Non-Facility Corporation Owned Facilities

Currently, if your facility corporation generates less than $25,000 in gross receipts, the IRS does not require a report to be filed. Starting in 2008, the IRS will enact new reporting requirements for all non-profits, regardless of income. If your corporation is part of Facility Corporation Services, we can file that report on your behalf.

Other benefits include:
  • We have exact new member information at Headquarters and are able to accurately bill the chapter the correct amount for facility fee payments. We do not rely on the VPF to mail a check for what she thinks the total should be. Money is received by the due date, and all penalties that are stated in the chapter/corporation agreement are enforced.
  • FCS has many internal controls, including a separation of duties and review procedures in place to ensure invoices will not be paid twice, even if the vendor sends it twice! FCS is audited on a yearly basis.
  • A Fraternity investment account is available to deposit savings account funds. These funds can be deposited or withdrawn at any time.

What we need from the facility corporation:
  • Signed FCS contract. This outlines what you can expect from us, as well as the term, pricing, and additional services.
  • Signed Power of Attorney/IRS Power of Attorney. This allows FCS to be able to discuss facility corporation matters in case board members are not available in time-sensitive situations.
  • FC board minutes approving the use of FCS and passing the board resolutions to change the fiscal year end to June 30th, and to change from a cash to an accrual basis of accounting.
  • A record of the closed local account and funds sent to FCS.
  • Most recent chapter/corporation agreement.
  • Most recent Form 990 tax return. Note: If your fiscal year ends within two months of signing up for FCS, your local accountants will be responsible for preparing that year's tax return.
  • Depreciation schedule.
  • Trial balance.

Additional information needed can be found in Schedule C of the Sample Service Contract.

What will you get from Facility Corporation Services?

A dedicated FCS staff member is always available to answer any questions about your facility corporation's account. We are committed to making your job as a volunteer less complicated and time-consuming! During the start-up process, we provide a few essential items:
  • Invoices will not be paid unless there is approval by the local facility corporation board. To help with this process, we provide a stamp for the treasurer to use to approve all expenditures. (If there is no treasurer on the board, any other member is able to approve invoices.)
  • We also provide a start-up package of self-addressed stamped envelopes to mail approved invoices!
  • FCS uses a unique set of account codes in our system. There is a place on the approval stamp for the board member to write in the correct account code for each invoice. If you are unsure of which code is the most appropriate, we are always here to help.

As part of the basic service package, FCS promises to:
  • Provide financial statements by the 20th of each month for the prior month's activity.
  • Provide budget assistance. Because we work with your account every day, we are able to create an accurate budget that will show total monthly expenditures. The facility corporation will provide information on major repairs or renovations planned during the budget process.




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