Department of the Treasury Internal Revenue Service
Public Charity Status and Public Support
Complete if the organization is a section 501(c)(3) organization or a section
4947(a)(1) nonexempt charitable trust.
Attach to Form 990 or Form 990-EZ. See separate instructions.
OMB No. 1545-0047
2010
Open to Public Inspection
Name of the organization
THE SOCIETY FOR ART IN CRAFTS
Employer identification number
25-1375646
Part I
Reason for Public Charity Status
(All organizations must complete this part.) See instructions
The organization is not a private foundation because it is: (For lines 1 through 11, check only one box.)
1
2
3
4
5
section 170(b)(1)(A)(iv). (Complete Part II.)
6
7
8
9
receipts from activities related to its exempt functions—subject to certain exceptions, and (2) no more than 331/3% of
its support from gross investment income and unrelated business taxable income (less section 511 tax) from businesses
acquired by the organization after June 30, 1975. See section 509(a)(2). (Complete Part III.)
10
11
e
By checking this box, I certify that the organization is not controlled directly or indirectly by one or more disqualified persons other than foundation managers and other than one or more publicly supported organizations described in section 509(a)(1) or section 509(a)(2).
f
If the organization received a written determination from the IRS that it is a Type I, Type II or Type III supporting organization, check this box
..................................................
g
Since August 17, 2006, has the organization accepted any gift or contribution from any of the following persons?
(i) a person who directly or indirectly controls, either alone or together with persons described in (ii)
Yes
No
and (iii) below, the governing body of the the supported organization?
................
11g(i)
(ii)
a family member of a person described in (i) above?
......................
11g(ii)
(iii)
a 35% controlled entity of a person described in (i) or (ii) above?
................
11g(iii)
h
Provide the following information about the supported organization(s).
(i) Name of supported organization
(ii) EIN
(iii) Type of organization (described on lines 1- 9 above or IRC section (see instructions))
(iv) Is the organization in col. (i) listed in your governing document?
(v) Did you notify the organization in col. (i) of your support?
(vi) Is the organization in col. (i) organized in the U.S.?
(vii) Amount of support?
Yes
No
Yes
No
Yes
No
Total
For Paperwork Reduction Act Notice, see the Instructions for Form 990.
Cat. No. 11285F
Schedule A (Form 990 or 990-EZ) 2010
Schedule A (Form 990 or 990-EZ) 2010
Page 2
Part II
Support Schedule for Organizations Described in IRC 170(b)(1)(A)(iv) and 170(b)(1)(A)(vi) (Complete only if you checked the box on line 5, 7, or 8 of Part I or if the
organization failed to qualify under Part III. If the organization fails to
qualify under the tests listed below, please complete Part III.)
Section A. Public Support
Calendar year(or fiscal year beginning in)
(a) 2006
(b) 2007
(c) 2008
(d) 2009
(e) 2010
(f) Total
1
Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") ....
2
Tax revenues levied for the organization's benefit and either paid to or expended on its behalf.......
3
The value of services or facilities furnished by a governmental unit to the organization without charge..
4
Total. Add lines 1 through 3..
5
The portion of total contributions by each person (other than a governmental unit or publicly supported organization) included
on line 1 that exceeds 2% of the amount shown on line 11, column (f)..
6
Public Support. Subtract line 5 from line 4.
Section B. Total Support
Calendar year(or fiscal year beginning in)
(a) 2006
(b) 2007
(c) 2008
(d) 2009
(e) 2010
(f) Total
7
Amounts from line 4..
8
Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources..
9
Net income from unrelated business activities, whether or not the business is regularly carried on..
10
Other income. (Explain in Part IV.) Do not include gain or loss from the sale of capital assets..
11
Total support (Add lines 7 through 10).
12
Gross receipts from related activities, etc. (See instructions.)
..................
12
13
First Five Years
If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a 501(c)(3) organization,
check this box and stop here..........................................
Section C. Computation of Public Support Percentage
14
Public Support Percentage for 2010 (line 6 column (f) divided by line 11 column (f))
.........
14
15
Public Support Percentage for 2009 Schedule A, Part II, line 14
...............
15
16a
33 1/3% support test—2010.
If the organization did not check the box on line 13, and line 14 is 33 1/3% or more, check this box
and stop here. The organization qualifies as a publicly supported organization
......................
b
33 1/3% support test—2009.
