SR-10-28-2014-3BID
City of City Council
Santa Monies"
City Council Meeting: October 28, 2014
Agenda Item: a°6
To: Mayor and City Council
From: Jacqueline A. Seabrooks, Chief of Police
Subject: Incorporation of a Non - Profit Organization
Recommended Action
Staff recommends that the City Council approve the proposal to incorporate a non- profit
entity to partner with the Santa Monica Animal Shelter and direct staff to establish articles
of incorporation and bylaws as well as to nominate a board.
Executive Summary
Staff seeks authorization to establish a non - profit 501c3 entity to partner with the Santa
Monica Animal Shelter. This partnership would create the ability for the Animal Shelter
to solicit and receive donations on behalf of the animals while providing tax benefits to
incentivize donors. Funds and services resulting from this action could be utilized for
shelter programs, equipment, and comfort items for housed animals as well as
sustainability for the Police Department's Mounted Unit and K -9 programs. There would
be a one -time cost of $850 associated with the creation of the non - profit partnership
entity; this cost will be funded by existing funds.
Background
The Santa Monica Animal Shelter is operated by the Police Department. The Shelter
houses lost or stray animals, animal victims of injury or abuse, confiscated stolen
animals, animal evidence in criminal investigations, and occasionally City -owned Police
K -9's and Police Horses. Paid staff, supplemented by a volunteer corps, feed, clean,
vaccinate, medicate, microchip, and exercise the animals as well as facilitate animal
adoptions. The Animal Shelter is also responsible for the care and shelter of animals
displaced during a natural or manmade disaster. The quality and quantity of services
provided at the Shelter are currently limited to the funds provided by the City budget and
some donated funds and services described below.
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Animal Control Officers respond to a myriad of animal related incidents involving dog
licensing, use of the City's dog parks, vicious or dangerous animals, and
injured /deceased animal pick -up including ocean wildlife found on Santa Monica
beaches. Animal Control Officers and Animal Care Attendants also are committed to
increasing public awareness and participating in public education by giving Shelter tours
and speaking at schools, libraries, parks, and at Police and City events.
Veterinary and some animal care services provided at the Shelter are the result of a
team of Shelter volunteers and financial donors. Currently, when donations are
received, these funds are deposited into a donation account; however, the donor
receives no tax benefit. Donations represent less than one percent of available funds for
the care of the animals and are applied to veterinary procedures that would otherwise
be cost - prohibitive as well as animal comfort items and equipment. At present, one
veterinarian donates eight hours of time one day per week. Staff anticipates that
donated funds and services would increase with the tax incentives and partnership
development that a non - profit entity could offer. This in turn would increase the level of
services provided at the Santa Monica Animal Shelter.
Individuals and businesses seeking to donate money, goods, and services to improve
the quality of life for animals regularly contact the Shelter. Currently, there is no
mechanism for a potential donor to receive a tax deduction for donations; therefore the
majority of these potential donors decide to give elsewhere. As a result, the Santa
Monica Animal Shelter loses the opportunity to utilize donated funds, goods, and
services to benefit the animals it serves. There are a number of additional services the
Animal Shelter would provide if additional funds existed to support those services,
including lower cost spay and neuter surgeries for adopted animals, microchips, animal
adoption starter kits, and animal emergency preparedness kits equipped with individual
transport kennels.
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Other cities take a variety of approaches to support their city- operated animal shelters,
including contracting with SPCA's and Humane Societies, setting up special funds, and
creating non - profit organizations to work with municipalities. The City of Los Angeles
operates its own Zoo facility which has a non - profit partner, the Greater Los Angeles
Zoo Association, to support the Zoo's mission, and the City of Los Angeles Animal
Services Department has set up a number of special funds to enhance the quality of life
for shelter animals in the city's care.
In Santa Monica, the Animal Shelter non - profit entity would be made up of a Board
whose primary role would be fundraising. The six- member Board would include five
voting members as well as one non - voting Police Department representative to play an
advisory role to the voting members. The Animal Shelter Administrator would serve as
the liaison between the Board and Animal Shelter staff as well as the City. The
Administrator's role would be to provide input to the Board and make recommendations
on how to utilize funding for the betterment of the Animal Shelter. This would be similar
to the relationship between Santa Monica City's Police Activities League (PAL) and its
non - profit board.
Discussion
The creation of a non - profit entity would increase donation opportunities through
fundraising and development of community partnerships by the non - profit. Targeted
donation areas of interest include: equipment specific to an Animal Emergency
Management Response Plan (an emergency sheltering inventory similar to that for
humans in the City's Emergency Management Plan); a mobile veterinary clinic to be
used at the Shelter by volunteer veterinarians for minor surgeries and veterinary
procedures (spays, neuters, hernias, and disease treatment); and other items
necessary for the care, comfort, and control of lost, sick, and injured shelter animals.
The creation of a non - profit organization that can proactively outreach to would -be
donors of goods, funding, and services and also incentivize these donors via tax
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benefits would bring new, much needed resources to the table and ensure the Shelter
continues to provide the highest quality of care and services to all Santa Monica
animals.
Next Steps
1. The articles of incorporation and by -laws of the non - profit will be submitted to
City Council at a later date. Staff will draft these in collaboration with the City
Attorney's office. Part of putting together the bylaws will be setting forth the
board makeup and qualifications for board members; therefore, these
governing documents will need to be in place prior to setting up the board.
2. Appointment of initial board members will be brought to Council at a later
date. Prospective board members will be notified of the opportunity to
become board members via the City's standard process of publicly posting
vacancies for positions so that all interested parties may apply. The Animal
Shelter Administrator, Police Department Command Staff and the Chief of
Police shall nominate the initial board. Prospective members will be asked to
complete a letter of interest and resume, to assist in giving the Council and
staff an understanding of their qualifications and suitability for board
membership.
Financial Impacts & Budget Actions
Implementing this recommendation will result in a one -time cost in the amount of
$850.00 to apply for a Federal Tax Exemption status with the IRS via a form 1023.
Funds are available in FY 2014 -15 budget in division 01306. The amount will be
charged to account 01306.544390.
Prepared by: Nicole Dibling- Moore, Senior Administrative Analyst
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Forwarded to Council:
Rod Gould
City Manager