Who Pays for What? Please use the following guidelines to determine what funds should be used to pay for an approved Special Olympics Oregon expense.

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1 FINANCE The policies and procedures that follow have been implemented to enable the efficient processing of local program financial transactions, as well as, to meet government agency and auditing requirements. Every effort has been made to keep the processes as simple as possible while still satisfying the requirements of these external parties. General Information The following is general information that all local programs should keep in mind when working with Special Olympics Oregon funds. All funds and donations raised in the name of Special Olympics Oregon belong to Special Olympics Oregon, Inc. The only individuals authorized to raise funds using the name of Special Olympics, are those designated by Special Olympics Oregon and/or the LPC. The Finance Manager will complete needed forms on the LPC website, and then mail appropriate support material (receipts, invoices, etc.) to their Field Director. Each approved local program is authorized to use the Special Olympics Oregon name. When representing yourself, you must be represented as either "Special Olympics Oregon" or "Special Olympics Oregon - approved Local Program name. Special Olympics Oregon is a 501(c)(3) organization (not for profit). Your local program is part of that non-profit organization; it is not an organization of its own. All funds raised in the name of Special Olympics must be deposited directly into a US Bank branch (using deposit slips and check endorsement stamps provided by Special Olympics Oregon) in a timely manner. An individual or group may NOT operate a bank account for the purposes of depositing and withdrawing Special Olympics Oregon funds. All funds raised in the name of Special Olympics must be used only for budgeted and approved expenses related to training and competition expenses, or approved administrative and fundraising expenses. Local programs may only spend funds that are included in their approved budget. For spending not included in the budget, prior written approval of the Field Director is required. All supplies, equipment, uniforms, and other durable goods purchased with Special Olympics Oregon funds are the sole property of Special Olympics Oregon and must be accessible to Special Olympics Oregon staff, volunteers, and athletes upon request. LPCs and other volunteers may choose to either donate or request reimbursement of any approved Special Olympics Oregon -related expenses they may incur. Reimbursable or donated expenses should be reported within thirty (30) days of the occurrence of the expense. Charge accounts in the name of Special Olympics Oregon, Special Olympics or any local program name are prohibited. Reporting of financial transactions to the Special Olympics Oregon office must be made in a timely manner using the forms provided. Individuals who knowingly divert funds raised or received in the name of Special Olympics Oregon, Inc. or other SOOR Local Program name will be held legally responsible for full restitution and may be criminally prosecuted. Funds from Special Events are not to be kept for use as petty cash or for any other reason. Finance Forms and Procedures Special Olympics Oregon, Inc. maintains a central accounting system. All revenue must be deposited to the Local Program deposit account, via US Bank branches throughout the state. Special Olympics Oregon will provide one-on-one training that will enable the LPC, and Finance Manager to account for your local program finances efficiently and accurately through the LPC website. Review of Forms Donation Deposit Form To be used when your local program receives donations from individuals, memorial donations, business gifts, or donations from clubs and organizations. Special Event Deposit Form To be used for funds raised from an event sponsored by the local program, such as a raffle, auction or sport-athon. Receipts for cash donations should be available at your events where it is likely that a donor will request one. Incidental Special Olympics Oregon fundraising expenses (generally less than $100) may be reimbursed from the fundraising proceeds (cash only) if and only if an original receipt is available and the nature of the expense is indicated on the receipt. Any expense deducted from proceeds must be recorded on the Special Event Income Deposit form.

