Important Member Survey Please Complete and Return Immediately

IMPORTANT MEMBER SURVEY – PLEASE COMPLETE AND RETURN IMMEDIATELY

Grand Knight Notes:

Brothers,

First, I want to thank all of you for your prayers, hard work and support to further the Kingdom of God through volunteerism in the Knights of Columbus and our Parishes. We have had a busy year with lots to report. As you know, the building was sold last May. We earned about $75,000.00 which is now in the general account. With no building, we have reduced our expenses to ¼ of what they were which means more can go to charitable programs.

Without YOU, we could not have accomplished these activities:

• That Man is You – Monday morning Men’s Group – Terry Retzke
• Usher at Holy Hill Masses every October
• Monthly Rosary Devotions – Terry Retzke and Deacon Dick
• Ozaukee County Fair Food Booth Revenue – Estimate $7,800.00 (increase from previous yr $6k) with tips of $292.73 to Honor Flight.
• SFB Bingo – Joe Willbrandt and team
• LifeSavers For Life raised nearly $874.88 for Women’s Support Center & Women’s Care Center
• Tootsie Roll Drive for Ozaukee County Special Olympics and Portal Industries $3k
• Keep Christ in Christmas signs will be sold at Grafton Christmas Parade. Come to Cornerstone to get your sign!
• St. John Bosco Youth Day $250.00
• Multiply the Harvest $200 in memory of Past Grand Knight Frank Messa
• SFB Building Campaign $200 in memory of Past Grand Knight Roger Gall
• Green Bay Packer Tickets earning over $300
• Capuchins Warm Winter Drive -- House of Peace and St. Ben’s $500.00 each
• To SFB $500 for bus going to March For Life in Washington DC
• $100 to State KC Fund to Support Special Olympics 2018 Fund
• $500 to Knights of Columbus Charities to provide relief to persecuted Christians in Iraq & Syria
• Sentiments for Seminarians Collection
• Holy Land Trip with Catholic Travel Feb 2015

Upcoming Focus and Concerns:

• New Membership. We need a minimum of 6 new members before June. Ask a friend!
• 1st Degree Hosted by our Council Jan 12
• ANNUAL DUES AND FRATERNAL SURVEY to be mailed
• Survey for disbursement of building funds and Member Interest Survey. See attached.
• No December Meeting due to Advent
• 4th DEGREE January 17 in Burlington
• January Christmas Party Social Event date TBD
• February – Clergy Appreciation Dinner date TBD
• New Council Website is under construction:

SURVEY: With the intent of discussion at a future meeting, followed by a vote at the 2nd subsequent meeting, please complete and return by mail the survey below regarding the manner in which the $90k plus in funds acquired through the sale of our property will be distributed.In keeping with K of C guidelines, I am including text from Supremeall should read and understand. Distribution of funds to charity must follow the guidelines of our Order and the beneficiaries must operate under Catholic values.

State and Supreme Service Categories (Supreme KC in Bold):

CommunityChurchVocationsCulture of LifeYouth

PLEASE PLACE AN (X) next to your preference. Minimum one per category and mail back to K of C PO Box 341 Cedarburg, WI 53012

Special Olympics (State local and national) / K of C Charity Fund
State and Supreme / Wheelchairs
Ultrasound Initiative (2 needed in Waukesha Dist 65) / Food for Families / MARCH FOR LIFE
Habitat for Humanity – 2 new homes in Grafton 2015 / *Coats For Kids / RSVP –Vocations
Tanya – Carmelites
St. John Bosco Youth Day / Youth Athletic Ministries / *Food For Families
Women’s Support Center of Milw / Women’s Care Center / Los Toros Mission
St. Joseph and SFB Schools and Bldg Funds / Uganda Missions / Youth Programs (Workcamper’s) CYO
Contribute to Adult and Youth Formation Materials / Word on Fire Materials for new church member packets. / St. Vincent De Paul
KC materials – How to say Rosary, Confession, 1st Communion, Reconciliation, Confirmation / Memorials for deceased members / Emergency hardship fund for Knights
Relevant Radio ads for new membership / *House of Peace / *St. Ben’s Food Prog.

Suggestions______

Ideally, we have enough and should impact all of these areas of need. We have need for two ultrasound machines at two Pregnancy Centers in Waukesha already approved by Bishop Hying. Two new homes will be built in 2015 by Habitat in Grafton and there are plenty of people in need of food and clothing. I believe we could impact many with Wheelchairs for our parishes, nursing homes or Honor Flights. Special Olympics locally we have parishioner Kevin Szydel who has coached for 30 years. Local Councils are supporting Tanya a young women who is called to the Carmelites. We can impact our Parish building funds, youth and formation programs and Relevant Radio is being supported by all WI Councils per Resolution at the State Convention.

