Purpose

Provide guidance on requesting and distributing grants for expense payments from church/project funds. 

Scope

This standard applies to all grants used in connection to church and project funds.

Policy Supporting This Standard

• Funds and Grant-Making Policy for Churches and Projects
• See also: When to use Grant vs. When to use Reimbursement for a Church/Project Fund Expense. (Need to update Reimbursements vs. Grants wrong info but also links to old reimbursement pages)

Standard Statement

The Reliant Board of Directors desires to issue financial ministry grants to other organizations to further Reliant’s exempt purposes and for use with programs not conducted directly by Reliant. Reliant leadership will review and determine whether to approve grant requests. 

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Roles:

The Reliant Point Person is either a Reliant employee/associate (preferred) or if the partner does not have employees with Reliant, a vetted individual from the church/ministry assigned to run point as the main contact for the church/project fund. The Reliant Point Person receives and distributes monies on behalf of the church/ministry to any Designated Grantees. All church/project funds are required to have an individual assigned as the Reliant Point Person. The Reliant Point Person agrees to complete training on grants and expense submissions and agrees to send a grant report every 6 months for the monthly payments received

The Authorized Signer(s) is the individual(s) who is authorized to approve transfers, reimbursements, grants, and other payments from the church/project fund. The names of the Authorized Signers may be found on the Accounts Payable Signing Authority List.

The Designated Grantee(s) is a foreign national receiving monies distributed from the church/project fund.

Designated Grantee

Foreign nationals may receive monies from a church/project fund as a Designated Grantee under the conditions that the foreign national:

• Work alongside an existing Reliant partnership.
• Be identified and vouched for by a Reliant worker or church/ministry partner.
• Be vetted using the OFAC Watchlist Verification.
• Able to receive monies through the officially registered-in-country church or ministry or a Reliant employee/associate. 

Reliant Point Person

Determining Grant Payments

Distribution:

The approval of a church/project fund confirms that Reliant is in agreement to pay out any amount of grant expenses incurred that are in line with the approved church/project fund purpose and no further approvals for increased grant amounts above the projected approved amount for the fund are needed.

Grant recipients may be related or unrelated organizations and may be domestic or foreign. Reliant will take reasonable steps of due diligence to ensure that it is not otherwise assisting known or suspected terrorists through its foreign grant-making process. This would include the checking of applicable governmental lists provided and maintained by the U.S. Treasury Department.

Grant requests are used to request payments that will be distributed from the Reliant church/project fund. The Reliant Point Person for the fund typically will be the one submitting grant requests on behalf of the church/project fund as well as sending grant reports. Only Authorized Signers of the specific church/project fund can approve the grant request. 

Grants can be one-time or recurring payments for expenses and for support through Designated Grantees. The church/ministry partnership determines if the Designated Grantee is receiving monthly payments or one-time payments through grants and that the Designated Grantee is in agreement on those amounts and frequency. The program team will work with the church/ministry partner to determine a monthly amount that may be sent for support. It must be clearly communicated that Reliant cannot hire them or have the appearance that they are being paid for hours worked, even as a contractor.

• The individual receiving funds (usually the Reliant Point Person) on behalf of the Designated Grantee agrees to complete training on grants and expense submissions and agrees to send a grant report every 6 months for the monthly payments received.

Foreign nationals may receive monies from a church/project fund as a Designated Grantee under the conditions that the foreign national:

• Work alongside an existing Reliant partnership.
• Be identified and vouched for by a Reliant worker or church/ministry partner.
• Be vetted using the OFAC Watchlist Verification.
• Able to receive monies through the officially registered-in-country church or ministry or a Reliant employee/associate. 
• Agree to inform Agree to (when living outside U.S. soil) inform Reliant if they come to the U.S. for any extended amount of time , because as Reliant cannot send them payment if they are on U.S. soil.

Once the above criteria have been met, and the Designated Grantee has been approved, then any associated church/project funds (whose sole purpose was for Designated Grantee funding) can now be officially created. 

Grants: Payment type (both recurring and one-time special payments) used to reimburse church and project fund expenses and used to send funds to Affiliated Project Fundraiser. 

Process of Grant Payment Approval

• We propose that the Grant Request and AP Request be combined into one form. The form will include an Office Use Only Tab to be used by Accounting to process the AP Request portion and a tab for approvals from the Director of Organizational Affairs and Chief Financial Officer. The form will be used externally for staff to initiate a grant request and internally for processing payment.

