On March 18, 2024, we published an update to our donors with the news that our fiscal host, Open Collective Foundation, is dissolving. This has nothing to do with the WPCC specifically, as the OCF hosts almost 600 organizations under its umbrella. It is also not related to the platform on which OCF and the WPCC were established: Open Collective, the platform, is not shutting down.

However, the dissolution directly impacts the WPCC, as we must take action to move our organization … somewhere. With the money we have raised thus far, we must find a new fiscal host to continue our work as a 501(c)(3) organization. Alternatively, we can choose to organize as a 501(c)(6) or an unaffiliated organization but to do that, we must spend down all of our raised funds before September 30, 2024.

An important thing to note is that per the legal obligations of 501(c)(3) funding, we cannot transfer any of the funds we hold to any organization unless it is also a 501(c)(3), not-for-profit charity organization. 

As the founding board, we remain committed to the mission of the WPCC: to support the WordPress community and its contributors. We have active projects with sponsors underway, and we would very much like to see those through. However, as we aim for the WPCC to be a true collective and to take our direction from our contributors and collaborators, we seek input from our community as to what they (you!) feel is the best course of action. 

Below, we’ve organized a matrix outlining some of our options, both for alternative fiscal hosts (there are not many that encompass our mission and industry), and for changing the structure of the WPCC.

Please note: We are asking our community FIRST. We have not yet met with the OCF closing management to discuss their suggestions, nor have we had any meetings with prospective fiscal hosts. We will be doing both in the coming weeks.

Advantages of Working with a Fiscal Host:

• Reduced Administrative Burden: The fiscal host handles many administrative and operational tasks, freeing the collective’s members to focus on strategic initiatives and community support.
• Cost Savings: Establishing and maintaining a nonprofit entity is costly. Working with a fiscal host can be more cost-effective, especially for initiatives that are project-based or have a limited lifespan.
• Flexibility: Fiscal sponsorship can be more flexible than forming a nonprofit, allowing collectives to test ideas and projects without a long-term commitment.

Community Building: Fiscal hosts often provide a network of like-minded projects and initiatives, offering opportunities for collaboration, sharing best practices, and mutual support.

Feature / Stakeholder Considerations	11-11 Philosophers Group	Code for Science and Society	Open Collective	Open Source Collective	Superbloom
Description	Unique philosophical perspective; limited details.	Comprehensive fiscal sponsorship for public interest tech. Mission is to “advance the power of data to improve the social and economic lives of all people through public education, scientific research, and technology development and deployment.”	Broad platform for various collectives. Can possibly be used as an accounting/financial mgmt platform.	Supports open-source projects with tailored services.	Focus on security and privacy; evolved from Simply Secure. Leverages fiscal sponsorship as a tool to support the growth and maturity of the digital rights and Internet Freedom communities, with a focus on human-centered research and design.
Pros	– Innovative models to increase donation value through state tax incentives	– Can keep current funds- Support for public interest tech- Strategic development support	– Transparent financial management- Global network	– Specializes in open source- Comprehensive financial management- Corporate sponsorship facilitation	– Can keep current funds- Security and privacy focus- Broadening mission
Cons	– Lack of information- Unclear services – Seemingly unrelated- Budget transparency a manual process	– 15% fee- It’s unclear how well their focus on public interest technology aligns with the specific needs of WordPress contributors.	– Gives WPCC no legal entity status- Would be starting from $0-Cannot transfer existing funds to this entity, so can only do if we spend down all funds- Significant fee impact on funds – Not tax deductible, no donation-matching	https://docs.oscollective.org/readme/moving-from-ocf-or-another-501c3 – Cannot transfer existing funds to this entity, so can only do if we spend down all funds – 10% fee on funds- Donations not tax-deductible, no donation-matching – WPCC May not qualify as it focuses on open source code development and specifies code licenses and event attendance	– Limited fiscal sponsorship details- Unclear services
Tax Benefits	Unknown	501(c)3	None	501(c)(6) – not tax deductible	501(c)3
Specialized Support	Unknown	Public interest tech focus	Broad support for various collectives	Tailored for open-source projects	Security and privacy focus
Community and Network	Unknown	Public interest tech community	Broad and diverse global network	Open-source community	Unknown
Legal and Financial Infrastructure	Unknown	Comprehensive fiscal sponsorship services	Open donations and expenditures	Legal and financial infrastructure for open-source projects	Comprehensive fiscal sponsorship services
Benefits to Corporations	Unknown	Unknown	– Varies by host- Global visibility and impact	– Open source Corporate Social Responsibility alignment- Strong compliance	Unknown

Considerations for Different Stakeholders

Corporations

• Open Collective: Varies by host, global visibility and impact, open source CSR alignment, strong compliance.
• Others: Unknown

Individual Contributors

• Code for Science and Society: User-friendly platform, transparency in fund usage.
• Open Collective: User-friendly platform, transparent financial management, appeal to tech contributors, transparent fund management.
• Others: Unknown

Small Businesses

• Code for Science and Society: Flexible support for tech, networking opportunities.
• Open Collective: Flexible support across sectors, networking opportunities, tailored support for open-source, networking within open-source.
• Others: Unknown

Global Diverse Audience

• Code for Science and Society: Cultural sensitivity potential, limited multi-currency support.
• Open Collective: Inclusivity for various collectives, multi-currency support, global reach of open source, primarily USD transactions.
• Others: Unknown

Resources for Fiscal Host research:

•  spreadsheet created by the New Economy Coalition