[Code of Federal Regulations]
[Title 5, Volume 2, Parts 700 to 1199]
[Revised as of January 1, 2001]
From the U.S. Government Printing Office via GPO Access
[CITE: 5CFR950.303]

[Page 522-523]
 
                    TITLE 5--ADMINISTRATIVE PERSONNEL
 
          CHAPTER I--OFFICE OF PERSONNEL MANAGEMENT (Continued)
 
PART 950--SOLICITATION OF FEDERAL CIVILIAN AND UNIFORMED SERVICE PERSONNEL FOR CONTRIBUTIONS TO PRIVATE VOLUNTARY ORGANIZATIONS--Table of Contents
 
                         Subpart C--Federations
 
Sec. 950.303  Local federations eligibility.

    (a) LFCC's must approve local federations that conform to the 
requirements.
    (b) By applying for inclusion in the CFC, federations consent to 
allow the LFCC and Director complete access to it and its members' CFC 
books and records and to respond to requests for information by the LFCC 
and the Director.
    (c) An organization may apply to the LFCC for inclusion as a local 
federation if the applicant has as members of its proposed federation, 
15 or more charitable organizations that meet the eligibility criteria 
of Sec. 950.202, Sec. 950.203, and Sec. 950.204. The initial year an 
organization applies for federation status, it must submit to the LFCC 
applications of all its proposed member organizations in addition to the 
federation application. Federations must re-establish eligibility each 
year, however, the applications of its member organizations need not 
accompany the annual federation application once an organization has 
obtained federation status.
    (d) After an organization has been granted federation status, it may 
certify that its member organizations meet all eligibility criteria of 
Secs. 950.202, 950.203, and 950.204 to be included on the Local List. 
While deference should be given to federation certifications, the LFCC, 
during the review process, may request independent evidence of 
individual member organization's eligibility. Federation status in a 
prior campaign is not a guarantee of federation status in a subsequent 
campaign. Failure to meet minimum federation eligibility requirements 
shall not be deemed to be a decertification subject to a hearing on the 
record.
    (e) An applicant for local federation status must certify and/or 
demonstrate:
    (1) That all member organizations seeking participation in the CFC 
are qualified for inclusion on the Local List and provide a complete 
list of those member organizations it certified.
    (2) That its financial records, practices and procedures conform to 
generally accepted accounting principles and is annually audited by an 
independent certified public accountant in

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accordance with generally accepted auditing standards. A copy of the 
annual audit must be included with the application. The audit must 
verify that the federation is honoring designations made to each member 
organization. The audit requirement is waived for newly created 
federations operating for less than a year.
    (3) That is does not employ, in its CFC operations, the services of 
private consultants, consulting firms, advertising agencies or similar 
business organizations to perform the policy-making or decision-making 
functions in the CFC. It may, however, contract with entities or 
individuals such as banks, accountants, lawyers, and other vendors of 
goods and/or services to assist in accomplishing its administrative 
tasks.
    (f) The LFCC will notify a federation if it is determined that the 
federation does not meet the eligibility requirements of this section. A 
federation may appeal an adverse eligibility decision in accordance with 
Sec. 950.205.
    (g) The Director may waive any eligibility criteria for federation 
status if it is determined that such a waiver will be in the best 
interest of the CFC.