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City Council Legal Review Committee <br />Meeting Minutes <br />December 17, 2015 <br />Page 3 of 3 <br />Loo and Lipton concurred. <br />DRAFT POLICY FOR 501c3 ORGANIZATIONS AFFILIATED WITH THE CITY <br />Members discussed concerns about the 501 c3s associated with the City <br />including using City money or the perception of using City funds for advocacy, <br />liability concerns as the City's liability protection does not extend to the 501s, and <br />reputational liability for the City because if something bad were to happen the <br />City would likely be tarnished even if there was no City involvement. <br />Loo asked if the 501 s really need that designation to fund raise. Muth stated the <br />City can accept funds for the 501 s and the City can give receipts to donors for <br />tax purposes. That option has been given some of the 501 s but they have <br />chosen not to go that route. Some of the 501s use their status to apply for grants <br />that are only given to such entities. The LCC in particular was formed as a 501 to <br />apply for SCFD funding. <br />In looking at the draft policy, Loo stated she wanted a complete ban on advocacy <br />from the 501s rather than just advocacy with City funds. <br />Leh noted that if liability is the only concern, the City can simply require them <br />each have insurance. <br />Light noted that what will be needed a clear scope of work for each City board <br />and how that scope of work for the members of the board differs from the 501 <br />scope of work. <br />Staff will bring back additional information at the March meeting. <br />LAWSUIT SETTLEMENTS /LITIGATION UPDATES <br />None <br />NEXT MEETING DATE AND POTENTIAL DISCUSSION ITEMS <br />The next meeting will be March 17 at 4 PM. At this time the only item scheduled <br />is the draft policy for 501c3s affiliated with the City <br />ADJOURN <br />The meeting adjourned at 5:55 PM. <br />4 <br />