Amalgamated Charitable Foundation Inc

How it makes and monitors grants (Schedule I, Part IV)

ACF uses the following procedures to monitor the use of its grant funds in the United States. Prior to issuing a grant, ACF conducts a review to confirm that the recipient organization is in good standing under state law, that it is a recognized tax-exempt organization under IRC section 501(c)(3) and that the proposed grant is consistent with ACF's exempt purposes and in furtherance of its mission. After this initial due diligence, a grants manager reviews the proposed grant to ensure that all of the due diligence steps have been completed and that the proposed grant satisfies ACF's criteria, and the grants manager then submits the grant for final approval. If approved, the grant funds are provided with a grant agreement that sets out the terms of the grant, including the permissible and prohibited uses of funds. If the grantee is not exempt under IRC section 501(c)(3), ACF takes additional steps to ensure that the grant funds will be used exclusively for purposes consistent with IRC section 501(c)(3) and ACF's charitable and educational purposes. For certain grants, ACF exercises expenditure responsibility by conducting a pre-grant inquiry, requiring the grantee to execute a grant agreement that requires the grantee to spend the funds only for the specified charitable purposes, maintain the grant funds separately and exclusively for charitable purposes and provide detailed narrative and financial reporting to ACF.