turner;142835 wrote: Our PTA is considering the switch. They approved the switch this year but then found it to be too much work. I am the incoming president and am already seeing the benefits of switching. Our biggest problem is that our PTA owns some equipment - two popcorn machines and a nacho cheese machine that we purchased with funds or were donated. We were told that those items would have to be given to the State PTA to do with what they would like. Is this true? How can we switch without giving up our equipment?

Hi Turner -

Couple of answers:

1. I don't have a firm legal answer on this and I'm not a lawyer, but I'm highly, highly doubtful that that threat is enforceable. I've heard the threat a ton and still haven't found one case where it's actually happened. I doubt it's enforceable legally... and it certainly doesn't pass any smell or PR test. I think one tactic would be to make the change and then -- if any state person asked for your used popcorn machine (I doubt they even would) -- tell them to pound sand.

2. If you feel like eliminating the issue completely, just donate those machines to your school. Do it outright... or donate them for 6 months and then have the principal or district donate to your PTO later.

Tim

turner;142835 wrote: Our PTA is considering the switch. They approved the switch this year but then found it to be too much work. I am the incoming president and am already seeing the benefits of switching. Our biggest problem is that our PTA owns some equipment - two popcorn machines and a nacho cheese machine that we purchased with funds or were donated. We were told that those items would have to be given to the State PTA to do with what they would like. Is this true? How can we switch without giving up our equipment?

I have never had any experience with a PTA so I don't know the by-laws, etc. but, if the local PTA (not the county or state level) purchased the equipment couldn't it be sold to a 3rd party? Find a 3rd party (parent or someone) who is willing to pay for it. Propose the sale at a meeting and getting it approved by the full membership. Sell the equipment to the 3rd party, having them provide a receipt to the PTO detailing the transaction. The cost I am guessing could be as low as a $1 but that may be defined in the bylaws. (Although the amount isn't really as important here anyhow.) Make sure the 3rd party takes possession of the equipment and removes it from the property. Then the equipment has been liquidated and the funds deposited into the regular PTA account, which is then used to provide supplies for the school as the PTA agrees upon.

After the change over (I would say about a year or so or it may be defined in the by-laws somewhere) have the 3rd party sell the equipment back to the PTO for the same cost.

I would be careful to make sure that a member of the board is not the 3rd party as well, just to prevent any further discussion on the issue by the higher levels of the PTA.

Like I said, not sure this will work since I have no experience on it, but it is something I would certainly investigate to keep from loosing out on something the kids (ultimately) worked hard for!

Our PTA is considering the switch. They approved the switch this year but then found it to be too much work. I am the incoming president and am already seeing the benefits of switching. Our biggest problem is that our PTA owns some equipment - two popcorn machines and a nacho cheese machine that we purchased with funds or were donated. We were told that those items would have to be given to the State PTA to do with what they would like. Is this true? How can we switch without giving up our equipment?

mdmprez described our experience pretty closely. people tried to amke it sound like it was the hardest thing in the world to do, but it wasn't really. We came up with simple bylaws one of our members did the paperwork for getting us a non-profit number and everything is fine. All I remember is that we were paying something like 500 dollars to PTA every year and when we wanted to leave they kept saying that we wouldn't have their tax exempt status. Well, it cost us about $50 to get that.

Our PTA switched to a PTO last June. First you have to have a vote with your executive board members. When the decision is made to switch over to a PTO you have to present it to the membership and have a ballot vote.If it passes with the membership you then have to alert the county and state via a letter that you have made the decision to disband.According to the PTA bylaws they have the right to come to one of your meetings to try and convince you to stay a PTA.The women who contacted me on behalf of the PTA were very aggressive and obnoxious. The PTA will then ask for your left over funds. If you are smart you will completely deplete your funds on the school and the children. The PTA will also ask you for your President,Treasurer and Recording Secretary Books. You will have to cease using their Tax Exempt numbers. This is one of the things they will continually mention in order to get you not to disband. Here in New Jersey we have filed all forms needed to become a tax exempt entity. It wasnt as bad as we thought it would be. The IRS was very helpful when we called with any questions.I feel we did the right thing for our kids becoming PTO as now ALL of our membership dues stays in our account and is spent on OUR kids. Warning though, the first year is very stressful. You have to make new bylaws, procedure books and at times you will wonder "Did we do the right thing switching?" In the long run it will pay off.
Good Luck!

We looked into it last year but didn't do it. In Illinois where we are, it wasn't all that bad. We certainly didn't get any help from the state organization but it came down down to the fact that we could do whatever we wanted with our group if our membership voted that way. Check your own bylaws and check your state PTAS bylaws if you canget your hands on them. Biggest place where the state seemed to have a claim was on money. I think I remember something about a bylaw that said the remaining funds of a disbanding PTA must stay with the PTA. We figured though that we just wouldn't have any remaining funds, we'd just spend what we had in our budget on our school and then start from scratch with the new PTO.

Like I said, we didn't make the change but we certainly could have.