Charter School Registration with the Colorado Secretary of State

According to Colorado law, all charitable organizations, except those specifically exempted, that intend to solicit contributions, must file a registration statement with the Colorado Secretary of State. See C.R.S. § 6-16-104(1). So what does this mean for charter schools?

If your charter school is recognized as a 501(c)(3) public charity, which means the school has gone through the process of filing Form 1023 with the IRS, then this registration requirement applies to you. In the past, the Colorado Secretary of State has not paid much attention to whether charter schools filed or not, but it appears that may be changing, as schools are beginning to receive compliance letters in this respect.

There is an exemption from the registration requirement for charitable organizations that do not intend to and do not actually raise or receive gross revenue (excluding grants from governmental entities or from tax-exempt entities) in excess of $25,000 during a fiscal year or do not receive contributions from more than ten people during a fiscal year. To put it simply: More than $25,000 from less than 10 people = no registry; less than $25,000 from more than 10 people = no registry; more than $25,000 from more than 10 people = registry.

Whether your school is currently hitting these thresholds, it is nonetheless a best practice to complete the registration process anyway—particularly with the Secretary of State stepping up enforcement. Don't fret though if you have not registered already, as the fine is relatively minimal.

You can create an account and register here: https://www.sos.state.co.us/pubs/charities/charitableHome.html.

And as always, feel free to reach out to us with any questions you may have along the way.