[Chapter-delegates] ISOC's regional engagement

[Christian de Larrinaga]

Firstly I do think it is really important that ISOC has broad user buy
in and does so globally and that it can show that off. 

So the fact that other incomes are not growing sufficiently is a worry
that no doubt is being worked on. 

But does this US 501.3 c rule require that PIR have to only fund another US
based 501.3c or could the community form regional "ISOCs" with
charitable purposes and allow PIR to spread the load so to speak?

Also what is the funds flow today?

Is PIR funding ISOC that then funds the ISOC Foundation?
Or is PIR funding ISOC and separately the ISOC Foundation?

Lastly - One of the big improvements with what I would expect marketable
gains at ISOC in recent years has been the subject matter expertise that
ISOC has fostered internally.

Are these programs marketed to attract participant / beneficiary income
flows ?


C


Hank Nussbacher via Chapter-delegates <chapter-delegates at elists.isoc.org> writes:

> On 20/09/2023 14:52, vinton cerf via Chapter-delegates wrote:
>
> Based on:
> https://www.internetsociety.org/wp-content/uploads/2022/12/Internet-Society-Action-Plan-2023-EN.pdf
> *
>
> 73% of ISOC's budget comes from PIR.
>
> Regards,
> Hank
>
>  Olivier, et al,
>  to maintain 501(c)(3) status in the US (ie tax credit for donors to the organization), ISOC has to show broad
>  support from the public. The significant income from PIR operations cannot be fully transferred to ISOC
>  without overwhelming the requirement that 33 1/3 % of income to ISOC must come from "public" sources
>  which can include private and corporate donors. If ISOC receives more than 2/3 of its operating income from
>  PIR, it puts the public charity status of ISOC at risk. If not all of the net income of PIR can go to ISOC, it ends
>  up in a fund accumulating at PIR which can be spent only on other 501(c)(3) entities but not on ISOC because
>  of the public support statistics. There is another 10% threshold that can work temporarily (more details), but
>  this is not a permanent solution. The only solution is to raise more public funding. I think ISOC might find it
>  helpful to explain this in its web pages to dispel the misunderstanding that the .org/PIR income solves all
>  problems for ISOC.
>
>  Andrew, please correct me if I have misstated this. 
>
>  v
>
>  On Wed, Sep 20, 2023 at 5:50 AM Olivier MJ Crépin-Leblond via Chapter-delegates
>  <chapter-delegates at elists.isoc.org> wrote:
>
>  Dear Andrew,
>
>  On 15/09/2023 19:59, Andrew Sullivan via Chapter-delegates wrote:
>
>  Our income is not keeping up with our expenses and we have not been able to attract the level of
>  public support that we need to do, and there isn't anything else left to cut, so we had to make a
>  difficult decision about where to retrench.
>
>  Thank you for your explanatory note. Always sad to see people go. One thing that caught my eye was the
>  above sentence which contains some ambiguities. Would you please be so kind to flesh this out? I just do
>  not want to misinterpret the first part of the sentence relating to income and public support.
>
>  Kindest regards,
>
>  Olivier Crépin-Leblond
>  UK England Chapter
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-- 
Christian de Larrinaga