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USBC Transition Tips

USBC Transition Tips are part of an ongoing effort by Bowling Headquarters to help make your associations transition into the United States Bowling Congress easier. View more questions and answers regarding USBC transition in the Q & A document.

Bylaws

In Article IV of the local association bylaws (merged or non-merged) associations should enter the current state dues, if any, opposed to automatic entering $1 for state dues.

When the local association is notified by the state association(s) of a change in dues, then the corresponding amount should be placed in the bylaws.

Additionally, if/when the state dues change, an amendment is NOT needed to change this in the bylaws. The association must accept and incorporate changes in the state dues amount. The Association Manager must notify the board and league secretaries of the change as soon as possible.

USBC State Boards

Q. Who can serve on the USBC state board of directors during the transition period?

A. Whether the state association is merged or non-merged (assuming the state signed the Letter of Intent), eligible candidates for the state board may come from:

Merged local USBC associations

Non-merged local associations who have signed the Letter of Intent

Differences:

Only females may serve on the non-merged women’s state association board*

Males or females may serve on the non-merged (former BA) state association board*

Men, women and youth may serve on the non-merged (former YABA) state association board*

Merged state association is required to have reasonable representation of men, women and youth on its board.*

*14 years of age unless state laws mandate a specific age

Letter of Intent

Q. Is the Letter of Intent a binding document and can changes be made to it?

A. The Letter of Intent is a binding legal document that commits state or local bowling associations within a given area to proceed with chartering (either merging or remaining separate) subject to approval by the new United States Bowling Congress. If at any point before chartering, it is necessary to amend the Letter of Intent, the Letter of Intent itself authorizes changes as long as they are proposed in writing and again approved by USBC.

This Letter of Intent is binding upon the BA, WBA and Youth Association, as well as on USBC, and on their successors and assigns. Any modification must be in writing and signed on behalf of the Bowling Association(s) and USBC. Representatives signing this Letter of Intent on behalf of the Bowling Associations and USBC warrant that they have the authority to do so. This Letter of Intent will be interpreted under the laws of the State of Wisconsin. (Proposal, p. 45, IV or Transition Manual p. 65, IV)

Q. Who determines whether your association will merge or not?

A. The WIBC membership. Because the association already is affiliated with ABC, WIBC or YABA, it only requires a board decision to charter and continue the affiliation with USBC. The board may submit the Letter of Intent with a note stating the decision to merge or not is pending ABC Council of Delegate and membership approval.

And remember, your association must submit a Letter of Intent by May 31, 2005, whether you intend to merge or not.

Once the board has made the chartering decision, it is up to the ABC Council of Delegates or WIBC membership to determine how they will charter - as a merged or non-merged association.

Distributing Association Assets

Q. Should merging state/local associations do whatever they wish with their association assets?

A. No. Remember that the money belongs to the members and should be used for them.

Associations are encouraged to use all or some of their current assets as start-up money for their new USBC association. Since the merged association will provide programs and services to former members, serious consideration should be given to this prior to any disbursement of funds.

Associations with 501(c)(3) status also should keep in mind that there are state and federal laws stipulating that their assets can only be donated or transferred to another 501(c)(3) organization. Non-501(c)(3) associations also are advised to follow this policy.

A non-merging association presumably would not elect to transfer its assets to any other organization because it will continue as a separate association.

For more details on distributing assets, refer to pages 13 and 40 of the 2004 USBC Transition Manual. If you are not certain of your associations tax-exempt status, contact Association Relations at (800) 514-BOWL, ext. 3158.

Bonus Tip

When working together to merge, remember all associations should have equal voice no matter how their assets are divided.

Employer Identification Number (EIN)

Q. Can you use the same EIN number when you transition to USBC?

A. No, you must obtain a new number. Since ABC, WIBC and YABA no longer will exist each association is required to obtain a new EIN number from the IRS to participate initially in the USBC Federal Group Income Tax Exemption, even if it is a non-merged association. This should be obtained prior to opening up an association bank account.

For details on how to apply for a new EIN number refer to pages 93-101 of the 2004 USBC Transition Manual.

Last Updated: Dec. 22, 2005

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