Knights of Columbus Charitable Giving Accountability Standards

To foster public confidence in the Order’s charitable programs, promote transparency and accountability, encourage fair and honest solicitation practices at all levels of the organization, maximize the effectiveness of donations, and promote ethical conduct, it is important that all Knights of Columbus entities, including related charitable corporations established by state councils, follow best practices when soliciting and receiving money for charitable purposes.

As a fraternal benefit society, the Knights of Columbus, including all of its subordinate councils, is exempt from federal taxation under Section 501(c)(8) of the Internal Revenue Code. However, council officers should make clear that donations to any council are NOT deductible by the donor on his or her federal income tax return. Donors may only claim a tax deduction for contributions to charitable corporations that are tax exempt under Section 501(c)(3) of the Internal Revenue Code.

The officers and directors of any Knights of Columbus organization that solicits and receives money for charitable purposes should ensure that the organization observes the following best practices that are based on standards for charitable accountability established by the Better Business Bureau Wise Giving Alliance and the American Institute of Philanthropy:

1.Provide adequate oversight of the organization’s operation and staff through regular appraisals, evidence of disbursement controls, establishment of a conflict of interest policy and accounting procedures to safeguard charity finances.

2.Dedicate at least 75% of the total amount collected to the cause for which the funds were raised.

3.Spend no more than $25 to raise $100 in public support.

4.Maintain an “open book” status for disclosure of basic financial information and documents. Financial statements should include a breakdown of expenses (e.g., salaries, travel, postage, etc.) that shows what portion of these expenses was allocated to program, fund raising, and administrative activities.

5.Avoid transactions in which any director, officer, or staff member has a material conflict of interest with the organization. “Material conflict of interest”means not only personal financial gain in conflict with the duties owed to the organization by its directors, officers, or staff members, but also conflicts arising from a director, officer, or staff member’s interest in or duty to another organization or person. In general, directors, officers and staff members shall not seek to profit personally from their affiliations with the organization or favor the interests of themselves, relatives, friends, supporters, or other organizations over the interests of the organization, or bring their personal interests into conflict or competition with the interests of the organization.

6.Disclose clearly how the organization benefits from the sale of products or services.

7.Adhere to all applicable local, state and federal laws, and regulations, including reporting of financial information.

8.Respond promptly to and act on complaints brought to the organization’s attention about fund raising practices, privacy policy violations, or other issues.

9.Disburse as quickly as possible funds received from annual fund raising programs and avoid accumulating funds that could be used for current program activities.

10.Limit the amount of unrestricted assets available for future use to three times the size of the past year’s expenses or three times the size of the current year’s budget, whichever is higher, where total funds raised are not needed in a given year. As an example, a state council charitable fund that conducts an annual appeal and does not disburse all the funds raised within a year following the appeal should disburse those unused funds during the next subsequent year. An exception may occur when a multi-year fund drive is held for a specific cause with an established end date.

Rev. August 2013

Guidelines For Charitable Donations

Members frequently have questions regarding the morality of contributing to a particular charitable organization. The Knights of Columbus does not maintain a list of charitable organizations that have been screened and approved for contributions by councils. A Knights of Columbus council should consider contributing to organizations that have a mission that is consistent with the principles of the Order and the tenets of the Catholic faith, including but not limited to the following:

(1) Established Knights of Columbus programs and partnerships, (e.g., American Wheelchair Mission, Special Olympics, Habitat for Humanity, Coats for Kids, United in Charities, RSVP and Vocations Programs, Ultrasound Initiative, Scouting, Catholic school scholarships, etc.);

(2) Supreme Council charitable funds (e.g., Culture of Life Fund, United in Charity), which support many worthwhile causes and good organizations;

(3) The Catholic Church and related organizations, (e.g., Catholic charities, Catholic hospitals, Bishops’ appeals, diocesan charities, local parish fundraisers, seminarian support, pro-life activities, food pantries, soup kitchens, St. Vincent DePaul Society, mission societies, etc.); and

(4) Other national, regional, or local causes or organizations that have been traditionally associated with the ideals and mission of the Knights of Columbus (e.g., veterans’ organizations, patriotic organizations, local disaster relief, etc.).

In sum,the choice of a charity is a prudential judgment that is generally left to the sound discretion of the members of the council. Members should exercise due diligence before contributing funds to or partnering with any organization. Specifically, members should verify that the organization’s identity and mission do not conflict with the teaching of the Catholic Church. For this reason,the Knights of Columbus strongly recommends that members consult with the bishop of their diocese or other competent authorities (such as the National Catholic Bioethics Center regarding any questions of conscience.

