US Army Installation Management Agency
PRIVATE ORGANIZATION REFERENCE GUIDE
Summary. This Reference Guide provides a
compilation of the major rules, policies and procedures
relating to the Private Organization Program at
installations within the US Army Installation
Management Agency, Southeast Region. It is meant to
assist the garrison staff to promulgate the Private
Organization Program. Due to the complexity of the
Private Organization Program, the information in this
Reference Guide is not all-inclusive; commanders,
supervisors, and staff associated with the Private
Organization Program are encouraged to contact their
Staff Judge Advocates or Ethics Counselors when
issues concerning private organizations arise to ensure
they are acting properly.
Suggested Improvements. The proponent of this
Reference Guide is the Southeast Regional Office
(SERO) Morale, Welfare, and Recreation (MWR)
Division. Users are invited to send comments and
suggested improvements to the US Army Installation
Management Agency, Southeast Region,
SFIM-SE-MW, 1593 Hardee Avenue, SW,
Fort McPherson, GA 30330-1057.
Chapter 1 - Introduction
1-1 Introduction……...………………………… 2
1-2 References…………………………………. 2
1-3 Restriction on Guidance ………………….. 2
1-4 Responsibilities …………………………... 3
1-5 General Principles………………………… 4
Chapter 2 –Requirements to Achieve Approval to
Operate on an Installation
2-1 Approval Process ………………………… 4
2-2 Application Review ……………………… 4
2-3 Reporting Requirements …………………. 5
2-4 Revalidation ……………………………… 5
2-5 Termination of Operations ……………….. 6
TABLE OF CONTENT
S
Chapter 3 – Policies
3-1 Funding for Private Organizations …………. 6
3-2 Use of Government Resources……………… 6
3-3 Fundraising ………………………...………. 6
3-4 Commercial Sponsorship ………...………… 7
3-5 Donations to Private Organizations ………… 8
3-6 Use of DOD Component and Installation
Names ……………………………………… 8
3-7 Prohibition on the Use of DOD Component
Seals, Logos, and Insignias ………………… 8
3-8 Compliance with Regulations and Laws …... 8
3-9 Taxes ………………………………………. 9
3-10 Insurance …………………………………… 9
3-11 Abandoned Property ………………….……. 9
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3-12 Alcoholic Beverages …………….………… 9
3-13 Audits ………………………………………
9
3-14 Constitution and Bylaws ………………….. 10
3-15 Meeting Minutes ………………………….. 10
3-16 Financial Reports …………………………. 10
3-17 Employment Practices ……………………. 10
3-18 Membership Practices …………………….
10
3-19 Scouting Activities (Boy & Girl) …………
11
3-20 Prohibited Activities ……………………... 11
3-21 Perception of Preferential Treatment ……. 11
3-22 Legal Advice ……………………………..
11
Chapter 4 – Special Types of Private Organizations
4-1 Investment Clubs ………………………… 11
4-2 Family Readiness Groups ………………..
12
4-3 Recreational and Educational Private
Organizations …………………………….. 12
4-4 Informal Funds ……………………………
12
Chapter 5 – Relations with Private Organizations
5-1 General ……………………………...……. 13
5-2 Personal Relationships …………………… 13
Conflicts of Interest ………………………. 13
Acting as an Agent of a Private Organization 13
Other Ethical Issues ……………………… 14
Can Do’s ………………………………….
14
5-3 Official Relationships ……………………. 14
Liaisons …………………………………... 14
Participation in Events …………………… 15
Endorsements ……………………………. 15
Some Specific Don’ts ……………………. 15
Some Specific Do’s ……………………… 16
Chapter 6 – Co-Sponsoring Events
6-1 What is a Co-Sponsored Event? ………... 16
6-2 Are Co-Sponsored Events Permissible? ... 17
6-3 MWR Co-Sponsored Events ……………. 18
Chapter 7 – Special Status Private Organizations
7-1 General …………………………………….. 18
7-2 National Military Associations (NMA) …… 19
7-3 Federally Sanctioned Private Organizations . 20
7-4 Boy/Girl Scouts ………...…………………. 20
Appendixes
A References …………………...…………… 23
B Management Controls Evaluation Checklist 24
C Sample Format – Constitution ………...…. 25
D Sample Format – Meeting Minutes …….... 26
E Sample Format – Financial Report …...…. 27
F Sample Format – Audit Report ………..… 28
G Memorandum, 29 May 02, subject: Use of
DOD Component and Installations Names
in Titles of Private Organizations ………... 29
H Information Paper, Subject; Army Relations
with Boy Scout Organizations ………….... 31
I Case Studies of Proper and Improper
Conduct
……………………………………………….….. 33
Glossary ………...………………………………. 37
CHAPTER 1
INTRODUCTION
1-1. INTRODUCTION. Private organizations play
an important role in creating a positive community
environment and improving the quality of life on Army
installations. Private organizations offer a wide variety
of valuable activities and services which provide
avenues of support, esprit de corps, relaxation, and
social interaction which would not otherwise be
available. All individuals living and/or working on our
installations are encouraged to participate in
recognized private organizations. However, it is
important that individuals who elect to participate in
these private organizations do so on their own free will
without coercion or pressure from commanders and
supervisors.
1-2. REFERENCES.
a. AR 210-22, Private Organizations on
Department of the Army Installations, is the primary
regulation governing the operation of private
organizations on Army installations.
b. Appendix A, References, contains a list of
applicable regulations and publications which provide
guidance on the operation of private organizations on
Army installations.
1-3. RESTRICTION ON GUIDANCE. This
Reference Guide does not apply to:
a. Off-post private organizations which do not
wish to operate on an Army installation.
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b. Organizations operating off or outside of the
Army installations that occasionally request use of
Army facilities or other resources.
c. Appropriated fund (APF) or nonappropriated
fund (NAF) contractor and subcontractor organizations
and funds on Army installations.
d. Patients’ trust funds.
e. Prisoner of war funds.
f. Prisoners’ personal deposit funds.
g. Funds established for civilian employees at
civil works activities of the Corps of Engineers.
h. Army gift funds (see AR 1-100).
i. Chapel organizations operating as extensions of
the Army Chapel Program (see AR 165-1).
j. Credit unions and banking offices or
institutions (see AR 210-135).
k. American Red Cross (see AR 930-5).
l. United Services Organization, Inc. or USO (see
AR 930-1).
m. United Seamen’s Service (see AR 700-83).
n. Labor organizations subject to section 71,
title 5, United States Code (USC) or 5 USC 71.
o. Association of Supervisors and Managers (see
DOD 1400.25-M, Subchapter 251).
p. Civil Air Patrols (see Air Force Reg 46-6).
q. Army Emergency Relief (see AR 930-4).
1-4. RESPONSIBILITIES.
a. Director, Installation Management Agency,
Southeast Region.
(1) Ensure Southeast Regional Office (SERO)
staff and Southeast Region (SER) installations comply
with AR 210-22, Private Organizations on Department
of the Army Installations and other applicable
regulations and policies.
(2) Review installation procedures for
monitoring private organizations.
b. Garrison Commanders
.
(1) Ensure Army personnel and private
organizations operating on the installation comply with
AR 210-22 and other applicable regulations and
policies.
(2) Terminate private organization operations
on the installation when a private organization does not
adhere to Army regulations and policies.
(3) Inform military and civilian personnel
working on the installation of restrictions concerning
official and unofficial relationships with private
organizations.
(4) Establish procedures for private
organization fundraising, ensuring the private
organizations do not compete with the Army and Air
Force Exchange Service (AAFES) or Morale, Welfare,
and Recreation (MWR) activities.
(5) Refer private organization requests for
support and fundraising for legal review. Establish
procedures for approving, monitoring, and/or providing
such support.
(6) May delegate authority to approve private
organizations and monitor the overall private
organization program. If approval authority is
delegated, it should not be delegated below director
level, e.g. Director of Morale, Welfare, and Recreation
(DMWR).
c. Southeast Region Private Organization
Program Manager. Administer the SER’s Private
Organization Program for the Southeast Region
Director.
d. Garrison Private Organization Program
Manager. Administer the Private Organization
Program at the installation as delegated by the
respective Garrison Commander.
e. Garrison Staff Judge Advocates (SJA)
.
Provide legal advice to the Garrison Commander and
his/her staff. The SJA may designate his military and
civilian staff to act on his/her behalf. The SJA may not
provide legal guidance to private organizations
directly; however, the SJA may provide legal
interpretation to questions concerning the installation’s
relationship with private organizations posed by the
Garrison Commander and his/her staff.
f. Ethics Counselor
. Provide guidance to the
Garrison Commander and his/her staff, as well as,
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military and civilian employees concerning the
application of and compliance with DOD 55007-R,
Joint Ethics Regulation (JER).
g. Private Organizations
. Comply with all
applicable regulations, policies and procedures when
operating on an Army installation.
1-5. GENERAL PRINCIPLES.
a. Private organizations are not nonappropriated
fund instrumentalities (NAFIs). As such, they are not
entitled to the immunities and privileges given NAFIs.
b. Private organizations are not entitled to and
will not receive Army endorsement by virtue of their
contributions to the military community or installation,
their promotion or support of Army goals and
objectives, or for any other reason.
c. Subject to the provisions of 10 USC 1033 and
the Joint Ethics Regulation (JER) there is no official
relationship between private organization activities and
official duties and responsibilities of Army personnel
who are private organization members or participants.
d. Since private organizations are not part of the
military, they may only receive limited government
supervision. The loan of government resources does
not create a government obligation or liability for
private organization activities.
e. Only the private organization can choose its
specific functions and expenditures. DOD personnel
acting in an official capacity will not influence these
choices. Likewise, DOD personnel in their official
capacity are not authorized to participate in day-to-day
management for a private organization nor authorized
to act as a fiduciary for a private organization.
f. Private organizations are operated on a
financially and operationally self-sustaining basis.
g. Neither the Federal government nor its NAFIs
have any vested interest in the assets of a private
organization. Neither the government nor its NAFIs
will make any claim to private organization assets or
incur or assume any obligation of a private
organization.
h. Neither soldiers nor civilian employees will be
assigned to work for private organizations as an official
duty.
CHAPTER 2
APPROVAL TO OPERATE ON AN
INSTALLATION
2-1. APPROVAL PROCESS.
a. Before operating on Army installations, private
organizations must request and receive written
permission from the Garrison Commander.
b. Private organizations seeking permission to
operate on an Army installation will furnish the
following documentation with a written application or
request to the Garrison Commander:
(1) A charter, articles of agreement,
constitution, bylaws, or other authorization document
which complies with paragraph 3-14 of this guide. If
affiliated with a national, regional, or State
organization, the private organization will include
documentation of the parent organization.
(2) Agreement to reimburse the Army for
utility expenses, unless use is incidental (would cost
more to bill and collect than it costs to provide the
utility).
(3) A request to incorporate the name or
abbreviation of DOD components, organizational units
or installation names into the approved name of the
private organization when used in conjunction with its
on-post activities. See paragraph 3-6.
(4) Provide proof of liability insurance or a
request for a waiver of the liability insurance
requirements. See paragraph 3-10.
(5) An income producing private organization
must provide documentation of its federal income tax
status. (Note: Proceeds of fundraisers are not always
considered income.)
(6) Agreement to remove all private
organization property from the installation if approval
to operate is terminated.
2-2. APPLICATION REVIEWS AND
APPROVAL.
a. The Garrison Commander will establish
procedures for the review of requests for permission to
operate. Applications will include all documentation
required by AR 210-22 and any additional
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documentation required by the installation (see
paragraph 2-1b).
b. Application review includes a legal review.
c. Reviews ensure that individual members do not
personally profit from private organization income,
except through:
(1) Salaries and wages as private organization
employees.
(2) Award recognition for services rendered to
the organization or community.
(3) Exception for investment clubs. The
Garrison Commander may grant exceptions for
investment clubs. See paragraph 4-1 for more
information concerning investment clubs.
d. The Garrison Commander, or his/her
designated representative, may approve private
organizations to operate on the installation for a period
up to two years.
e. The approval document will include:
(1) A statement that neither the installation nor
the government will have any liability for the private
organization’s actions or debts.
(2) A statement that the Garrison Commander
may revoke permission to operate at any time.
(3) A statement that the approval to operate as
a private organization on the installation automatically
expires on a specific date (not more than two years
from approval date), unless revalidated by the Garrison
Commander.
2-3. REPORTING REQUIREMENTS.
a. In addition to information required when
approval is requested, approved private organizations
will provide the following on a routine basis (as
determined by the Garrison Commander, but not less
than annually) to the Garrison Private Organization
Program Manager:
(1) Minutes or summaries of private
organization meetings.
(2) Financial statements.
(3) Any major changes in the private
organization’s activities, objectives, organization,
constitution, membership, constitution and bylaws, and
management functions.
