Chapter 5: Managing Troop Finances

Transcription

1 Chapter 5: Managing Troop Finances Helping girls earn and manage money is an integral part of the Girl Scout Leadership Experience. Your Girl Scout troop is responsible for planning and financing its own activities, with your guidance. This puts girls in charge, giving them the opportunity (with your oversight) to cooperatively set goals, manage a budget, spend responsibly, maintain records, earn social skills, and develop good marketing, entrepreneurial, math, and financial skills. Girl Scout troops are funded by a share of money earned through council sponsored product sale activities (such as Girl Scout Cookie sales), troop money earning activities (council approved, of course!), and any dues your troop may charge. (This is in addition to the $12 annual membership dues that go to the national organization.) This chapter gives you the ins and outs of establishing a group account, helping girls manage their troop finances, practice successful product sales techniques, review the safety requirements around product sales, and understand how to collaborate with sponsors and causes. Girl Scouts Heart of Central California publication Money Matters follows. Money Matters contains our council approved guidelines regarding money management and money earning for troops. Money Matters Definition of Terms Commercial Products Anything sold at retail. (GSUSA, Nov. 2000). Girls may not sell or endorse commercial products (i.e. girls cannot sell items such as candy bars, kitchen or makeup products as part of their money earning efforts). Donation The making of a gift; a free contribution. (Webster s Dictionary, 2002) An organization or corporation gives you something (often called a gift ) with nothing expected in return. Fund raising Techniques to appeal to the public to contribute funds to support the program and activities of the organization. Fund raising is the responsibility of adults. As part of the fund development plan for the council, board members, or other volunteers, work in partnership with staff to raise funds through grants, donations, campaigns and other types of funding avenues. Troop Money Earning Activities planned and carried out by girls and supported by adults, to earn money for the troop treasury. When girls create an activity plan that requires extra funds, they set a goal for money earning to cover these costs. Troops make a commitment to participate in the council sponsored Magazine/Nuts Sales and Cookie Program. If the funds required for the activity are greater than the profit from the two council sales, troops may implement other types of money earning opportunities (i.e. car wash, crafts sales, etc.). Sponsorship A voluntary partnership between a community organization, business, or an individual and a Girl Scout troop or council. (GSUSA) 76

2 Girl Scouts of the USA Standards Related To Money Earning And Troop Finances Activities Involving Money Girl Scout troops are financed by dues, money earning activities, and a share of money earned through councilsponsored product sale activities. Girl Scout Daisies may be involved in council sponsored product sale activities only, and not collect money in any other way except through troop dues or parental contributions. Council Sponsored Product Sale Activities Girls can participate in no more than two council sponsored product sale activities each year and only one of those may be a cookie sale. The percentage of money to be allocated to participating troops is determined by the council and explained to the girls and adults as part of the product sale activity orientation. Girl Scout Daisies may participate in council sponsored product sales in girl/adult partnership as a Girl Scout Leadership Experience. Council Fund Raising Fund raising or fund development to support the Girl Scout council is the responsibility of adults, and this responsibility should not be placed with the girls. Girls may provide support to these efforts through voluntary service. Selling Girl Scout cookies is not a fund raising activity. Fund Raising for Other Organizations Girl Scouts, in their Girl Scout capacities, may not solicit money for other organizations. Girl members may support other organizations through service projects or a donation from their group treasury. Girl Scouts Heart of Central California Financial Management Policies (troop related) Troop Financial Accounts All Girl Scout troops must deposit and disburse all troop funds through an account in a federally insured financial institution in the name of Girl Scouts Heart of Central California, Troop#. Signature Requirements Valid disbursement shall require two signatures for amounts over $ A minimum of three registered persons shall be authorized to sign on each troop account, at least two of whom must be service team or administrative volunteers. Only one person from the same family or household may sign on the troop account. Troop Financial Reports Troops shall prepare and submit to the service unit manager an annual report of all monies received and disbursed. Troop annual report information shall be forwarded to the council. Money Earning Projects A troop is normally limited to three money earning projects per year. These shall include the Girl Scout Cookie program and the Magazine and Nut Program. 77

