Procedures for Monitoring Grants to Israeli Charities and Other Foreign Charities
Friends of Israel Defense Forces (FIDF) Is an example of an organization that has instituted specific procedures to systematically monitor grants at the time they are awarded and throughout their lives.
Form 990 instructions regarding grant monitoring. Describe how the organization monitors its grants and other assistance (and re-grants) to ensure that such grants and other assistance are used for proper purposes or aren’t otherwise diverted from the intended use. For example, the organization can describe required periodic reports and accountings, field investigations by the organization’s personnel, and third-party audits.
Grants for projects and programs are made pursuant to a contract or memorandum which delineates the intended use of the funds by the grantee and the timetable of grant payments. Funds are disbursed on a very disciplined and controlled basis and only upon receipt of a transfer requisition from the grantee accompanied by supporting documentation of the expenses to be paid, where applicable. Such documentation includes invoices, construction progress reports, photos and/or videos, reports of program services rendered and similar evidence, depending on the matter on hand. FIDF staff reviews the documentation provided and, when satisfied with its completeness, authorizes release of the funds. Funds so released must be used by the grantee only for the specific purpose and not for any other purpose. FIDF maintains detailed records of what it has paid for and the balance of its commitment remaining to be paid at any point in time. In addition, FIDF personnel and its Israel based representatives periodically visit projects and programs in progress for a first hand assessment that the funds are being used as intended.
American Friends of Tel Aviv University monitors grants made to the Israeli charity but tells little about the methods or extent of the monitoring.
Form 990 instructions regarding grant monitoring. Describe how the organization monitors its grants and other assistance to ensure that such grants and other assistance are used for proper purposes or aren’t otherwise diverted from the intended use. For example, the organization can describe required periodic reports and accountings, field investigations by the organization’s personnel, and third-party audits.”
American Friends of Tel Aviv University contracts with an auditing firm that audits the funds that have been transferred outside the US.
Friends of Israel Sci-Tech Schools, Inc. provides no information on the Form 990 about monitoring grants to foreign charities.
Form 990 instructions regarding grant monitoring. Describe how the organization monitors its grants and other assistance (and re-grants) to ensure that such grants and other assistance are used for proper purposes or aren’t otherwise diverted from the intended use. For example, the organization can describe required periodic reports and accountings, field investigations by the organization’s personnel, and third-party audits.”
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