(4) Names, addresses, and phone numbers of
officers.
(5) A copy of audit reports.
(6) A copy of any correspondence about
applicability of Federal, State, or local laws.
b. Garrison Private Organization Program
Managers will maintain a file for each private
organization. The file will contain, at a minimum, the
following:
(1) The private organization’s initial request to
operate on the installation.
(2) Any subsequent requests to revalidate the
approval to operate on the installation.
(3) A copy of the Garrison Commander’s
letter of approval.
(4) Information provided in accordance with
(IAW) paragraph 2-3a.
2-4. REVALIDATION.
a. The revalidation process should be established
by the Garrison Commander, but normally follows a
process similar to the initial approval process.
b. Private organizations have approval to operate
for up to 2 years, unless cancelled by the private
organization or the Garrison Commander.
c. Approval expires automatically 2 years from
the date of last approval, unless revalidated or an
earlier expiration date has been set by the Garrison
Commander.
d. Private organizations should submit
revalidation requests to the Garrison Commander no
less than 90 days before the expiration of their approval
to operate on the installation. Garrison Commander
may establish longer periods. This will allow adequate
time for the required review process.
e. Requests will include documentation of any
changes in private organization’s activities, objectives,
organization, constitution, membership, and so forth.
f. Revalidation will not occur unless all the
reporting requirements outlined above have been met.
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2-5. TERMINATION OF OPERATIONS.
a. The Garrison Commander may withdraw
approval for a private organization to operate on the
Army installation at any time.
b. A private organization may notify the Garrison
Commander it no longer desires to operate on the
installation.
c. Notification by either party will be in writing.
d. The Garrison Commander has the absolute
discretion to determine whether a private
organization’s continued operation is compatible with
the Army’s interest.
CHAPTER 3
POLICIES
3-1. FUNDING FOR PRIVATE
ORGANIZATIONS.
a. All private organizations are self-sustaining,
non-Federal entities, incorporated or unincorporated,
which operate on Army installations with the written
permission of the Garrison Commander.
b. Neither NAFIs nor APF activities may incur or
assume any obligation of any private organization,
except as may arise out of a contractual relationship.
c. Private organizations will not receive financial
assistance from a NAFI in the form of contributions,
repairs, services, dividends, or other donations of
money or other assets. NAFI funds and other assets
will not be transferred to private organizations, directly
or indirectly, unless there is legislative authority. (see
DODI 1015.9, Scouting Organizations Operating at US
Military Installation Located Overseas).
3-2. USE OF GOVERNMENT RESOURCES.
a. Private organizations will not use Army
services. This includes legal, audit, transportation,
postal, printing, information management activities,
clerical, financial, copying, management, and
procurement services.
b. Army authorities may allow private
organizations to use Army real estate (including
utilities and in-place equipment) under license or lease
agreements, per AR 405-80 and JER, when in the best
interests of the Army.
(1) License
. Use may be granted by means of
a revocable-at-will license when private organization
use is occasional, non-regular, regular part-time, or
full-time. The license may permit storage of
equipment and supplies if it does not interfere with, nor
restrict, the normal use of the facility by other users.
(2) Lease
. Use may be granted by lease when
the private organization is guaranteed sole use on a
full-time basis, is guaranteed use for a specific period,
or stores in-place equipment or supplies that impair or
restrict normal use of the facility by other users. Rent
in the continental United States (CONUS) is
determined by the US Army Corps of Engineer District
Engineer.
c. For fiscal and logistical support for United
States scouting organizations (the Girl Scouts of the
United States of America and the Boy Scouts of
America) operating on US military installations located
overseas see DOD 1015.9 and the following
paragraphs/appendixes locations in this Reference
Guide: paragraph 3-18, Scouting Activities (Boy &
Girl); paragraph 7-4, Boy/Girl Scouts; and Appendix
H, Army Relations with Boy Scout Organizations.
3-3. FUNDRAISING.
a. Fundraising on military installations is
governed by 5 CFR 2635.808 and AR 600-29.
b. The Garrison Commander will develop local
procedures for approving private organization
fundraisers to include designating locations where such
fundraisers may be held.
c. An organization composed primarily of DOD
employees and/or dependents may fundraise among its
own members, for the benefit of its own members
and/or family members, when approved by the
Garrison Commander.
d. Private organization fundraisers will not be
conducted in the workplace, except in areas designated
by the Garrison Commander. Members of the private
organization who are on official government duty time
will not participate in fundraising activities. It is
permissible for government employees (military or
civilian) to participate in fundraising events during
non-duty time.
e. At the discretion of the Garrison Commander,
private organizations may conduct fundraising sales
when sales are not in competition with AAFES or the
installation NAFIs.
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f. Installation fundraising procedures should
include requirements for coordinating with AAFES and
installation NAFI resale activities when appropriate.
g. Installation fundraising procedures should
include requirements for coordinating with the local
Preventive Medicine Office when the fundraising event
involves the sale or distribution of food. This is to
ensure that health and sanitation requirements are met.
h. Family Readiness Groups must request
approval for fundraising. (See paragraph 4-3 for more
information on Family Readiness Groups.)
3-4. COMMERCIAL SPONSORSHIP.
a. The US Army’s Commercial Sponsorship
Program allows each installation’s MWR Commercial
Sponsorship Office to obtain commercial sponsorship
for MWR programs and events, as well as for Army
Family Action Plan (AFAP) and Army Family Team
Building (AFTB) programs and events. Family
Readiness Groups are not authorized to participate in
the MWR Commercial Sponsorship Program.
Commercial sponsorship, as defined by AR 215-1 and
the Commercial Sponsorship Desk Reference as an
“exchange of values.” Thus commercial sponsorship is
not a “donation”. Events co-sponsored by MWR and a
private organization may receive Commercial
Sponsorship. Commercial sponsorship received for co-
sponsored events are for the MWR program and do not
belong to the private organization even though this
sponsorship may offset the total cost of the program.
Commercial sponsorship funds, good, or services may
only be used for the specific programs for which they
were provided.
b. Commercial Sponsorship will not be solicited
from companies in the tobacco and/or alcoholic
beverages (including beer) business. Unsolicited
sponsorship may be accepted only if such sponsorship
is not directed predominantly or exclusively at military
personnel. A responsible use campaign and the
Surgeon General’s warning will be included in the
sponsorship.
c. It is important to realize the local community
has only a small pool of advertising dollars available
for which both the MWR Commercial Sponsorship
Office and the Public Affairs Office’s (PAO)
commercial enterprise newspaper are competing. The
introduction of private organizations into this small
pool may result in reluctance by local merchants to
participate in the MWR Commercial Sponsorship
Program or with the PAO commercial enterprise
newspaper. Many times the merchants do not
understand “who is who” and identify all as “the
Army”. These local merchants feel “tapped out” or
that they are always giving to the same organization
(the Army).
DISCLAIMER
To Whom It May Concern
I/We (name of local business
) agree to participate in (private organization event name) hosted by
(name of private organization
) and provide a donation of services, goods, displays, etc., free of charge on
(date of private organization event
). I/We (name of local business) understand that this donations is
specifically for the benefit of (name of private organization) and not for (name of local installation,
e.g., Fort Excellence
) or the US Army. Participation by (name of local business) does not indicate
endorsement by (name of local installation
) or the Department of the Army.
Signature of Private Organization Representative Signature of Local Business Representative
Printed Name of Private Organization Representative Printed Name of Local Business Representative
Name of Private Organization Name of Local Business
Dated Signed Date Signed
Figure 3-5 Example of Fundraising Disclaimer Form
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d. For the specific rules associated with
Commercial Sponsorship, contact your Commercial
Sponsorship Office; normally located in the MWR
Marketing Office.
3-5. SOLICITATION OF DONATIONS TO
PRIVATE ORGANIZATIONS. To help eliminate
the confusion between the MWR Commercial
Sponsorship Program and private organizations seeking
donations, Garrison Commanders are strongly
encouraged to establish rules for the solicitation of
donations of funds, goods, or services from local
businesses by private organizations with approval to
operate on the installation.
a. These rules should include:
(1) Private organizations will not be allowed
to use donor’s names or logos on advertisements or
other printed material used to promote on-post events
for which the donation is sought. Only the MWR,
AFAP, and AFTB may provide vendor recognition in
their event advertisements and printed materials.
(2) The use of some type of prominent
disclaimer that states the private organization is a
non-federal entity and is not affiliated, sponsored or
endorsed by the installation or the Army.
b. An example of a prominent disclaimer that
could be used by private organizations soliciting
donations from the local community is at Figure 3-5.
This disclaimer would be completed by the private
organization and local merchant. A copy should be
kept on file by the private organization.
c. Government employees (military and civilian)
face significant limitations on seeking donations on
behalf of a private organization. They may raise funds
for a private organization in their personal capacity, but
they may not use their official title, position, or
authority to fundraise, nor may they solicit
subordinates or prohibited sources. Prohibited sources
are defined in 5 CFR 2635.203(d).
3-6. USE OF DOD COMPONENT AND
INSTALLATION NAMES. The provisions of
AR 210-22 have been superseded by Assistant
Secretary of Defense memorandum, 29 May 02,
subject: Use of DOD Component and Installation
Names in Titles of Private Organizations (see
Appendix G), which provides interim policy guidance
for the use of names of DOD components and
installations as part of the title of private organizations
chartered to operate on DOD installations. Private
organizations may include the name or abbreviation of
a DOD component, organizational unit or installation
in their name provided they take effective steps to
ensure their status as a private organization is apparent
and unambiguous. Such steps include, as a minimum:
a. Any use of the name or abbreviation of a DOD
component or installation may not mislead members of
the public to assume a private organization is an
organizational unit of the DOD.
b. Private organizations that incorporate names or
abbreviations of DOD components, organizational
units, or installations must receive prior approval from
the Garrison Commander.
c. Private organizations shall use a prominent
disclaimer on all printed and electronic media
confirming the private organization is not a part of the
DOD. An example of a prominent disclaimer in a
private organization’s letterhead is at Figure 3-6.
Fort Excellence Officers Spouses Club
A Private Organization not affiliated with Fort Excellence or the US Army
Figure 3-6 Example of a Letterhead Disclaimer
3-7. PROHIBITION ON THE USE OF DOD
COMPONENT SEALS, LOGOS, AND
INSIGNIAS. To prevent the appearance of an official
sanction or support by DOD, a private organization is
prohibited from using the seal, logo, insignia or the like
used by any DOD component, organizational unit, or
installation to identify any of its programs, units,
locations, or activities. This includes on any signs,
letterhead, correspondence, advertising or in its title.
3-8. COMPLIANCE WITH REGULATIONS AND
LAWS.
a. Generally, private organizations are not exempt
from State or local laws because they operate on
Federal property.
b. Private organizations are responsible for
complying with fire and safety regulations,
environmental laws, tax codes, and other applicable
statutes and regulations.
c. When a private organization has paid staff, the
private organization will comply with the laws that
apply to private sector employment.
d. Private organizations will obtain any required
licensing, certification, or registration if required by
State, local, or foreign authorities where the installation
is located.
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3-9. TAXES.
a. Private organizations will comply with all
Federal, State, and local tax laws and codes. The
private organization will contact the proper tax officials
to ensure compliance with all tax laws and should
obtain private counsel when such assistance is needed.
b. The SJA is not allowed to provide legal
counsel to a private organization.
c. Federal income tax
. Certain types of private
organizations, such as religious, educational, and
scientific, may qualify for exemption from Federal
income tax under section 501 of the Internal Revenue
Code. When a parent organization controls taxes for
local chapters, the local private organization will
furnish a statement to this effect that is signed by an
official of the parent organization’s headquarters.
Other private organizations will obtain a statement of
their tax status from their Internal Revenue Service
(IRS) district office.
d. Federal income tax withholding for employees
.
For Federal employee taxes and reports on amounts
paid, private organizations will obtain guidance from
private counsel or the IRS.
e. State and local sales, income, occupation, and
employer taxes. Local law determines whether private
organizations are exempt from State and local taxes.
f. Foreign taxes in overseas locations
. Laws of
the country where located will be followed.
3-10. INSURANCE.
a. Liability Insurance
.
(1) Private organizations will obtain insurance
as protection against public liability, claims, property
damage claims, or other legal actions arising from the
private organization activities, one or more of the
private organization’s members acting on its behalf, or
the operation of any equipment, apparatus, or device
under the control and responsibility of the private
organization.
(2) Since AR 210-22 was issued, the US Army
Community and Family Support Center (CFSC) has
clarified the liability insurance requirement.
(a) Because the activities of some private
organizations have a low liability risk factor, the
requirement to have liability insurance may be waived
by the Garrison Commander with the concurrence of
the SJA after completing a risk assessment.