3 Progression in Handling Troop/Group Finances Girl Scout Daisies Girls may pay dues; leader handles the money and keeps financial records. Girls learn to set goals and participate in council sponsored product program activities. Leader handles group budgeting and keeps financial records. Parents/guardians may decide they will contribute to the cost of activities. Girls can participate in Girl Scout Cookie sales and other council sponsored product program. Daisies are always paired with an adult when selling anything. Girls do the asking and deliver the product, but adults handle the money and keep the girls secure. Girl Scout Brownies Girls may pay dues; leader handles money and keeps records. Girls discuss cost of supplies needed for activities. Girls learn to set goals and participate in council sponsored product program activities. Leader handles group budgeting. Girl Scout Juniors Girls and leader decide on amount of dues. Dues may be collected and recorded by a girl who serves as troop treasurer. Girls budget for short term needs on the basis of plans and income from dues. Girls set goals and participate in council sponsored product program activities. Leader retains overall responsibility for long term budget and records. Girl Scout Cadettes, Seniors and Ambassadors Girls estimate costs based on plans; girls determine amount of dues and money earning projects. Girls grades 6 8 carry out short term plans in relation to budget and keep financial records under leader s direction. Girls grades 9 12 plan and administer long term group budget, account for funds, carry out moneyearning projects with advice from leader as needed. Girls set goals and participate in council sponsored product program activities. 78

4 Hosting a Girl Led Event If you re working with girls who want to host an event large or small be sure girls are leading the eventplanning, instead of sitting by passively while you or another adult plans the event. For an in depth training on planning events, adults may take an Event Planning class and girls in grades 7 and above may take Prepare 2B Ready class. To get girls started, ask them to think about the following questions: What sort of event do we have in mind? Who is our intended audience? Does the audience have to be invited, or can anyone come? What s our main topic or focus? What s our objective what do we hope to accomplish at the end of the day? Will one or more speakers need to be invited? If so, who? How do we find speakers? Where will the event take place? Is there a charge for this venue? Is the venue large enough to accommodate the audience? Do we have to obtain permission to use this venue? If so, from whom? Are there adequate facilities for the audience? If not, how much will extra portable toilets cost, and how many do we need? Is there adequate parking or a drop off point for girls? Do we need tables? chairs? podiums? microphones? speakers? What sort of entertainment will we provide? Will we provide refreshments? If so, what kinds? How many chaperones will we need? Who will we ask? What emergency care do we need to plan for? Is the event large enough that local police and fire departments need to be notified? Do we need to purchase additional insurance for non Girl Scouts? How will we advertise the event? What decorations will we use? Will we give away any keepsakes? Will we charge for the event? Who will set up the event? Who will clean up after the event? How will we determine whether the event was a success? Ideas for girl led events with family, friends, and community experts are also available in the journey adult guides! 79

5 Who Pays for Girl Scouting? The GIRL S FAMILY pays for: Annual national membership dues to GSUSA Troop dues Girl Scout books Uniform (optional) and insignia Transportation Fees for some troop outing, events, day and resident camp Family Partnership Contributions *The ADULT VOLUNTEER pays for: Annual national membership dues to GSUSA Girl Scout apparel (optional) Transportation (mileage) Adult education fees where applicable, such as classes or workshops which benefit the volunteer personally The GIRL SCOUT TROOP pays for/can provide: Troop activities out of the troop funds Additional insurance, if needed, for extended travel or other events Earned awards (if voted on by girls) Adult leadership education (if voted on by girls) Financial support of girls earning Girl Scout Bronze, Silver or Gold Awards Troop supplies and equipment The COUNCIL provides: Adult education courses Publications and other resources for troop leaders Website Liability insurance for adult while they are acting in the official capacity as a leader Council wide activities Staff to assist the leader and service team members Camping Sites The COMMUNITY can provide: Meeting places Activity/event facilities Financial support The NATIONAL ORGANIZATION (GSUSA) provides: Development of books, training materials and other support materials Basic accident insurance for every girl and adult member *As a Girl Scout volunteer you may be allowed a charitable tax deduction for your non reimbursed, out of pocket expenses that are directly connected with the performance of your service. Consult your accountant, tax preparer or the IRS. 80

