NAMIC PAC SOLICITATION MANUAL

NAMIC PAC  Company Solicitation Manual   

Company Structure Information  - NAMIC PAC Member Company Employee Solicitation  Guidelines  - Company Administrative Information (legal and  structural)  

 

Marketing and Tracking Materials 

 

- Sample CEO Solicitation Letter  - Example – CEO Solicitation Letter   - Sample Internal Memo to Implement Payroll  Deduction  - Sample Transmittal Letter from company to NAMIC  - Sample Contribution Card  - Sample Board of Director Fee Deduction Card  - Sample Spreadsheet of Contributor Information  

NAMIC PAC Frequently Asked Questions  Helpful Hints 

NAMIC PAC Member Company  Employee Solicitation Guidelines  Raising employee personal funds for NAMIC PAC can be done through the following steps: 1. Develop a list of all eligible employees to be solicited. An eligible employee is any employee considered to be an “exempt employee” (i.e. a salaried and not an hourly employee). You may not reimburse your employees for their personal contributions to NAMIC PAC. 2. Once the list of eligible employees is developed, you have three options: a. Send the list of employee names and addresses in excel format to NAMIC PAC via email. NAMIC staff will send letters, brochures and solicitation materials to the employees listed. b. Request the necessary PAC materials from NAMIC PAC and send these along with the sample letter enclosed or one of your own drafting to your eligible employees (please allow NAMIC staff to review for legality if drafting your own communication). All materials printed out may be printed on your company letterhead and may include the NAMIC PAC logo. c. Set up a payroll deduction system at your company, by which the employee’s contribution is deducted over the course of the entire year. Please read on for additional information on this option. 3. You may collect your employees’ checks and credit card information or have them sent directly to NAMIC PAC. If you choose to collect the checks and contribution cards, please forward them to NAMIC PAC in a timely manner, as contributions may not legally be held for more than 10 days before deposit. 4. If you choose to utilize the payroll deduction option, you must receive written authorization from each individual making a contribution in order for your payroll department to deduct the designated amount from the employee’s payroll. This “NAMIC PAC Participation Form” (sample enclosed) must be signed and transmitted to NAMIC PAC so that it is kept on file for the duration of payroll deduction for each individual employee participating. Please feel free to use NAMIC’s contribution card that has payroll deduction on one side as an option. 5. All individuals that make a voluntary contribution to NAMIC PAC will receive recognition and will receive information from NAMIC PAC about political news. All companies that participate will receive special recognition at NAMIC meetings and NAMIC PAC related events. NAMIC Staff Contacts for NAMIC PAC: Irica Solomon – Political Director, [email protected]; 202-628-1558 Stephanie Sheridan –PAC Manager, [email protected]; 202-628-1558 Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

Company Administrative Information  The following information covers structural and legal questions regarding NAMIC PAC fundraising. Please keep in mind that NAMIC PAC may only accept personal contributions – no corporate contributions are permitted by federal law. 1. How do you structure your fundraising for the PAC?  Determine your “restricted class,” meaning who you plan to involve.  Determine if you will implement payroll deduction.  Create your personalized solicitation materials.  Define your solicitation method.  Establish time frame for fundraising.  If others are involved, assign responsibility.  Educate/Solicit your employees about NAMIC PAC.  Keep contributor files. 2. How much is the typical payroll deduction contribution? Payroll deduction contributions for NAMIC PAC range from .25% to 1% of an employee’s annual pre-bonus salary. For senior executives that typically ranges from $2,000 to $5,000 per year, while the average employee contribution is $400 or $15 per pay period. 3. How many times per year should you solicit employees? All employees, including those outside your restricted class (hourly) may be solicited for PAC contributions twice per year. One solicitation for PAC funds in the spring and one in the fall. 4. Setting a fundraising goal for your company. Should your company want a fundraising goal (which is recommended) it should base its goal on the number of eligible employees times $400 (e.g. 200 eligible employees for PAC solicitation X $400 per employee = $80,000 goal.) The goal is set high for each individual as senior management levels tend to always give at $500 and above. They can always give less that the recommended ask. 5. Who can contribute? Executive or administrative personnel of the corporation may contribute to NAMIC PAC. These are individuals like, corporate officers, executives, division managers, lawyers, and engineers etc. who are paid on a salary rather than an hourly basis and have policymaking, managerial, professional or supervisory responsibilities. Professionals represented by labor unions, salaried lower level employees, hourly employees, former or retired personal or consultants not subject to withholding taxes, are not considered executive or administrative personnel. Should you have a Board of Directors who receive a fee for their service- they may also be solicited and contribute to NAMIC PAC. 6. Contribution limits to the PAC. An individual may contribute a maximum of $5000 to NAMIC PAC per calendar year. An individual may contribute to other PACs, candidates or organizations. The combined or Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

