Model C Relationship

Model C: Preapproved Grant or Re-grant

In the case of a Pre-approved Grant project (“Model C”), Community Initiatives re-grants funds received from a donor to a specified fiscally sponsored project (FSP). Community Initiatives is NOT responsible for the FSP’s programmatic operations. These operations, as well as incurred liabilities to third parties, are the ultimate responsibility of the FSP as of the effective date of the agreement.

No one in a “Model C” project is considered an employee of Community Initiatives.

Under a “Model C” agreement, Community Initiatives has authority over the financial administration of an established restricted fund, and makes grants from the fund to support the FSP at its discretion. The grantee must use these funds solely for the intended grant purposes and repay to Community Initiatives any portion of funds that are not spent. All other authority and responsibility related to the FSP rests with the grantee — including the preparation of grant reports to its funders and to Community Initiatives.

Please see Mutual Expectations for guidance on the fiscal sponsorship relationship.

For more information, see the National Network of Fiscal Sponsors Guidelines for Model C, a Pre-Approved Grant Relationship.

“Community Initiatives is a great fit; they manage our finances and human resources, including payroll, benefits management, insurance, and employer-paid taxes. Relying on Community Initiatives’ administrative expertise to handle these back-office details allows Active Voice to concentrate on its mission and grow.”
Ellen Schneider Founder, Active Voice