6 Financial Assistance Girl Scouting is open to all girls and adults regardless of their ability to pay. To encourage participation, councils budget money to help girls and adults who need financial assistance in order to participate in Girl Scouting. Financial assistance should be applied for when all other sources of funding have been exhausted. Financial assistance forms, Request for Financial Assistance, Form #4420, can be obtained through your service unit, council offices, or the council website ( Form #4420A (Request for Financial Assistance Adult), ult.pdf Form #4420G (Request for Financial Assistance Girl), Guidelines for Financial Assistance Financial assistance for adults will only be granted to leaders, co leaders, troop treasurers, service team members, product program volunteers, troop first aider and troop camp certified adult. Financial assistance is based on need and the availability of funds. Financial assistance is non transferable and not redeemable for cash. Financial assistance for girls may be available for GSUSA annual membership dues, books, sashes, day camp, resident camp, destinations, and service unit or council sponsored program events. Financial assistance for adults serving in a leadership capacity or handling troop funds may be available for GSUSA annual membership dues, books, as well as some training and program event fees. 81

7 The Leader s Role in Overseeing Troop Funds Troop leaders are important role models from whom girls learn sound book keeping procedures, reliability, and the value of careful planning. A troop treasurer may be selected by the troop leaders to oversee the troop treasury. The Troop Treasurer position description Form #943 can be downloaded from the council website Troop funds are generated to help support program activities planned by girls. These funds may be obtained through troop dues, council sponsored product programs, special money earning projects or troop sponsorship. All funds are maintained in the troop treasury; adult leaders are responsible to the Girl Scout Heart of Central California board of directors for safeguarding all monies collected in the name of Girl Scouts. Troop Bank Accounts Troops must have their money in a federally insured financial institution in the name of Girl Scouts Heart of Central California, Troop #. The account address should be the address of the troop leader or treasurer. A minimum of three registered persons will need to be authorized to sign checks. Two of the authorized signers must be service team members. Valid disbursements over $ require two signatures. When asked for a Tax Identification number, use the following: Do not use your own Social Security number. Check with your service unit treasurer or membership director for your service unit s procedures on setting up troop bank accounts and which banks they recommend. While most banks or savings and loans charge a service fee for checking accounts, sometimes the manager can waive the fee. This arrangement should be made in person. If the bank requests an authorization letter, this can be provided by your membership director. The Bank Account Information Card needs to be submitted annually along with the troop registration. The troop may obtain an ATM card to be used for deposits and payments of less than $ Troops may have online access to view their account balances, view and download account transaction history, request copies of checks and statements, and make purchases for amounts under $ Guidelines for Money Handling Have more than one adult knowledgeable about the troop s money Monies are to be used only by the troop for troop activities Keep all deposit slips and receipts Blank checks should not be signed in advance Record checks carefully Deposit money promptly Keep detailed records of income and expenses records must be open to girls and parents Balance bank statements promptly Keep parents and girls informed about the troop s treasury Do not borrow troop money for any reason Complete and submit an Annual Troop Financial Report to designated council or service team member 82

8 Debt Recovery Procedure Girl Scouts Heart of Central California outsources the processing of bad checks to a legal recovery firm. Checks returned by the bank as NSF (non sufficient funds), account closed; refer to maker, etc. automatically go to this firm. The recovery service has full authority to contact the check writer for collection on the bad check and to charge collection fees as allowed under current state laws. Outstanding Debts Any person with an outstanding debt to Girl Scouts will not be eligible for appointment or reappointment to a volunteer position. Volunteers with debts that are not satisfied could be released from the volunteer position at the time that the debt is given to a collection agency. Future consideration for any volunteer position will be possible only after the debt is satisfied. 83

9 Sources of Troop Income Troop Dues Dues are collected from troop members on a regular basis to finance troop activities. The girls in the troop, with the assistance of leaders and family, decide how much they wish to collect as dues. Encourage girls to vote troop dues as low as possible, keeping in mind the goals they wish to reach. Help them learn to budget! Leaders and girls should review their budget regularly and make any needed changes. Keep the girls informed of their financial status throughout the year and at the end of the year when completing your annual troop financial report to the council. Troop leaders should be sensitive both to the needs of the group and to each girl s ability to pay dues. Magazine/Nuts Sale and Girl Scout Cookie Programs This program includes a magazine renewal and subscription program along with a nut and candy sale. Troops may participate in one or both aspects of the sale. The Magazine/Nuts Program is intended to be conducted primarily among Girl Scout families and friends. The Girl Scout Cookie Program order taking begins in January. Delivery and booth sales are in February and March. Girl Scout product program serve two functions: first and foremost to help girls develop a wide range of skills leadership, money management, decision making, planning, goal setting, teamwork, and many more. The second purpose is to generate income for Girl Scout troops and councils. An enthusiastic troop can earn a great deal of money by participating in product program. Adequate planning will ensure that this money is spent wisely on Girl Scout program and/or service projects. Product program earnings may be put to good use to: Register troop members for the following year Purchase troop supplies and awards Support a service project Go on field trips Attend council program events 84

10 Additional Money Earning Projects Money earning projects are special projects the troop develops to earn additional money for a specific major activity, not just to increase the troop s treasury. More guidelines and procedures for carrying out a moneyearning project are discussed in the section Troop Money Earning Projects on page 90. Participation in the council sponsored Magazine/Nuts Sale and Cookie Programs is required in order to conduct any additional money earning projects. Service unit approval is required for money earning projects. Recycling and garage sales are allowed for all troops as they are not considered money earning projects but are considered salvage. Donations and Sponsorships For information on requesting donations or seeking a troop sponsor, see Donation information page

11 Troop Budgeting Helping Girls Reach Their Financial Goals One of your opportunities as a volunteer is to facilitate girl led financial planning, which may include the following steps for the girls: 1. Set goals for money earning activities. What do girls hope to accomplish through this activity? In addition to earning money, what skills do they hope to build? What leadership opportunities present themselves? 2. Create a budget. Use a budget worksheet that includes both expenses (the cost of supplies, admission to events, travel, and so on) and available income (the troop s account balance, projected Cookie sale proceeds, and so on). 3. Determine how much the troop needs to earn. Subtract expenses from available income to determine how much money your troop needs to earn. 4. Make a plan. The troop can brainstorm and make decisions about its financial plans. Will cookie and other product sales if approached proactively and energetically earn enough money to meet the troop s goals? If not, which troop money earning activities might offset the difference in anticipated expense and anticipated income? Will more than one troop money earning activity be necessary to achieve the troop s financial goals? In this planning stage, engage the girls through the Girl Scout processes (girl led, learning by doing, and cooperative learning) and consider the value of any potential activity. Have them weigh feasibility, implementation, and safety factors. 5. Write it out. Once the troop has decided on its financial plan, describe it in writing. If the plan involves a troop money earning activity, fill out an application for approval from your council and submit it along with the budget worksheet the girls created. Remember: It s great for girls to have opportunities, like the Girl Scout Cookie sale, to earn funds that help them fulfill their goals as part of the Girl Scout Leadership Experience. As a volunteer, try to help girls balance the money earning they do with opportunities to enjoy other activities that have less emphasis on earning and spending money. Take action projects, for example, may not always require girls to spend a lot of money! A budget is a plan for spending money based on the amount of money you have to spend. Just as a budget is crucial to a smooth running household, a troop budget is crucial to a smooth running troop. Girls at any grade level can learn about budgeting and its benefits. Girl Scout troops should be self supporting as much as possible. If plans need to be changed because the troop can t afford it, leaders will have a good opportunity to help girls think of other ways to do the same thing or figure out what else we can do to accomplish the same purpose without tapping into the parent bank. The age, ability and experience of the girls will determine the amount of responsibility they can assume. The youngest Girl Scout can be informed about our troop treasury and can be given the opportunity to make choices. Keep in mind that a Girl Scout Daisy may participate in the Girl Scout Magazine/Nuts and Cookie Programs, and collect dues, but they may not participate in other money earning activities. Girls may be encouraged to designate a portion of their troop treasury to be used for annual membership dues for the members. 86

12 Fundamental Steps for Developing a Troop Budget 1. Brainstorm what the troop wants to do for the year, keeping in mind that troop funds must cover all needed activities and events. a. What does the troop want to do? b. What will cost money? 2. Discuss what things the troop will need money for besides activities. a. Pins, patches, recognitions b. Ceremonies c. Service Projects d. Thank you notes e. Parties f. Field Trips 3. Estimate costs and compute a grand total. 4. Discuss alternatives. a. What can the troop do that will not cost money? b. What can the troop do to save money or cut costs? c. Where will the money come from? d. Where will it be spent? e. What will the girls dues cover? f. Does the troop have any funds carried over from last year? 5. Decide on the amount of dues to be paid and how often. a. $1.00 to $3.00 per meeting are the preferred limits 6. Set goals for council sponsored product program. a. Magazine and Nuts Sale What is our goal? b. Cookie Program What is our goal? c. Will the troop earn enough from these programs to cover the anticipated expenses? d. If there will be a shortfall, reassess your plans. 87

13 Troop Money Guidelines Spending Troop Funds Troop funds may be used to pay for the following types of expenses: Pins, badges and patches Field trips and extended travel Materials for troop projects Service project materials Camping Any other expense directly related to troop activities Banking fees Snacks Being Fair Girls in re registering troops may vote to use troop funds for their annual GSUSA membership dues. In addition the girls may vote to use funds from their treasury to pay for: GSUSA membership dues for the leader or product program manager, Girl Scout publications (i.e. journeys, Girls Guide to Girl Scouting, song books, etc.), or small gifts for troop leaders. If the troop account is not capable of funding large scale activities such as camping or trips, ask parents of the troop members to donate the food or supplies or to lend camping equipment. Many parents already have many items needed and they would gladly share them with the troop. If you need a first aid kit, ask the parents to donate specific items for the kit. Their daughters directly benefit from these donations. Remember, once something becomes the property of the troop, it is now a Girl Scout item and should be kept with the troop things. It does not belong to individual girls or parents/guardians. Troop money should be used to equally benefit the troop as a whole, not individuals. Keeping records to show how much each girl or family earns or contributes is not appropriate. Girls should be taught that they all must do their best to help the troop earn enough money to do what they want to do. Girls should not be singled out for praise or blame for how much money they earn for the troop. Not all girls will perform or achieve equally. If a girl s parents/guardians do not give her permission to participate in every money earning opportunity, whether due to illness or other personal circumstances, the girl should not be penalized. Be very careful about saving money for activities several years away. In this mobile society, girls move frequently. If current troop program is hindered in order to save money for the future, these girls do not receive the full benefits of Girl Scouting now. On the other hand, it is entirely appropriate to save some money to be used to reregister the troop for the next year, and to carry the troop through the fall. Plan ahead for some of next year s activities with the girls so that any money held over has a purpose. This planning will help the girls stay excited about Girl Scouts. 88

14 Communicating with Parents Parents/guardians have a right to know what happens to troop money. Set up a kind of system (newsletter, financial report, regular parents meeting) to keep them informed about how troop money is being used. Troop financial records should be open for parental inspection at all times. Leaders should provide the parents with a copy of the Annual Troop Financial Report. Parent/guardians also need to know that money in the troop s treasury does not belong to individual girls. Troop money cannot be divided among the girls for personal use. If a girl drops out of the troop, she may not take money with her. Splitting or Disbanding Troops Troop funds may not be disbursed back to an individual girl member. The funds belong to the troop as a whole. If a troop disbands or splits, any remaining money in the treasury should be proportionally transferred to the troop(s) where any of the girls are placed. Example: Girl Scout Brownie Troop 111 has 35 girls and it splits into two smaller troops. Troop 111 retains 17 girls and new Troop 222 gets 18 girls. The original troop treasury had $350. Divide the $350 by the total number of girls to get the amount per girl. $ girls = $10 per girl. Thus, troop 111 retains $170 and Troop 222 receives $180. If some girls do not continue, their portion of the unused troop funds will be held within the service unit for one year. Form #656 Disbanding a Troop needs to be completed and submitted to the Service Unit Manager or Volunteer Membership Specialist. All Girl Scout items should be turned over to the service unit manager to be passed on to another Girl Scout troop. Exceptions include any items purchased by the leader personally, unless she has no need for these items and wants to pass them along. 89

15 Troop Money Earning Projects Troops should be financed by dues, money earning activities, and a share of money earned through councilsponsored product programs. Leaders should be aware that spending an inordinate amount of time on money earning projects for one expensive trip or event can prevent girls from having other educational and fun experiences. Girls don t join Girl Scouts to sell things! Troop activities for younger Girl Scouts should not normally require additional money earning projects beyond the council sponsored product sales. Participation in an approved and appropriate money earning project can be a rewarding experience for girls on a variety of levels. Planning and participating in money earning projects can give girls the opportunity to learn many skills, such as budgeting, goal setting, customer relations, good business practices, and public relations. Girl Scouts Heart of Central California requires that troops participate in the Magazine/Nuts Sale and Cookie Program in order to be eligible to participate in additional money earning activities. Before starting a moneyearning activity you must obtain written permission from your service unit manager (exceptions recycling drives and garage sales). Ask your service unit manager for an application for troop money earning. Projects with an anticipated profit of over $500 also require approval from your volunteer membership specialist. Guidelines for Troop Money Earning Participation in a money earning activity is voluntary. Income from troop money earning activities must never become the property of individual members either girls or adults. Money earning activities should not exceed what the troop needs to support its activities. Girl Scouts, in their role as Girl Scouts, may not raise or solicit money for other organizations. However, girls may contribute a portion of their troop treasury to organizations or projects they consider worthwhile if they have funds that are not needed for the activities during the year (for example, local or community service organizations, natural disasters, etc.). Recycling and garage sales are permitted for all troops as they are not considered money earning projects but are considered salvage. Sales to the public of homemade food or baked goods are permitted only at festival type events where the sponsoring organization has obtained the required food permits from the county health department and has purchased liability insurance. Food service at events that cater to only Girl Scouts or Girl Scout families is acceptable. It is inappropriate to do a money earning project which involves working for a business. Money earning activities should not compete with the Girl Scout Cookie Program or the Magazine/Nuts Sale. Any funds earned through group money earning activities remain with the troop even if a girl is unable to participate in a project or event for whatever reason. Funds acquired through money earning projects must be reported and accounted for in the troop s financial report. Appropriate Activities for Money Earning: Washing cars with adult supervision Window washing with adult supervision Raking leaves or other lawn work without power equipment Holding a garage sale 90

16 Recycling items Painting house numbers on curbs with adult supervision and home owner permission (observe local ordinances) Collecting trash after community events (be sure to wear protective gloves) Hosting an event such as a games or badge workshop, fair, etc. (event marketing should state that the event is a money earner and for what purpose) Running a concession stand at a Girl Scout event Holding a cookout, spaghetti feed, barbeque etc. for Girl Scout families Wrapping gifts Making and selling craft items Ushering or helping in other ways at special events in the community Sponsoring dances, talent shows, fashion shows, haunted houses or other forms of entertainment Group baby sitting with adult supervision (i.e. a service unit meeting, council function, or community organization s event or meeting) Putting on parties or story hours for children Hosting a face painting booth (follow health ordinances) Inappropriate Activities for Money Earning: Sales to the public of homemade baked goods or other food unless at a festival type event where the sponsoring organization has obtained the required food permits from the county health department and has purchased liability insurance. (Food service at events designed exclusively for Girl Scouts or their families is acceptable.) Product demonstration parties Raffles and drawings Games of chance Any activity or event that raises or solicits money for other organizations, including walkathons, telethons or similar activities Any money earning activity conducted on the internet, including e bay Fireworks sales Sales of commercial products Sales of items with the Girl Scout Service Mark without prior approval from Girl Scouts of the USA Solicitation of customers for a business (i.e. distributing flyers for a Girl Scout pizza night at a local restaurant) 91

