretary of state pursuant to this
section for five years from the date of filing, after which the information may
be destroyed. This information is public information and is open to public
inspection.
C. THE SECRETARY OF STATE MAY DELIVER BY CERTIFIED MAIL A NOTICE OF FAILURE TO FILE A REGISTRATION STATEMENT PURSUANT TO THIS SECTION TO ANY CHARITABLE ORGANIZATION THAT IS REQUIRED TO FILE A REGISTRATION STATEMENT AND THAT FAILS TO COMPLY WITH THE REGISTRATION REQUIREMENTS OF THIS SECTION. THE CHARITABLE ORGANIZATION SHALL COMPLY WITH THE REGISTRATION REQUIREMENTS OF THIS SECTION WITHIN THIRTY DAYS AFTER RECEIVING THE NOTICE FROM THE SECRETARY OF STATE AND SHALL PAY A LATE REGISTRATION PENALTY OF TWENTY-FIVE DOLLARS. IF THE CHARITABLE ORGANIZATION DOES NOT COMPLY WITH THE REQUIREMENTS OF THIS SUBSECTION, THE CHARITABLE ORGANIZATION IS GUILTY OF A CLASS 1 MISDEMEANOR.
D. INSTEAD OF FILING ANY FINANCIAL DISCLOSURE INFORMATION PRESCRIBED BY THE SECRETARY OF STATE PURSUANT TO THIS SECTION, A TAX EXEMPT ORGANIZATION PURSUANT TO SECTION 501(c)(3) OF THE INTERNAL REVENUE CODE MAY EITHER:
1. FILE WITH THE SECRETARY OF STATE A COPY OF THE ORGANIZATION'S ANNUAL INFORMATION RETURN AS DEFINED IN THE INTERNAL REVENUE CODE AND APPLICABLE REGULATIONS.
2. PROVIDE THE SECRETARY OF STATE WITH THE ADDRESS ON THE INTERNET WHERE THE ORGANIZATION'S ANNUAL INFORMATION RETURN IS AVAILABLE.
Sec. 2. Repeal
Section 44-6553, Arizona Revised Statutes, is repealed.
Sec. 3. Title 44, chapter 19, article 1, Arizona Revised Statutes, is amended by adding a new section 44-6553, to read:
44-6553. Exemptions
THE FOLLOWING INDIVIDUALS AND ENTITIES ARE EXEMPT FROM THE REGISTRATION REQUIREMENTS PRESCRIBED IN SECTION 44-6552:
1. ANY POLITICAL PARTY, CANDIDATE FOR OFFICE OR CAMPAIGN COMMITTEE THAT IS REQUIRED TO FILE FINANCIAL INFORMATION WITH THE SECRETARY OF STATE.
2. ANY CHARITABLE ORGANIZATION THAT IS A BONA FIDE AND DULY CONSTITUTED RELIGIOUS INSTITUTION AND ANY OTHER ENTITY THAT IS AN INTEGRAL PART OF A RELIGIOUS INSTITUTION IF ALL OF THE FOLLOWING APPLY:
(a) THE RELIGIOUS INSTITUTION OR ENTITY IS A TAX EXEMPT INSTITUTION OR ENTITY PURSUANT TO THE INTERNAL REVENUE CODE.
(b) NO PART OF THE RELIGIOUS INSTITUTION'S OR ENTITY'S NET INCOME INURES TO THE DIRECT BENEFIT OF ANY INDIVIDUAL.
(c) THE RELIGIOUS INSTITUTION OR ENTITY ONLY SOLICITS MONIES FROM THE INSTITUTION'S OR ENTITY'S MEMBERSHIP, CONGREGATION OR PREVIOUS DONORS AND THE INSTITUTION'S OR ENTITY'S CONDUCT AND FEES CHARGED FOR SERVICES ARE PRIMARILY SUPPORTED AND PAID THROUGH GOVERNMENT GRANTS OR CONTRACTS.