PRINTER'S NO. 2224
THE GENERAL ASSEMBLY OF PENNSYLVANIA
SENATE BILL
No.
1402
Session of
2015
INTRODUCED BY BROWNE, NOVEMBER 2, 2016
REFERRED TO STATE GOVERNMENT, NOVEMBER 2, 2016
AN ACT
Amending the act of December 19, 1990 (P.L.1200, No.202),
entitled "An act providing for the registration and
regulation of solicitations by charitable organizations,
professional fundraisers and other solicitors; imposing
additional powers on the Department of State and the Office
of Attorney General; prescribing civil and criminal
penalties; and making a repeal," further providing for
registration of charitable organizations, financial reports,
fees and failure to file.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. Section 5(f) of the act of December 19, 1990
(P.L.1200, No.202), known as the Solicitation of Funds for
Charitable Purposes Act, amended October 27, 2006 (P.L.1180,
No.121), is amended to read:
Section 5. Registration of charitable organizations; financial
reports; fees; failure to file.
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(f) Audit of certain financial reports.--
(1) The financial report of every charitable
organization which receives annual contributions of
[$300,000] $500,000 or more shall be audited by an
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independent certified public accountant or public accountant.
Every charitable organization which receives annual
contributions of at least $100,000, but less than [$300,000]
$500,000, shall be required to have a review or audit of
their financial statements performed by an independent
certified public accountant or public accountant. Every
charitable organization which receives annual contributions
of at least $50,000, but less than $100,000, shall be
required to have a compilation, review or audit of their
financial statements performed by an independent certified
public accountant or public accountant. A compilation, audit
or review is optional for any charitable organization which
receives annual contributions of less than $50,000.
(2) Beginning January 1, 2020, and continuing every five
years thereafter on January 1, the department shall adjust
the base annual contribution threshold amounts triggering a
compilation, audit or review requirement in paragraph (1) by
applying the percentage change in the Consumer Price Index
for All Urban Consumers (CPI-U) for the Pennsylvania, New
Jersey, Delaware and Maryland area for the preceding five-
year period for which figures have been officially reported
by the United States Department of Labor, Bureau of Labor
Statistics, immediately prior to the date the adjustment is
to take effect, to the then current contribution threshold
amounts. The preliminary adjusted contribution threshold
amounts shall be rounded to the nearest $5,000 to determine
the final adjusted contribution threshold amounts and
published as a notice in the Pennsylvania Bulletin within ten
days of the date the determination is made.
(3) Audits shall be performed in accordance with
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generally accepted auditing standards, including the
Statements on Auditing Standards of the American Institute of
Certified Public Accountants, whereas reviews shall be
performed in accordance with the Statements on Standards for
Accounting and Review Services of the American Institute of
Certified Public Accountants.
* * *
Section 2. This act shall take effect in 60 days.
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