(b) If the liability insurance requirement is
waived by the Garrison Commander, the private
organization is still responsible for any liability claims
or judgments against it. If the private organization
does not have funds to cover a liability claim or
judgment it is possible that a court might hold the
members of the private organization personally
responsible for the claims or judgments.
b. Fidelity Bonding.
Fidelity bonding will be
purchased by an organization for members or
employees handling monthly cash flow exceeding
$500. Bonding will be equal to the normal maximum
amount of cash handled.
3-11. ABANDONED PRIVATE PROPERTY.
a. Neither APF activities nor NAFIs may assert
any claim to the assets or assume any obligation of any
private organization, except as might arise out of a
contractual relationship.
b. Property abandoned by a private organization
upon its disestablishment or departure from an
installation, or donated by the private organization to
the installation, may be acquired by the installation
under terms of applicable agreements, status of forces
agreements, and policies.
3-12. ALCOHOLIC BEVERAGES. Private
organizations will not engage in the distribution or sale
of alcoholic beverages at any time. A private
organization may contract with an MWR activity, e.g.,
Community Club, to conduct an event at which an
MWR activity serves alcoholic beverages.
3-13. AUDITS. Private organizations with gross
annual revenue of $1,000 or more will arrange for an
audit at least once every 2 years, at their own expense.
On change of private organization treasurer, an audit
will be conducted regardless of the time elapsed since
the last audit.
a. Private organizations with financial statements
audited annually by their national headquarters may
submit a copy of that audit rather than complying with
paragraph 3-13b and c.
b. Private organizations using a double-entry
accounting system will have audits done by a qualified
auditor. A qualified auditor is considered a public
accountant or certified public accountant licensed by
the State or other recognized licensing jurisdiction.
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c. Private organizations using a single entry
accounting system are audited as follows:
(1) With income only from contributions,
dues, and assessments, audits may be conducted by
either a private organization member who holds no
office and is at least 18 years of age or a qualified
auditor.
(2) When a private organization engages in
resale or other fundraising activities, the audit is
performed by either an appointed committee of three
private organization members who hold no office and
are at least 18 years of age, or by a qualified auditor.
d. Audits of private organizations should be more
than just a financial audit; i.e., fund balance equals
income less expenditures. Audits should also
determine if expenditures were authorized in
accordance with the established rules and procedures of
the private organization. A sample format for an audit
report is at Appendix F.
3-14. CONSTITUTION AND BYLAWS.
a. For a private organization to be approved to
operate on an installation the private organization must
submit a constitution, bylaws or other authorization
document. This document must include:
(1) The official name of the private
organization.
(2) A statement of the private organization’s
purpose, nature, functions, and objectives.
(3) A statement that neither the installation nor
the government will have any liability for the private
organization’s actions or debts.
(4) An explanation of membership eligibility
and responsibilities for all management functions
(including accountability of assets, coverage and
limitation of insurance and disposition of remaining
assets on breakup of the private organization).
(5) A statement that the private organization
will neither propagate extremist activities nor advocate
violence against others or the violent overthrow of the
Government.
(6) A statement that the private organization
will not seek to deprive individuals of their civil rights.
b. If affiliated with a national, regional, or State
organization the private organization will include
documentation on the parent organization.
3-15. MEETING MINUTES.
a. Private organizations will provide minutes or
summaries of all meetings on a routine basis (but not
less than annually) to the Garrison Private Organization
Program Manager. The Garrison Commander may
require the submission of minutes or summaries of
meetings more often that at least once a year.
b. A sample format for a private organization’s
meeting minutes is at Appendix D.
3-16. FINANCIAL REPORTS.
a. Private organizations will provide a report of
their financial status on a routine basis (but not less
than annually) to the Garrison Private Organization
Program Manager. The Garrison Commander may
require the submission of a private organization’s
financial statement more often that at least once a year.
b. A sample format for a private organization’s
financial statement is at Appendix E.
3-17. EMPLOYMENT PRACTICES.
a. Private organizations will comply with laws
that apply to private sector employment.
b. Private organizations are not permitted to
operate on Army installations if their employment
practices discriminate based on:
(1) Sex, age, religion, race, color, national
origin, or marital status.
(2) Lawful political affiliation.
(3) Labor organization membership.
(4) Physical handicaps.
3-18. MEMBERSHIP PRACITICES.
a. Private organizations will not unlawfully deny
membership, unlawfully exclude from participation, or
otherwise subject to unlawful discrimination, any
person because of race, color, creed, sex, disability, or
national origin. When unlawful discrimination by a
private organization is suspected, information about
procedures for individuals to follow will be publicly
disseminated by private organization to its members.
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b. The above paragraph does not preclude:
(1) The existence of religious, cultural, or
ethnic private organizations when:
(a) Membership is not restricted or
discriminatory.
(b) Similar religious, cultural, or ethic
private organizations are approved without preference.
(2) Approval by the Garrison Commander for
the operation of certain private organizations that
restrict membership to one sex, when one or more of
the subparagraphs (a) thru (c) below apply. Examples
include women’s and men’s sports clubs, women’s and
men’s civic associations, and boy scouts and girl
scouts.
(a) The private organization’s purpose is
philanthropic and, by tradition, its membership has
been of one sex.
(b) The private organization’s purpose is
to benefit one sex and its membership is composed of
that sex.
(c) The private organization has a specific
purpose and function that restricts membership of one
sex, but also has a counterpart organization with the
same purpose and function.
b. Private organization membership campaigns
and recruitment practices should not involve nor give
the appearance of involving compulsion, coercion,
reprisal, or influence.
c. JER governs all membership drives.
3-19. SCOUTING ACTIVITIES (BOY & GIRL).
See information paper at Appendix H and
paragraph 7-4 in this Reference Guide for guidance on
acceptable support to Boy and Girl Scouting activities.
Remember, Boy and Girl Scouting activities in the
United States do not have the special support privileges
authorized them overseas.
3-20. PROHIBITED ACTIVITIES.
a. Any private organization conduct that may
discredit the Army, DOD, or the Federal government;
impose a financial obligation on the Army or NAFI
activities.
b. A private organization will neither propagate
extremist activities nor advocate violence against
others or the violent overthrow of the Government.
c. A private organization will not seek to deprive
individuals of their civil rights.
d. A private organization is not created, operated
or administered for a commercial or monetary purpose,
except for authorized investment clubs.
e. Private organizations may not duplicate or
compete with authorized Army NAFIs (MWR or
AAFES) activities.
3-21. PERCEPTION OF PREFERENTIAL
TREATMENT. All levels of the chain of command
must make overt efforts to dispel the perception of
endorsement or preferential treatment of specific
private organizations. This is especially relevant in
dealing with such organizations as the Association of
the United States Army (AUSA), Noncommissioned
Officers Association (NCOA), National Military
Family Association (NMFA) or any unit association
such as the Blackhorse Association or 101
st
Airborne
Division Association. While most of the organizations
provide benefits to the military community and
improve the quality of life for our soldiers, the JER
prohibits the chain of command from endorsing any
private organization, regardless of the good it does for
the community.
3-22. LEGAL ADVICE.
a. Because the laws and regulations concerning
endorsement of non-Federal entities are somewhat
complex and the above information is not all-inclusive;
commanders, supervisors, and staff are encouraged to
contact their legal advisors or ethics counselors in the
supporting Staff Judge Advocates Office when issues
concerning private organizations arise.
b. Private organizations are not authorized legal
support from the SJA. However, the SJA may answer
questions which relate to the relationship of the private
organization with the installation.
CHAPTER 4
SPECIAL TYPES OF PRIVATE ORGANIZATIONS
4-1. INVESTMENT CLUBS.
a. Normally, no individual member of a private
organization may accrue an income from a private
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organization, except through wages and salaries earned
as employees of a private organization or as an award
in recognition for service rendered to the private
organization or the military community.
b. However, the Garrison Commander may
authorize investment club private organizations. An
investment club is a membership organization that
pools funds to invest in stock or other securities.
Usually, the members pledge a regular amount to be
paid into the club on a scheduled basis, such as
monthly or annually. Some clubs have a committee
that gathers information on securities, selects the most
promising, and recommends that the club invest in
them. Other clubs rotate the investigator
responsibilities among all their members. Most require
all members to vote for or against all investments,
sales, exchanges, and other transactions.
4-2. FAMILY READINESS GROUPS.
a. Family Readiness Groups are organizations
belonging to military units and their Commanders
which provide avenues of mutual support for their
soldiers and families members. They are run in
accordance with DA Pam 608-47, A Guide to
Establishing Family Support Groups. If a bona fide
need exists for funds to support a Family Readiness
Group’s programs, the Garrison Commander or
Garrison Private Organization Program Manager, with
the responsible unit commander’s concurrence, may
authorize them to conduct fundraising events in
accordance to local procedures (see paragraph 3-3) to
earn funds for the required purpose. When conducting
fundraising events, Family Readiness Groups are
considered informal funds/private organizations. They
are required to follow the fundraising rules established
for informal funds/private organizations. Since Family
Readiness Groups are special command-sponsored
programs, Family Readiness Groups are not required to
complete the private organization registration process
outlined in AR 210-22, paragraph 2-1. It is important
to remember that Family Readiness Groups are not in
the business of collecting and maintaining funds, but
are established to provide their unit’s family members
with activities and support that will enhance the flow of
information, morale, and esprit de corps within the
unit. Therefore, funds maintained by a Family
Readiness Group normally should not exceed $1,000
without a bona fide plan for the use of the funds.
b. Family Readiness Groups are not authorized to
participate in the MWR Commercial Sponsorship
Program.
4-3. RECREATIONAL AND EDUCATIONAL
PRIVATE ORGANIZATIONS.
a. Private organizations operating as bona fide
extensions of APF or NAF recreational activities need
not complete the private organization registration
process requirements of AR 210-22, paragraph 2-1,
although they are subject to all other provisions of this
regulation. These private organizations include:
(1) Bowling leagues, little league
organizations, and other recreational private
organizations that operate in coordination with the
MWR staff (see AR 215-1 for MWR recreational clubs
that are not private organizations, but are MWR
activities).
(2) Organizations formed and operated in
conjunction with schools on an installation that operate
under the administrative supervision of the school
facility/staff member (examples include, but are not
limited to, school drama clubs, language clubs, sports
team booster clubs, National Honor Societies, and Key
Clubs).
b. The Garrison Commander will approve and
prescribe local guidance for such operations.
c. Recreational and educational private
organizations must comply with paragraph 3-3
(Fundraising) of this guide.
4-4. INFORMAL FUNDS
a. Informal funds are funds such as office coffee
funds, cup and flower funds, picnic funds, etc. These
funds may operate on a military installation without
formal authorization because of their limited scope.
However, the Garrison Commander may establish rules
for their approval and operation. These funds are
governed by AR 600-20, Army Command Policy, and
the JER. They are subject to the following guidelines:
(1) Use is limited to expenses consistent with
the purpose and function of the informal fund.
(2) Only one individual is to be responsible for
fund custody, accounting, and documentation.
Annually, this individual’s supervisor is advised of the
fund’s financial status.
(3) Operation of the fund will be consistent
with Army values and the JER.
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(4) There is no regulatory limit to the amount
of funds which may be maintained by an informal
fund; however, the Garrison Commander can establish
limits to the amount of funds an informal fund may
maintain.
b. Normally, funds to run an informal fund come
from donations from its participants; e.g., each
participant in a coffee fund donates $5 per month to
pay for the fund’s supplies. At the Garrison
Commander’s discretion, informal funds may be
allowed to do other types of fundraising.
c. Informal funds must comply with
paragraph 3-3 (Fundraising) of this guide.
CHAPTER 5
RELATIONSHIPS WITH PRIVATE
ORGANIZATIONS
5-1. GENERAL. The ethical rules which govern
relationships with private organizations are in the
Office of Government Ethics (OGE) Standards of
Ethical Conduct for Employees of the Executive
Branch and the JER. The first step in dealing with and
resolving any private organization question is to
determine whether the relationship is personal or
official. The nature of the relationship will guide the
analysis and generate the answer.
5-2. PERSONAL RELATIONSHIPS. Army
employees, military and civilian, are encouraged to
join, participate or hold office in private organizations.
Especially when such activities promote their
professional or personnel development, and make the
employees an active part of the local military or
civilian communities. However, there are rules that
govern this personal participation.
a. Conflicts of Interest
.
(1) Becoming an officer, director, or employee
of a private organization restricts what one can do as an
Army official. Specifically, Subpart D of the
Standards of Ethical Conduct, prohibits employees
from participating in official matters (even though
someone else might make the final decision) affecting
the financial interests of that organization. Even if the
Army employee is not paid by the organization, the law
imputes the financial interests of the organization to the
officers, director, or employee of the organization.
