Online Edition
October 15, 2008 1:07 AM


Kenyan group in Chicago gains IRS tax exempt

By Symon G. Ogeto

30th ATA Congress in Nairobi, Kenya May 15-20 2005

Feb 8 -- United Kenyans of Chicago (UKC) formally received a node of approved for 501(c) 3 exemption status, a major milestone that the civic group hopes will lure more new members in Metropolitan Chicago. UKC joins its neighboring Tanzanian community which has held similar status shortly after its incorporation in 2002.

“This is a very significant step for UKC and opens a new chapter in life as an organization” said UKC January newsletter. The ratification is itself quite empowering when considering that there are very few immigrant communities that attempt to file for tax exemption

The application, which began over a year ago, was spurred by the group’s executive officers led by Mukila Maitha, UKC president, board members and sought out help from other local groups who had expertise and experience in the process. The group’s monthly newsletter extended gratitude to the Tanzanian community’s leadership for their support throughout the process.

In order to be considered for tax-exemption as described in Internal Revenue Code Section 501(c)(3), an organization, such as UKC, had to demonstrate that it is organized and operated exclusively for charity purposes or as set forth in IRC Section 501(c)(3).

Based on the status, IRS stipulates that financial earnings or collections attributed to UKC should not ever be used to influence legislation as a substantial part of its activities and it may not participate at all in campaign activity for or against political candidates.

In a recent interview, president Maitha took a moment to answer 10 questions posed by Mashariki Leo and we are pleased to share the Q&A as follows:

How is your successful application of 501 (c)(3) likely to benefit UKC’s mission?

Receiving tax-exempt status under Section 501(c)(3) of the IRS Code provides the following benefits to UKC as it seeks to fulfill its mission:
• Allows for lower operating costs in paying for goods and services, since the organization is exempt from paying federal taxes.
• Contributions and donations are easier to seek since donors can claim a tax deduction for most of their contributions.
• There is greater access to discounts and resources for non-profits, since most of these first require proof of tax exemption. These resources include technical assistance to non-profits, professional services and the opportunity to apply for funding.

Based on the status 501 (c)(3), what is the organization planning to put in place to ensure that there is maximum use of various benefits that come with being a 501 approved entity?

For a start, we are already accessing organizational development programs that are open only to tax exempt non-profits. In addition, whenever we purchase goods and services we check for any special offering for non-profits. This is an area of continuous study and development since what you can do and cannot do, as a non-profit is quite dynamic.

How long did the process take before you received the approval earlier in the month?

The process from filing the application to approval was about seven months and does not include the preparatory work before the form filling.

What call do you have for Kenyans out there who have been skeptical in joining the organization?

I am not too worried about skeptics, because in the long run UKC’s mission and record will speak for itself. It should be realized that a coordinated framework is the best way to connect our community members to each other for progressive purposes, such as those outlined in UKC’s objectives and to establish a Kenyan presence in the local family of communities.

What is it that UKC has done different in renderings it services compared to several struggling African organizations in Illinois?

UKC has paid particular attention to the initial stage of the organization. This has been by making the setup and consolidation of its organizational framework the top priority before launching programs.

On average how many hours can anyone interested in volunteering plan to engage if he/she chooses to participate in UKC as an officer?

I will step back a little and first create a wider context for your question. It must be first understood that there are more ways of helping an organization than by only becoming an officer and the amount of time involved will vary greatly. One can assist UKC in one or more of the following ways:
1. Attend UKC’s events and programs
2. Tell others about UKC, its events and programs
3. Provide feedback and ideas to the organization
4. Make material/financial donations to UKC when the opportunity arises
5. Donate skills/professional services when the opportunity arises
6. Assist at UKC’s events
7. Become a member of the organization
8. Apply for a leadership position when the opportunity arises

As for your question regarding an officer’s time commitment, I’ll say a UKC officer’s role is a second job.

What challenges are likely to face the growth of UKC and how does your leadership plan to combat these challenges and turn them into opportunities?

There are many challenges that face the growth of a community organization such as UKC and these include becoming and remaining relevant to our primary constituency, remaining focused on our objectives, raising and managing the resources required to meet our objectives, keeping up with the regulatory environment facing today’s non-profit organization etc.

To meet these challenges UKC leadership team bases its objectives, programs and events on the needs of its constituency and welcomes feedback on any of these. To remain focused UKC has documented objectives, rules of conduct and internal procedures to assist with the smooth running of the organization. UKC also makes planning a top priority and as a policy UKC leaders are actively encouraged to stay abreast of issues and acquire any knowledge required to successfully execute their functions.

What is the current membership distribution of UKC based on age, education, social cluster (single/family/unknown), etc.?

Our current membership is small and very mixed. We do have a very significant presence of members with families and most of them are employed in one way or another.

How do you see UKC engaging its membership and services with the City of Chicago and Illinois at large?

Within the last year UKC has introduced itself to various City of Chicago and other Illinois government offices. Some officials from these offices have been present at UKC events and given recognition to presence and potential of the Kenyan community in the Chicago metro area and Illinois e.g. when Chicago Mayor M. Daley proclaimed December 12th 2004 to be “Kenyan Independence Day” in Chicago. We are very actively studying and assessing some opportunities that can materialize out of a relationship between UKC and various local offices.

How many events did UKC execute in 2004 and what different events are you likely to stage in 2005?

UKC successfully executed five events in 2004, which are all summarized on our web site (http://www.chicagokenyans.org/accomplishments.htm).

We plan on only staging three primary events in 2005.

- 2nd anniversary dinner/dance (March 12th)
- 2nd Annual Madaraka Day BBQ and Family Day (June 4th)
- 4th Annual Jamhuri Day (December 10th)

This does not include member general meetings or other programs put together by UKC committees.

Mashariki Leo team wishes to congratulate members of UKC as celebrate this milestone. We look forward to continue covering UKC events, programs and activities throughout the year.

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