Subject: ARFN 501(c)(3) Application Date: Sat, 16 Jul 94 12:35:27 EDT (-0400) From: red@redpoll.mrfs.oh.us (Richard E. Depew) To Whom It May Concern, Here is a copy of the Akron Regional Free-Net's Application for recognition of 501(c)(3) status. Please put it in your public document archive. By the way, we sent you copies of the ARFN Articles of Incorportation and ARFN Code of Regulations three months ago and they have not shown up in the nptn.docs directory. Are we looking in the wrong place? If you misfiled them, I'd be glad to forward them again. In any case, these will be available on our gopher at "gopher.neoucom.edu 1070". Regards, Dick Depew (of the ARFN Organizing Committee) =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= cut here =-=-=-=-=-=-=-=-=-=-=-=-=-=-=-= Title: ARFN 501(c)(3) Application Form 1023 Application for Recognition of Exemption (Rev. Sept. 1990) Under section 501(c)(3) of the Internal Revenue Code Part I Identification of Applicant 1a Full name of organization 2 Employer identification number Akron Regional Free-Net 34:1729094 TT 1b c/o Name 3 Name and telephone number... (blank) Anne S. McFarland (216) 972-6352 1c Address Law Library University of Akron 1d City or town, state and Zip 4 Month the annual acct. period ends Akron, OH 44325-2902 December 5 Date incorporated 6 Activity codes 7 Check here if... 2-22-93 061 123 (blank) 8 Did the organization previously apply for recognition... ? [X] No 9 Has the organization filed Federal income tax returns... ? [X] No 10 Check the box for your type of organization a [X] Corporation -- Attach Articles of Incorporation and bylaws. (attached) [---------------------------------------------------------------------] Note: The following language relating to the 501(c)(3) status MUST be in the Articles of Incorporation. Required statement of tax exempt purposes required under IRC Section 501(c)(3): This corporation is organized exclusively for one or more of the purposes as specified in Section 501(c)(3) of the Internal Revenue Code, including, for such purposes, the making of distributions to organizations that qualify as exempt organizations under section 501(c)(3) of the Internal Revenue Code, or corresponding section of any future federal tax code. Required dedication of assets statement required under IRC Section 501(c)(3): Upon the dissolution of this corporation, its assets remaining after payment, or provision for payment, of all debts and liabilities of this corporation shall be distributed for one or more exempt purposes within the meaning of Section 501(c)(3) of the Internal Revenue Code or shall be distributed to the federal government, or to a state or local government, for a public purpose. Optional limitation on political activities statement under IRC Section 501(c)(3): No substantial part of the activities of this corporation shall consist of carrying on propaganda, or otherwise attempting to influence legislation [except as otherwise provided by Section 501(h) of the Internal Revenue Code], and this corporation shall not participate in, or intervene in (including the publishing or distribution of statements), any political campaign on behalf of, or in opposition to, any candidate for public office. Optional limitation on private inurement statement under IRC Section 501(c)(3): No part of the net earnings of this corporation shall inure to the benefit of, or be distributable to, its members, directors, officers, or other private persons, except that this corporation shall be authorized and empowered to pay reasonable compensation for services rendered and to make payments and distributions in furtherance of the purposes set forth in these Articles. Optional general limitation on activities statement under IRC Section 501(c)(3): Notwithstanding any other provision of these Articles, this corporation shall not carry on any other activities not permitted to be carried on (1) by a corporation exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code or (2) by a corporation contributions to which are deductible under Section 170(c)(2) of the Internal Revenue Code. [---------------------------------------------------------------------] Please Sign |> Anne S. McFarland Trustee 6-21-93 Here (signature) (Title) (date) =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 2 Part II Activities and Operational Information 1 Provide a detailed narrative description of all of the activities... (a) what (b) when (c) where and by whom? 1) Developing Community Participation (a) The Akron Regional Free-Net will be a community telecomputing network, serving almost every sector of the community. Organizations currently participating are the public library, the public schools, three universities, Akron City government, Summit County government, Info-Line information referral service, etc. These organizations will be informa- tion providers. (b)-(c) A major activity of the Trustees will be to enlarge this group by contacting organizations in the community and arranging for demonstrations of the Free-Net. Community contacts began in the summer of 1991. From an original group of seven, the core group now numbers about twenty with another thirty kept informed through a mailing list. 2) Fundraising See response to Part II, Question 3. 