Dear Clay,
As I understand it by the PTO Today's own information, a PTO is not legally allowed to give gifts to staff for any reason. The IRS is ing down on that. Were you intending to report those gifts to the IRS via a 1099? I am not sure who would be in trouble, but I'm guessing a start would be the name of the person who signs the check. Perhaps your PTO should look into the PTO Today's article concerning the illegalities of giving gifts of any kind, ie; maternity, for dismissed staff, Christmas gifts, etc. The way I read the article the PTO cannot give a gift worth more than approximately 20.00. If that is the size of the gift you are giving you have nothing to worry about. If your gift is larger, you may want to consult an attorney.
Do you have a Vice President who is supposed to step up in the absence of the President? Do you have a budget to guide you on expenditures? I would think even with that, any expenses outside the norm can be brought before the membership to be decided.
We are currently having trouble with the Pastor of the church sponsoring/housing the school. The PTO president has resigned and we look to the Pastor to restrict how PTO funds can be expended. Can the parents of the PTO which raised the funds vote to expend them for other means (i.e., severence gift to dismissed staff, etc.)? Any thoughts would be helpful.