If the organization did not check the box on line 13 or 16a, and line 15 is 33 1/3% or more, check this
box and stop here. The organization qualifies as a publicly supported organization
.....................
17a
10%-facts-and-circumstances test—2010.
If the organization did not check a box on line 13, 16a, or 16b and line 14
is 10% or more, and if the organization meets the "facts and circumstances" test, check this box and stop here. Explain
in Part IV how the organization meets the "facts and circumstances" test. The organization qualifies as a publicly supported
organization
..................................................
b
10%-facts-and-circumstances test—2009.
If the organization did not check a box on line 13, 16a, 16b, or 17a and line
15 is 10% or more, and if the organization meets the "facts and circumstances" test, check this box and stop here.
Explain in Part IV how the organization meets the "facts and circumstances" test. The organization qualifies as a publicly supported organization
..............................................
18
Private Foundation
If the organization did not check a box on line 13, 16a, 16b, 17a or 17b, check this box and see
instructions
...................................................
Schedule A (Form 990 or 990-EZ) 2010
Schedule A (Form 990 or 990-EZ) 2010
Page 3
Part III
Support Schedule for Organizations Described in IRC 509(a)(2) (Complete only if you checked the box on line 9 of Part I or if the organization
failed to qualify under Part II. If the organization fails to qualify under
the tests listed below, please complete Part II.)
Section A. Public Support
Calendar year(or fiscal year beginning in)
(a) 2006
(b) 2007
(c) 2008
(d) 2009
(e) 2010
(f) Total
1
Gifts, grants, contributions, and membership fees received. (Do not include any "unusual grants.") .
323,526
651,756
304,893
460,402
522,303
2,262,880
2
Gross receipts from admissions, merchandise sold or services performed, or facilities furnished in any activity that is related to the organization's tax-exempt purpose......
221,413
277,645
209,627
222,138
230,082
1,160,905
3
Gross receipts from activities that are not an unrelated trade or business under section 513..
4
Tax revenues levied for the organization's benefit and either paid to or expended on its behalf...
5
The value of services or facilities furnished by a governmental unit to the organization without charge..
6
Total. Add lines 1 through 5.
544,939
929,401
514,520
682,540
752,385
3,423,785
7a
Amounts included on lines 1, 2, and 3 received from disqualified persons...
158,585
518,000
128,217
263,300
353,047
1,421,149
b
Amounts included on lines 2 and 3 received from other than disqualified persons that exceed the greater of $5,000 or 1% of the amount on line 13 for the year.
0
c
Add lines 7a and 7b..
158,585
518,000
128,217
263,300
353,047
1,421,149
8
Public Support (Subtract line 7c from line 6.)
2,002,636
Section B. Total Support
Calendar year (or fiscal year beginning in)
(a) 2006
(b) 2007
(c) 2008
(d) 2009
(e) 2010
(f) Total
9
Amounts from line 6...
544,939
929,401
514,520
682,540
752,385
3,423,785
10a
Gross income from interest, dividends, payments received on securities loans, rents, royalties and income from similar sources..
6,449
3,512
1,452
1,209
743
13,365
b
Unrelated business taxable income (less section 511 taxes) from businesses acquired after June 30, 1975.
c
Add lines 10a and 10b.
6,449
3,512
1,452
1,209
743
13,365
11
Net income from unrelated business activities not included in line 10b, whether or not the business is regularly carried on.
12
Other income. Do not include gain or loss from the sale of capital assets (Explain in Part IV.)
98,086
89,416
69,630
91,469
90,036
438,637
13
Total support (Add lines 9, 10c, 11 and 12.).
649,474
1,022,329
585,602
775,218
843,164
3,875,787
14
First Five Years
If the Form 990 is for the organization's first, second, third, fourth, or fifth tax year as a 501(c)(3) organization,
check this box and stop here.............................................
Section C. Computation of Public Support Percentage
15
Public Support Percentage for 2010 (line 8 column (f) divided by line 13 column (f))
.........
15
51.670 %
16
Public support percentage from 2009 Schedule A, Part III, line 15
...............
16
55.250 %
Section D. Computation of Investment Income Percentage
17
Investment income percentage for 2010 (line 10c column (f) divided by line 13 column (f))
......
17
0.340 %
18
Investment income percentage from 2009 Schedule A, Part III, line 17
.............
18
0.600 %
19a
33 1/3% support tests—2010.
If the organization did not check the box on line 14, and line 15 is more than 33 1/3% and line 17 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization
..........
b
33 1/3% support tests—2009.