(2) An Army official who is not an officer,
director, or employee of a private organization, but is
an “active participant,” still has a “covered
relationship” with the private organization. The
Standards of Ethical Conduct require the official to
consider the appearance created by this relationship
and normally the Army employee should not
participate in those matters where the private
organization is a party or represents a party to the
official matter. Examples of “active participants”
include members of the private organization’s rules
committee or the private organization’s point of contact
for a membership drive. “Active participants” would
not include members of a private organization who
merely pay their dues, read the monthly newsletter and
attend an occasional function.
(3) An Army official who is an officer,
director, or employee of a private organization may not
participate as an Army official in such matters as
whether to send an employee to a training program
sponsored by the private organization, or to provide a
speaker or other support to a symposium hosted by the
private organization. If the Army official is not an
officer, director, or employee of a private organization,
but is an “active participant” in the organization, the
prohibition is not quite so absolute; but, nevertheless,
to avoid the appearance of impropriety, the Army
employee should refrain from participation in such
official Army matters.
b. Acting as an Agent of a Private Organization
.
(1) Another criminal statute prohibits any
officer or employee from acting as an agent for anyone
before the Army or any other part of the Federal
Government in any particular matter in which the
United States is a party or has an interest.
(2) This law applies to any
officer or
employee acting on behalf of any
private organization,
even non-profit, benevolent and military related
organizations. Exempt from the law is representation
of a private organization by an officer or employee of a
non-profit cooperative, voluntary, professional,
recreational, or similar organization, where the
representation is uncompensated and a majority of the
membership of the private organization consists of
Federal employees and their family members.
(3) In all other situations, private organization
dealings with the Army must be accomplished by
someone who is not a military member or government
employee. The only other contacts with the Federal
government that a military member or government
employee may have on behalf of a private organization
are those that are purely “ministerial” in nature, such
as: (1) conveying purely factual information; (2)
merely delivering or receiving materials or documents;
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(3) answering (without advocating for a particular
position) direct requests for information; or (4) signing
a document that attests to the existence or non-
existence of a given fact (such as a private
organization’s secretary’s attestation that a given
signature is valid).
c. Other Ethical Issues
. Military personnel and
civilian employees may not
:
(1) Accept positions as officers, directors or
similar positions in a private organization offered
because of their official duty position (e.g., a chief of
staff may not accept a position in a local private
organization that traditionally offers this position to the
incumbent of this duty position).
(2) Use their office, title, or position in
connection with their personal participation with
private organizations (e.g., may not show title or duty
position on the private organization’s letterhead listing
its officers and may not task their subordinates to assist
them in their personal participation such as drafting
correspondence and running errands).
(3) Personally solicit subordinates or
prohibited sources (generally, DOD contractors), or
permit the use of their names in a solicitation that
targets subordinates or prohibited sources in private
organization membership drives or fundraising
campaigns.
(4) Finally, as a matter of personnel policy, the
Deputy Secretary of Defense directed that General
Officers may not accept compensation for being an
officer or a member of the board of a private
organization. The Secretary of the Army can authorize
an exception for closely-held family entities and
management of professional associations. This policy
does not prevent General Officers who sit on boards in
their personal capacity from being compensated for
their travel and travel related expenses.
d. Can Do’s
. In addition to the basic rule that
Army personnel are free to join private organizations,
and, if it will not interfere with their official duties
because of a conflict of interest, actively participate or
even accept an office, here are some other permissible
activities:
(1) Under some circumstances, employees
may be given time off and may use government
resources in their personal participation with private
organizations when they meet the criteria and have the
approvals set out in JER, paragraph 3-300b (writing
papers for professional associations and learned
societies), or JER, paragraph 3-300c (certain
community support activities).
(2) If approved by the “agency designee” (a
supervisor or, for a General Officer in command, his or
her Ethics Counselor) occasional use of the telephone
(no toll calls), computer, library and similar resources
during off-duty time (JER, paragraph 3-305 and
2-301).
(3) If the “agency designee” determines that it
is in the Army’s interest, Army personnel may accept
free attendance at a “widely attended gathering”
(meaning a large and diverse group) sponsored by a
private organization, on their own time or during an
excused absence. For example, after consulting with
his or her Ethics Counselor, a supervisor might
conclude that it is in the Army’s interest for a
subordinate to attend a free technical symposium,
including a cocktail party and dinner, attended by
industry and government representatives and sponsored
by a professional or technical association. It is
important to note that “permission” to use government
time and resources or to accept gifts of attendance is
not a right or entitlement. It is an exception to the
general rule and should be granted judiciously and only
when it is in the Army’s direct interest (not simply
because a supportive private organization needs
assistance) and where the investment of time and
resources is proportionate to the benefit enjoyed by the
Army.
5-3. OFFICIAL RELATIONSHIPS. If the
applicable criteria are met, there are many situations in
which military personnel and civilian employees can
officially attend, accept free attendance at, participate
in, support and co-sponsor events with private
organizations.
a. Liaisons
. It is permissible to appoint Army
officials to act as official liaisons with private
organizations where there is a significant and
continuing Army interest to be served. But, they are
liaisons
; when they participate they do so as Army
employees and their loyalty is to the Army. Liaisons
cannot be directors or board members of the private
organization. Officers, directors, or “active
participants” in the private organization they may not
be Army liaisons because of the obvious conflict of
interest in loyalties. Further, while as liaisons they
may not participate in the management of the
organization per se. They may participate in matters of
mutual interest to the private organization and the
Army and vote on those issues; however, extreme care
should be taken to ensure the liaison is not participating
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in matters concerning the management of the private
organization.
(1) For example, it is permissible for a
commander to appoint an officer as a liaison to the
local AUSA Chapter. Among this officer’s legitimate
duties would be to inform the Chapter of the
command’s concerns with respect to its prospective
activities, and to inform the commander of options,
plans, and needs being explored by the AUSA Chapter.
However, it would not be appropriate for the liaison to
use government resources to assist the local Chapter
maintain its mailing list, visit local merchants to
encourage them to join, or to help with the annual
membership drive at the installation. These activities
should be done by “active participants” in their
unofficial, personal capacities as members of the local
chapter.
(2) It is permissible to send an Army official
TDY to perform liaison duties. It is also appropriate to
send personnel on Army time and orders to participate
in or attend a private organization event, if there is a
legitimate government interest and purpose in the
Army’s participation.
b. Participation in Events
. Army organizations
may provide speakers or logistical support (e.g., space,
security, public address system, etc.) for a private
organization event if the criteria in the JER are met.
For example, it is generally inappropriate to support a
private organization event if the charge for admission
exceeds the event’s reasonable costs. The Army may
even co-sponsor an event, such as a technical
symposium, with a private organization if certain
criteria and conditions are met, to include a written
agreement.
(1) The manner and degree of Army
participation in any event determines what kind of
event it is, i.e., Army sponsored, co-sponsored, or
Army supported. Additionally, if the Army co-
sponsors an event with a private organization or
supports a private organization event, it must be clear
that the Army is not endorsing the organization.
(2) The JER authority to participate in,
support, or co-sponsor events by and with private
organizations is not a license for the Army to expend
time and resources in support of a private organization
above and beyond that permitted, or to help the private
organization conduct its business. We must ensure that
the expenditure of time and resources is of direct
benefit and interest to the Army, and commensurate
with that benefit and interest. The conclusion that a
private organization is “friendly” to the Army and
supports its goals and objectives is not sufficient
justification to direct employees, using official Army
time, to do such things as: assist the private
organization with a membership or fundraising
campaign; assist the private organization with a private
organization seminar beyond providing speakers and
other limited support; help the private organization fix
its computer system; assist the private organization
with auditing its books.
c. Endorsement
. The Standards of Ethical
Conduct prohibits government employees from using
their title, office, or position to officially endorse a
private organization or its activities beyond that
permitted in JER, paragraph 3-210 (e.g., fundraising
for the Combined Federal Campaign, Army Emergency
Relief, family readiness groups, etc.). However, there
is some permissible activity to encourage professional,
community and other involvement that does not violate
the rules because it does not amount to official bias,
endorsement, favoritism or unlawful support.
(1) Specifically, commanders and supervisors
may encourage Army personnel to take an active part
in their military and civilian communities, to include
joining, supporting and participating in service and
benevolent organizations. They may publicize and
describe organizations that seem to share and support
national defense, Army and community goals and
ideals, and/or that help promote excellence in military
or other skills.
(2) However, when drafting informational
memoranda or providing presentations, you are
cautioned against using words which imply
endorsement. No matter how worthy an entity or
event, DOD must maintain neutrality with regards to
private organizations and their events. Any words of
praise for an organization may appear to favor that
organization to the exclusion or detriment of others.
Because DOD cannot possibly endorse all worthy
organizations equally, DOD must praise none of them.
Therefore, all words of praise, such as “endorse,”
“support,” “encourage”, “recommend,” and “urge”
should be avoided in informational memoranda or
presentations.
d. Some Specific Don’ts
.
(1) Don’t appoint a point of contact in a unit
for a private organization membership drive or offer a
pass or other benefit to the unit with the highest
membership or participation rate in the private
organization.
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(2) Don’t address subordinates in formation or
on Army letterhead to extol the virtues of a particular
private organization.
(3) Don’t require subordinates to attend a
private organization meeting so that they can learn
about and join a private organization.
(4) Don’t engage in coercive tactics such as
requiring a soldier to explain a decision not to
participate in or join a private organization.
(5) Don’t have private organizations or
commercial solicitors (private businesses) conduct
soldier professional development classes, such as
classes on personal financial affairs (truth-in lending,
insurance, government benefits, savings, budgeting,
wills, and estate planning). Instead these types of
classes should be conducted by Army Community
Service (ACS), Resource Management Office, Military
Personnel Office, Staff Judge Advocate (SJA), or by
other installation staff.
(6) Don’t distribute unit personnel or social
rosters to private organizations that request them. Do
not release any information without consulting the
installation Freedom of Information Act (FOIA)
coordinator and the local ethics counselor or SJA.
(7) Don’t personally solicit subordinates or
prohibited sources (e.g., DOD contractors) for
membership or contributions during fundraising
campaigns. Government employees should not allow
their names to be used in a solicitation that targets
subordinates or prohibited sources.
(8) Don’t schedule meetings for the purpose of
making subordinates learn about private organizations.
Commanders and supervisors may not require
subordinates to attend meetings to learn about and/or
join a private organization (e.g., AUSA Officer
Professional Development sessions or NCOA NCO
Professional Development sessions held during duty
hours and/or with mandatory attendance required).
Allowing certain private organizations to conduct
briefings, routinely, at official Army functions and
mandatory training implies Army endorsement and
creates the appearance that membership in certain
organizations is officially sanctioned by the
government.
e. Some Specific Do’s
.
(1) As a general matter, it is permissible to use
government resources to provide information on a
general basis concerning a private organization’s
activities that Army personnel might be interested in
either in an official capacity (e.g., training courses,
symposia, seminars) or unofficial and personal capacity
(e.g., picnics, car washes, luncheons, entertainment,
membership drives, widely attended gatherings). For
the “unofficial” activities, however, use of resources is
more limited; for example, government postage cannot
be used; but it would be permissible to let a private
organization representative post membership
information explaining the benefits of membership on a
non-official bulletin board or leave brochures in
common areas. CAVEAT: What you permit one
private organization to do, you must be prepared to
allow other private organizations to do. We cannot
play favorites.
(2) Commanders may encourage soldiers to
become active in and join professional, technical,
community, or other types of organizations. Within
this context, it would be permissible to identify and
describe various organizations that support professional
development or the military community, or that are part
of the civilian community, and worthy of
consideration. It would even be permissible to briefly
inform Army personnel concerning the goals,
objectives, and activities of some of the organizations.
It would also be acceptable to inform, in a neutral
manner, of an ongoing membership drive. Extreme
caution must be taken to ensure the speaker does not
give the impression that there is an official
endorsement of the private organization.
(3) After an officers’ call at the Officers Club,
the commander may announce that a private
organization is sponsoring a “social hour” which
anyone is free to attend or not. At this event, a private
organization representative(s) may solicit memberships
(but, this may not be done from a senior to a
subordinate). Same applies to NCOs and enlisted
personnel.
CHAPTER 6
CO-SPONSORING EVENTS
6-1. WHAT IS A CO-SPONSORED EVENT?
a. A co-sponsored event is a cooperative effort
between the Army (represented by a command or other
organization) and a private organization (usually a non-
profit organization) to sponsor and present a scientific,
technical or professional event where there is a bona
fide “mutuality of interest” between the two parties.