3) Hardware/Software Acquisition and Maintenance (a) The Free-Net runs on fairly sophisticated computer equipment. A fair amount of time will be needed to oversee operation and maintenance of this equipment. The University of Akron has agreed to let the Akron Regional Free-Net install its computer system at the University's Com- puter Center. 4) Recruitment and Training of Volunteers (a) The backbone of the Akron Regional Free-Net will be its volunteer systems operators, or sysops. The sysops will actually create the individual databases that will form the Free-Net. Each interest group will have its own base and will be responsible for building and maintaining that base. (b)-(c) As soon as computer hardware and software is acquired, sysops can begin constructing databases. The Board of Trustees will es- tablish a Committee to oversee the recruitment and training of sysops. 2 What are or will be the organization's sources of financial support? List in order of size. 1. Grants and donations from public and private sources. 2. Contributions from information providers. 3. Contributions from users. 3 Describe the organization's fundraising program... See attachment. =-=-=-=-=-=-= Form 1023, Attachment Part II, Item 3 Akron Regional Free-Net - EIN: 34-1729094 TT c/o Law Library University of Akron Akron, OH 44325-2902 Fundraising will be of two main types. First, each organiza- tion that is interested in being an information provider will be asked to help support the Free-Net financially,k although such support will not be required. The University of Akron has offered to house the Free-Net's computer equipment at its computer center and may provide funds toward the purchase of hardware. Second, public and private organizations will be approached for donations. It is our plan to approach these organiza- tions with volunteers from the Board of Trustees. We have not yet developed any specific material to present to these organizations, but we attach a _Prospectus_ for the Akron Regional Free-Net that we use to explain the concept. To identify these organizations, we will use the Foundation Center Directory and other reference sources. Members of the Board of Trustees will contact prospects for grant applica- tions and guidelines and will prepare and submit proposals. Third, when the Free-Net begins operation, individuals who apply for accounts will be solicited for contributions, al- though such contributions will not be necessary in order to obtain access to the Free-Net. In the course of making community contacts, we are constantly adding to a list of interested individuals, and we plan to solicit contributions from this list as well. Fundraising activities as of the date of submission of this Form 1023 have been consistent with the above plan, which should be implemented fully during late 1993 and 1994. =-=-=-=-=-=-= Form 1023, Attachment Part II, Item 3 Akron Regional Free-Net - EIN: 34-1729094 TT c/o Law Library University of Akron Akron, OH 44325-2902 PROSPECTUS FOR AN AKRON FREE-NET (an earlier version of the "Plan for an Akron Free-Net" brochure) =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 3 Part II Activities and Operational Information (Continued) 4 Give the following information about the organization's governing body: a Names addresses, and titles of officers...etc. b Annu. Compensation Anne S. McFarland, Trustee 12699 Cedar Road Cleveland Hts., OH 44106 none Everett P. Prentice, Trustee 4325 Maple Park Road Stow, OH 44224 none Debra S. Keller, Trustee 5790 Lyric Drive Clinton, OH 44216 none c Do any of the above serve...or being appointed by public officials? . . . . . . . . . . . . . . . . . [X] Yes If "Yes", name those persons and explain... Everett Prentice is Director of Information Systems for Summit County and was asked to serve as Trustee because local government participation is desirable. d Are any members... "disqualified persons"... [X] No 5 Does the organization control...any other org.? [X] No Is the organization the outgrowth of another...? [X] No 6 Does the organization directly or indirectly engage in any of the following...? [X] No 7 Is the organization financially accountable to...? [X] No =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 4 Part II Activities and Operational Information (Continued) 8 What assets does the organization have...? Computer hardware and software will be acquired and operated. 