If the organization did not check a box on line 14 or line 19a, and line 16 is more than 33 1/3% and line 18 is not more than 33 1/3%, check this box and stop here. The organization qualifies as a publicly supported organization
....
20
Private Foundation
If the organization did not check a box on line 14, 19a or 19b, check this box and see instructions
.....
Schedule A (Form 990 or 990-EZ) 2010
Schedule A (Form 990 or 990-EZ) 2010
Page 4
Part IV
Supplemental Information.
Supplemental Information. Complete this part to provide the explanation required by Part II, line 10; Part II, line 17a or 17b; or Part III, line 12. Also complete this part for any additional information. (See instructions).
Facts And Circumstances Test
Explanation
Schedule A (Form 990 or 990-EZ) 2010
Additional Data
Software ID:
Software Version:
-
TIN:
SCHEDULE O (Form 990 or 990-EZ)
Department of the Treasury Internal Revenue Service
Supplemental Information to Form 990 or 990-EZ
Complete to provide information for responses to specific questions on
Form 990 or to provide any additional information.
Attach to Form 990 or 990-EZ.
OMB No. 1545-0047
2010
Open to Public Inspection
Name of the organization
THE SOCIETY FOR ART IN CRAFTS
Employer identification number
25-1375646
Identifier
Return Reference
Explanation
FORM 990, PART VI, SECTION A, LINE 4
IN ITS NOVEMBER 16, 2010 REGULAR MEETING, THE BOARD OF DIRECTORS ("BOARD") OF THE CORPORATION ENACTED THE FOLLOWING SIGNIFICANT CHANGES TO THE CORPORATION'S BYLAWS: ARTICLE I: THE CORPORATION IS NOW PERMITTED TO DO BUSINESS AS "CONTEMPORARY CRAFT" (IN ADDITION TO THE ALREADY PERMITTED "THE SOCIETY FOR CONTEMPORARY CRAFT"). ARTICLE II: THE CORPORATION'S MISSION STATEMENT WAS DELETED FROM THE BYLAWS. ARTICLE IV, SECTION 9: A DIRECTOR MAY BE REMOVED FROM THE BOARD BY A VOTE OF TWO-THIRDS OF THE DIRECTORS PRESENT AT ANY APPROPRIATELY NOTICED BOARD MEETING. (FORMERLY, THE BYLAWS PROVIDED THAT ANY DIRECTOR ABSENT FROM THREE CONSECUTIVE BOARD MEETINGS WITHOUT APPROPRIATE NOTICE COULD BE REMOVED BY A BOARD MAJORITY VOTE AT ANY APPROPRIATELY NOTICED BOARD MEETING.) ARTICLE V, SECTION 2: THE FOLLOWING SENTENCE WAS ELIMINATED: "NO OFFICER MAY SUCCEED HIMSELF OR HERSELF IN THE SAME POSITION, ALTHOUGH THE BOARD MAY EXTEND THE PRESIDENT'S TERM BY ONE YEAR, ONE TIME, UNDER SPECIAL CIRCUMSTANCES DETERMINED BY THE BOARD." IT WAS REPLACED WITH THE FOLLOWING SENTENCE: "THE BOARD MAY EXTEND THE CHAIR'S TERM BY UP TO TWO YEARS, A SINGLE TIME, SO LONG AS THE CHAIR'S TENURE AS A DIRECTOR DOES NOT EXCEED EIGHT CONSECUTIVE YEARS UNDER ARTICLE IV, SECTION 3." (THE TITLE OF PRESIDENT WAS AMENDED TO BE "CHAIR" ELSEWHERE IN THE BYLAWS, ALTHOUGH THE CORPORATION DOES NOT VIEW THE TITLE CHANGE AS SIGNIFICANT.) ARTICLE VI, SECTION 1: THE CHAIR HAS BEEN GIVEN AUTHORITY