Contribution Policy

Lake Lundgren Bible Camp (LLBC) appreciates the humanitarian, charitable, and nonselfish Christian attitude of those who wish to make contributions to LLBC. On occasion, gifts offered to LLBC might not align with the mission of LLBC or LLBC may not be able to use the gift in the way it was intended. This could threaten the status of LLBC as a charitable organization. It is therefore necessary for LLBC to review all contributions it receives in a consistent manner and provide guidance to donors as needed.

A contribution to LLBC, according to the Wisconsin Department of Financial Institutions, is a grant or pledge of money, credit, property, or other thing of value, except food, used clothing or used household goods, given to a charitable organization. Contributions can be either undesignated, i.e. for general ministry purposes, or designated for a specific purpose. LLBC will provide a receipt for all contributions that are tax deductible but will not provide a year-end report to the donor as each receipt indicates the total given over the course of the year.

Tax-Deductible Contributions

General Cash Contributions

General cash contributions are tax-deductible monetary contributions to LLBC are those given to LLBC for general ministry purposes and that meet the IRS criteria for a 501c3 charitable organization. Donations must be to the organization and must not be for the benefit of any private shareholder or individual having influence over the organization.

LLBC will have full and independent control over such funds. Gifts given for staff who are raising support are considered to be in this category as LLBC reserves the right to use such funds as it sees fit per IRS rules and ECFA guidelines. Any gifts received by LLBC and designated for a particular member of LLBC staff will be considered a contribution to LLBC and to be wholly and independently under the control of LLBC. These contributions will qualify as tax-deductible contributions. A receipt will be provided for qualified contributions.

Designated Cash Contributions

Designated cash contributions are tax-deductible contributions to LLBC that are given for a specific (designated) purpose to LLBC and also meet the IRS criteria for a 501c3 charitable organization.

LLBC will make all possible attempts to honor such gifts it receives by using it for its designated purpose. If LLBC believes that it will not be able to use such gifts in the manner for which they are intended, it reserves the right to refuse the gift. A receipt will be provided for qualified contributions.

If the program or project for which the gift was given cannot be undertaken or completed, the donor will be contacted to see if they would like the gift redesignated or returned. If the project or program is completed, the gift or remaining portion of the gift will be absorbed into LLBC’s General Fund and be fully under the control of LLBC.

Noncash Contributions

When LLBC is offered a noncash gift, LLBC will review the gift and determine if it is in line with LLBC’s stated mission or can help move the mission forward. Gifts of this type may be undesignated or designated.

LLBC will have full and independent control over undesignated gifts. LLBC will make all efforts to use any designated gifts accepted by LLBC in the way they were intended. The gift must support the overall ministry and objectives of LLBC.

An example of such a gift might be building supplies that can be used in a project or non-perishable food items that can be used in food service. Labor given in a project is not considered tax-deductible.

If the gift is approved by LLBC, LLBC may send a “gift-in-kind” receipt to the donor acknowledging the gift and stating what specific item was given and that the donor received no goods or services in return. LLBC does not place/determine the fair market value of the donation.

Noncash donations designated for use by an individual do not qualify as tax-deductible contributions. No year-end contribution report will be sent to the donor.

If LLBC believes that it will not be able to use such gifts in the manner for which they are intended, it reserves the right to refuse the gift.

For noncash donations over the amount of $5,000 the donor will need to fill out IRS form 8283 and have the gift appraised to certify the value. The form will also need to be signed by camp to verify the receipt of the gift.

Donors who donate a vehicle will be provided with form 1098-C by LLBC.

Gifts of Stock and Other Financial Assets

LLBC may accept gifts of stock, and other financial assets such as crypto-currency and precious metals. Potential donors should contact the camp office for details on contributing these items.

A contribution statement will be sent to the donor indicating the value of the contribution when it was received by LLBC. The donor should consult with a tax professional to determine the amount that can be used as a tax deduction as that may differ from the value when it was received.

LLBC will arrange to immediately sell any such donations that it receives.

Staff Support

As a nonprofit organization, LLBC is obligated to adhere to specific rules and practices in how we handle funds donated to LLBC in support of staff ministry. In order to ensure the tax deductibility of these donations, LLBC must abide by two tests that the IRS employs:

• The contributor’s intent must be primarily to benefit the mission of LLBC and not primarily to benefit the individual staff member. It is fine if they are particularly invested in an individual staff member’s role in LLBC’s mission, and it is fine for them to “preference” their gift for a staff member’s support, but still, their intent must be to benefit the mission, not simply to give the staff member money. If a donor wants to give money to a staff member regardless of LLBC, they can certainly do so. That would not be “support”, though, and is simply between the two individual parties. The gift would not be tax deductible and would not involve LLBC.
• LLBC must retain full control of the donated funds and discretion as to their use, i.e. they may be “preferenced” for a staff member’s support, but they are not “restricted” or “earmarked” as such. Accordingly, LLBC is not able to guarantee to use all support donations in the manner in which they are preferenced by the donor. Although that is our normal practice, they may occasionally be used differently. The donations belong to LLBC.

Year of Contribution

LLBC will consider all donations postmarked by December 31 to be given in that year and will be receipted as such. Any gifts postmarked after the 31st of December will be considered as donated in the new year.