2 Cash Verification Form When receiving cash, at least two people (Special Olympics Oregon volunteers with Class A Volunteer Application forms on file) should be in possession of the cash throughout the entire process of collecting and counting the funds. This occurs most often at a special event. The Cash Verification Form must be completed, signed by two individuals who are not related to each other, and submitted to the Finance Manager. The Finance Manager will then attach the form to the Special Event Deposit Form. Cash Advance Request Form To be used when funds are needed in advance of an event. Most often, this is when a team is traveling to a competition and cash is needed for meals or incidentals. It is important to note that a local program is allowed only ONE cash advance at a time. Once the cash advance has been reconciled, a new request may be submitted as needed. The cash advance funds are to be used for the specific reason indicated on the form. It is not to be used as a petty cash fund. Advance Reconciliation Form To be used to reconcile a cash advance. This form must be completed before a new cash advance request will be approved. Payment Voucher Form To be used when your local program receives an invoice. Purchase Requisition Form To be used when the Special Olympics Oregon office will receive an invoice on behalf of your local program. This commonly occurs with hotel invoices and transportation invoices. Prepayment Request Form To be used when payment is required in advance of receiving goods or services. In-Kind Donation Form To be used to report receiving budget-relieving goods or services. Procedures for In-Kind Donations In-kind donations are non-cash contributions of goods or services for which no reimbursement will be made. The local program is free to accept an in-kind donation for an item that they would normally purchase for their program. Any item that they have not budgeted for, and/or would not normally purchase for their program needs to be approved by the Field Director before being accepted. The local program completes an In-Kind Donation Form, with the donor supplying the value amount. The local program may supply a receipt to the donor with the following examples in mind: Donations of goods A vendor donates a new piece of needed sports equipment to your local program. The Special Olympics Oregon inkind donation value is equal to the retail price of the item donated. If the donor states that the goods are worth $5,000 or more, the donor must submit an appraisal to support their claim. Donations of credit A vendor donates three gift certificates to your local program to be used at a raffle at a Special Event. The Special Olympics Oregon in-kind donation value is equal to the actual total value of the gift certificates. Donations of time A local professional band, which usually gets paid for performing, plays at a local program fundraising event free of charge. The Special Olympics Oregon in-kind donation value is equal to the standard fee or hourly rate that the performer usually would charge for the performance given. Contributions of time may be considered as valued inkind contributions if, and only if, the individual who donates the time normally gets paid to do the same task or services for which he or she is donating the time. Donation of service The owner of a local bowling alley donates the cost of one of every three games while Special Olympics Oregon athletes practice their bowling skills. The Special Olympics Oregon in-kind donation value is equal to the usual fee paid to play that one game. Thank You Letters Thank you letters should be written to all donors of in-kind goods/services. These letters often serve as a receipt to the donor for tax purposes. Templates of donation acknowledgement letters can be requested from your Field Director. Note: Donors may need to know that SOOR is a registered non-profit, charitable organization, as defined by Internal Revenue Service code 501(c)(3). Contributions made to Special Olympics Oregon are tax deductible in the amount of the total contribution less the value of any goods or services received in exchange. For example, if a donor gives $25.00 and receives a T-shirt valued at $7.50, the maximum tax-deductible amount would be $ If that same

3 donor gave $25.00 and received nothing in return, then the entire $25.00 would be tax deductible. If you have any questions about tax deductions and donations, talk to your Field Director. Who Pays for What? Please use the following guidelines to determine what funds should be used to pay for an approved Special Olympics Oregon expense. Special Olympics Oregon State Office Expenses The following expenses are incurred and paid for by the Special Olympics Oregon headquarters office and are not the expense of the local program. Expenses incurred in the presentation of State Games and regional competitions, including but not limited to: o Equipment and awards necessary for conducting the games o On-site meals for athletes and volunteers o Venue to venue transportation if required Coaches training (on-site costs) Expenses incurred for sending athletes/coaches to National and World Games Volunteer background screening Printing and distribution of statewide public education and training materials Organizational overhead costs including, but not limited to: o Special Olympics, Inc. accreditation fees o Liability insurance o Office overhead o Staffing expenses o Bank fees o Accounting and audit fees o Legal fees Training and travel expenses for the first season of a newly formed local program, as well as set up fees for local program phone and PO Box. Travel expenses for the second season of a newly formed local program Local Program Expenses The following expenses are paid by the local program, utilizing funds raised by the local program. Athlete training costs (generally related to facility rental) Athlete sports and safety equipment Athlete uniforms Coach shirts Meals en route to State Games and regional competitions Transportation to State Games and regional competitions Lodging at State Games and regional competitions (if required) Coaches training (meals en route, transportation and lodging) Equipment storage fees Local program administration expenses, including but not limited to: o Office supplies o Long distance and voic expense o Postage o PO box rental o Printing and copying o Volunteer meetings o Volunteer recognition o Pre-approved travel expenses to state program requested meetings o Business fees and membership fees Printing and distribution of local program-specific training and public education materials Local program fundraising expenses Notes If you are unsure of whether a particular expense is the responsibility of the state program office or the local program, please contact your Field Director for clarification. Local program budgets are compiled into a state program budget and submitted for approval to the Board of Directors on an annual basis.

