I have one private school that has a PTA. They do purchase and donate items to this school as it does fall within their mission.
Another concern I would have in keeping these items you property is a few things-
You have to include these items as assets for your organization. Showing it's net worth as higher.
By donating these larger items to the school, it would not be the PTOs responsibility should something happen to them. Upkeep and repairs would then become the responsibility of the school itself and you do not want to saddle a new board with the possible costs of repair to an item they may have had nothing to do with.
It has been my understanding that as a not for profit organization, we have no need to depreciate our assets.
The principles of depreciation are no different between for profit and not for profit organizations--as a not for profit, you should still be depreciating your assets. Not sure why anyone would have told you otherwise.
we cannot legally donate anything to a for profit entity
Again, not sure where this understanding is coming from. Generally speaking, how you spend or disburse your money or other assets is determined by your organization's mission or bylaws. If you're set up to support the school, and in the course of doing that you in some way give money to the school for things, giving them a piano isn't much different. Does giving them the piano somehow fit into your group's mission?
Why does the school want you to give this stuff to them?
Ok - we are a not for profit organization that works with a for profit school. We have assets which we enable the students to utilize such as books in the Library, a grand piano as well as other musical instruments. The president of the for profit private school, is trying to get us to depreciate our assets and then "give" them to his for profit school. It has been my understanding that as a not for profit organization, we have no need to depreciate our assets, and furthermore, we cannot leagally donate anything to a for profit entity. Anyone know here I can get more info regardig this sticky situation? Has anyone else had their not for profit PTO working with a private for profit school? The issues keep cropping up -- and I realize as the new president of the pto -- we need advice. Thanks in advance!
