Nonprofit misunderstanding leads already hurting VFW to request a retraction - Insurance News | InsuranceNewsNet

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November 30, 2022 Newswires
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Nonprofit misunderstanding leads already hurting VFW to request a retraction

Kern Valley Sun (Lake Isabella, CA)

Last week, the Kern Valley Sun reported on the Veterans of Foreign Wars (VFW) Post 7665's need for assistance to repair their building. Spokesperson Geralin Sandoval has now retracted a statement she made in an interview with the Sun regarding tax benefits in exchange for helping the post.

"I feel like I'm at a rock and a hard place," she told Kern Valley Sun Wednesday, Nov. 23.

In her previous interview, Sandoval stated that the VFW could issue letters for a tax deduction to anyone helping with building repairs. At the time Sandoval believed, because the VFW is a nonprofit organization, she was entitled to do that. Sandoval's comments were incorrect – the VFW's nonprofit status couldn't allow her to issue letters.

Chuck Cournyea, commander of District 6, wrote to Sandoval that failure to retract and correct the inaccurate information, printed in the Kern Valley Sun, would give the attorney general's office an excuse to fine the post for misleading the public, in a false perception that donations would be tax-deductible.

Cournyea told Sandoval the post's corporate status is a mutual benefit corporation rather than a public benefit. A mutual benefit can do fundraising and solicit funds. However, they cannot give tax-deductible letters to anyone who is not a member of the post.

The VFW's Lake Isabella building is still without the funds to put toward repairs, which The Faire Plan Property Insurance Company is requiring they do, to continue with their mortgage insurance.

The post has until Dec. 29 to make the needed repairs, which include paint and stucco, smoke detectors and carbon monoxide. The VFW needs volunteers to help.

"We are already struggling to pay our bills as it is. So for us to pull money out and do anything extra is just not possible," Sandoval said.

The post has about 125 members. The majority of veterans regularly attending VFW meetings are in their 70s and over.

"They're very worried that we won't be able to complete these repairs in time for the deadline and keep the facility opened," Sandoval said.

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