TO APPOINT OTHER DIRECTORS TO THE EXECUTIVE COMMITTEE. ARTICLE VI, SECTION 2: THE FOLLOWING PROVISION WAS DELETED: "THE EXECUTIVE COMMITTEE SHALL HAVE AND MAY EXERCISE ALL THE POWERS OF THE BOARD BETWEEN MEETINGS OF THE BOARD. THE EXECUTIVE COMMITTEE SHALL ALSO SERVE AS A DIRECT CONDUIT FOR THE AUDITORS TO COMMUNICATE WITH THE PERSONS OVERSEEING THE GOVERNANCE OF SCC IN ACCORDANCE WITH STATEMENT OF AUDITING STANDARDS 114 (SAS 114)." ARTICLE VII, SECTION 1: THE "BOARD EXCELLENCE" AND "NOMINATIONS" COMMITTEES OF THE BOARD HAVE BEEN ELIMINATED. THE REMAINING/NEWLY CREATED BOARD COMMITTEES ARE AS FOLLOWS, WITH THE DUTIES AS DESCRIBED BELOW: A. GOVERNANCE- THIS COMMITTEE (A) IS RESPONSIBLE FOR DIRECTOR RECRUITMENT, ORIENTATION, AND SUCCESSION PLANNING, (B) SHALL PRESENT NOMINATIONS OF DIRECTORS CONSISTENT WITH THE CORPORATIONS NEEDS, AND OFFICERS FOR ELECTION, AT THE ANNUAL MEETING AND AS APPROPRIATE THROUGHOUT THE YEAR, (C) SHALL REVIEW BOARD STRUCTURE AND THE BOARD EVALUATION PROCESS AND MAKE RECOMMENDATIONS AS APPROPRIATE TO THE EXECUTIVE COMMITTEE AND THE BOARD, AND (D) SHALL BE COMPRISED OF AT LEAST FOUR DIRECTORS, AS WELL AS THE BOARD CHAIR AND EXECUTIVE DIRECTOR AS EX OFFICIO MEMBERS. B. DEVELOPMENT- THIS COMMITTEE IS RESPONSIBLE FOR ASSISTING THE BOARD AND THE CORPORATION'S STAFF IN PLANNING, IMPLEMENTING AND EVALUATING THE CORPORATION'S DEVELOPMENT (FUNDRAISING) PROGRAM. C. FINANCE- THIS COMMITTEE IS RESPONSIBLE FOR FINANCIAL OVERSIGHT, INCLUDING ASSURANCE OF THE DESIGN AND IMPLEMENTATION OF ESSENTIAL SAFEGUARDS AND PROCEDURES TO PROTECT THE CORPORATION'S ASSETS AND MAXIMIZE ITS FINANCIAL EFFICIENCY. THE TREASURER SHALL SERVE ON THIS COMMITTEE. D. AUDIT- THIS COMMITTEE IS RESPONSIBLE FOR CONSIDERING MATTERS RELATED TO (A) THE FINANCIAL STATEMENTS AND OTHER FINANCIAL REPORTING OF THE CORPORATION, (B) THE SYSTEMS OF INTERNAL CONTROLS, INCLUDING OVERSEEING COMPLIANCE BY MANAGEMENT WITH APPLICABLE POLICIES AND PROCEDURES, AND (C) THE ANNUAL INDEPENDENT AUDIT PROCESS. ARTICLE VII, SECTION 3: A PROVISION WAS ADDED TO STATE THAT THE BOARD CHAIR SHALL SERVE EX OFFICIO ON ALL BOARD COMMITTEES. ARTICLE VIII, SECTION 1: THIS BYLAWS PROVISION HAS BEEN MODIFIED TO STATE: THE SLATE OF DIRECTORS AND OFFICERS NOMINATED BY THE GOVERNANCE COMMITTEE SHALL BE VOTED UPON AT THE ANNUAL MEETING. DIRECTORS MAY PRESENT DIRECTOR AND OFFICER NOMINATIONS TO THE GOVERNANCE COMMITTEE UP UNTIL TWO MONTHS IN ADVANCE OF THE ANNUAL MEETING. DIRECTORS AND OFFICERS NOMINATED BY THE GOVERNANCE COMMITTEE FOR ELECTION AT OTHER THAN THE ANNUAL MEETING SHALL BE VOTED UPON AT THE NEXT BOARD MEETING OR BY MAIL, E-MAIL OR OTHER DOCUMENTED MEDIA APPROVED BY THE EXECUTIVE COMMITTEE IF SOONER ACTION IS REQUIRED. IF THE ACTION IS TAKEN BY MEANS OTHER THAN AN IN-PERSON MEETING, THE EXECUTIVE