The event might be a conference, seminar, symposium,
educational program, or a similar type of informational
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event where attendance is not limited to Federal
employees.
b. There are other types of co-sponsored events
such as those involving civic and community activities,
such as a bicycle rodeo co-sponsored by the installation
Provost Marshal Office and the local police
department. However, this Reference Guide will limit
itself to the professional type of event. In addition, the
MWR Commercial Sponsorship Program for MWR
activities is not considered co-sponsorship and is
administered under specific rules and regulations not
associated with private organizations.
c. “Mutuality of interest” means that there is a
demonstrated substantive interest in the subject matter
of the event by both parties. It is an essential
ingredient to any co-sponsorship. If there is no
mutuality of interest, the Army should contract
for the
support that this organization would provide.
6-2. ARE CO-SPONSORED EVENTS
PERMISSIBLE?
a. The JER permits co-sponsorship, but subject
to a number of requirements and restrictions.
b. First, there must be a finding that the subject
matter of the event involves scientific, technical or
professional issues relevant to the Army’s mission.
Who makes this finding? The commander or head of
the command or organization which proposes to
participate in the co-sponsorship. Second, the purpose
of the co-sponsorship must be to transfer federally
developed technology or to stimulate wider interest and
inquiry into scientific, technical or professional issues
relevant to the Army’s mission. The event should be
open to interested parties. This cannot be a “closed”
event only for Government personnel and members of
the private organization.
c. These first two criteria mean that it must be
fiscally and legally proper for the Army to put on this
event on its own. However, we want to do it in
conjunction with a private organization because the
“mutuality of interest” between the Army and the
private organization enhances our ability to transfer the
technology or to stimulate this wider interest and
inquiry into the issues.
d. The third requirement is that the private
organization must be a recognized scientific, technical
or professional organization approved by the Army
Designated Agency Ethics Official (DAEO) (the Army
General Counsel) for this purpose. The DAEO has
approved the following organizations with which the
Army may enter into co-sponsorship arrangements
with”:
(1) Scientific, technical or professional
organizations exempt from Federal income taxation
under 26 USC 501(c)(3).
(2) Foreign, State, and local government for
co-sponsorship of scientific, technical or professional
events.
(3) Armed Forces Communications and
Electronics Association, International (AFCEA).
(4) National Security Industrial Association
(NSIA).
e. Finally, there must be a “cooperative
agreement”. The JER sets out some specific statutory
authorities for these agreements. However, most
events will not fall within the purview of the listed
laws. Nevertheless, there must still be a written
“cooperative agreement” that covers the following:
(1) Nature and Purpose of the Event
. A clear
and comprehensive statement establishes the mutuality
of interest referenced above, and also serves as a
written record that the mandatory criteria have been
satisfied.
(2) Army and Private Organization
Undertakings. This sets out the mutually agreed
responsibilities of the parties for obtaining the
conference room, making hotel arrangements, printing
the brochures, providing security, notifying and
providing speakers and panelists, obtaining and setting
up audio-visual aids, communications, and computers,
and so on. Experience has shown that this results in a
more disciplined approach to the event with less
chance of crucial issues not being resolved.
(3) Funding Responsibilities and Admission
Fees. It is important to agree ahead of time who is
going to incur what costs, and what fees are going to be
charged by whom. It is not necessary for the actual
fees to be written into the agreement, but the agreement
should reflect the following principles. The agreement
should take into account that whatever the Army
collects must be deposited to the US Treasury. If an
admission fee is charged, the fee structure should be
designed to recover the reasonable costs of putting on
the event. Finally, it is appropriate to seek and accept a
reduced fee for Army and DOD participants to reflect
the extent of the Army participation.
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(4) Disclaimers. The agreement should
include a provision that the Army is not liable if it
decides to reduce the level of its participation or even if
it must withdraw entirely, and that the private
organization will not file a claim against the Army.
Certainly, you would not enter into such an agreement
without every intention of carrying it out to the spirit
and letter. However, things happen; priorities might
change; there might be a freeze on official travel or
conferences; a major deployment might become
necessary, etc. Because of these possibilities, the
disclaimer must be included.
(5) No Endorsement
. Finally, the private
organization must agree that it will not use the fact of
the Army’s co-sponsorship of the event to imply that
the Army endorses the private organization or its other
events. The co-sponsorship cannot be used by the
private organization in its promotions to attract
financing, membership, or attendance at other events.
Related to this, the brochure and other publicity that
the private organization develops to promote the co-
sponsored event should be carefully scrutinized to
ensure that it is factual and there are no improper
appearances of Army endorsement of the organization.
A statement of “no endorsement” should be included.
f. The commander or head of the government
organization or their designee will sign the agreement.
With two exceptions, the “cooperative agreement” is
not immutable: the disclaimer and the no endorsement
provisions must remain. The parties can agree to
change any other aspect of the agreement when its
serves their needs. Even as to the disclaimers, we can
agree to give the private organization notice as early as
possible concerning any changes and work with the
private organization to help minimize their impact.
g. A co-sponsored event is an Army
event. You
can endorse it, promote it, direct personnel to support
it, and participate in it fully as you would any other
Army program. However, it is also an event for the
private organization; accordingly, don’t forget the rules
about conflicts of interest: Army personnel who are
officers, directors, trustees, employees, or “active
participants” of the private organization may not
participate in these official matters because either the
private organization is a party to the matters or they
will have a financial impact on the private
organization; similarly, Army officers or employees
may not represent the private organization in dealing
with any part of the Federal government.
h. If you want to co-sponsor an event with a
private organization, you should seek the early
advice
and counsel of your Ethics Counselor or SJA to assist
you in determining that co-sponsorship is appropriate,
ensuring that Army personnel working on the program
and drafting the agreement do not have a conflict of
interest.
6-3. MWR CO-SPONSORED EVENTS.
a. AR 215-1, paragraph 7-48a(4) authorizes the
MWR fund to establish an memorandum of agreement
(MOA)/memorandum of understanding (MOU) with
private organizations to operate resale booths at MWR
activities with the Garrison Commander’s approval.
b. AR 215-1, paragraph 7-48b allows the MWR
fund to co-sponsor events with a private organization,
subject to the provisions of the JER. In a co-sponsored
event, the agreement should describe the event;
stipulate the responsibilities of each party; contain a
disclaimer statement that explains how each party may
withdraw from the agreement and what the penalties, if
any, will be; a no endorsement clause which states that
the private organization cannot claim endorsement by
the Army or MWR to promote any other private
organization event or to attract financing, membership,
or attendance at other events or programs); explain the
pro-rating of any profits and losses (all agreed to
expenditures/costs should be recouped by each
organization…MWR and the private organization…
before any prorating of profits are made and if the
event does lose money, the agreed to
expenditures/costs incurred by each organization
should be totaled and then the revenues earned
subtracted out. The resultant loss should then be pro-
rated in the agreed to proportions…normally the same
proportions as the profits would be pro-rated). Any
profits going to MWR are considered NAF and should
be deposited in the appropriate MWR bank account.
c. In both cases, any payments to private
organizations for their operating an MWR resale booth
at an MWR activity or shared profits/loss from an
MWR/private organization co-sponsored event must be
proportional and reasonable to the work and/or risk
assumed by the MWR fund and the private
organization. The event should truly be a benefit to the
MWR program and not just a means to get around the
rules and regulations prohibiting support to private
organizations. All such events should also be labeled
as MWR events.
CHAPTER 7
SPECIAL STATUS PRIVATE ORGANIZATIONS
7-1. GENERAL. In accordance with statutory
authority and Department of Defense (DOD) policy,
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there are three types of organizations that have “special
status” concerning the type of support they receive:
National Military Associations
Federally Sanctioned Private
Organizations
Boy/Girl Scouts of America
“Special status” means that there is a specific federal
statue or DOD policy or directive that authorized
certain types of support to the organization under
appropriate circumstances. It does not mean that
unlimited support may be provided, nor does it mean
that support must be provided at the expense of mission
accomplishment or degraded readiness. Finally it does
not mean the JER does not apply; the JER applies fully
unless it is inconsistent with the specific statute or
DOD policy or directive.
7-2. National Military Associations (NMA).
10 USC 2548 allows national military associations to
receive support for annual conferences and conventions
beyond that provided to other types of private
organizations. Under this statutory authority, the
Assistant Secretary of Defense for Public Affairs
designates which associations are authorized support
for their annual conference/convention. Support is
authorized for only one conference/convention per year
per association. Similar support cannot be provided to
the regional or local chapters of any NMA or to
veterans associations. An explanation of the type of
support that is permissible by law to DOD designated
associations for their annual conference/convention and
the procedure to obtain DOD designation is outlined
below.
a. Designated Associations.
(1) Adjutant General Association of the
United States.
(2) Air Force Association.
(3) Association of the United States Army.
(4) Enlisted Association of the National
Guard.
(5) Marine Corps League.
(6) National Guard Association of the United
States.
(7) Navy League.
(8) Noncommissioned Officers Association of
the United States of America.
(9) Reserve Officers Association of the United
States.
b. Authorized Support.
(1) Limited air and ground transportation.
Government travel and transportation resources are to
be used for official purposes only. “Official Purposes”
are those that are essential to the successful completion
of the DOD mission. Accordingly, government air and
ground transportation will not be used to support
private individuals or organizations unless there is a
direct benefit to the Army. All situations involving
transportation support for private individuals or
organizations should be coordinated with legal counsel.
Further, DOD employees may not use official
transportation (air or ground) unless they are
representing the DOD in an official capacity.
(2) Communications. Limited
communications support may be provided such
functions as, but not limited to, message distribution,
communication system support management,
automation services, and use of portable radios and
cellular phones.
(3) Medical Assistance. Medical support may
be provided only for support of emergency and
lifesaving functions.
(4) Administrative Support. Support may be
provided for such functions as, but not limited to,
typing, filing, photo copying, distribution processing,
telephone answering, and accounting duties. All
support must be related directly to official conference
events and should be of a reasonable duration,
generally no more than two weeks prior to and one
week after the officially announced dates of the
conference or convention.
(5) Security Support. Support may be
provided if local civilian resources are not sufficient.
A requirement for such support must be documented
with official requests from local law enforcement
agencies.
c. Requests for Designee Status. To be eligible
for support, associations must be non-commercial in
nature, national in scope, and focused on Active Duty,
Reserve, and National Guard activities. A private
organization may submit a request for this special
designation to the Army or directly to the Directorate
of Community Relations, Office of the Assistant
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Secretary of Defense for Public Affairs (OASD-PA),
The Pentagon, Washington, DC 20301-1400, at least
30 days prior to the scheduled event. If a private
organization requests designation as a NMA from any
level within the Army, the request must be submitted in
writing and forwarded through appropriate channels,
including the Community Relations Team Office of the
Chief of Public Affairs, 1500 Army Pentagon,
Washington, DC 20310-1500. Such requests may be
disapproved at any level.
7-3. Federally and/or DOD Sanctioned Private
Organizations. In accordance with DODI 1000.15,
the amount and type of support authorized for private
organizations varies according to the authority under
which they are organized. Certain organizations are
sanctioned by specific DOD authority or are federally
chartered. These organizations provide important
services to the Army family and there by receive both
reimbursable and non-reimbursable support from the
Army. Support for sanctioned organizations is usually
addressed in stand-alone Army regulations. Examples
are:
a. Army Emergency Relief – AR 930-4.
b. Banking Institutions – AR 210-135.
c. American Red Cross – AR 930-5.
d. United Services Organization, Inc. –
AR 930-1.
e. Labor organizations subject to 5 USC 71.
7-4. Boy/Girl Scouts of America.
a. There are three circumstances in which
scouting organizations may receive special support
from the Army:
(1) Scouting organizations located overseas.
(2) World and National Boy Scout Jamborees.
(3) International Transportation Support for
Girl Scout Events.
b. Overseas Support for Boy/Girl Scouts. In
accordance with 10 U.S.C. 2606 and DOD Instruction
(DODI) 1015.9 (Professional United States Scouting
Organization Operations at United States Military
Installations Located Overseas), there are special rules
for Boy/Girl Scout operations at US military
installations overseas. These organizations are
chartered by the Federal Government and are
recognized for the support they provide to DOD
personnel and their families assigned to overseas areas.
(1) Appropriated Funds. APF may be used to
provide the following services on a non-reimbursable
basis:
(a) Transportation. Transportation is
authorized for personnel (and their household
goods/baggage) of qualified scouting organizations to
and from overseas assignments and while providing
scouting support to DOD personnel and their families.
Transportation of supplies of qualified scouting
organizations necessary to provide such support is also
authorized.
(b) Facilities and Utilities. Office space is
authorized for regular meetings and space for
recreational activities, warehousing, utilities, and
means of communication.
(2) Nonappropriated Funds. NAF support for
the scouting program shall not exceed 70% of the total
cost of the scouting program. NAF may be used for:
(a) Support to Scouts. To provide the
same authorized support for youth activities programs
in accordance with DOD Directive (DODD) 1015.6
(Funding of Morale, Welfare, and Recreation
Programs).