Requirements:

• Reliant will refuse any grants that are requested if it determines that the grant is not in line with the approved purpose of the associated church/project fund. 
• Reliant grants cannot be used for any purpose other than those approved by Reliant.
• Reliant may approve charitable grant requests after reviewing all relevant information to determine whether the use of funds by the proposed recipient is consistent with Reliant’s tax-exempt purposes.
• Grant administration and control procedures will vary based upon grant materiality (amount and significance), the nature of the grant recipients’ operations, and the nature of the relationship between Reliant and the grant recipient. 
• Reliant will require periodic accounting of the usage of the grant funds.
• Reliant retains the right to withdraw approval of a current grant or to receive a refund of any unexpended grant funds.
• Reliant grants cannot be used to cause any private inurement or improper private benefit to occur.
• Reliant will not act as a conduit of funds for any recipient. Gifts received by Reliant that will be used for grants, will be accepted in accordance with Reliant’s gift acceptance policies and for Board approved purposes.
• Grant funds received by the recipient may only be disbursed to other organizations or individuals in a manner consistent with recipient’s grant agreement with Reliant and pursuant to a written agreement with the ultimate recipient of the funds that ensures full compliance by the ultimate recipient with the grant purposes and the requirements of the policies and procedures.

Approval:

One-time grants require approval for each submission. 

Grant requests involving monthly, annual, or other periodic payments will normally (except in extenuating circumstances) be approved for a maximum of five years from the date of grant approval.  If the requested approved amount or individuals receiving funds for recurring grants change at any point after approval, then a new approval will be needed. If the grantee requires additional funding for the grant project after the grant expiration date, a new grant request must be submitted.

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• Reviews all expenses and receipts to confirm correct documentation has been received
• Confirms approval was received from the authorized signer of the project fund
• Links the grant payment request to the original approved project fund request form so that approvers can review fund purpose and fund pre-approved projected yearly grant amount
• Shares the form with the appropriate approver(s) as outlined in the approval requirements below and strives to make sure approvals are received (with the exception of board approval) in a timely manner.
• Acts as the communicator/liaison between Reliant and the individual submitting the grant request. 

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Required approvals are as follows:

• One-Time Grants 
  • One-time grant payment requests under $5,000 will be approved by the Accounting Manager
  • One-time grant payment requests between $5,000 and $25,000 will need approval by the Director of Organizational Affairs & Treasurer (in place of the Accounting Manager)
  • One-time grant payment requests between $25,000-$100,000 will need approval from both the Director of Organizational Affairs and the Chief Financial Officer

  • One-time grant payment requests over $100,000 will need additional approval from the Executive

    Director Info

    So far in 2023, there have been 28 one-time grant requests. 

    14 were above $5,000 (requiring additional approval from the

    Director

    of Organizational Affairs)Out of those 14, none of them are above $25,000 (requiring additional approval from the CFO or the board)

• Recurring Yearly Grants (set up of recurring monthly paymentpayments)
  • Requests under up to $1,000 a month ($12,000/year) will be approved by the Accounting Manager
  • Requests between $1,000-$5,000 a month (up to $60,00/year) will need approval by the Director of Organizational Affairs
  & Treasurer
  • (in place of the Accounting Manager)
  • Grant requests between $5,001-$25,000 a month (up to $300,000/year) a year will need approval from both the Director of Organizational Affairs and the Chief Financial Officer
  • A Grant Request over $25,000 a month will need additional approval from the Executive Director
• Approval for a recurring grant request will last up to 5 years (depending on how long the grant request is for). A new recurring grant request must then be submitted.
• If the requested approved amount or individuals receiving funds change at any point after approval, then a new approval will be needed.
All grants will be entered into Dynamics by the Accounting Administrator and the payment batch will also be approved by the Accounting Manager.

If the Accounting Manager is unable to approve within a reasonable timeframe then the Director of Organizational Affairs may approve in their place. If the Director of Organizational Affairs is unavailable to approve within a reasonable timeframe, the Chief Financial Officer may approve in their place. If the Chief Financial Officer is unavailable to approve within a reasonable timeframe, the President may approve in their place.

Grant Payment Approval Policy:

With our crusade for efficiency, we propose reducing the number of times a grant is reviewed and approved. In the past, we did not have Chanda and we did not have Dynamics with built-in approvals, so now, we propose incorporating both of them into our grant-approval workflow. 