4 Special Olympics Oregon is not and cannot be held responsible for reimbursement of unauthorized purchases charged on a Special Olympics Oregon vendor account. Persons making such unauthorized charges will be held legally responsible for payment. Local Program Procedures for Expenses Following are the ways in which local program volunteers can make purchases for their local program. Out-of-Pocket Purchases An LPC or other authorized volunteer may make out of pocket purchases for the local program. When making out-ofpocket purchases keep the following in mind: The purchase must be part of an approved budget. The purchase must be less than $100, or approved in advance by the Field Director. To be reimbursed for out of pocket expenses, receipts must be submitted to the Finance Manager, who will complete an LP Expense Reimbursement Form. Above must be submitted within 30 days of the occurrence of the expense. Invoices Sent Directly to the State Program Office Whenever possible, this is the preferred manner for paying local program expenses. Direct billing to the state program office is most common for large purchases (i.e. transportation or lodging costs) or when purchases are made with a vendor that services more than one local program. In this case, the Finance Manager must be notified, and he/she will complete a Purchase Requisition Form in order to specify how much of the total expense should be allocated to the local program. Invoices Sent to the Local Program The invoice should be submitted to the Finance Manager, who will complete a Payment Voucher Form. Cash Advance When a local program is traveling to a regional or State Games event, it is sometimes necessary to have cash on hand for meals or incidentals that cannot be invoiced. The Finance Manager submits a Cash Advance Request Form. Please allow at least 10 working days for processing. Notes Special Olympics Oregon auditors require original receipts for all purchases made using Special Olympics Oregon funds. When no formal receipt is offered, please request a signed, handwritten receipt describing the purchase. Only ONE active cash advance request is permitted for your local program. The advance must be reconciled before another advance will be approved. The Finance Manager must receive all receipts and any remaining cash within ten (10) days of the conclusion of the event, and submit the Advance Reconciliation Form. Any remaining funds must be deposited into a US Bank branch within three days of submitting the report. Though you ll likely be keeping copies of your paperwork, you need not keep it forever. Since the Special Olympics Oregon office receives originals of your invoices, etc., you need only keep copies for one year after the February audit. Budgets Local Program Management Teams are responsible for developing budgets for their local program, with the guidance of the LPC and the Field Director. This occurs in the Fall and covers the following calendar year. The budget must be approved by the Field Director. Budget forms are available on the LPC website, and the Field Director is available to assist. The following are guidelines for expenses that will be approved. Athlete Training Expenses Examples include sports facility fees, lift tickets, gym rental, etc. Expenses shall be limited to the coverage of reasonable and customary entrance/use charges and fees for sports facilities within the town, city or county where the local program is based. Travel expenses to facilities outside these limits for the purposes of athlete training must be pre-approved by the Field Director. Expenses shall be limited to the inclusion of Special Olympics Oregon registered athletes, coaches, and other volunteers whose assistance is required for maintaining compliance with accepted Special Olympics Oregon athlete-to-volunteer ratios.

5 Athlete Sports and Safety Equipment Expenses should be limited to the purchase or rental of reasonable and customary equipment necessary for participation in a Special Olympics Oregon sanctioned sport as defined by the National Governing Body for that sport. Rental equipment should be utilized whenever possible. Equipment purchased with Special Olympics Oregon funds remains the property of Special Olympics Oregon. Equipment that is considered personal equipment (i.e. swimsuit, baseball glove, athletic shoes) is the expense of the athlete, rather than the local program. Athlete Uniforms Uniforms include clothing that is necessary to participate in Special Olympics Oregon sanctioned events as defined by Special Olympics. Expenses shall be limited to reasonable and customary costs for Special Olympics Oregon acceptable uniforms. Equipment Storage Fees The cost of maintaining a storage unit for the sole purpose of storing local program sports and safety equipment is the responsibility of the local program. Expenses shall be limited to the reasonable and customary fee for storage space at a commercially-run storage facility. Invoices for this type of expense should be billed directly to the state program office. Prior approval must be received from the Field Director before entering into a contract for a storage site. Whenever possible, please request invoicing on an annual or semi-annual basis (as opposed to a monthly basis). Note: Property insurance is not required as Special Olympics Oregon carries insurance to cover any loss due to fire, flood, theft, etc. from storage units. Administration Expenses Examples include office supplies, long distance and voic expenses, postage, PO Box rental, printing and copying, volunteer meetings, volunteer recognition, pre-approved travel expenses to state program-requested meetings, business fees and membership fees. Expenses shall be limited to reasonable and customary charges for