(b) Reimbursement of Salaries and
Benefits. Reimbursement qualified scouting
organizations for salaries and benefits of scouting
employees for periods during which these employees
perform services in overseas areas in direct support of
DOD personnel and their families.
(c) Reimbursement of Travel. Reimburse
travel to and from official meetings of the overseas
scouting committee upon approval from the US
Unified Commander in the geographical area.
(3) Additional guidance on limitations of
support is discussed in DODI 1015.9.
c. World and National Boy Scout Jamboree
Support.
(1) 10 U.S.C. 2544 permits the Secretary of
Defense to lend the Boy Scouts of America (BSA)
cots, blankets, commissary equipment, flags,
refrigerators, and other equipment, and to furnish,
without reimbursement, services and expandable
medical supplies for the use and accommodation of
scouts, scouters, and officials who attend any national
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or world boy scout jamboree. The United States shall
incur no expense for the delivery, return, rehabilitation,
or replacement of such equipment. The statute requires
BSA to provide separate bonds for the safe return of
loaned property and for the reimbursement of the
actual cost of transportation furnished under the statute.
To the extent such transportation will not interfere with
the requirements of military operations, transportation
may be provide without expense to the US Government
and for those boy scouts, scouters, and officials of BSA
certified by BSA as representing BSA at any world or
national boy scout jamboree, for property and
equipment of scouts, scouters, and officials, and for
property loaned to BSA by the Secretary of Defense.
(2) The Secretary of Defense had delegated
this authority and responsibility for support of
jamborees to the Secretary of the Army. Detailed
guidance concerning authorized support is contained in
AR 725-1 (Special Authorization and Procedures for
Issues, Sales, and Loans).
d. International Transportation Support for Girl
Scout Events.
(1) Under 10 U.S.C. 2545, to the extent such
transportation will not interfere with the requirements
of military operations, the Secretary of Defense may
provide, without expense to the US Government,
transportation from the United States or military
commands overseas on vessels or aircraft for:
(a) Girl Scouts and officials certified by
the Girl Scouts of the United States of America (GSA)
as representing that organization at any International
World Friendship Events or Troops on Foreign Soil
meeting that is endorsed by the National Board of
Directors of that organization and is conducted outside
the United States.
(b) United States citizen delegates coming
from outside the United States to Triennial meetings of
the National Council of GSA, and
(c) The equipment and property of such
Girl Scouts and officials.
(2) Before providing any transportation, the
Secretary of Defense will obtain a bond from the GSA
sufficient to cover reimbursement of the actual costs of
transportation furnished.
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APPENDIX A
REFERENCES
Section I
Required Publications
AR 1-100 Gifts and Donations
AR 1-221 Attendance of Military and Civilian Personnel at Private Organization Meetings
AR 210-22 Private Organizations on Department of the Army Installations
AR 215-1 Army Morale, Welfare, and Recreation Activities and Nonappropriated Fund Instrumentalities
AR 360-61 Community Relations
AR 405-80 Management of Title and Granting Use of Real Property
AR 600-29 Fundraising Within the Department of the Army
DODI 1000.15 Private Organizations on DOD Installations
DODI 1015.9 Professional United States Scouting Organization Operations at United States Military Installations
Located Overseas
DOD 5500.7-R Joint Ethics Regulation
Section II
Related Publications
A related publication is merely a source of additional information. The user does not have to read it to understand this guide.
AR 1-101 Gifts for Distribution to Individuals
AR 11-2 Management Control
AR 25-1 The Army Information Resource Management Program
AR 58-1 Management, Acquisition and Use of Administrative Motor Vehicles
AR 210-7 Commercial Solicitation on Army Installations
AR 210-135 Banks and Credit Unions on Army Installations
AR 600-20 Army Command Policy
AR 700-83 Army Support to United Seamen’s Service
AR 870-20 Museums and Historical Artifacts
AR 930-1 Army Use of USO Services
AR 930-4 Army Emergency Relief
AR 930-5 American National Red Cross Service Program and Army Utilization
DA Pam 608-47 Guide to Establishing Family Support Groups
10 USC 2544 World and National Boy Scout Jamboree Support
10 USC 2545 International Transportation for Girl Scout Events
10 USC 2548 Support for Annual Conferences and Conventions of National Military Associations
Section III
Referenced Forms
DA Form 11-2-R Management Control Evaluation Certificate Statement
APPENDIX A References
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APPENDIX B
MANAGEMENT CONTROL EVALUATION CHECKLIST (extract from AR 210-22)
B-1. Function. The functions covered by this checklist include the operation of private organizations on Army installations. They
include key controls for obtaining permission to operate, maintaining proper documents for oversight and good standing. Also,
restrictions on Army personnel, checking for inappropriate or questionable operation compliance with applicable laws and
regulations regarding fundraising, use of Federal property, participation and membership by Federal employees and taking prudent
actions to avoid situations injurious to Army interests.
B-2. Purpose. The purpose of this checklist is to assist HQDA, and its field operating agencies, MACOMs, and installations in
evaluating the key management controls outlined below. It is not intended to cover all controls.
B-3. Instructions. Answers must be based on the actual testing of management controls (such as documented analysis, direct
observation, sampling, simulation). Answers that indicate deficiencies must be explained and corrective action indicated in
supporting documentation. These key management controls must be formally evaluated at least once every 5 years. Certification
that this evaluation has been conducted must be accomplished on DA Form 11-2-R (Management Control Evaluation Certification
Statement).
B-4 Test Questions.
a. Do private organizations on the installation have permission to do so from the Installation Commander?
b. Does the command maintain documents needed for oversight and necessary to attest that private organizations are in good
standing?
c. Does the installation adhere to restriction on use of Army personnel, military and civilian?
d. Are there instances that could be construed as soldiers or civilian personnel working for private organizations, as part of their
official duty?
e. Are instances of inappropriate or questionable private organization activities or government employee behavior corrected
when detected?
f. Does private organization use of government real estate conform to AR 405-80 requirements?
(1) Is there a license or lease agreement for property rights granted to private organizations?
(2) Does the Army receive income due from private use of Federal property?
g. When private organizations conduct fundraisers and are give logistical support for activities, is there a process for approving
fundraising and private organization support requests, including SJA reviews, to ensure compliance with DOD 5500.7-R (Joint
Ethics Regulation)?
h. Do private organizations comply with audit and other oversight requirements?
i. Is there command and personnel compliance with rules governing Government employee participation in private organization
activities?
j. Do local ethics classes for Army personnel include discussions about proper relationships with private organizations?
k. Are there periodic inspections of private organization documentation maintained by the command to determine accuracy and
compliance?
l. Are there periodic inspections to determine military and civilian personnel compliance with rules of ethics?
m. Is there comprehensive enforcement of recommendations resulting from management control evaluations, Inspector General
inspections, and the like?
Management Control Evaluation Checklist
APPENDIX B
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APPENDIX C
SAMPLE FORMAT FOR A CONSTITUTION
(Name of Private Organization)
P.O. Box 1234
Fort Excellence, GA 12345-6789
ARTICLE I -- Organization Name and Purpose
ARTICLE II -- General Provisions
(Include all statements required by AR 210-22 such as non-discrimination clauses and non-extremists clauses, adhere to all government
(Federal, State, and local) laws and regulations, government hold harmless clauses, etc.)
ARTICLE III -- Functions/Activities and Operating Procedures
ARTICLE IV -- Membership
ARTICLE V -- Officers and Government Body
(Attach names, with addresses and phone numbers)
ARTICLE VI -- Duties of Officers
ARTICLE VII -- Elections and Voting
ARTICLE VIII -- Standing Committees
ARTICLE IX -- Funding Sources
ARTICLE X -- Taxes
ARTICLE XI -- Insurance Coverage
ARTICLE XII -- Meetings and Quorums
ARTICLE XIII -- Amendments.
(Include procedures for amending the constitution to include number of voting members required to approval)
ARTICLE XIII -- Dissolution
(Include the following or similar statement: “If the organization is dissolved, all funds in the treasury at the time will be used to meet
outstanding debts, liabilities, or obligations. The balance of these assets will be disposed of as determined by the membership as approved by a
majority vote. If assets are not sufficient to cover all liabilities, the members of the organization will be personally responsible for these
liabilities.)
Signature of President Signature of Secretary
Name of President Name of Secretary
Position Title (President) Position Title (Secretary
Date Signed Date Signed.
Sample Format for a Constitution
APPENDIX C
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APPENDIX D
SAMPLE FORMAT FOR MEETING MINUTES
(Name of Private Organization)
P.O. Box 1234
Fort Excellence, GA 12345-6789
1. The meeting of the (Name of Private Organization) was called to order on (date and time).
2. The following personnel and members were present:
a. Members Present:
b. Guest Present:
3. OLD BUSINESS:
a. The minutes of the last meeting were read and approve (or approve with the following changes).
b. The financial report was presented and approved (or approved with the following changes).
4. NEW BUSINESS:
a.
b.
c.
5. DISCUSSIONS:
a.
b.
c.
6. The meeting was adjourned at (date and time). The next meeting will be held (date and time) at (location).
Signature of Secretary Signature of President
Name of Secretary Name of President
Position Title (Secretary) Title of Position (President)
Date Signed Date Signed
Attachment
Financial Report
Sample Format for Meeting Minutes
APPENDIX D
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APPENDIX E
SAMPLE FORMAT FOR A FINANCIAL REPORT
(Name of Private Organization)
P.O. Box 1234
Fort Excellence, GA 12345-6789
FINANCIAL REPORT
For the Month of August 2003
Operating Funds Available as of 1 August 2003 $ 2,514.33
OPERATING FUNDS:
Change Fund $ 146.00
Decorations $ 72.00
1
st
VP (Luncheons) $ 380.38
1
st
VP (Programs) $ 2.51
Membership $ 72.50
Ways & Means (Consignment) $ 183.20
Ways & Means
$ 558.85
Total Operating Income $ 1,415.44
OPERATING EXPENSES:
Child Care $ 28.00
Entertainment $ 146.00
Decorations $ 57.23
1
st
VP (Luncheons) $ 409.47
Historian $ 55.94
Membership $ 288.32
Newsletter $ 61.42
Recording Secretary $ 25.26
Ways & Means (Consignment)
$ 309.88
Total Operating Expense $ 1,381.59
Operating Funds Available as of 31 August 2003 $ 2,548.18
Submitted by: Verified by:
Signature of Treasurer Signature of Person Verifying Report
(Normally the Vice President or President)
Name of Treasurer Name of Person Verifying Report
Position Title (Treasurer) Position Title (Title of Person Verifying Report)
Date Signed Date Signed
Sample Format for a Financial Report
APPENDIX E
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APPENDIX F
SAMPLE FORMAT FOR AN AUDIT REPORT
(Name of Private Organization)
P.O. Box 1234
Fort Excellence, GA 12345-6789
AUDIT REPORT
For the Period (Beginning Month & Year) thru (Ending Month & Year)
FUND BALANCES
Beginning Balance
Ending Balance
Balance in Checking Account $ 525.31 $ 498.76
Balance in Saving Account $ 125.00 $ 125.00
Cash on Hand (change & petty cash funds, etc.) $ 100.00
$ 100.00 .
Total $ 750.31
$ 723.76 .
(NOTE: Beginning balances should equal ending balances on last audit)
FUND REVIEW
BEGINNING BALANCE $ 750.32
INCOME (List income by major categories)
Dues $ 250.00
Contributions $ 50.00
Meal Fees
$ 350.00
Total Income $ 650.00
EXPENDITURES (List expenditures by major categories)
Supplies $ 126.56
Donations $ 200.00
Meals
$ 350.00
Total Expenditures $ 676.56
ENDING BALANCE $ 723.76
.
AUDITOR COMMENTS:
(Make any comments or exceptions in regards to the audit of these funds and their internal controls.)
This audit was made in accordance with current regulations and includes tests of the accounting records and internal
controls. In my (our) opinion, subject to the above comments and exceptions cited in this report, the fund examined
reflects the results of operations in accordance with applicable directives.
Signature of Audit Committee Member
Name of Audit Committee Member Dated Signed
Signature of Audit Committee Member
Name of Audit Committee Member Dated Signed
Signature of Audit Committee Member
Name of Audit Committee Member Dated Signed
Format for an Audit Report
APPENDIX F
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APPENDIX G
Assistant Secretary of Defense Memorandum, 29 May 02, Subject: Use of DOD Component
and Installation Names in Titles of Private Organizations
APPENDIX G
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APPENDIX G
Assistant Secretary of Defense Memorandum, 29 May 02, Subject: Use of DOD Component
and Installation Names in Titles of Private Organizations (continued)
APPENDIX G
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APPENDIX H
INFORMATION PAPER
SUBJECT: Army Relations with Boy Scout Organizations
1. PURPOSE: To provide information on official Army relations with, and support to the Boy Scouts.
2. FACTS:
a. Prohibited Activities:
(1) Fundraising and Membership Drives. No official endorsement or participation in Boy Scout fundraising or
membership drives is allowed (JER, para 3-210).