aggregate contribution to all candidates, committees, and other recipients by an individual are $115,400 for any two year election cycle.

7. Contribution notices required. This information must be plainly printed on any solicitation pieces going to the employees. The following notice might be may be used on a statement or solicitation card. This notice may be reproduced in smaller print. Contributions are not deductible for Federal income tax purposes. Contributions to NAMIC PAC are voluntary and are used for political purposes. The amount indicated is merely a guideline and you may contribute more or less that the suggested amount. You may refuse to contribute without reprisal. Federal law requires NAMIC PAC to request and report the name, address, occupation and employer for each person whose contributions exceed $200 or more in a calendar year. 8. Manner of solicitation  Members of the restricted class may be solicited as often as the company desires.  The contributions must be voluntary. It is unlawful to obtain contributions by use of threat or physical force, job discrimination, or financial reprisal. While PAC contributions cannot be a condition of employment, a superior may solicit a subordinate.  At the time of solicitation, an employee must be informed of the political purpose of the PAC and of his/her right to refuse to contribute without fear of reprisal.  A PAC or corporation is allowed to suggest contribution amounts to employees as long as it makes clear these are: only guidelines; they will not be enforced; and that the individual can contribute whatever amount he/she desires without reprisal. A PAC is forbidden from setting minimum and maximum limits for acceptable contributions.  Payroll deduction can be used to collect contributions from the restricted class. A written authorization must be obtained from the employee before making the deduction.  Contributions by personal credit card or check may be solicited and accepted by a PAC.  Solicitations of a member of the restricted class may be routed through that person’s assistant, even though the assistant is not a solicitable person. 9.

Restrictions on contributions Illegal contributions may not be accepted by NAMIC PAC. PAC officers and agents are prohibited from knowingly accepting any contribution that is barred by Federal election laws. Illegal contributions include:  Contributions in excess of the limits (see above)  Contributions from corporations, national banks or federal government contract workers.  Contributions from non-citizens of the United States who have not been admitted for permanent residence  Contributions made in the name of another person 

Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

10. Contributor Recordkeeping For each contribution received records must identify the Amount, Date of receipt, Donor’s name and address and the Donor’s occupation and employer. For each employee who chooses to cancel payroll deduction, reports from the company’s accounting department to the NAMIC PAC should also indicate this. When reporting information about contributors, the PAC’s agent is deemed to have exercised their “best efforts” if each PAC solicitation contained a clear request for the information above and if they made at least one additional attempt (by phone, mail or email) to obtain the information after the contribution was received. 11. Payroll Deduction Recordkeeping Individual employees in the restricted class who wish to contribute using payroll deductions are required to provide the NAMIC with written authorization to the payroll department to deduct the designated amount from the employee’s payroll. This Payroll Deduction Authorization Form must be signed and transmitted to NAMIC PAC so that it is kept on file by the PAC for the duration of payroll deduction for each individual employee participating. 12. Transferring Contributions to NAMIC PAC A corporation may transfer all PAC payroll deductions into a special holding account similar to other payroll deduction purposes. A corporation may transfer all PAC payroll deductions to NAMIC each month by wire of by check. One point to remember: The deduction must be taken after taxes as contributions are not tax deductible. Along with the contribution, the company shall transmit a letter indicating that these funds are being transferred from the corporation and represent individual employee contributions collected via payroll deduction. In addition, a record of each contribution (see section 10) shall be transmitted to the NAMIC PAC. Funds can be transmitted electronically or via check (made out to NAMIC PAC) and should indicate a list of contributors and their corresponding contributions. To transfer funds electronically please contact Stephanie Sheridan, PAC Manager at 202-628-1558 or [email protected] for NAMIC PAC’s bank account and routing numbers. For all other contributions collected: Contributions in excess of $50.00 must be mailed and then deposited by NAMIC PAC within ten (10) days of being collected, and those of $50.00 or less within thirty (30) days after being collected. A best practice is to send within one week of receipt. 13. What is the NAMIC Advocacy Fund? The NAMIC PAC Administrative Fund is the NAMIC Advocacy Fund. It is a separate segregated account that contains funds from members for covering and defraying the administrative and solicitation costs of running the PAC. In addition it aids in supporting statewide ballot initiatives and national and statewide groups and candidates who may accept corporate contributions. This account is permitted to accept corporate dollars and member corporate contributions made to this account are unlimited. All contributions to this account should be made to the NAMIC Advocacy Fund. Many organizations match their PAC fundraising dollars with a corporate check to this account. Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

