Amy Ancel (RTM District 3) was back in the blogosphere last week. She was seen stuffing flyers into mailboxes in the Old Hill neighborhood, according to Mahackeno Now, which posted a copy on its Web site.
At first we were surprised that a member of the Westport RTM would knowingly violate USPS regulations (it is illegal for anybody other than the United States Postal Service to use your mailbox), but then we realized that Ms. Ancel also violated the Internal Revenue Code.
The leaflet, which Ms. Ancel distributed, asked for contributions to Y Downtown, the anti-Mahackeno organization, which was founded by two residents of Rices Lane. Y Downtown is a nonprofit political entity and it enjoys a special tax-exempt status. It is a 401(c)4 company, meaning contributors cannot deduct donations from their taxes.
The IRS requires all 401(c)4 companies to clearly state that fact on fundraising documents:
Solicitation Notice
Section 6113 of the Internal Revenue Code provides that certain tax-exempt organizations that are not eligible to receive tax deductible charitable contributions must disclose, in any fundraising solicitation (see below), in “an express statement (in a conspicuous and easily recognizable format)” that contributions to the organization are not deductible for federal income tax purposes as charitable contributions. This provision applies to organizations that are not eligible to receive deductible charitable contributions and are described in either section 501(c), section 501(d), or section 527. The Service issued Notice 88-120 to provide safe harbors for meeting the requirements of section 6113.
A fundraising solicitation means any solicitation of contributions or gifts made in written or printed form or by television, radio, or telephone. It does not include any letter or telephone call that is not part of a coordinated campaign soliciting more than 10 persons during a calendar year.
Ms. Ancel’s flyer was in clear violation of the IRS Code. But perhaps we shouldn’t be surprised. After all, Y Downtown has violated the Code for years. Their Web site fails to warn potential donors that contributions are not tax deductible.
We at Politicus Machamux think that Ms. Ancel is on a slippery legal slope over on Old Hill. Perhaps the founders of Y Downtown can plead ignorance of the law, but we expect – and demand – more of our local officials.
3 Comments
January 30, 2008 at 8:55 am
Dear Ed,
You beat me to it – I was drafting a letter to the editor on this very topic when I saw your post. I agree with most of your note, however, I believe you are off the mark on two points.
First, you assert that Ms Ancel knowingly violated the USPS codes, but there is no evidence that she knew about that rule. I would call that rule common knowledge, but like common sense, neither are requirements for office. I have to give her the benefit of the doubt here and just assume ignorance rather than intent. It is still wrong.
The second point is that we expect more from our RTM members. Certainly, most members of the RTM deserve our respect and high expectations because they are genuinely concerned for all of Westport, rather than their own parochial interests, and therefore approach each issue with an open mind. However, several members have made it clear that they are not open to information that may change their mind on certain topics, such as Mahackeno. Ms Ancel, by her words and actions, falls into that category. As such, my expectations remain low, so in this case they were met.
Now, before anyone jumps up and accuses me of making this personal, I will freely admit that it might be personal at this stage. Ms Ancel’s well-documented animus towards those of us who support the Mahackeno project put her in the same category as those who would mislead the public to get elected or lie about private conversations with me, or those who publicly refer to a Y leader as a barking little dog, or those who attempt to silence dissent at RTM meetings by deriding residents who proffer the truth, or those who would use weasel words in submitted testimony to hide the truth. That group has turned the Mahackeno issue into quite a personal one for me, and I am comfortable with my public response to all of them.
Adrian Bowles
February 20, 2008 at 5:45 pm
[...] About It’s a Slippery Slope on Old Hill [...]
February 22, 2008 at 8:06 am
[...] an anti-YMCA flyer, which was stuffed into mailboxes in the Old Hill neighborhood. (See the Slippery Slope below.) Matthew Mandell (RTM District 1) e-mails his constituents and proudly proclaims that he is [...]