(2) Endorsement or Sanction. Official endorsement or sanction may be neither stated nor implied, and Army
officials may not give preferential treatment to the Boy Scouts (JER, para 3-209). However, as noted below, there are
statutes authorizing specific support to overseas scouting and jamborees. Commanders may support Boy Scout events
(as opposed to fundraising) where there are legitimate community relations, morale and welfare, or other DOD interests.
(3) Official Participation in Management. Army personnel may not participate in management of Boy Scouts in
their official capacities. However, they may be appointed as official liaisons where there is a continuing Army interest
in discussion of matters of mutual interest (JER, para 3-201 and 3-202).
(4) Conflicts of Interest. Army personnel may not take official actions that affect the financial interests of the
Boy Scouts if they are an officer, director, or employee of the organization (18 USC 208) Even if Army personnel are
not officers in the Boy Scouts, if they are “active participants” in scouting, they should refrain from taking official
actions which affect the Boy Scouts interests in order to avoid the appearance of favoritism (5 CFR 2635.502). An
“active participant” is someone, such as a Scoutmaster, who does not necessarily have input to organization policy, but
has a visible and significant role with the Scouts.
(5) Gratuitous Membership. Army personnel may not accept an office, directorship or similar leadership position
in the Boy Scouts offered because of their official duty position (JER, para 3-201).
b. National and International Jamborees. The Army may provide the following services to national and world
Jamborees. Prior to these types of support being provided, the Boy Scouts must provide a bond to cover the items and
the risk of loss or damage costs associated with transportation (10 USC 2544).
(1) Loan of cots, blankets, commissary equipment, flags, refrigerators, and other equipment.
(2) Services and expendable medical supplies, as available without reimbursement.
(3) Transportation, as available, without expense to the US Government, and which does not interfere with
military operations.
(4) In the case of a Jamboree held on a military installation, DOD may provide personnel and logistic support at
the military installation, in addition to the areas of support listed in the three paragraphs above (10 USC 2544(g)).
c. Overseas Scouting. Subject to various levels of delegation and authorization, the Army may provide overseas
scouting organizations transportation, office space, recreational space, warehousing, utilities, and communications
without seeking reimbursement (10 USC 2606). DOD Instruction 1015.9 should be consulted before deciding what
support to provide for overseas scouting activities.
Information Paper – Army Relations with Boy Scout Organizations
APPENDIX H
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APPENDIX H
s. Marksmanship. As part of the civilian marksmanship program, the Army may issue ammunition and loan
weapons, targets, and related equipment to qualified Boy Scout troops (AR 920-20, Promotion of Practice With Rifled
Arms, para 3-5 and 3-6i).
e. Use of DOD Property.
(1) On a limited basis, commanders may authorize the use of DOD equipment (and manpower to operate the
equipment) in support of Boy Scout activities which are legitimate community relations events or provide genuine
benefit to the morale and welfare of the military community (JER, para 3-211 and 10 USC 2012). Commanders must
determine that:
(a) There is no interference with unit readiness and mission accomplishment.
(b) Support serves a legitimate Army interest, such as community relations (AR 360-61, Chap 3).
(c) The event is of interest and benefit to the local civilian and military community as a whole.
(d) The command is willing and able to provide support to other similar events and organizations (such as the
Girl Scouts).
(e) No admission fee beyond reasonable cost is charged either for the whole event or for that part supported
by DOD, or that the DOD support is incidental to the event.
(2) Installation commanders may authorize use of space for Boy Scout meetings and storage of equipment (AR
210-22, Private Organization on a Military Installation)
(3) Government equipment may be loaned or rented if there is no interference with mission accomplishment.
However, the Boy Scouts may not use installation auditing, data processing, financial management, legal, or purchasing
services (AR 725-1, Special Authorization and Procedures for Issues, Sales, and Loans, Chap 6).
(4) Army personnel who volunteer to participate may be given uncharged leave (a “permissive TDY”) to support
Boy Scout events that otherwise meet the requirements of a community relations event (AR 600-10, Leaves and Passes,
para 5-32).
Mr. Novotne/DSN425-6713
DAJA-SC
7 October 1998
Information Paper – Army Relations with Boy Scout Organizations (continued)
APPENDIX H
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APPENDIX I
CASE STUDIES OF PROPER AND IMPROPER CONDUCT
I-4. CASE. After arriving at a new duty assignment,
LTC Jones is asked by his new commander, an officer
in the Assembly of Uniformed Service Members
(AUSM), to explain why he is not a member of
AUSM.
The following case studies on proper and improper
conduct in regards to private organizations are
provided to assist both members of private
organizations and installation staff members in
properly deal with private organizations.
VIOLATION
. Coercion for the benefit of a
private organization. CFR 1635.702(a). I-1 CASE. The Fort Green Chief of Staff, a member
of the local chess club, calls the DCA and asks that the
chess club’s application to hold a fundraising event on
the installation be moved to the top of the pile.
I-5. CASE. The Director of Resource Management at
Fort Blue accepts an honorary membership in the
Omertown Rotary Club (ORC). The club’s
membership includes local businessmen and
businesswomen who are contractors with Fort Blue.
VIOLATION
. Use of public office for
personal/private gain, conflict of interest; acting as an
agent for a private organization before the Federal
government. 18 USC 205 and JER para 3-204.
VIOLATION
. Cannot accept honorary
memberships in an organization because of your
official position; appearance or actual conflict of
interest because of contractors doing business with the
installation and the individual’s duty position.
JER para 3-302.
I-2. CASE. During a membership campaign for the
National Enlisted Association of America (NEAA), the
802d Military Intelligence Brigade Command
Sergeant Major gives a cocktail party to recognize the
new president of the NEAA. She has invited all senior
enlisted personnel living within 50 miles. After a toast
to the guest of honor, she has an official photograph
take and hands each guest a printed pocket calendar
listing NEAA membership benefits and the local
chapter’s telephone number and address.
I-6. CASE. The Fort Smith Chief of Staff accepts an
appointment to the Board of Directors for the local
Chamber of Commerce that was offered because of his
duty position.
VIOLATION
. Appearance of official
participation in a membership drive; misuse of
government resources. JER para 3-210 and 3-305.
VIOLATION
. You cannot serve as a director
of an organization that was offered because of your
official position. JER para 3-301. And you cannot
serve as a director of an organization in you official
capacity without approval of the Secretary of the
Army. JER para 3-202.
I-3. CASE. In the Division Commander’s outer
office, a display contains information about
professional organizations. Included are a “please take
one” sign and brochures for 5 military-related
associations and 10 technology-oriented national
organizations.
I-7. CASE. The Civilian Personnel Officer at Fort
Oshkosh solicits subordinates to join the Toastmasters
Club via e-mail and at staff meetings.
OKAY
. Such displays are permissible when
displays are open to contributions from other similar
organizations.
VIOLATION
. Misuse of public office,
appearance of official endorsement. 5 CFR 2635.702;
JER para 3-205 and 3-230.
Case Studies on Proper and Improper Conduct
APPENDIX I
APPENDIX I
CASE STUDIES ON PROPER AND IMPROPER CONDUCT
I-8. CASE. The Commander of XXX Corps allows
his duty position to be used on the letterhead of the
Humane Society of the United States.
VIOLATION
. Improper endorsement.
5 CFR 2635.702; JER 3-205.
I-9. CASE. The Garrison Commander at Fort Blue, a
member of the Aviators Association of America
(AAA), actively participates in the association’s
activities. He also decides who in the command will
attend the AAA’s national convention in an official
capacity.
VIOLATION
. Appearance of conflict of
interest. 5CFR 2635.502; JER para 3-204.
I-10. CASE. An Assistant Secretary of the Army,
who previously soldiered in an Armored Division,
provides to the Society of Army Tankers (SAT) an
official photograph and letter on official letterhead
pointing out the benefits of membership in the Society.
The letter and photo will be used in membership
drives.
VIOLATION
. Improper use of office.
5 CFR 2635.702; JER para 3-205 and 3-210.
I-11. CASE. Major Smith is a member of the
Association of American Cavalryman that sponsors a
car wash to raise funds. Major Smith helps wash cars
during his off-duty time.
OKAY
. Fundraising in a personal capacity
during non-duty hours is permissible.
5 CFR 2635.808(c); JER para 3-300.
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I-12. CASE. Captain Day, a finance officer, has her
supervisor’s approval and is writing a paper that she
will present at the national conference of the
Organization of Army Comptrollers (OAC). The topic
is related to her official position and preparation of the
paper has not interfered with her official duties. She
has used government equipment to prepare the paper.
OKAY
. Use of government equipment under
these circumstances is permissible. JER para 3-300.
I-13. CASE. Colonel Johnson is the treasurer of the
local chapter of the Military Intelligence Association of
America (MIAA) and is responsible for MIAA’s
monthly billing statements for dues. He tasks his
secretary to prepare the billing statements during duty
hours on government equipment.
VIOLATION
. Misuse of government
resources and time. 5 CFR 2635.704 and 705;
JER para 3-305b.
I-14. CASE. The Deputy Commanding General at
Fort Green attends a fundraising banquet held on
behalf of the local American Society for the Prevention
of Cruelty to Animals (ASPCA). He is in uniform and
sits at the head table, and makes a speech encouraging
contributions.
VIOLATION
. No official support of
fundraising for private organizations. 5 CFR 2635.808;
JER para 3-210.
Case Studies on Proper and Improper Conduct (continued)
APPENDIX I
34
APPENDIX I
CASE STUDIES ON PROPER AND IMPROPER CONDUCT
I-15. CASE. Colonel Yoke, Commander of the 3399
th
Armor Brigade, declared a Friday as a training holiday
so the military community could participate in a private
organization sponsored picnic on the installation’s lake
front.
VIOLATION
. Endorsement of a private
organization, misuse of government resources.
5 CFR 2635.705; JER par 3-205.
I-16. CASE. Colonel Ping, assigned to HQ,
TROOPCOM, is an active member of the Oshkosh
State College Graduate School Alumni Association
(OSCGSAA). He visits the Commander of MDW in
an effort to convince him to reverse a recent denial of
the association’s request for certain support. After
discussing his concerns with the MDW Commander,
Colonel Ping flies back to Atlanta and completes a
travel voucher for per diem and transportation expense
reimbursement.
VIOLATION
. Using appropriated funds and
official time for personal business, government
employee acting as an agent for a non-Federal agency,
using government position to further personal interests.
18 USC 205; 5 CFR 2635.702 and .705;
JER para 3-204.
I-17. CASE. Sergeant Lee conducts door-to-door
solicitation for the American Cancer Society (ACS)
during its annual fundraising drives. Several junior
enlisted personnel with whom the sergeant works live
in the area he canvasses. In the process of the
solicitation, he knocks on doors and pitches ACS and
its need for money. The sergeant does not knock on
doors of enlisted personnel with whom he has an
official relationship. Another volunteer in the
community does that. Assume the Garrison
Commander has given the ACS permission to solicit
door-to-door.
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OKAY
. Only if door-to-door solicitation is
approved by the Garrison Commander. Avoided
coercion, fundraising in personal capacity and during
non-duty time is authorized. 5 CFR 2635.808(c);
JER para 3-300a.
I-18. CASE. A unit commander appoints a unit point
of contact for the local Military Spouses Organization
(MSO) membership drive.
VIOLATION
. Misuse of position, misuse of
government resources, endorsement of a private
organization, official participation in membership
drive. 5 CFR 2635.702 and .705l; JER para 3-205 and
3-210.
I-19. CASE. The Assistant Secretary of the Army for
International Affairs, ASA(IA), is the treasurer of the
Federal Officers/SES Organization of Federalists
(FOSOF). In her capacity, she approves TDY for
several members of her staff to attend the FOSOF
annual symposium.
VIOLATION
. Conflict of interest;
18 USC 208, 5 CFR 2635.402; JER 3-203.
I-20. CASE. The Garrison Commander at Fort Purple
has allowed sole or exclusive use of Army facilities by
the Association of Community Members (ACM)
without initiating a license or lease agreement.
VIOLATION
. No license or lease.
AR 405-80.
Case Studies on Proper and Improper Conduct (continued)
APPENDIX I
35
APPENDIX I
CASE STUDIES ON PROPER AND IMPROPER CONDUCT
I-21. CASE. Captain Blue, Commander, A Company,
is a member of the National Association of Officers
(NAO). He directs his soldiers to accept donations
(i.e., sell) raffle tickets for the NAO’s major
fundraising event during duty hours while in a duty
status.