Sample CEO Solicitation Letter  Dear : As business professionals, we understand the importance of investing. Every day we invest resources in labor, material, research and development all to help ensure the continued vitality of (INSERT COMPANY). This is why I believe investing in the National Association of Mutual Insurance Companies’ Political Action Committee (NAMIC PAC) is so important. We cannot escape the fact that government plays a massive role in determining the conditions under which we operate our businesses. The reality is that one harmful law or regulation has the potential of destroying years of hard work. That’s why it’s so important for everyone in our industry to make a personal investment in NAMIC PAC. NAMIC PAC’s reason for existence is to defend our business interests in Congress. Political contributions help to raise the profile of NAMIC and our industry in Washington and enable our lobbyists to advance our legislative agenda directly to the decision makers on Capitol Hill. To increase the understanding of our issues in Congress, we must help provide lawmakers with the resources they need to run their campaigns. Our priorities cannot be accomplished without legislators who understand and hear from our industry. What happens in Washington, D.C. and the state capitol does affect our company’s bottom line. That is why I am asking that you make the choice to support NAMIC PAC by making an annual contribution. The brochure that is attached to this letter contains a contribution card and a return envelope. No matter the amount, every dollar counts! I hope you choose to join me in making this sound investment in NAMIC PAC to help protect our industry from harmful government action. If you have any questions regarding NAMIC PAC, please do not hesitate to contact Irica Solomon, NAMIC’s Political Director or Stephanie Sheridan, PAC Manager at 202-628-1558 Please know your support is greatly appreciated and needed. Thank you in advance for your help with our efforts to support and protect our industry’s future.

Best regards,

Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

November 25, 2009 TO: Last year the NAMIC challenge was to get Congress and the administration to understand that the “I” in AIG did not stand for “Insurance.” While NAMIC was somewhat successful in that endeavor, the new challenge is to get the same branches of government to understand that not all insurance is the same. As we all know, there are significant differences between property and casualty insurance and life and health insurance. Many agree that some sort of health care reform may be necessary. Nonetheless, the current house bill voted upon in early November poses a significant threat to our industry. This House bill includes a section that would repeal the McCarran-Ferguson limited antitrust provision for health and medical professional liability insurers. This repeal could potentially reduce competition, make coverage more expensive and less available and, most importantly, puts us on a slippery slope toward eliminating it for all insurers. Additionally, a last-minute provision was added that would give the Federal Trade Commission (FTC) authority to investigate the insurance industry. While the intention of the FTC provision is aimed at health and medical professional liability insurers, the language of the bill is extremely broad and would include all insurers. These types of “pop up” last minute threats that are sometimes buried in bills 2,000 pages long will probably continue as we work through the current congressional session. The company, through NAMIC, needs your help in dealing with issues of this type at a national level. We can only avoid these types of national control attempts by helping to elect a responsible congressional delegation and educating those that are elected on the differences between various forms of insurance and financial institutions. The NAMIC PAC is a vehicle that can help us do this. Information about the NAMIC PAC, along with a contribution form, is enclosed. Please consider contributing to this important organization. Simply complete the enclosed form and return it to Dianne Voss in the envelope provided by Monday, December 7, 2009. We request that all forms be returned, whether you intend to contribute or not. To use the payroll deduction method, please complete the proper section on the form. Payroll deductions authorized on this form are for the year 2010 and will begin with the first paycheck in January 2010. To make a lump sum contribution for 2010, please complete that section on the form. Thank you.

