ARTICLE III. CHARITABLE SOLICITATION1
26-46. Definitions.
The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning:
Charitable means benevolent, educational, philanthropic, humane, patriotic and eleemosynary motives, purposes, conduct and practices including:
(1) The bringing of minds and hearts under the influence of education or religion;
(2) The relief of bodies from disease, suffering or constraint;
(3) Helping persons to establish themselves in life;
(4) The erection of public buildings, works or monuments; or
(5) The otherwise lessening of the burdens of government.
The term shall not include efforts to influence legislation, carrying on of a political campaign or other political propaganda.
Charitable purpose means the charitable goals, intentions, plans or programs of a charitable organization as expressed in its articles of incorporation or other governing instrument; its literature, reports, soliciting materials or other written materials; or its deeds or actions, including statements made during solicitations of funds from the public.
Duly constituted religious organization means an ecclesiastical corporation or an association organized primarily for public worship and protected in its organization by a specific state statute or similar statute in another jurisdiction, and includes a group affiliated with and forming an integral part of a religious organization, no part of the net income of which inures to the direct benefit of any individual, if it has received a declaration of current tax exempt status from the United States.
Person means any individual, firm, partnership, corporation, company, incorporated or unincorporated association, society, trust and any agent, trustee, employee or other representative, or any charitable organization as herein defined.
Solicit and solicitation mean the act or practice of seeking from the public for one’s or another’s behalf or on behalf of an uncertain and indefinite class of persons the promise or grant of any money, services or property of any kind or value, including a promise to pay, or payment for merchandise or rights of any description, regardless of whether an article, right or privilege is given the donor. The term "solicitation" includes the selling of memberships in an organization unless the membership confers the right to vote for the officers and directors of the organizations and on its policy and confers on the member control over the organization to the same extent and degree as every other member.
Soliciting for religious activity or soliciting funds in support of religious activity means the solicitation of any funds in support of any activity conducted by or on behalf of any duly constituted religious organization, which is directly or indirectly incidental to the distribution or dissemination of any religious beliefs, doctrine, propaganda or ideas. Such term shall not include ordinary commercial methods of sales of articles to raise propaganda funds.
(Code 1987, § 3-05.02)
26-47. License.
(a) Requirement established. No person shall solicit or cause any solicitation on their behalf for any charitable purpose within the township without a license granted by the township clerk.
(b) Exclusions. The provisions of this article shall not apply to:
(1) Solicitations conducted exclusively within the membership of an organization by its own officers and members; nor
(2) Any duly constituted religious organization soliciting funds in support of religious activity.
(c) Application. An application for license shall be filed with the office of the township clerk and shall include:
(1) The name and address of the applicant and verification thereof by driver’s license or other documentation;
(2) The name of the organization and the name under which it intends to solicit contributions;
(3) The principal address of the organization and the address of any office in the state. If the organization does not maintain a principal office, the name and address of the person having custody of its financial records;
(4) The names and addresses of the officers, directors, trustees, chief executive officer, if any, and of the persons who will direct the conduct of solicitations and of all solicitors;
(5) Where and when the organization was legally established, the form of its organization, and its tax exempt status;
(6) The purpose for which it is organized and the purposes for which contributions to be solicited will be used;
(7) The fiscal year date of the organization;
(8) Whether the organization is or has ever been enjoined from soliciting contributions;
(9) All methods by which solicitations will be made;
(10) Copies of contracts between charitable organizations and professional fundraisers relating to financial compensation or profit to be derived by the professional fundraisers. When the contract is executed after filing of application statement, a copy shall be filed within ten days of the date of execution;
(11) The time when solicitations are to be made, giving proposed dates for the beginning and ending of same;
(12) The name of the person by whom the receipts of such solicitation shall be disbursed;
(13) The gross amount of any wages, fees and commissions to be paid in connection with the solicitation and to whom paid and the amount thereof;
(14) A statement of all expenses relating to the solicitations, including, but not limited to, the cost of all articles, tags, tickets, emblems, publications and subscriptions used in the solicitations;
(15) A financial statement for the last preceding year, including the following:
a. Summary of financial activities with the percentages of charitable contributions expended on charitable purpose, management and fundraising; a detailed schedule of income from public support, business activity and all other sources; a list of the ten highest paid officers outside the state and five highest paid officers inside the state; a list of fundraisers and solicitors and income; and a balance sheet;
b. The financial statement shall be certified over the following statement: "I certify that the information furnished in this report is true and correct to the best of my knowledge";
c. The financial statement shall be signed by the chief fiscal officer of the organization;
d. If no financial statement is available, a statement of the reason for the absence of the same and a statement of all funds, if any, collected in the last preceding year;
(16) The name and address of the resident agent in the state for service of process;
(17) A copy of the articles of incorporation and bylaws of the person applying, if any;
(18) A statement of the character and extent of charitable, civic, educational, patriotic, philanthropic or religious work done or being done by the applicant within the township;
(19) Documentation, such as a letter, resolution or other written proof, that the applicant has authority to act on behalf of the charitable organization;
(20) Proof of a license from the state, pursuant to Public Act No. 169 of 1975 (MCL 400.271 et seq.), as required by that Act;
(21) The application shall be filed under oath over the following statement: "The information set forth in this application for the purpose of obtaining a license pursuant to the charitable solicitation ordinance is true and complete to the best of my knowledge and belief";
(22) The application shall be signed by the president or other officer of the organization or by some person authorized to act in such matters by the organization.
(d) Filing false application. No person shall make any knowing and materially false statement upon an application for license.
(e) Fee. At the time of filing of the application, a fee in the amount established by the resolution of the township board shall be paid by the applicant.
(f) Grant of license. The township clerk shall either grant or deny the application for license within ten days following the filing of the application.
(1) Requirements for approval. The township clerk shall grant a license, if the clerk finds that based on the application the following facts and conditions exist:
a. The applicant will be engaged in charitable, patriotic, civic, educational, philanthropic or religious activity, or engaged in raising funds for distribution to an organization or person having such purposes;
b. The net proceeds from any solicitation shall be used for charitable, patriotic, civic, educational, philanthropic or religious purposes;
c. The application and supporting materials conform to the requirements of this article.
(2) Terms and conditions.
a. All solicitations by a licensee shall be made during daylight hours only, unless otherwise authorized by the township board;
b. Any license granted hereunder shall be valid for 12 months from the date of its issuance; provided, however, that the township board may limit a license to a longer or shorter term;
c. Any other limiting term or condition may be made by the township board at the time of issuance where the same is reasonably related to the protection of the health, safety or welfare of the citizens of the township;
d. All solicitors who have not yet attained the age of majority must be under the direct supervision of an adult.
(3) Contents. Licenses issued under this article shall bear:
a. The name and address of one person by whom the solicitation is to be made;
b. The number of the license;
c. The date issued;
d. The dates within which the holder may solicit; and
e. A statement that the license does not constitute an endorsement by the township of the purposes or of the person conducting the solicitation.
(4) Authentication. All licenses shall be signed by the township clerk.
(5) Display. No person shall solicit under a license issued pursuant to this article unless he has in his possession a facsimile copy of such license, which copy must be shown upon request of any person being solicited or any police officer of the township.
(g) Nontransferable. Any license issued under this article shall not be transferable.
(h) Revocation.
(1) Basis for such action. Any licensed issued under this article may be revoked where the township supervisor has reason to believe that:
a. Any licensee, its employees, servant, officer or other representative has knowingly misrepresented a material fact in an application for license;
b. A licensee is violating or has violated a term or condition of a license; or
c. Solicitations by a licensee are in violation of any provision of this article or other law.
(2) Hearing. The township supervisor may request a hearing before the township board to be held within ten days. A licensee shall be notified of such a hearing and may appear at said hearing and, if at the conclusion of same, the township board finds that the licensee has committed or allowed to be committed any of the above stated acts, the license may thereupon be revoked.
(3) Misrepresentation as an endorsement. Any license hereunder shall not be construed to be an endorsement of any activity of the licensee, and any representation, including, but not limited to, oral, written or visual representations that would reasonably be construed to be such a representation, is a ground for revocation of a license.
(Code 1987, § 3-05.03)
State Law reference—Charitable organizations and solicitations act, MCL 400.271 et seq.