Sanctioning Overview

Oklahoma School law requires that all money raised for student programs be controlled by the Stillwater Public Schools (the “District”). There is an exception for organizations sanctioned by the Board of Education (the “Board”). If an organization is approved for sanctioning as detailed in Stillwater Public School’s Policies and Procedures, CFBB and CFBB-P, the organization may control its own funds, exempt from the statutory controls over student activity funds as set forth in the Oklahoma School Code, Okla. Stat. Tit. 70, §5-129.

Stillwater Public Schools Sanctioning Policies

Stillwater Public Schools Policy CFBB, Sanctioning of Parent Organizations, Booster Clubs, and Associations, details the criteria to be used in determining if an organization will be recognized (sanctioned) by the Stillwater Board of Education as a viable booster club or parent organization. Policy CFBB-P further details the initial and annual application procedures and Policy CFBB-E is the application for sanctioning. The board expects Sanctioned organization officers and the school faculty/sponsor to be familiar with these policies and procedures.

Sanctioning is granted on an annual basis, but may be withdrawn at any time by the Board if it believes it is in the best interest of the District to do so. The decision by the Board whether to grant or deny sanctioning is final and non-appealable. All applications must be received in the business office prior to September 1 of each year and sanctioning of organizations will typically occur at the September board meeting of each year. Initial sanctioning may be requested by an organization at any board meeting.

A sanctioned organization is not an authorized agent or arm of the District, but a separate and apart legal entity. As such, the organization is responsible for complying with all federal and state laws, including, but not limited to, taxation (income and sales tax) and federal Title IX compliance (as determined and coordinated by the District). The organization should obtain its own tax identification number from the IRS. This can be done by completing IRS Form SS-4 on-line at http://www.irs.gov, by phone at 1-800-829-4933, by fax at 1-859-669-5760 or by mail. The organization may not use the District’s tax identification number or an individual’s social security number.

A sanctioned organization is on its own both financially and with regard to personal liability. The sanctioned organization cannot insinuate that it is representing the District and cannot obligate or attempt to obligate the District. In any business dealings, vendors should be aware that they are doing business with the sanctioned organization and not the District. As a result of this distinction, school district employees cannot have their name on a booster bank account, write checks, or use a bank card. It is recommended that a surety bond cover the treasurer and any officers or members with access to the money. The surety bond should be for the amount the organization will raise during the year. If an organization’s treasurer or another member mishandles money, the District cannot provide any legal assistance or financial relief. The organization should adopt internal controls to mitigate its risk of financial loss. Guidelines for internal control procedures in a small organization are provided at the end of this document. If an officer or member of a booster club suspects mishandling of money they should address it immediately with booster officers and membership. This should also be reported the school district who may investigate and/or require an audit of the booster organization.