17 Donations Troops Requesting Donations After determining the estimated expenses for a project, consider all sources of support. If you determine that the solicitation of donations is critical to your success, keep in mind that you must be able to clearly state the purpose of the project and how the donations will be used to benefit girls. Girl Scout troops must have permission from an authorized council representative before asking organizations, businesses, corporations, foundations, or individuals for financial or in kind gifts. When soliciting sponsorship, use Form # ).pdf The council can provide, upon request, a letter verifying that you are member of the Girl Scout organization. The council cannot provide blank official letterhead for written requests for donations, nor can the council write letters of request on your behalf. Remember that the council approaches businesses and civic organizations for major donations and support. To ensure your success and to avoid any conflict with council fund development activities, contact your volunteer management specialist to review those businesses or organizations you would like to solicit for donations. Acknowledging businesses or individuals for their donation to Girl Scouting should be done by the girls (preferably hand made cards and notes of thanks) and should not be dependent on the amount of funds received. It is also important to show the relationship is that of donor (the business or individual) and recipient (Girl Scouting), not as a collaboration between the business or individual and Girl Scouting for the sale or promotion of commercial products or services. Girls and Girl Scout Gold or Silver Award Projects or destinations When girls are planning Girl Scout Silver or Gold Award projects or applying for destinations that require funds beyond the troop/group treasury, they may develop proposals to request financial or in kind gifts from organizations or businesses. The council must approve proposals before individuals, businesses, corporations or foundations are approached. Girls and an adult must make the presentation to potential funders. Council cookie credits are another avenue for girls pursuing funding for destinations. Council cookie credits may also be applied toward national destination fees and for Girl Scout Silver and Gold Award project material expenses. Girls must follow council guidelines on how credits can be exchanged for needed materials or supplies. Tax Deductibility of Donations It is important to understand that the Internal Revenue Service (IRS) has established regulations that govern the tax deductibility of donations. While Girl Scouts Heart of Central California is a not for profit organization, donations to service units, troops, etc. may not be tax deductible. Girl Scouts should not speculate on the tax deductibility of donations. Potential donors should check with the IRS or their tax advisor on the possible tax deductibility of any donation. Donation acknowledgement letters on council letterhead are not issued for any donation that is not designated for the entire council. Donations given to individual troops or for award projects cannot be acknowledged by the council. 92

18 Troops/Groups Donating to Other Organizations Girl Scouts, in their role as Girl Scouts, may not raise or solicit money for other organizations. However, girls may contribute a portion of their troop treasury to organizations or projects they consider worthwhile if they have funds that are not needed for the activities during the year (for example, local or international community service organizations, environmental projects or the Girl Scout campership fund). Girls decide how their efforts will make the most impact that is, how much money to donate and to whom. Of course, the troop s donation depends on how much money is in the troop treasury. Employer Benefits/Matching Gifts Some employers offer matching gifts and volunteer service hours to their employees. Employers may match the employee s donations or give monetary gifts in proportion to employee volunteer hours to nonprofit organizations. Any donation from a foundation, corporation, employer, etc. in recognition of volunteer service hours will be considered a commemorative gift in honor of the Girl Scout volunteer who performed the hours of service. This contribution shall be made to the Girl Scouts Heart of Central California. Incorporated in the state and designated as a 501(c)(3) organization, the council is the only tax exempt entity. A list of forms pertaining to troop money management can be found on the council website 93