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QUESTIONS:

Could we have a project fund entitled Zoe #1, Zoe #2 and each fund represented a person. Solicitor- just saying who raised the money, they decide what they do with the money. Using for salary-is that ok? 

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If giving a grant to a registered church, do we need to know the names of the people that they are giving to? is confirming they are not a terrorist and that the church/ministry partner vouches for them enough vetting? designated grantees

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GRANT STANDARD

The approval for the creation of a church/project fund confirms that Reliant is in agreement to pay out any amount of grant expenses incurred for this particular project purpose and no further approvals for increased grant amounts above the projected approved amount are needed.  

The Reliant Board of Directors desires to issue financial ministry grants to other organizations to further Reliant’s exempt purposes and for use with programs not conducted directly by Reliant. Reliant leadership will review and determine whether to approve grant requests. 

Grant Payment Approval Workflow:

• Accounting Administrator:
  • Reviews all expenses and receipts to confirm correct documentation has been received
  • Confirms approval was received from the authorized signer of the project fund
  • Links the grant payment request to the original approved project fund request form so that approvers can review fund purpose and fund pre-approved projected yearly grant amount
  • Shares the form with the appropriate approver(s) as outlined in the approval requirements below and strives to make sure approvals are received (with the exception of board approval) in a timely manner.
  • Acts as the communicator/liaison between Reliant and the individual submitting the grant request. 
• Reliant Approvers Confirm:
  • The expenses associated with the grant request align with the project fund approved purpose

• • Approval for a recurring grant request will last up to 5 years (depending on how long the grant request is for). A new recurring grant request must then be submitted.
  • If the requested approved amount or individuals receiving funds change at any point after approval, then a new approval will be needed.

• • All grants will be entered into Dynamics by the Accounting Administrator and the payment batch will also be approved by the Accounting Manager.
  • If the Accounting Manager is unable to approve within a reasonable timeframe then the Director of Organizational Affairs may approve in their place. If the Director of Organizational Affairs is unavailable to approve within a reasonable timeframe, the Chief Financial Officer may approve in their place. If the Chief Financial Officer is unavailable to approve within a reasonable timeframe, the President may approve in their place
• Reliant will refuse any grants that are requested, if it determines that the grant will not further Reliant’s exempt purpose.
• Reliant grants cannot be used for any purpose other than those approved by Reliant.
• Reliant may approve charitable grant requests after reviewing all relevant information to determine whether the uses of funds by teh proposed recipient is consistent with Reliant’s tax-exempt purposes.
• Except in extenuating circumstances as determined by the Board, grant requests involving monthly, annual or other periodic payments will normally be approved for a maximum of five years from the date of grant approval.  If the grantee requires additional funding for the grant project after the grant expiration date, a new grant application must be submitted.
• Grant administration and control procedures will vary based upon grant materiality (amount and significance), the nature of the grant recipients’ operations, and the nature of the relationship between Reliant and the grant recipient. 
• Reliant will require periodic accounting of the usage of the grant funds.
• Reliant retains the right to withdraw approval of a current grant or to receive a refund of any unexpended grant funds.
• Reliant grants cannot be used to cause any private inurement or improper private benefit to occur.
• Reliant will not act as a conduit of funds for any recipient. Gifts received by Reliant that will be used for grants, will be accepted in accordance with Reliant’s gift acceptance policies and for Board approved purposes.
• Grant recipients may be related or unrelated organizations and may be domestic or foreign. Reliant will take reasonable steps of due diligence to insure that it is not otherwise assisting known or suspected terrorists though its foreign grant-making process. This would include the checking of applicable governmental lists provided and maintained by the U.S. Treasury Department.
• Grant funds received by the recipient may only be disbursed to other organizations or individuals in a manner consistent with recipient’s grant agreement with Reliant and pursuant to a written agreement with the ultimate recipient of the funds that ensures full compliance by the ultimate recipient with the grant purposes and the requirements of the policies and procedures.

Grant Approval

• One-time grants require approval for each submission. 
Except in extenuating circumstances as determined by the Board, grant requests involving monthly, annual or other periodic payments will normally be approved for a maximum of five years from the date of grant approval.  If the grantee requires additional funding for the grant project after the grant expiration date, a new grant application must be submitted
• • .