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Fiscal Sponsorship
Program Description
How It Works
Eligibility Requirements
Download a Fiscal Sponsorship Program Application and Guidelines
(PDF file)
Are you currently seeking funding for your film production? If so, Third
World Newsreel can provide you some of the benefits of tax-exempt status. Read below
to learn about our Fiscal Sponsorship program and how tax-exempt status can facilitate
fund raising efforts.
In accordance with its mission, TWN serves as a fiscal sponsor of independent
film and electronic media productions, as well as artistic, educational and
cultural projects emphasizing social justice issues and the concerns and
interests of people, groups, and nations often marginalized in mainstream media.
Camera News, Inc. dba Third World Newsreel (TWN) is a non-profit organization as
determined by the IRS under code 501(c)(3) and a registered New York State
Charity. Under the TWN Fiscal Sponsorship program, TWN acts as an umbrella
agency for your project, allowing the project to share some of the benefits of
non-profit status that include:
- Tax deductible donations to your project from individuals and other entities
that may be able to benefit from the tax deduction.
- Eligibility for funding from entities, such as foundations, government agencies,
and other parties that may only provide grants and funding to non-profit entities.
As a project’s umbrella agency, TWN is the recipient of any funds donated or
granted to the project. TWN maintains the funds in an account for the project.
Account funds are disbursed to the project director or her representative for
the payment of legitimate project related expenses and services. As such, TWN is
responsible for ensuring that funds are used for project purposes and used in
accordance with donors’ and grantees’ intent. TWN can be
the sole recipient of all project donations and grant funds or the recipient of
only the funds associated with a specific grant. In either case, TWN will issue
the necessary project related 1099’s in accordance with IRS guidelines.
The project director must account for expenditures by providing TWN
receipts evidencing payment for project goods and services. TWN will also
provide letters of thanks and acknowledgment to donors, and ensure
project representatives complete any required donation or grant related reports,
and issue any required 1099s for funds disbursed from TWN directly.
The Fiscal Sponsorship program does not provide any fund raising services, grant
application services, or distribution services. Nor does acceptance into the
Fiscal Sponsorship include TWN distribution of the finished product. TWN
distribution requires a separate application, review, and approval. TWN does not
have any ownership or rights in the production at any time, nor is TWN
responsible for project content. The project’s producers and/or directors are
responsible for the content.
TWN charges an administrative fee based on a sliding scale between 5%-7% of the
project income (donations and grants) based on a contract with the project
director. These amounts cover the expenses of TWN’s services to maintain
an accounting of donations and grants, send acknowledgment letters to donors and
grantees, reconcile project receipts with project cash disbursements, generate
and file IRS 1099 forms, and other services TWN must perform as the umbrella
agency for the project.
There is a $25 application fee for each project submitted for consideration for
TWN Fiscal Sponsorship. This fee is waived for NYSCA individual artist
applicants pending funding. Additional fees will be charged to individual
projects for specific services such as messengers, mailings, cash advances, etc.
Please note: no student projects are accepted.
You can download an application for Fiscal Sponsorship in Adobe PDF format.
Requests for applications via US mail should be directed to:
Fiscal Sponsorship Program
Third World Newsreel
545 8th Avenue, 10th Floor
New York, New York 10018
Questions about the
program and application status should be directed to the
Fiscal Sponsorship Officer at fiscal_sponsorship@twn.org.
This overview is not all inclusive, abbreviating the process and
omitting some other steps or requirements that may be part of the process.
- Upon acceptance into the program, TWN and the project representative sign a contract,
establishing a contractual relationship for the project. TWN sets up an account for the project.
- The project representative and associated parties continue their own fund
raising and application for grant funds. TWN does not do any fund raising or
grant applications on behalf of the project, though is available for
consultations on such.
- As funds are received from donors and from grants, they are paid to TWN on
behalf of the project. TWN maintains the funds in an account. TWN sends out
letters to donors, with copies to the project representative, acknowledging
their contributions. TWN also makes a record of any reports the donors and
grantors require and the due dates for the reports. Filmmakers are responsible
for preparing and sending their reports to donors, grantees and to TWN. Failure
to meet a reporting requirement can cause funds from the connected contributor
to be withheld pending completion of requirements to the contributor’s
satisfaction.
- As the project director incurs expenses or has needs for funds to purchase
project related goods and services, the project director requests that TWN
release specific amounts of funds to the project. TWN generally does not
pay any vendors, contractors, or other parties directly for goods and services
for the project. It is the project director’s responsibility to pay for goods
and services using the funds TWN releases to the project.
- The project director must provide an accounting of expenditures and a narrative
progress report annually to TWN, in addition to any required reporting of the
project's funders. TWN will not release additional funds for the project
until all prior released funds have been accounted for with receipts.
- At the end of each calendar year, TWN makes all appropriate filings with the IRS
for payments made to filmmakers and any independent contractors.
Filmmakers are fully responsible for submitting receipts and invoices for
reimbursements in accordance with their grants, but are fully responsible for
their own IRS reportings.
- The project must be a documentary or fictional work, the content of which
falls within the mission of TWN.
- The project must be a non-commercial film, video, or multimedia work. No student
projects are accepted.
- The project director/payee (the person responsible to receive funds and pay
expenses) must have a tax identification number (Social Security Number or
Federal Employee ID number).
- The project cannot promote any racism, sexism, or hate toward any person or
group of people.
- The project director must demonstrate, through the TWN Fiscal Sponsorship
application, an ability to raise project funds and produce a work through
completion.
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