19 Understanding the Girl Scout Cookie Program Did you know that the Girl Scout Cookie Program is the largest girl led business in the country, with sales of more than $700 million per year for girls and their communities nationwide? That s right. The Girl Scout Cookie sale is the leading entrepreneurial program for girls: no university has produced as many female business owners as the Girl Scout Cookie Program has. If you have a moment, watch the latest Girl Scout What Can a Cookie Do? video for an inspiring look into just how powerful those treats and the girls who sell them can be. Council sponsored product sales are really the best way for girls to earn money to pursue their goals: the sales are beloved by the community and come with program, sales, and marketing materials and support that help girls run a great business. And they re an integral part of the GSLE. With every season of cookies, another generation of girls learns five important skills: Goal setting Decision making Money management People skills Business ethics And most of all, girls gain a tremendous amount of confidence. It s not easy to ask people to buy something you have to speak up, look them in the eye, and believe in what you re doing all skills that help a girl succeed now and throughout the rest of her life. A Sweet Tradition It has been more than 90 years since Girl Scouts began selling home baked cookies to raise money. The idea was so popular that, in 1936, Girl Scouts enlisted bakers to handle the growing demand! Two commercial bakers are currently licensed by Girl Scouts of the USA to produce Girl Scout Cookies Little Brownie Bakers and ABC/Interbake Foods and each council selects the baker of choice. Each baker gets to name its own cookies (which is why some cookies have two names) and gets to decide which flavors it will offer in a given year, besides the three mandatory flavors (Thin Mints, Do Si Dos /Peanut Butter Sandwich, and Trefoils/Shortbread). Up to eight varieties are offered each year, including three mandatory flavors: Thin Mints: Round dark chocolate mint flavored cookies. Peanut Butter Sandwich: Two oatmeal cookies with a layer of peanut butter sandwiched in between Shortbread: Shortbread cookies shaped like the Girl Scout trefoil 94

20 Other varieties have included: Caramel delites : Caramel, coconut, and chocolate doughnut shaped cookies Peanut Butter Patties : Round cookies with a layer of peanut butter that s covered in chocolate Thanks A Lot: Shortbread cookies with a layer of fudge on the bottom Lemonades: Shortbread cookies with lemon icing Mango Cremes: New! crunchy vanilla and coconut cookies feature a mango flavored creme filling Note that all cookies are kosher and have zero transfat per serving (at the minimum serving, based on FDA guidelines); several varieties are also nut free. Complete nutritional information and descriptions of each year s varieties are available online at Product Sales: Financial Literacy and the GSLE Selling Girl Scout Cookies and other products gives girls a chance to run a business and practice leadership skills they can use in their lives. Girls will enjoy all the benefits this important component of the GSLE has to offer: They ll engage in planning and goal setting (aiming to achieve their personal best), teamwork, marketing, money management (including the importance of saving for future needs), and the enduring skill of customer service. As girls grow, they will get to know their product (ingredients and calories, for example) and design innovative and creative marketing strategies and tools. Girls will also be encouraged to share with customers how product sales help their council and their community. Volunteers can help girls develop leadership skills while they engage in Girl Scout Cookie activities by using the Girl Scout processes of girl led, learning by doing, and cooperative learning. Girls can earn a Cookie Business badge each year, following requirements listed in The Girl s Guide to Girl Scouting. And as they participate in product sales, girls will: Discover a strong sense of self and gain practical life skills when they create personal goals, deliver presentations, and find ways to customize a marketing plan, for example. A girl can discover a lot about herself and her values as she makes decisions about money earning, customer management, and so on. Connect with their group members as they set group goals and develop a list of positions related to cookie activities such as accounting manager, event planner, public relations specialist, and graphic designer. Girls can learn about their communities as they meet families, mentors, and business owners who have worked in these roles. Girls can also use the Girl Scout Cookie Program as an opportunity to talk to customers about ways to improve the community or to solicit ideas for a local take action idea bank. Take action as they learn to map neighborhood business and other resources that can help them consider community service needs. Girls use product sale money to make a difference in their communities, whether through a take action project or a philanthropic donation. And don t forget: Money that goes to the council from product sales allows councils to take action by serving all Girl Scouts! Determining Who Can Participate All girl members (including Girl Scout Daisies) are eligible to participate in council sponsored product sales activities, under volunteer supervision. Our council provides learning opportunities on the procedures to follow during each sale. The council also establishes guidelines and procedures for conducting the sale and determines how the proceeds and recognition system will be managed. Knowing Where Proceeds Go Council cookie materials provide a breakdown of how the cookie crumbles. Share this information with girls and their parents/guardians! Proceeds resulting from product sales support program activities in fact, council sponsored product sales are a primary way in which the council funds itself. The percentage of money 95