JOHN S. BENSON President and Chief Executive Officer Your contribution to NAMIC PAC must be personal – not corporate. Contributions to this committee are not deductible for federal tax returns. Maximum annual individual contribution is $5,000. The guidelines above are merely suggestions. You are free to contribute more or less than the guidelines suggest. All contributions are voluntary. You may refuse to contribute without reprisal.

Sample Internal Memo to Implement Payroll Deduction  To:

From: Date: Re: Payroll Deduction for NAMIC Political Action Committee (NAMIC PAC) I am pleased to announce that we will be implementing employee payroll deduction as a means to solicit and collect political action committee (PAC) contributions from eligible employees for the NAMIC PAC. This effort is meant to enhance fundraising receipts in a partnership between the National Association of Mutual Insurance Companies and < Corporation> to more efficiently and cost-effectively raise the PAC funds to better impact Congress. I am confident that this will be a success among our executive and managerial staff. Please review and act upon the attached materials that will allow < Corporation> to collect funds from eligible employees for NAMIC PAC. We shall be responsible for the collection of and timely transmittal (monthly) of PAC funds collected from payroll deduction. For our purposes the “eligible employees” includes executive and managerial personnel of the corporation, including but not limited to the following positions: It is my goal to launch this effort internally through a letter to all eligible staff and payroll announcement on or before For questions, information and assistance with this effort, please do not hesitate to contact

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

Sample Transmittal Letter (from Company to NAMIC) 

NAMIC PAC Attn: Andy Knoblauch 3601 Vincennes Road Indianapolis, IN 46268 Dear Andy, Enclosed please find a check for NAMIC PAC contributions collected on behalf of and sent to the NAAPAC from in the amount of made payable to: NAMIC PAC. These funds are being transferred from our Corporation and represent individual contributions collected via payroll deduction. To the best of our knowledge and ability we have determined that all monies being transferred to NAMIC PAC have been collected from individuals who are within the “restricted class.” Attached hereto are the names, occupations, employers, addresses, amounts, dates of contributions of each contributor to the NAMIC PAC.

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

Sample Contribution Form 

NAMIC PAC PARTICIPATION FORM Yes, I want to join the NAMIC PAC! Please check one:



I authorize a payroll deduction of $________/per pay period x____ pay periods. This deduction will remain in place, unless I notify Human Resources that I would like to opt out.* $_____________Total Annual Contribution



Effective Pay Date: ______________

I am enclosing my personal check in the amount of _________________. Please make check payable to NAMIC PAC. Only personal funds may be used.



Please charge my credit card in the amount of ______One time ______monthly.

Card #:_________________________________________________ Exp Date: _________________

Please send this completed form (and contribution, if applicable) to: NAMIC PAC Name: Company: City, State Zip: Phone:

Email:

Signature:

Date:

*You may choose to withdraw from the payroll deduction program at anytime by simply informing your payroll department in writing. They will notify NAMIC of the change. You may opt back in at any time by completing a new form. NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

Sample Board of Director Fee Deduction Form

Board of Director Deduction Form NAMIC PAC PARTICIPATION Yes, I want to join the NAMIC PAC! Please check one:



I would like to show support for the property/casualty industry and NAMIC PAC by donating $________ per Director’s fee/compensation payment.

I authorize the company to deduct the amount I specified above from my director fee/compensation payment and send the deducted amount to NAMIC PAC.



I am enclosing my personal check in the amount of _________________. Please make check payable to NAMIC PAC. Only personal funds may be used.



Please charge my credit card in the amount of ______One time ______monthly.

Card #:_________________________________________________ Exp Date: _________________

Please send this completed form (and contribution, if applicable) to: NAMIC PAC Name: Company: City, State Zip: Phone:

Email:

Signature:

Date:

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

Sample Spreadsheet for Contributor Information Collection

  Employer  Occupation  Date of $  Amount  Prefix First 

Last 

Acme Inc.  Director 

9/1/2009

10.25  Ms. 

Jane 

Public 

Acme Inc.  Engineer 

9/1/2009

38.40  Mr. 

John 

Public 

Acme Inc.  VP Sales 

9/1/2009

150.00  Ms. 

Jane  

Doe 

John          

Doe          

Acme Inc.              

COO          

9/1/2009 200.00                   

Mr.            