Rev. May 2013

Disbursement of Council and Assembly Funds

The procedure for disbursement of funds in excess of $500 from the treasury of a council or an assembly is set forth at Section 122(b) of the Laws of the Knights of Columbus and Section 24(k)(2) of the Laws and Rules Governing the Fourth Degree. Any such disbursement requires the approval of two-thirds of the members present at a regular business meeting held after a regular meeting at which notice was provided, in writing, of a resolution of intention to make such a disbursement.

A council or assembly may make disbursements of amounts of $500 or less upon the vote of only a simple majority of the members present at a regular business meeting and no advance notice is required.

Section 122(b) applies only to funds that are held in the Treasury of a council or assembly. To the extent that a council or assembly raises funds for a specific cause or a recognized charity (e.g., Special Olympics), the council or assembly may, by a simple majority vote, direct that the funds collected be paid directly to the selected charity or recipient. This vote may be prospective, for funds to be collected in the future, or retrospective, for funds already collected.
Finally, it should be noted that a Grand Knight and a Faithful Navigator may disburse council or assembly funds only with the consent of the members.

Rev. April 2011

Investments

The charitable mission of the Knights of Columbus encourages subordinate units to raise money to donate to worthy causes. This mission also calls our members to become personally involved in the fund-raising and charitable activities. Establishing a large investment portfolio to generate passive income tends to undermine this aspect of our mission.It is important to remember that the Knights of Columbus has a well-earned reputation forgiving volunteer hours and money to worthy causes, not holding funds in investmentaccounts.

​The Knights of Columbus encourages members to become personally involved in fund-raising and charitable activities by recommending that a cap be placed on the amount of accumulated funds that a subordinate unit may hold. The Supreme Council strongly advises subordinate units not to maintain total accumulated funds in excess of $10,000, except in certain special circumstances.Numerous problems frequently arise when total accumulated general funds (non-earmarked) exceed $10,000. For example:

• Investing and managing funds frequently causes discord and dissension among members who may disagree about investment decisions.
•Conflicts of interestfrequently arise when members in the investment business seek to manage the funds.
• The accumulation of large sums of money may lead members to handle those funds unwisely, notwithstanding their good intentions.

State councils, local councils, assemblies, and chapters of the Knights of Columbus are authorized to receive funds into their general account in the course of their ordinary fraternal and charitable activities. To the extent that these funds are not immediately disbursed for necessary expenses and charitable donations, they may be held in other bank accounts and in certain other investment vehicles. However,subordinate units should never invest or hold funds in brokerage accounts, stocks, annuities, mutual funds (other than money market mutual funds), or bonds or in other forms such as gold, silver or platinum. The Supreme Council does not advise, encourage, recommend, or permit any of its subordinate units to invest or hold funds in any type of account other than the following:

• ordinary short term certificates of deposit
• simple savings accounts
• simple checking accounts
• simple money market accounts
• money market mutual funds

For example,subordinate units may choose to place funds in excess of $10,000 in a short-term certificate of deposit while waiting to disburse funds for an intended purpose.It is also acceptable for a subordinate unit to hold excess funds in a certificate of deposit as a reserve to cover a known expense or liability that is coming due in the future. The funds should be held under the name and Tax Identification Number of the subordinate unit and only the officers identified in the bylaws are to have signature authority over the account. The financial officers and trustees are responsible to keep the members informed of where the funds are deposited. A program or committee chairman may never comingle Knights of Columbus funds with personal funds.
Subordinate units should not create charitable trusts with the expectation of distributing the income generated by a large principal. These types of trusts pose several challenges, including:

• long-term commitment by members to invest and manage the principal
• risk that successor trustees may not honor the original intention of the trust
• If the trust is formed as a separate entity, which is usually the case, the trust would have separate tax filing obligations
• substantial legal obligations

Rather than forming charitable trusts, subordinate units should consider other ways to distribute their funds, including:

• state council charitable foundations
• local Catholic schools
• other local faith-based organizations

If a subordinate unit determines that it has an unusual circumstance that requires it to accumulate or invest funds in a way that is inconsistent with the policy set forth in this memorandum, the Grand Knight or Faithful Navigator should firstconsult with the State Advocatewho will then forward any request for permission to hold excess funds from the Supreme Advocate.

​Any individual member who expresses an interest in making a donation to an organization that promotes faith-based initiatives should be encouraged to give to his State Council’s foundation or to the Supreme Council’s United in Charity program. These donations are tax deductible, unlike donations to a council, which are not.