VIOLATION
. Misuse of position and
government resources. 5 CFR 2635.702 and .705;
JER para 3-305. May also be in violation of State law
concerning gambling and lotteries.
I-22. CASE. Colonel Crawford, Director of Public
Works, is the president of the local chapter of the
National Association of the Army (NAA). NAA is
having computer problems, so Colonel Crawford asks
one of his subordinates with computer experience to
assist NAA in fixing its problems. The subordinate
uses his lunch hour or leave to go to the NAA
headquarters and works on their computers.
VIOLATION
. Misuse of position.
5 CFR 2635.702; JER para 3-305b.
I-23. CASE. At his weekly staff meeting, the
Commander, XXX Corps, a member of the National
Officers Association (NOA) announces that his
command will provide speakers and other limited
support (including the loan of a sound system and
soldiers necessary to operate it) for the NOA’s
upcoming regional conference. He has decided that the
conference will be useful for the local military
community and will not detract from mission
accomplishment.
OKAY
. Assuming all other criteria in JER,
para 3-211 are met; also mere membership in an
organization does not create a conflict or an appearance
of conflict of interest issue unless an “active
participant.” Should consult with the SJA prior to
approving use of government resources.
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I-24. CASE. The G2 at XXX Corps is the treasurer
of the local chapter of the Electronic Surveillance
Association (ESA). He decides who in his office
attends ESA’s national conference by selecting those
individuals who have done the most work in the ESA
during the year.
VIOLATION
. Conflict of interest; misuse of
personnel, resources, and position. 18 USC 208; 5
CFR 2635.702, .704, and .705; JER para 3-305
I-25. CASE. LTC Speer, Acting Director of Resource
Management at Fort Oshkosh, used Army letterhead
and his official signature block to strongly encourage
membership amongst his subordinates in the
Comptrollers Of America Association (CAA). The
Chief of Staff is made aware of LTC Speer’s actions,
and advises LTC Speer and all members of his staff
that this type of endorsement is improper. LTC Speer
apologies to his subordinates for the error.
OKAY
. Good leadership; the Chief of Staff
recognized the misuse of official position and that an
Army official may not endorse a private organization.
Took positive action to correct the error. LTC Speer
then took positive action with his subordinates to
correct his error.
Case Studies of Proper and Improper Conduct (continued)
APPENDIX I
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GLOSSARY
Abbreviations and Terms
Abbreviations:
AAFES - Army and Air Force Exchange Service
MOA - Memorandum of Agreement
ACS - Army Community Service
MOU - Memorandum of Understanding
AER - Army Emergency Relief
MWR - Morale, Welfare, and Recreation
AF - Appropriated funds
NAF - Nonappropriated Funds
AFAP - Army Family Action Plan
NAFI - Nonappropriated Fund Instrumentality
AFCEA - Armed Forces Communications and
NCOA - Noncommissioned Officers Association
Electronics Association
NMA - National Military Association
AFTB - Army Family Team Building
NMFA - National Military Family Association
APF - Appropriated Funds
NSIA - National Security Industry Association
AR - Army Regulation
OCONUS – Outside the Continental United States
AUSA - Association of the United States Army
OGE - Office of Government Ethics
BSA - Boy Scouts of America
PAM - Pamphlet
CFC - Combined Federal Campaign
PAO - Public Affairs Office
CFSC - US Army Community and Family
SER - Southeast Region
Support Center
SERO - Southeast Regional Office
CONUS - Continental United States
SJA - Staff Judge Advocate
DA - Department of the Army
US - United States
DAEO - Designated Agency Ethics Official
USC - United States Code
DCA - Director of Community Activities
USO - United Services Organization
DMWR - Director of Morale, Welfare, and
Recreation
DOD - Department of Defense
DODI - Department of Defense Instruction
FOIA - Freedom of Information Act
GSA - Girl Scouts of the United States of
America
HQDA - Headquarters, Department of the Army
IMA - Installation Management Agency
IRS - Internal Revenue Service
JER - Joint Ethics Regulation
MACOM - Major Command
Abbreviations and Terms
GLOSSARY
GLOSSARY
Abbreviations and Terms
Terms:
Agent – an individual who represents a private
organization in dealing with the Federal government.
Active Participant – an Army employee who regularly
participates in the management, operations, and
programs of a private organization in their off-duty
time. An individual is not an active participant of a
private organization if they only pay their dues, read
the monthly newsletter and attend an occasional
function.
Appropriated Funds – funds available from
Congressional appropriates.
Army Employee – any soldier (officer or enlisted) or
civilian employee (APF or NAF) working for the
US Army.
Audit – an official examination, verification, and
correction of account books that show the financial
status of a private organization.
Army Installation – a location, facility, or activity
assigned to, owned, leased, controlled, or occupied by
the Department of the Army.
Commercial Sponsorship – the acceptance of funds,
goods or services by the Army in exchange for
advertising opportunities for the company or
corporation. Commercial Sponsorship may only be
solicited/accepted by the MWR Commercial
Sponsorship program and only accepted in support of
MWR, AFAP, and AFTB programs and events.
Private organizations are not allowed to solicit or
accept commercial sponsorship.
Constitution and Bylaws – a document that outlines
the basic purpose of a private organization and the
means on how the private organization operates.
Co-Sponsored Event – an event or program jointly
put on by the Army and a private organization.
Considered an Army event. The Army may endorse
participation in the event and provide support within
the guidelines established by the JER.
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Disclaimer – an unambiguous statement that a private
organization is not endorsed or affiliated with DA or
DOD.
Donation – an individual or vendor giving funds,
goods, or services without the expectation of receiving
advertising opportunities in return. Private
organizations may solicit donations from off-post
vendors and companies if allowed by the Garrison
Commander.
Double Entry Accounting System – a system in
which both elements of each transaction (debits and
credits) are:
(1) Recorded separately; and
(2) Recorded during the period of occurrence.
Endorsement – an Army official encouraging
membership or participation in a specific private
organization.
Fidelity Bonding Insurance – insurance to protect a
private organization from loss of funds through the
embezzlement by private organization members or
employees. Bonding normally will equal the
maximum amount of cash handled in a month.
Financial Report
– a summary of the status of a
private organization finances. Covers a set period,
which is normally a month.
Fundraising – the raising of funds for a private
organization by soliciting cash contributions, in-kind
donations of services or goods, or grants from members
or non-members of the private organization.
Informal Funds – funds such as office coffee funds,
cup and flower funds, picnic funds, etc. These funds
operate on an installation without formal authority
because of their limited scope unless the Garrison
Commander decides otherwise.
Abbreviations and Terms (continued)
GLOSSARY
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Investment Club – a membership organization that
pools stated amounts of funds to invest in stock or
other securities. Usually, group members pledge a
regular amount to be paid into the club on a scheduled
basis, such as monthly or annually. Some clubs have a
committee that gathers information on securities,
selects the most promising, and recommends that the
club invest in them. Other clubs rotate the investigator
responsibilities among all their members. Most require
all members to vote for or against all investments,
sales, exchanges, and other transactions.
Joint Ethics Regulation – a DOD document which
outlines appropriate and inappropriate standards of
conduct by DOD personnel.
Legal Advice – because the laws and regulations
concerning non-Federal entities are somewhat
complex, commanders, supervisors, and staff are
encouraged to contact the installation’s legal advisors
and/or ethic counselors in the supporting Staff Judge
Advocate’s Office when issues concerning private
organizations arise to ensure they are acting properly.
Private organizations are not authorized direct legal
support from the SJA.
Liability Insurance – insurance to protect the private
organization and its members from public liability,
claims, property damage claims, or other legal actions
arising from private organization activities, one or
more of its members acting on behalf, or the operation
of any equipment, apparatus, of device under the
control and responsibility of the private organization.
Liaison – an individual appointed by the Commander
to inform a private organization on the concerns of the
Command and report back to the Commander on the
actions and concerns of the private organization. The
Liaison does not take an active part in the management
or operations of the private organization. The liaison is
mainly an observer.
Membership – individuals that belong to a private
organization. Membership, by itself, does not make
one an “active participant” as described above.
Minutes – a written summary of a meeting of a private
organization’s membership or officers.
GLOSSARY
Abbreviations and Terms
Terms (continued):
Managerial Fiduciary Responsibility – persons
charged with a legal duty to direct or manage an
organization. This means service as an officer of a
private organization (president, vice-president,
secretary, treasurer) or in the role of a member of the
board of directors/trustees that includes voting
authority for organizational matters, or as a general
partner in a partnership. It generally does not include
persons who perform advisory roles, or serve in topical
committee chair positions. One who exercises
fiduciary responsibility for a private organization also
would be considered an “active participant”. An
individual may exercise fiduciary responsibilities under
State law, but not be an officer, director, or trustee (e.g.
an accountant, auditor or attorney retained by a private
organization). In such cases, the individual still would
be an “active participant”.
Management of a Private Organization – legal
responsibility for making decisions, including financial
decisions, for the private organization. Used
synonymously with managerial fiduciary
responsibility.
Mutuality of Interest – a demonstrated substantive
interest in a subject matter by both the government and
a private organization. This is an essential ingredient
to any co-sponsorship.
Nonappropriated Fund Instrumentality – it acts in
its own name to provide, or assist other DOD
organizations in providing MWR and other programs
for military personnel, their families, and authorized
civilians. As a fiscal entity, it maintains custody of and
controls over its NAFs. It is also responsible for the
exercise of reasonable care to administer, safeguard,
preserve, and maintain prudently those APF resources
made available to carry out its function. It is not
incorporated under the laws of any State or the District
of Columbia and enjoys the legal status of an
instrumentality of the United States.
Nonappropriated Funds – cash and other assets
received by NAFIs from sources other than
Congressional appropriates. NAFs are Government
funds used for the collective benefit of those who
generate them. These funds are separate and apart
from funds that are recorded in books of the Treasurer
of the United States.
Abbreviations and Terms (continued)
GLOSSARY
39
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GLOSSARY
Abbreviations and Terms
Terms (continued):
Prohibited Activities – any private organization
conduct that may discredit the Army, DOD, or the
Federal government; impose a financial obligation on
the Army or NAFI activities; duplicating or competing
with authorized Army, NAFI (MWR or AAFES)
activities. Distribution or sale of alcoholic beverages
by a private organization.
Official Capacity or Participation – official capacity
refers to direct participation with a private organization
for the purpose of representing the interests of the
Department of Defense or the Federal government.
Official participation means that one or more of the
following may be said of your participation with the
organization: (1) it is derived from your Federal
position, title, or authority; (2) it entails official
positions or policies of the Department of Defense;
(3) it occurs on official time; and (4) it involves
expenditure of appropriated funds or nonappropriated
funds. Official participation normally does not include
taking an administrative role in a private organization,
unless specifically required by Federal statue.
Prohibited Source – as defined by 5 CFR 2630.203d,
a prohibited source may be any person who (1) seeks
official action by the Department of Defense, (2) does
business or seeks to do business with the Department
of Defense, (3) conducts activities regulated by the
Department of Defense, (4) has interests that may be
substantially affected by performance or
nonperformance of an employee’s official duties, or
(5) is an organization with a majority of whose
members are described above.
Perception of Preferential Treatment – granting
special treatment toward one private organization.
DOD policy is that all private organizations should be
treated the same. If one private organization is allowed
to do something, the Commander must be prepared to
allow all private organizations to do the same thing.
Qualified Auditor – a public accountant or certified
accountant licensed by a State or other recognized
licensing jurisdiction.
Personal Capacity or Participation – personal
capacity refers to participation in a private organization
in one’s private capacity. Personal participation means
that your participation in the organization is not
derived from your federal position, title, or authority;
does not entail official positions or policies of the
government; does not occur on official time; and does
not involve the expenditure of appropriated funds or
nonappropriated funds.
Represent on Behalf of a Private Organization –
refers to knowingly attempting to influence an official
action on a matter in which the Federal government has
an interest by making a communication to, or
appearance before, a Federal official or employee. The
term does not include the communication of technical
information.
Single Entry Accounting System – often called a
combined journal system. A simple system of
recording transactions on a cash basis. No inventories
or accounts receivable or payable are kept.
Private Organization – a self-sustaining, non-Federal
entity, incorporated or unincorporated, which is
operated on Army/DOD installations with the written
consent of the Garrison Commander or higher
authority, by individuals acting exclusively outside the
scope of any official capacity as officers, employees, or
agents of the Federal Government or its
instrumentalities.
Special Status Private Organization – a private
organization which is authorized limited support as
specified in federal statue or DOD policy or directive.
Status of Forces Agreement – international agreement
that defines the status of forces on the territory of the
host country.
Abbreviations and Terms (continued)
GLOSSARY