Address  1234 Main  Street  1234 Main  Street  1234 Main  Street  1234 Main  Street          

City 

State  Zip 

Washington 

DC 

20036

Washington 

DC 

20036

Washington 

DC 

20036

Washington          

DC          

20036         

A customizable electronic version is available in Excel.

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

   

NAMIC PAC Frequently Asked Questions  What is NAMIC PAC? 

NAMIC PAC is a federal political action committee. A PAC enables employees or members of groups – such as select personnel of corporations and professional organizations – to pool their political contributions and support candidates who will help the organization achieve its legislative objectives.



NAMIC PAC sends a strong, collective message that NAMIC members have an interest in the association and our industry. The strength that a collective effort brings allows for visibility and access unattainable by individuals.



NAMIC PAC supports both Democratic and Republican candidates who support issues that are important to the multifamily industry. Other criteria include the candidate’s leadership and committee positions and general pro-business and free-market philosophy. Every contribution made to the NAMIC PAC is spent on direct contributions to candidates. In the most recent election cycle, NAMIC PAC contributed to more than 175 elected officials.



NAMIC PAC may receive contributions only from individuals or other PACs. Federal law prohibits companies from using corporate funds to contribute to candidates or PACs. Historically, NAMIC staff, leadership committee members, and approved property/casualty company employees have contributed to NAMIC PAC, and member companies have made contributions from their own employee-sponsored PACs.

How can I contribute to NAMIC PAC? 

You may contribute by personal check, by credit card or by payroll deduction within your company if they offer this benefit.



Contributions to NAMIC PAC are voluntary and you have a right to refuse to contribute without reprisal. Federal law requires us to use our best efforts to collect and report to the federal government the name, mailing address, occupation and name of employer of individuals whose contributions exceed $200 per calendar year. 100% of PAC funds will be used for political purposes.



Individuals may contribute up to $5,000 per year to a political action committee. Contributions are not deductible for federal income tax purposes.



If you have any further questions about NAMIC PAC please feel free to contact Stephanie Sheridan at 202-628-1558 or [email protected].

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.

Helpful Hints  

Lead by example - tell your employees why you give and why it is important to you, them, your company’s bottom line and the entire p/c insurance industry.



Thank your employees for their commitment and dedication to supporting NAMIC PAC over the past year



Remind them that it is their choice to support NAMIC PAC and that choosing not to participate will not affect their job status.



Allow your employees the opportunity to choose payroll deduction, a one time contribution or a monthly or quarterly giving option. Giving over time allows someone the opportunity to give more than they would in a one time contribution. It is strongly encouraged.



Spend time discussing the NAMIC PAC club levels and ask them specifically to join a club level. This chart shows the two most common payroll schedules and the donation amounts required for each club level based on the number of payroll dates. Also included in each of the brochures is a chart of each NAMIC PAC club level and their associated benefits. 26 Pay Periods Per Year Amount/ Pay Period $10 $15 $20 $30 $40 $70 $100

Club Level & Total Pledge Silver Club $260 Silver Club $390 Gold Club $520 Gold Club $780 Platinum Club $1040 Platinum Club $1820 Ben Franklin Society $2600

12 Pay Periods Per Year Amount/ Pay Period $10 $15 $20 $25 $40 $45

Club Level & Total Pledge Donor $120 Donor $180 Donor $240 Silver Club $300 Silver Club $480 Gold Club $540

$90 $125 $150

Platinum Club $1080 Platinum Club $1500 Platinum Club $1800

$210

Ben Franklin Society $2520



If your company gives a director’s fee/stipend or monetary compensation for serving on the board of directors then your company is eligible to participate. Just like the employee payroll deduction program, if your board members decide they would like to support NAMIC PAC they may give a one time contribution or elect to have their donation amounts deducted from one or more of their director’s fee/stipend/monetary compensation.



Ask, ask, ask! It is usually as simple as explaining the program and making the ask. But don’t be afraid to call and ask NAMIC staff questions. We are here to support any of your volunteer efforts on the PAC’s behalf.

NAMIC PAC is a federal political action committee registered with the Federal Election Commission. It is a qualified multicandidate committee. A trade association PAC may not solicit a corporate member’s restricted class without its prior approval. Corporate contributions are not permitted. Contributions are not deductible for federal tax purposes.