Changes to the Florida Solicitation of Contributions Act
Increase of oversight and compliance responsibilities of Florida charities
INSIGHT ARTICLE |
In a direct response to a study of "America's worst charities" which labeled a Florida charity "the worst of the worst", as well as increased awareness of disaster relief scams, the Commissioner of Florida's Department of Department of Agriculture and Consumer Services took action which resulted in House Bill 629 approved by the House and Senate and approved by Governor Rick Scott on June 13, 2014.
Charities subject to the Act are now required to adopt a conflict of interest policy for transactions between the charity and directors, officers and trustees of the charity. An annual certification of compliance with the policy must be filed as part of the organization's annual registration.
Charities subject to the Act may now be required to file an annual financial statement based upon the following brackets:
a. Annual contributions of less than $500,000
i. An audit, review or compilation of the financial statement is optional.
b. Annual contributions between $500,000 and $1 million
i. The financial statement must be audited or reviewed by an independent certified public accounting firm.
c. Annual contributions of $1 million and greater
i. The financial statement must be audited by an independent certified accountant firm.