Sioux Falls Area Community Foundation Inc

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

Sfacf reviews the tax status of potential grantees using guidestar charity check, which integrates data from irs publication. monitoring procedures vary based on the grantee's tax status, the purpose of the grant, and the source of the recommendation for the grant. grants to organizations without 501(c)(3) or equivalent tax status are made using standard expenditure responsibility procedures. to assure that a proposed activity is exclusively charitable and that the organization has the capacity to perform successfully, an organization without charitable tax status is subject to pre-grant inquiry. the inquiry and its outcome are documented in a compliance file. if in sfacf's opinion, organizational capacity is weak, a grant will be paid only as reimbursement for documented charitable expenses. otherwise, the organization is required to sign a grant agreement and to report on the outcomes of the supported charitable activities. for grants made to 501(c)(3) organizations and charitable equivalents, such as religious organizations and governmental entities: - all grant recommendations from donor-advisors are reviewed prior to approval to assure that neither the donor-advisor nor persons related to the advisor will benefit from the grant. at the request of the donor-advisor, sfacf will require, accept, and review post-grant evaluations. - organizations receiving competitively awarded grants from sfacf's grants committee for a specific purpose are required to sign grant agreements