Guidelines For Partnership*
Ayala Foundation USA (AF-USA) is open to forging fundraising partnerships with legitimate, non-profit, Philippine organizations implementing projects that are worthy of public support by donors in the United States. Fundraising partners are those that have gone through AF-USA’s Eligibility Application and Approval Process. Eligibility means being able to receive grants and donations from US-based donors through AF-USA, as well as doing active fundraising in the U.S. together with AF-USA for the organization’s identified project. Nonetheless, grantees or fundraising partners should take note that donors are only allowed to make recommendations concerning donations. AF-USA has the exclusive right and direct control with regards to the recipients or usage of funds.
AF-USA only accepts non-government and non-profit groups and institutions doing social development projects with direct impact on the country’s areas of greatest needs. Ayala Foundation USA only welcomes applications from organizations that have been granted Donee Status by the Philippine Council for NGO Certification (PCNC). Nevertheless, AF-USA will still verify further with the Securities and Exchange Commission (SEC) the legitimacy of the applicant organization.
Organizations that may apply for the AF-USA Eligibility and Approval Process are as follows :
1) |
Schools, Colleges and Universities or its Foundations and Alumnae Associations |
2) |
Private Charities and Non-profit Foundations |
3) |
Non-Government Social Development Groups |
4) |
Community Foundations |
5) |
Corporate Foundations |
6) |
Charity Hospitals and Clinics |
Requirements for Partnership
AF-USA requires the applying organization to fill up a Grant Eligibility Application Form. The completed form should be submitted to the AF-USA Philippine Office along with the following documents:
1) |
Charter of Articles of Incorportation |
2) |
Organizational By-Laws |
3) |
SEC Registration Certificate |
4) |
BIR Registration Certificate and sample of Official Receipt |
5) |
List of Current Board Members |
6) |
Audited Financial Statement for the past 2 years |
7) |
Complete Project Proposal |
8) |
PCNC Certificate |
Approval Process
The AF-USA Board approves or disapproves eligibility during quarterly meetings (i.e. January, April, July and October). Applications must be submitted no later than a month before these scheduled meetings to provide time for the first stages of screening. Approval or disapproval shall depend largely on the legitimacy of the organization and project, the completeness of the documentary requirements, as well as the quality of the project proposal submitted.
Applications are evaluated on the basis of the following criteria:
1) |
Legal personality of the applying organization |
2) |
Track record on project implementation and fundraising |
3) |
Track record and credibility of the people behind the organization (e.g. board members, officers and staff) |
4) |
Financial management capability based on financial statements and other documents |
Project Proposals, on the other hand, are assessed based on the following factors:
1) |
Responsiveness of the project to the needs of the target groups |
2) |
Soundness of the implementation plan |
3) |
Cost-effectiveness of the project |
Notification for eligibility approval shall be given to applicants within one (1) week after the AF-USA board meeting. The partnership between the organization and AF-USA takes effect immediately after a confirmation of receipt of notice.
The Applicant will be charged P1,000.00 (approximately $20.00) to cover expense for the whole application process. Payment shall be made to Ayala Foundation USA as soon as application is submitted. This cost applies to applications received after June 1, 2006.
Partnership Benefits
Being an AF-USA Philippine Partner essentially means a joint fundraising effort between AF-USA and the organization in targeting Filipinos in the U.S. Upon receiving notification of AF-USA Board approval, the Philippine partner can begin implementing a campaign that may yield direct monetary contributions to projects or causes they are undertaking. These efforts may come in the form of letter writing, sending out information and promotional materials, conducting road shows in the U.S. and all other forms of campaigns in accordance with previously forged agreements with AF-USA.
Partner organizations may direct or instruct donors to channel their donations to AF-USA in order to get their tax deductibility incentives. AF-USA allows donors to recommend a specific recipient for their donations. However, this should not be construed as a donor-mandated form of restriction or exclusivity. AF-USA exercises full control and direction over all types of donations. Nonetheless, it places substantial consideration to the partner’s effort at fund–sourcing, as well as the donor’s recommendations.
AF-USA provides the following services to all its partner organizations:
1) |
Media exposure through the AF-USA monthly e-bulletin, weekly press releases and an opportunity to be featured in AF-USA’s media partner outlets in the U.S. Philippine partners are expected to submit articles and pictures of their projects to AF-USA at least one (1) month before desired publication. This service is offered on a first-come-first-serve basis. |
2) |
Web-based visibility via the AF-USA website. A link is provided to the partner’s website to ensure that potential donors will have access to all information related to the project and the organization. Partners are advised to update their organizational profiles as the need arises in order to keep the information posted as current as possible. |
3) |
Technical assistance aimed at helping the partner groups develop their own communication and fundraising plan. This is essentially a session geared towards creating effective campaign messages that would encourage a positive response from potential donors. |
4) |
Capability-building assistance to selected partners, which may include some financial support to help the organization in implementing a communication and fundraising plan. AF-USA reserves the right to select the groups deemed ready for this assistance. |
Donation Release Process
Upon receiving a donation, AF-USA sends to the donor an official receipt and an acknowledgement letter, which are documents needed to claim the donor’s tax incentives.
After receiving confirmation of the donation, AF-USA will notify the recipient organization in the Philippines. Release of the donation to the organization should take no more than 30 days of processing.
As a general rule, AF-USA releases the check to the recipient organization in U.S. Dollars. AF-USA will also allow grant releases through other modes like demand drafts or bank transfers, provided that the organization will shoulder any additional costs the transaction may incur on top of the 3% service fee of AF-USA.
Partner recipients are advised to pick up the check at the AF-USA office in the Philippines. A letter addressed to the organization, which includes the amount of the donation and a reminder on the recipient’s reportorial responsibility, will be attached to the check representing the grant awarded. Conforme on the letter should be signed by the organization’s head, with a copy provided for the AF-USA file.
Requirements for Partner recipients
Partner recipients are required to submit quarterly and end of year report (for grants exceeding $1,000) and terminal reports to AF-USA. Highlights of these reports will be sent to the donors via AF-USA’s Annual Report and semi-annual newsletters. In cases where donors particularly request for direct communication from the recipient, as specified in their donation form, partners will be asked to send reports or thank you letters to them. However, it should be noted that this arrangement would not, in any way, change the organization’s reportorial requirements to AF-USA.
*revised as of October 2007 |
