Newspapers Permitted to Serve NIE Copies on Credit

Effective immediately, ABC’s board moved to modify ABC’s policy concerning newspaper educational program rules and guidelines and the use of donated funds, so that newspapers are permitted to serve NIE copies on a credit basis, provided that during the audit process records are furnished to demonstrate that sufficient funds were available to cover the distributed copies. Should a deficit exist, the board ruled that the copies must be transferred to non-paid distribution within the Audit Report. This modified policy is effective with the September 2002 Publisher’s Statement period.

Provided below are updated guidelines for collecting donations for NIE copies.

(bold indicates update)

• When pursuing contributions, always keep donations separate from other business transactions.
• The following circumstances may lead to the disqualification of a donation or pledge under the Newspapers in Education (NIE) Rules.
  • Donations received from the newspaper itself, parent, subsidiary company or newspaper employees
  • Funds obtained in exchange for extraneous considerations, such as advertising or production of printed materials
  • Donations from vendors as a result of a reduction in advertising charges or other business related transactions
  • Contributions received from an ongoing business operation created specifically for NIE support
  • Contributions that are not voluntary and over and above the cost of the entrance fee or item of merchandise
  • Donations not received within six months of pledge. Newspaper copies served on pledges that are not honored within the six-month period are not eligible for inclusion in paid circulation.
  • Subscription offers where the subscriber is told a portion of the amount paid will go to the NIE fund
• All NIE copies claimed on Publisher’s Statements must be supported by documentation during the course of the audit that sufficient funding was obtained to cover the cost of the NIE distribution during the audit period.
• Pledge documentation must be dated, include name of donor and amount of donation.
• Copies not supported by cash or documentation pledges may not be included in paid circulation.

Posted 12/23/2002