Info You Can Use: Microvolunteering

by:

Joe Patti

This information has been out since this summer and I have this sense of being vaguely aware of the company being mentioned in tweets, but there was no mention of its significance or I would have covered this at the time. I figured this was reason enough to mention it here and spread the word. (Or I was just living under a rock, but I couldn’t have been the only one.)

A company called The Extraordinaries has essentially shrunk Amazon’s Mechanical Turk service down to the cell phone level with a service called Sparked. I should clarify that this isn’t Amazon’s service offered through cell phones and the service rendered is voluntary rather than the paid work Amazon offers. The similarity is that it connects the needs of companies, in this case non-profits, with volunteers willing to do the work.

According to a piece on Springwise.com,

“…it enlists both individuals and groups of company employees to contribute their expertise to a nonprofit in even the smallest chunks of time. Nonprofits begin by posting requests to the site; those, in turn, are routed to would-be volunteers based on their skills and interests. Examples might include translating a page of a document into Spanish, for instance, or helping to choose a new logo; The Extraordinaries even has pre-built “kits” that turn a series of best practices into tasks for volunteers. Willing volunteers then complete the requests during a spare moment via iPhone (through a dedicated app) or web browser—or they can share it with their colleagues.”

Sparked uses the term micro-volunteering because the tasks are broken down into whatever segments of time you have available. You could conceivably perform tasks on the train commute into work or in a taxi on the way to a party. There are some examples of work that has been completed on their blog, including a recent story about a logo that one volunteer reworked.

I am probably not the first to say it, but given the way today’s digital culture is shaping interactions, I have to think this mode of activity mediated through technology is going to begin to figure largely in organizations’ volunteer programs. It doesn’t help with ushering and important face to face interactions, but it could help with promotional efforts, research, evaluation and maybe even editing program books and designing the covers.

Though I can see it now, people are so impressed with our organization when they attend a show, the decide to start microvolunteering on their iPhones during a performance leaving the staff in a quandary about asking them to stop.

Info You Can Use: More Foreign Artist Withholding

by:

Joe Patti

The issue of the 30% with holding the United States levies against foreign artists doesn’t seem to be going away. Last year I wrote about my victory, with some help from the IRS, in educating my disbursement office about reading tax treaties with other countries. I thought between this new found knowledge and preparing the paperwork well in advance of a performance, most of the problems would be behind us.

Boy was I wrong.

When I returned from the Christmas holidays about two weeks ago, I had a letter from the IRS specifically directing us to withhold 30% from the payment we were making to an artist and then send them proof of having done so. You would think from such a letter that the performers were absconding from the country with huge amounts of cash, but we really aren’t relatively paying them all that much. Especially when you consider their agent gets a cut too. I don’t want to imply that the laws should be applied inconsistently, but it seems like the IRS is either focusing undue attention on small potatoes or they have shifted resources to scrutinize all foreigner artists’ activities. (I still say they would get more bang for their buck going after everyone sheltering money overseas.)

This story has a happy ending, at least for my organization. We received a letter from the IRS today saying the group has entered into an agreement with the IRS and we were specifically directed by name not to withhold the money. Still, the whole incident shows that the IRS is apparently stepping up their activities in this area and you need to be more aware of the laws surrounding withholdings. Artists from Abroad is a good place to start.

Info You Can Use: B Corporations

by:

Joe Patti

Daniel Pink had a tweet today to a Washington Post story about Maryland companies signing up to be classified as a “B” corporation in that state. The B for Benefit Corporation will allow for-profit companies to operate to pursue social ideals.

You may ask what is to keep any company from operating in socially responsible ways? Many companies align themselves with causes to burnish their image, after all. It is actually the stockholders which may pose a problem apparently. According to the newspaper:

“These hybrid entities pay taxes and can have shareholders, without the risk of being sued for not maximizing profits. Companies can consider the needs of customers, workers, the community or environment and be well within their legal right.

A benefit corporation, for instance, could choose to buy from local vendors at a higher cost to reduce its carbon footprint, much as the Big Bad Woof does. The company, as a part of the incorporation, is required to file an annual report on contributions to the goals set forth in the charter and submit to an audit by an independent third party. “

This is different from the L3C structure I have mentioned before. Like the L3C, this structure is not recognized by the IRS. Though I am not sure if it is in the same nebulous area the L3C because it doesn’t seem like B companies are meant ever qualify as a program related investment for foundations. Though there is probably a lot about the structure not covered in the news article.

More information about B corporations may be found online at a site created to advance these type of organizations. I didn’t find any discussion about how the IRS views these organizations and if there are significant restrictions to investing. According to the site the need for a B corporation are: (my emphasis)

“B Corporations address two critical problems:

* Current corporate law makes it difficult for businesses to take employee, community, and environmental interests into consideration when making decisions; and
* The lack of transparent standards makes it difficult for all of us to tell the difference between a ‘good company’ and just good marketing.”

This is an effort they are trying to take nationwide so if you are interested, don’t think it isn’t applicable to you just because you don’t live in Maryland. This could be a viable structure for an arts related organization. While the status doesn’t provide any tax breaks, doing well on the required audit can be a positive signal to interested investors.

Next Season Is So Great, It Has A Codename!

by:

Joe Patti

If you use the Firefox web browser as I do, you may have noticed links on the Google search page that take you to the community they have built around the “fire foxes” (red pandas) they adopted at the Knoxville Zoo. Or a link informing you that the next version of their web browser is code named Tumucumaque after the Brazilian national park that Mozilla is supporting in partnership with the World Wildlife Federation.

My initial, and admittedly, cynical reaction is that this smells a little bit like greenwashing. Though as an open source and non-profit project, Mozilla can weather the suspicions and pessimism a little easier than most.

Since people do respond to these efforts if they feel they are sincerely done, it occurred to me that connections like this on the local level might be a win-win for non-profit arts organizations and those with whom they partner. Such an effort could bring positive attention to both organizations. Partner with an observatory to dedicate your season to a newly discovered star or planetary body. Adopt students at schools/boys and girls club/future farmers of America chapter you already work with to present a “Student of the Month” where the student’s art work is on display on your website or in your lobby.

You could even duplicate the code name route and turn the T.B.A. listing in your season brochure into the focus of intrigue and speculation. Having it connected with a partner organization may help you avoid spending more time thinking up clever code names than you did in season selection.

If you start a partnership with a local science museum, just be sure to vet any suggestions they may make thoroughly. You don’t want to end up advertising Project Nematode just because one of the scientists thinks they are the coolest critters around. Theatres have enough parasitic worms associated with them already!