COMMITTEE SHALL CONFIRM THE RESULTS OF THE ELECTION AND REPORT THEM PROMPTLY TO THE FULL BOARD. DIRECTOR AND OFFICER NOMINEES SHALL BE INCLUDED IN A WRITTEN NOTICE PROVIDED TO THE DIRECTORS ALONG WITH THE WRITTEN NOTICE OF THE MEETING AT WHICH SUCH NOMINATIONS ARE TO BE CONSIDERED. ARTICLE IX, SECTION 3: THE FOLLOWING PROVISION WAS DELETED: "IT SHALL BE THE DUTY OF ALL OFFICERS AND STANDING COMMITTEE CHAIRS TO TURN OVER ALL RECORDS, DOCUMENTS AND PAPERS TO THEIR SUCCESSORS AT THE END OF THEIR TERM." ARTICLE IX, SECTION 4: THIS PROVISION WAS AMENDED TO ALLOW THE BOARD TO DETERMINE THE MINIMUM AMOUNT OF CORPORATION EXPENDITURES WHICH SHALL REQUIRE TWO SIGNATURES ON CORPORATION CHECKS. (FORMERLY, THE AMOUNT HAD BEEN ANY SUM ABOVE $1,500.) ARTICLE XI: THE TWO-THIRDS BOARD VOTE REQUIREMENT WHICH IS NECESSARY TO AMEND THE BYLAWS WAS ALTERED TO ADD THE FOLLOWING PROVISION: "IF THERE ARE ENOUGH DIRECTORS PRESENT AT THE MEETING TO CONSTITUTE A QUORUM, BUT NOT ENOUGH TO OBTAIN A DECIDING VOTE BY TWO-THIRDS OF THE BOARD, THE QUORUM MAY DECIDE BY MAJORITY VOTE TO OBTAIN THE VOTES OF THE ABSENT DIRECTORS BY MAIL, E-MAIL OR OTHER DOCUMENTED MEDIA APPROVED BY THE EXECUTIVE COMMITTEE." ARTICLE XIV, SECTION 2: THE FOLLOWING PROVISION WAS ADDED: "ANY TRANSACTION EFFECTING A FUNDAMENTAL CHANGE IN THE CORPORATION'S STRUCTURE, OR WHICH INVOLVES A TRANSFER OF OWNERSHIP OR CONTROL OF ALL OR SUBSTANTIALLY ALL OF THE CORPORATION'S ASSETS, SHALL BE APPROVED BY AN AFFIRMATIVE VOTE OF TWO-THIRDS OF THE BOARD AT AN APPROPRIATELY NOTICED BOARD MEETING, AND SHALL BE SUBJECT TO ANY REVIEW REQUIRED BY THE PENNSYLVANIA ATTORNEY GENERAL."
FORM 990, PART VI, SECTION B, LINE 11
PRIOR TO FILING THE FORM 990 WITH THE IRS, SCC'S EXECUTIVE DIRECTOR, DIRECTOR OF FINANCE AND THE FINANCE AND AUDIT COMMITTEES OF THE BOARD OF DIRECTORS RECEIVED A COPY OF SCC'S FORM 990. EACH INDIVIDUAL REVIEWED THE FORM (INCLUDING SCHEDULES) AND SUBMITTED QUESTIONS OR COMMENTS TO MANAGEMENT AS DEEMED NECESSARY. QUESTIONS AND COMMENTS WERE RESOLVED APPROPRIATELY TO THE SATISFACTION OF THE EXECUTIVE DIRECTOR, DIRECTOR OF FINANCE AND THE COMMITTEES. THE FORM 990 (INCLUDING SCHEDULES) WAS THEN APPROVED BY THE FINANCE AND AUDIT COMMITTEES. FINALLY THE FORM 990 IS PROVIDED TO THE WHOLE BOARD PRIOR TO FILING THE FORM 990 WITH THE IRS.
FORM 990, PART VI, SECTION B, LINE 12C
EACH BOARD MEMBER RECEIVES A COPY OF THE CONFLICT OF INTEREST POLICY, SIGNS A COPY AND IS GIVEN A COPY. THEY ARE EXPECTED TO REPORT ANY CONFLICTS AS THEY ARISE DURING THEIR TENURE.
FORM 990, PART VI, SECTION C, LINE 19
AVAILABLE UPON REQUEST.
FORM 990, PART XII, LINE 2D
SCC'S FINANCE COMMITTEE IS RESPONSIBLE FOR OVERSIGHT OF THE AUDIT AND REVIEW OF THE FINANCIAL STATEMENTS.
For Paperwork Reduction Act Notice, see the Instructions for Form 990 or 990-EZ.