Title
Allocate Sacramento Heritage, Inc. Nonprofit Corporation Remaining Funds to the California Preservation Foundation (M25-014)
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FileID
File ID: 2025-01562
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Location
Location: Citywide
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Recommendation
Recommendation: Adopt a Resolution authorizing the Interim City Manager or designee to: 1) close Sacramento Heritage, Inc.’s bank account at U.S. Bank; 2) transfer the $16,213.73 (or final liquidated amount) that remains in Sacramento Heritage, Inc.’s account at U.S. Bank to the California Preservation Foundation, a California 501(c)(3) tax-exempt nonprofit corporation; and 3) execute any agreements or documents necessary to facilitate the transfer of funds to California Preservation Foundation, subject to approval as to form by the City Attorney or designee.
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Contact
Contact: Sean de Courcy, Preservation Director, (916) 808-2796, sdecourcy@cityofsacramento.org, Community Development Department
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Presenter
Presenter: None
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Attachments
Attachments:
1-Description/Analysis
2-Resolution
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Description/Analysis
IssueDetail
Issue Detail: On November 15, 2022, the City Council adopted Resolution 2022-0344, which dissolved Sacramento Heritage, Inc. (SHI), a California 501(c)(3) tax-exempt nonprofit corporation, and repealed Resolution Nos. 1975-0307 and 1983-0193. Staff has initiated the process to dissolve SHI with the State of California following the California Attorney General’s Office’s guidance for dissolving a California nonprofit corporation, which require that remaining nonprofit assets be distributed to another 501(c)(3) tax-exempt organization with the same or similar charitable purpose as SHI and in accordance with SHI’s articles of incorporation and by-laws.
The California Preservation Foundation (CPF), a California-based 501(c)(3) tax-exempt nonprofit organization with a mission aligned with SHI’s charitable purposes, meets the legal requirements for receiving SHI’s remaining assets. Staff recommends that the City Council approve the transfer of $16,213.73 from SHI’s accounts to CPF.
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Policy Considerations: The proposed transfer of remaining SHI funds to CPF is consistent with the following 2040 General Plan goals and policies:
• HCR-2.2 (Certified Local Government): Advances the City’s CLG program responsibilities by enhancing staff and stakeholder training, networking, and best-practice sharing central to effective CLG implementation.
• HCR-2.6 (Coordination with Other Entities): Formalizes collaboration with a statewide nonprofit partner to advance preservation objectives through education and outreach.
• HCR-3.1 (Education and Awareness): CPF funds programming that increases awareness of preservation issues and best practices among practitioners and the public.
• HCR-3.6 (Public Participation): Supports broad public and professional engagement opportunities that inform and strengthen Sacramento’s preservation efforts.
• HCR-3.8 (Provision of Information): Facilitates the dissemination of preservation information, tools, and resources that the City can leverage in its programs and public-facing materials.
The training, resource development, and statewide collaboration benefits provided by CPF directly support the City’s preservation goals and policies and are consistent with the intended public benefit of the dissolved nonprofit’s assets.
Economic Impacts: None.
Environmental Considerations: California Environmental Quality Act (CEQA): The requested action is not a project under CEQA because it relates to government fiscal activities that do not involve any commitment to any specific project that may result in a potentially significant impact on the environment. (CEQA Guidelines, § 15378(b)(4).)
Sustainability: Not applicable.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: Transferring SHI’s remaining funds to CPF fulfills the legal requirement that the assets are distributed to another 501(c)(3) tax-exempt organization and in accordance with SHI’s articles of incorporation and by-laws. CPF is a 501(c)(3) tax-exempt organization whose statewide educational programming directly supports the City’s historic preservation goals and policies established in the 2040 General Plan by fostering professional development, sharing innovative strategies, and increasing public awareness of preservation issues. Allocating SHI’s remaining funds to CPF ensures they continue to advance the public-facing preservation education and outreach efforts that SHI promoted.
Financial Considerations: The $16,213.73 remaining in SHI’s accounts will be transferred directly to CPF upon City Council authorization. No City funds are required.
Local Business Enterprise (LBE): Not applicable.
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