(1) No charitable organization may contract with a commercial fund-raiser for any fund-raising service or activity unless its contract requires that both parties comply with the law and permits officers of the charity reasonable access to: (a) The fund-raisers' financial records relating to that charitable organization; (b) the fund-raisers' operations including without limitation the right to be present during any telephone solicitation; and (c) the names of all of the fund-raisers' employees or staff who are conducting fund-raising or charitable solicitations on behalf of the charitable organization. In addition, the contract shall specify the amount of raised funds that the charitable organization will receive or the method of computing that amount, the amount of compensation of the commercial fund-raiser or the method of computing that amount, and whether the compensation is fixed or contingent.
(2) Before a charitable organization may contract with a commercial fund-raiser for any fund-raising service or activity, the charitable organization and commercial fund-raiser shall complete and file a registration form with the secretary. The registration shall be filed by the charitable organization in the form prescribed by the secretary. The registration shall contain, but not be limited to, the following information:
(a) The name and registration number of the commercial fund-raiser;
(b) The name of the surety or sureties issuing the bond required by RCW 19.09.190, the aggregate amount of such bond or bonds, the bond number(s), original effective date(s), and termination date(s);
(c) The name and registration number of the charitable organization;
(d) The name of the representative of the commercial fund-raiser who will be responsible for the conduct of the fund-raising;
(e) The type(s) of service(s) to be provided by the commercial fund-raiser;
(f) The dates such service(s) will begin and end;
(g) The terms of the agreement between the charitable organization and commercial fund-raiser relating to:
(i) Amount or percentages of amounts to inure to the charitable organization;
(ii) Limitations placed on the maximum amount to be raised by the fund-raiser, if the amount to inure to the charitable organization is not stated as a percentage of the amount raised;
(iii) Costs of fund-raising that will be the responsibility of the charitable organization, regardless of whether paid as a direct expense, deducted from the amounts disbursed, or otherwise; and
(iv) The manner in which contributions received directly by the charitable organization, not the result of services provided by the commercial fund-raiser, will be identified and used in computing the fee owed to the commercial fund-raiser; and
(h) The names of any entity to which more than ten percent of the total anticipated fund-raising cost is to be paid, and whether any principal officer or owner of the commercial fund-raiser or relative by blood or marriage thereof is an owner or officer of any such entity.
(3) A correct copy of the contract shall be filed with the secretary before the commencement of any campaign.
(4) The registration form shall be submitted with a nonrefundable filing fee established in RCW 19.09.062 and shall be signed by an owner or principal officer of the commercial fund-raiser and the president, treasurer, or comparable officer of the charitable organization.
[2010 1st sp.s. c 29 § 14; 2007 c 471 § 7; 1993 c 471 § 7; 1986 c 230 § 10.]
Notes: Intent -- 2010 1st sp.s. c 29: See note following RCW 23B.01.530.