| (B) A federation or fund that wants to be an eligible
local charitable organization may apply on behalf of its affiliated
agencies.
(2) Requirements for applications from federations
or funds. If a charitable organization applying to be an eligible
local charitable organization is a federation or fund, then the organization
must provide to the state policy committee and any applicable local
employee committee appointed by the state policy committee:
(A) a letter from the presiding officer of the federation
or fund's board of directors certifying compliance by the federation
or fund and its affiliated agencies with the eligibility requirements
of Government Code, §659.147;
(B) a copy of a letter from each affiliate of the federation
or fund certifying that the federation or fund serves as the affiliate's
representative and fiscal agent in the state employee charitable campaign;
(C) a copy of the conflict of interest policy approved
by the federation or fund's board of directors, which prohibits its
board members, executive director, and staff from engaging in business
transactions in which they have material conflicting interests;
(D) if the executive director of the federation or
fund receives material compensation for services rendered to any organization
other than the federation or fund, a full disclosure of:
(i) the name of the organization;
(ii) the nature and amount of the compensation; and
(iii) the relationship of the organization to the federation
or fund;
(E) a copy of the federation or fund's current operating
budget, signed by the presiding officer of the federation or fund's
board of directors; and
(F) an acknowledgment that the federation or fund is
responsible for filing any appeals from its affiliated agencies that
have not secured approval for statewide or local participation in
the state employee charitable campaign.
(3) Beginning of deductions. The first deduction to
pay an eligible local charitable organization shall occur the first
month of the first campaign year that begins after the charitable
organization is approved for local participation in the state employee
charitable campaign.
(i) Payments of deductions.
(1) Prohibited payments to eligible local charitable
organizations.
(A) Neither the comptroller nor an institution of higher
education may pay deducted amounts directly to an eligible local charitable
organization.
(B) Except as otherwise provided in this subparagraph,
deducted amounts shall be paid directly to the appropriate local campaign
manager if one has been appointed by the state policy committee. If
the eligible local charitable organization involved is an affiliate
of a statewide federation or fund, then the deducted amounts shall
be paid directly to the federation or fund.
(2) Payments by the comptroller through electronic
funds transfers. If feasible, the comptroller shall pay deducted amounts
to a local campaign manager or a statewide federation or fund by electronic
funds transfer.
(3) Payments through warrants issued by the comptroller.
(A) This paragraph applies only if it is infeasible
for the comptroller to pay deducted amounts by electronic funds transfer.
(B) The comptroller shall pay deducted amounts by warrant
and make the warrant available for pick up by the state agency whose
employees' deductions are being paid by the warrant.
(C) A state agency shall mail or hand deliver a warrant
picked up under subparagraph (B) of this paragraph to the payee of
the warrant.
(D) Except as provided in subparagraph (E) of this
paragraph, the deadline for mailing or hand delivering a warrant is
the tenth workday of the month following the month when the salary
or wages from which the deductions are made were earned.
(E) This subparagraph applies only to a deduction that
occurs after the tenth workday of the month following the month when
the salary or wages from which the deduction is made were earned.
The deadline for a state agency to mail or hand deliver a warrant
to pay the deduction is the second workday after the agency receives
the warrant.
(4) Payments by institutions of higher education.
(A) This paragraph applies to deducted amounts from
the salary or wages of a state employee of an institution of higher
education only if the comptroller does not pay those amounts directly
to a local campaign manager or a statewide federation or fund.
(B) If feasible, an institution of higher education
shall pay deducted amounts to a local campaign manager or a statewide
federation or fund by electronic funds transfer.
(C) If it is infeasible for an institution of higher
education to pay deducted amounts by electronic funds transfer, then
the institution shall make the payment by check.
(D) This subparagraph applies only if an institution
of higher education pays deducted amounts by check.
(i) This clause applies only to deductions from salary
or wages that are paid on the first workday of a month. An institution
of higher education shall mail or hand deliver its check to the payee
of the check not later than the 10th workday of the month.
(ii) This clause applies only to deductions from salary
or wages that are paid on a day other than the first workday of a
month. An institution of higher education shall mail or hand deliver
its check to the payee of the check not later than the 10th workday
of the month following the month in which the salary or wages were
earned.
(j) Distributions of deductions by any local campaign
managers appointed by the state policy committee.
(1) Requirement to use the percentage method. A local
campaign manager shall use the percentage method to distribute deducted
amounts to eligible local charitable organizations and statewide federations
or funds.
(2) Description of the percentage method.
(A) Immediately after the end of a state employee charitable
campaign, a local campaign manager shall calculate the contribution
percentage for:
(i) each eligible local charitable organization that
has been approved to participate in the local campaign area under
the manager's responsibility; and
(ii) each statewide federation or fund to which state
employees in the local campaign area have authorized deductions.
(B) The contribution percentage for an eligible local
charitable organization is the ratio of:
(i) the sum of:
(I) the organization's designated initial distribution
amount with respect to all state employees in the local campaign area
as determined under subsection (c)(1)(C) - (D) of this section; and
(II) the organization's undesignated initial distribution
amount with respect to all state employees in the local campaign area
as determined under subsection (c)(1)(F)(ii) of this section; to
(ii) the total amount of deductions authorized to the
local campaign manager on authorization forms and electronic deduction
authorizations completed during the campaign.
(C) The contribution percentage for a statewide federation
or fund is the ratio of:
(i) the federation or fund's undesignated initial distribution
amount with respect to all state employees in the local campaign area
as determined under subsection (c)(1)(F)(iii) of this section; to
(ii) the total amount of deductions authorized to the
local campaign manager on authorization forms and electronic deduction
authorizations completed during the campaign.
(D) The contribution percentage for an eligible local
charitable organization or a statewide federation or fund may not
be recalculated before the conclusion of the next state employee charitable
campaign.
(E) The amount of deductions that a local campaign
manager distributes to an eligible local charitable organization or
a statewide federation or fund is equal to the product of:
(i) the contribution percentage of the organization
or federation or fund; and
(ii) the total amount of deductions the manager is
distributing.
(3) Example of the percentage method. This paragraph
illustrates the percentage method described in paragraph (2) of this
subsection.
(A) The following assumptions apply in this example.
(i) Organization 1, an eligible local charitable organization,
has a designated initial distribution amount of $5,000 and an undesignated
initial distribution amount of $1,250.
(ii) Organization 2, an eligible local charitable organization,
has a designated initial distribution amount of $3,000 and an undesignated
initial distribution amount of $750.
Cont'd... |
