Articles
of Incorporation
CLICK HERE - to download sample
amendment to articles of incorporation (wordprocessing file).
There are five legal status requirements that an organization must meet
to be certified as a CHDO by a local government using federal HOME
funds. These are:
- Purpose
- Among its purposes, the organization must have the provision of
decent housing that is affordable to low and moderate income people.
This must be evidenced by a statement in the organization’s
charter,
articles of incorporation, by-laws, or resolutions.
- No
Individual Benefit. No part of a CHDO’s net
earnings
(profits) may
benefit any members, founders, contributors, or individuals. This
requirement must be evidenced in the organization’s
articles of
incorporation. Note: this also required in order for an organization to
obtain a 501(c)(3) tax exemption.
- Clearly Defined Service
Area. The organization
must have a clearly defined geographic service area which can be
described and documented for the local government funding agency. CHDOs
may serve individual neighborhoods or large areas. However, while the
organization may include an entire community in their service area
(such as a city, town, village, county, or multi county area), they may
not include the entire state.
- Nonprofit Status.
The
organization must have a tax exemption ruling from the Internal Revenue
Service (IRS) under Section 501(c) of the Internal Revenue Code of
1986. The ruling must be evidenced by a 501(c) certificate from the IRS.
After downloading the sample Articles of Amendment they will need to be
edited
to fit your purposes. The downloaded document is a sample of Articles
of Amendment that can be used to amend your Florida nonprofit Articles
of Incorporation so as to qualify the organization as a "Community
Housing Development Organization" (CHDO) while at
the same time maintaining your "charitable" exemption under section
501(c)(3) of the IRS Code.
Instructions to amend
Articles of
Incorporation:
First, you must examine your present articles
incorporation to
determine the numbering of the sections which correspond to the
language in the amendment document. Then edit the amendment
document to correctly
reference those section numbers. Then,
file these
Articles of Amendment with the Florida Department of State. There is a
$35.00 filing fee. Mail the Articles of Amendment and a check payable
to "Secretary of State", to:
Florida Department of State
Division of Corporations
P.O. Box 6327
Tallahassee, Florida 32314
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Bylaws
CLICK HERE - to download sample bylaw amendments (wordprocessing file).
The HOME Program establishes requirements for the organizational
structure of a CHDO to ensure that the governing body of the
organization is controlled by the community it serves. These
requirements are designed to ensure that the CHDO is capable of
decisions and actions that address the community’s needs
without
undue influence from external agendas.
There are four specific requirements related to the
organization’s board which must be evidenced in the
organization’s by-laws, charter, or articles of
incorporation.
These are:
- At least 1/3 of the organization’s
board must be
representatives of the low-income community served by the CHDO.
- No more than 1/3 of the
organization’s board may
be representatives of the public sector.
- If a CHDO is sponsored by a for-profit entity,
the
for-profit may not appoint ore than 1/3 of the board. The board members
appointed by the for-profit may not appoint the remaining 2/3 of the
board members.
- States or local governments who charter CHDOs
may not
appoint more than 1/3 of the board, and the board members appointed by
the state or local government may not appoint the remaining 2/3 of the
board members
After downloading the file edit it to fit your needs.
The document is a sample board resolution amending the bylaws to add
language required to be a CHDO. You must first examine your
present bylaws to determine the specific section(s) that needs to be
amended. After doing this, edit the sample bylaw amendment
document that you downloaded from this website to make it refers to the
specific section of your present bylaws that
need to be amended.
Note: Examine the language of your
existing Bylaws and Articles of
Incorporation to see if there are any specific procedures that
must be followed in
order to adopt amendments (if none, then the bylaws can
be adopted by a
simple board resolution).
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