9a Will any of the organization's facilities or operations be managed by another organization or... [X] No b Is the organization a party to any leases? [X] No 10 Is the organization a membership organization? [X] No 11a If the organization provides benefits... are the recipients required, or will they be required to pay for them? [X] No b Does or will the organization limit its benefits... to specific individuals or classes of individuals? [X] No 12 Does... organization attempt to influence legislation? [X] No 13 Does... organization intervene in... political... [X] No =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 5 Part III Technical Requirements 1 Are you filing Form 1023 within 15 months... [X] Yes If you answer "Yes", do not answer questions 2 though 6. (2-6 left blank.) =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 6 Part III Technical Requirements (Continued) 7 Is the organization a private foundation? [X] No (Answer question 9 and proceed as instructed.) (8 left blank) 9 ...indicate the... classification... most appropriately applies: THE ORGANIZATION IS NOT A PRIVATE FOUNDATION BECAUSE IT QUALIFIES: (h) [X] As receiving a substantial part of its support in the form of contributions from publicly supported organizations, from a governmental unit, of from the general public. If you checked box (h), (i) or (j), go to question 10. =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 7 Part III Technical Requirements (Continued) 10 ... have you completed a tax year of at least 8 months? [X] No -- You must request an advance ruling by completing and signing 2 Forms 872-C and attaching them to your application. 11 If the organization received any unusual grants... Not applicable. 12 (left blank) 13 (left blank) 14 Indicate if your organization is one of the following: church, school, hospital etc, 509(a)(3), operating foundation, home for aged or handicapped, child care, student aid, absorbed "for profit"? (All marked [X] under "No") =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 8 Part IV Financial Data A.---Statement of Revenue and Expenses Current tax Proposed budget for 2 years (estimated) year (a) From 2/22/93 (b) 1994 (c) 1995 to 12/31/93 1 Gifts, grants, etc... 6000 18000 18000 2 Membership fees... -0- -0- -0- 3 Gross investment income 20 100 100 4 Net income from... -0- -0- -0- 5 Tax revenues... -0- -0- -0- 6 Value of services... 6000 17000 17000 7 Other income... -0- -0- -0- 8 Total 12,020 35,100 35,100 9 Gross receipts... -0- -0- -0- 10 Total 12,020 35,100 35,100 11 Gain or loss... -0- -0- -0- 12 Unusual grants... -0- -0- -0- 13 Total revenue 12,020 35,100 35,100 ------------------------------------------------------------ 14 Fundraising expenses. 2000 6000 6000 15 Contributions etc paid -0- -0- -0- 16 Disbursements to... -0- -0- -0- 17 Compensation of... -0- -0- -0- 18 Other salaries and... -0- -0- -0- 19 Interest -0- -0- -0- 20 Occupancy -0- -0- -0- 21 Depreciation etc... -0- -0- -0- 22 Other -0- -0- -0- 23 Total expenses 2000 6000 6000 24 Excess of revenue... 10,020 29,100 29,100 =-=-=-=-=-=-= Form 1023 (Rev. 9-90) Page 9 Part IV Financial Data (Continued) B.---Balance Sheet... (Estimated) Current tax year Date 12-31-93 Assets 1 Cash . . . . . . . . . . . . . . . . . . . . . 1 1,020 2 Accounts receivable, net . . . . . . . . . . . 2 -0- 3 Inventories . . . . . . . . . . . . . . . . . 3 -0- 4 Bonds and notes receivable . . . . . . . . . . 4 -0- 5 Corporate stocks . . . . . . . . . . . . . . . 5 -0- 6 Mortgage loans . . . . . . . . . . . . . . . . 6 -0- 7 Other investments . . . . . . . . . . . . . . 7 -0- 8 Depreciable etc assets (computer equipment) . 8 5,000 9 Land . . . . . . . . . . . . . . . . . . . . . 9 -0- 10 Other assets . . . . . . . . . . . . . . . . . 10 -0- 11 Total assets . . . . . . . . . . . . . . 11 6,020 Liabilities 12 Accounts payable . . . . . . . . . . . . . . . 12 -0- 13 Contributions, gifts, grants, etc. . . . . . . 13 -0- 14 Mortgages and notes payable . . . . . . . . . 14 -0- 15 Other liabilities . . . . . . . . . . . . . . 15 -0- 16 Total liabilities . . . . . . . . . . . 16 -0- Fund Balances or Net Assets 17 Total fund balances or net assets . . . . . . 17 6,020 18 Total liabilities and fund balances... . 18 6,020 =-=-=-=-=-=-= Form 1023, Attachment Part IV B, Item 8 Akron Regional Free-Net - EIN: 34-1729094 TT c/o Law Library University of Akron Akron, OH 44325-2902 8. Schedule of Depreciable and Depletable Assets As of the date of submission of this form, no equipment has been pur- chased. Intended purchases during 1993 are the following, although the actual purchases may vary somewhat. 1) 1 Sun X814A 5-G-byte 8mm Tape Back-up Drive $4,200.00 Desktop storage module 2) 1 Sun X559A 644-Mbyte Desktop SunCD Pack $ 800.00 to load operating system Total: $5,000.00 =-=-=-=-=-=-= Form 8718 User Fee for Exempt Organization (Rev. October 1990) Determination Letter Request 1 Name of organization Akron Regional Free-Net 2 Type of request (check only one...) Fee b [X] Initial request for an exempt organization determination letter... averaging more than $10,000 during their first four years . . . . . . . . . . . . . . . . . . . . . . . $375 [attach check or money order here] =-=-=-=-=-=-= Form 872-C Consent Fixing Period of Limitation Upon (Revised 9-90) Assessment of Tax Under Section 4940 of the Internal Revenue Code Under section 6501(c)(4)..., Akron Regional Free-Net Law Library, University of Akron and the district director... Akron, OH 44325-2902 Consent and agree that the period for assessing tax... Ending date of first tax year 12/31/93 Name of organization Date Akron Regional Free-Net 6-21-93 Officer or trustee having authority to sign Signature |> Anne S. McFarland, Trustee