Model C Fiscal Sponsors

If this is a Model C arrangement - you as the Sponsor should not be the one pulling any event related permits or licenses. The Grantee you are sending funds to is the one really “hosting” the event and should take on all the operational burden - permits and licenses.

From a Model A perspective - I do have experience with events including alcohol permits and such. In that case we as the sponsor were the ones who had to sign all papers and secure the permits on behalf of the event we were hosting (via the Model A project). In this instance, yes the state and local limits would apply to you as the sponsor.

But again - as a Model C, I would highly recommend that you are not the one signing anything or securing any permits or insurance.

Thanks Josh, for the reply!

I hear what you’re saying about not accepting liability for the Model C. Thank you!

If the project’s LLC pulls the permit, they can’t accept donated alcohol from the wholesaler. They would need to “partner” with a 501c3 and the NPO would apply for the permit.

Sounds like this may work for a Mod A but not C?

Yes, as Josh mentioned, this type of event would be better organized under Model A engagement, but it would then have to be covered by your insurance, and the permits would be in your name as well. If you decide to undertake this type of project, I would suggest ensuring you have a clear alcohol donation policy in place, as in many states this type of donation is heavily regulated.

So then would it be fair to say that Model C projects are not able to receive the same benefits as an organization with their 501c3? We don’t do projects that need special event permits but have run into the alcohol issue for fundraisers and are trying to navigate Oklahoma’s charitable alcohol laws.