Creating Fiscal Sponsor Relationships in Foundation Cloud Grants

Introduction

Fiscal Sponsors are used by recipient organizations who are awarded a grant, but for a variety of reasons cannot receive the payment directly. The organization acting as the fiscal sponsor must be a non-profit organization that is eligible to receive grant payments.

Through recent product enhancements, Foundation Cloud Grants (FCG) now enables fiscal sponsor relationships to be enabled between any type of recipient (both individuals and organizations).

The material contained in this write up will include how to set up both the organization needing the fiscal sponsor and adding the organization to a grant

Setting up the Organization in CRM

This examples uses Raisers Edge as the integrated CRM system.

The organization that requires the fiscal sponsor must have two constituent codes on its record in RE on the Org2 tab – the “Recipient” constituent code and the “Requires Fiscal Sponsor” constituent code. A sample of an organization with these codes in RE is shown below:

Note:

1. The organization needing the fiscal sponsor cannot have the Payee constituent code.

2. The organization acting as the fiscal sponsor must have, at a minimum, the Recipient and Payee constituent codes.

Next, set up a relationship between the organization needing the fiscal sponsor and the organization acting as a fiscal sponsor in RE. As shown below, a relationship has been created with Penguin Committee with a Relationship and Reciprocal Relationship Type of Fiscal Sponsor. It is required that this type of Relationship be established between the two organizations for the process to work correctly.

Bringing the Relationship into Foundation Cloud Grants

Identifying Relationships

Add the relationship and its reciprocal to FCG so the system can recognize the pair for syncing.

1. Settings > System > Business Rules

2. Open the CRM tab and scroll down to the Relationship tile

3. Click the blue + to add a new relationship

   1. the dropdown list is driven by CRM, select the option used for both the fiscal sponsor and the reciprocal. In this case, we are using “Fiscal Sponsor” and “Benefit Recipient”

Syncing the Relationship

The next step is to bring the relationship into FCG. This can be done one of two ways. The relationship will be brought into FCG during the overnight sync process. However, if a grant needs to be created prior to that process running, open the organization needing the fiscal sponsor in FCG and do a Recipient Refresh. The record in FCG will look similar to the one shown below with constituents codes and a listed relationship.

A Recipient Refresh then needs to be done for the organization acting as the Fiscal Sponsor. As shown in Figure 4, the refresh brings the relationship over to FCG and displays it in the Relationship tile.

Creating a Grant Using a Fiscally Sponsored Organization

Creating a grant using an organization that has a fiscal sponsor is the same as creating a grant for a normal organization. Select Create New Grant and fill in the appropriate fields. When entering the Payee – you will be required to choose the Fiscal Sponsor record.

In the event you are allowed to choose a different Payee, review the set-up of the organizations in RE and do another recipient refresh on both organization’s FCG record. The most common mistake is having the Payee Constituent Code on the record needing the fiscal sponsor.

The Payee field will be populated with the organization acting as the fiscal sponsor as shown below.

Validation that your records are properly configured will appear with the Payee Type added to the record that is providing the Sponsorship and the Sponsor Type is for the organization that needs a Sponsor: