Old 501(C)3 hurts Chadwick Bay
Times have changed since the Chadwick Bay Regional Development Corporation was formed decades ago.
According the officials, back then a 501(C)3 nonprofit status was required to obtain grants from New York state. Now, more and more, the state is moving away from giving grants to nonprofits in favor of a new model of making a specific municipality the lead agent.
“We have to do audits every year and a lot of money goes just to keep the function of the corporation. We wanted to put it out there for consideration, to still have Chadwick Bay as a group still coming together and discussing regional projects, but without having that 501(C)3 status, filing, etc.,” Portland Supervisor Dan Schrantz said.
It was also noted there is time and money required for training board members. Also, there are options to partner with the Local Economic Development Committee or the city of Dunkirk for grant writing.
Remaining a nonprofit is costly to the organization in more ways than one.
“What we charge all the communities (in dues) is basically to keep us functioning. If we dropped that 501(C)3 status, we wouldn’t have to keep charging everybody as much and maybe we would draw more communities back into the group,” Schrantz added.
Currently, Fredonia and Hanover have not paid dues to be voting members.
Members and guests at the recent meeting asked for answers to the questions of how to drop a 501(C)3, could the designation be attained again and how much would either action cost, before moving forward.
“Years ago we couldn’t talk about (regional projects). Everybody wanted to be on their own and Chadwick Bay brought that all together. We’d hate to see it die because you can exchange a lot of good ideas with everybody and I think it’s very beneficial for regional concepts,” Schrantz added.