AYSO Directives and Procedures When Paying for Services
AYSO remains committed to the belief that volunteers deliver a high quality experience for their participants. Due to a scarcity of volunteers in many communities, the NBOD modified AYSO National Policy Statement 2.5 allowing AYSO Entities (Sections/Areas/Region) some flexibility in paying for services so high standards of program delivery are maintained.
These Directives and Procedures were developed by the AYSO National Office at the request of the AYSO National Board of Directors (NBOD) to assist Regions, Areas or Sections (individually, an ”AYSO Entity”, collectively, “AYSO Entities”) to comply with Federal and State laws regarding payment for services, including some services traditionally provided by AYSO volunteers. These Directives and Procedures, and the underlying policy, do not apply to a transaction with an individual or a vendor to provide facilities, products, materials or other commodities. They apply largely to situations where an individual person, a company or an association, operating in their normal business capacity, is paid for providing a service of some kind to an AYSO Entity in the operation of the AYSO community program.
When paying an individual or an entity for services, care must be taken to ensure that an AYSO Entity’s practices are in compliance with local, state and federal tax, employment and compensation laws. Compliance is more likely to be achieved when a true, independent contractor relationship is established. Failure to do so could expose the AYSO organization as a whole AND THE INDIVIDUAL BOARD MEMBERS WHO CONDONED OR OTHERWISE APPROVED SUCH PRACTICES to liability claims and significant monetary penalties. Additionally, AYSO entities must use appropriate good business procedures, to include competitive bidding and approval of all arrangements by the AYSO Entity’s governing board, so as to remove any impression of self-dealing or conflict of interest. Regions that pay for services must comply with AYSO’s own IRS 1099 Reporting Policy to ensure that proper tax notification is filed. Lastly, no practice should be employed that violates any of AYSO’s guiding principles or shows blatant disrespect for those who do volunteer.