Process for FPADF Grants

The FPA administers a Development Fund which provides grants to contributors. This fund was established by a vote 2022-11-15. These grants are valued in USD.

The FPA also provides grants to defray travel costs to events such as FOSDEM. These grants are generally valued in USD. These Grants are not considered to be FPADF grants and are accounted for separately.

The FPA may award grants for other purposes, such as education. These grants are not part of the FPADF program

Who can receive a grant?

Grant are only issued to individuals. In the event multiple people are involved in an initiative, one of them must act as the “prime contractor”. The prime contractor is responsible for dividing grant money among the participants. The FPA will not involve itself in any disputes between the participants.

Documenting a Grant award

If there is to be a gap between awarding of the Grant and the actual payment, then generally accepted accounting practices would suggest that the award be recorded as a liability and then charged to the FPADF account when money is actually paid out. As we are not bookkeepers, we will just record the payout to a “Valeurs disponsible” account and the FPADF expense account.

Grant proposals and approvals

A proposal must be provided for all grants. Grant awards are subject to a positive vote by the FPA.

Bookkeeping for grant payouts

Create a transaction charging the grant amount to the appropriate account, offset against the account providing the funds. Any fees involved should also be added to the transaction.

Normally a Github issue is created for each payment.

Taxes

In some jurisdictions, grants are considered taxable income. The grantee is responsible for any taxes due on grant income. The FPA does not withhold taxes on grants.

Grants, Contracts and VAT