any item or service that are to be used solely for the set-up, operation, and maintenance of a Special Olympics Oregon local program. Special Olympics Oregon property should be clearly and appropriately labeled as such. Special Olympics Oregon will not pay for cell phone charges. Costs for a local program to own its own equipment (i.e., computers, fax machines, vans, etc.) will not be approved in a local program budget. Local Program Fundraising Costs incurred in the course of organizing and holding a fundraiser for the benefit of Special Olympics Oregon, Inc. is the responsibility of the local program. Examples include: the cost of merchandise or concession items to be sold, hired entertainment, building or facility fees, advertising fees, equipment rental, and general supplies to be used on site such as trash bags, paper products, markers, sales receipt pads, etc. Fundraising activities need to be pre-approved by your Field Director. Expenses should be limited to an amount of no more than 25% of the expected gross total of the proceeds. In the event that fundraising expenses will exceed this amount, consult your Field Director. Regional Competition Expenses Meals en route, travel and lodging expenses related to the regional competition will be the responsibility of the local program. All on-site expenses, including facility expenses, equipment, awards and most on-site meals will be paid for by the state program office. On-Site Meals On-site meals at regional competitions and State Games are provided at no charge to registered, participating delegates. Those not on the official roster (i.e. participating athletes and registered coaches) will not be provided with meals. Any expense incurred for on-site meals over and above what is provided, or expenses incurred because a local program chooses to purchase meals instead of taking advantage of meals provided on-site, will need to be preauthorized by your Field Director. Games Transportation Transportation to regional and state level competitions is the responsibility of the local program.

6 Transportation is limited to the inclusion of pre-registered, competing athletes, pre-registered, participating coaches and chaperones, and other pre-registered volunteers essential to the delegation. If a coach or chaperone is required to drive for the delegation, gas expenses may be reimbursed. Games Lodging All lodging expenses at regional competitions and State Games are the responsibility of the local program. Lodging expenses are limited to the inclusion of: pre-registered, competing athletes; pre-registered, participating coaches and chaperones; other pre-registered volunteers essential to the delegation. Coach Training Expenses The cost of training programs or sessions required for Special Olympics Oregon coach s certification or offered for the enhancement of coaching skills is provided by Special Olympics Oregon and the responsibility of the state program office. All on-site expenses, including meals, facility costs and materials will be paid for by the state program office. Meals en route, travel and lodging expenses (if required) related to this training will be the responsibility of the coach or local program. Special Olympics, Inc or Invitation Competitions Costs associated with attending and participating in National or World Games will be paid by Special Olympics Oregon for all registered athletes, coaches and assisting volunteers. These costs include transportation, meals, lodging, uniforms and sports equipment. Participants will provide their own spending money as appropriate Local programs are encouraged to participate in invitational competitions when possible. When finances permit, the local program may pay for transportation for one invitational per sport. Anything beyond that requires approval from the Field Director. Timesheets As a component of Special Olympics Oregon s financial statements, our auditors allow us to place a value on the donated services of qualified volunteers. These services must require specialized skills. These skills include those utilized by the: LPC Finance Manager Fundraising Manager Athlete Medicals Manager Sports Manager Communications Manager Volunteer Manager The valuation on our financial statements provide two distinct advantages. 1. They allow us to value in dollars on our financial statements the enormous contributions and dedication of a select group of volunteers. 2. They provide a more accurate representation of the expense of administrating and managing a local program. The above volunteers are asked to enter their monthly hours into a timesheet provided on the LPC website. The Field Director will provide instructions. Finance Information at a Glance The purchase of alcoholic beverages and/or tobacco products with Special Olympics Oregon funds is strictly prohibited. No local program will be allowed to incur expenses that were not budgeted without prior approval of the Field Director. All accounting is centralized. A local program may not have its own bank account. Petty cash is prohibited in the local program. All supplies, equipment, uniforms, and other durable goods purchased with Special Olympics Oregon, Inc. funds are the sole property of Special Olympics Oregon and must be accessible to Special Olympics Oregon staff, volunteers or athletes upon request. Charge accounts in the name of Special Olympics Oregon, Inc., Special Olympics or any local program are prohibited. Special Olympics Oregon is not and cannot be held responsible for reimbursement of unauthorized charge account purchases. Persons making such unauthorized charges will be held fully responsible for payment. Funds raised in the name of Special Olympics may be spent on training, competition and approved fundraising expenses only.