Hi, I'm working with my first ITVS contract and need some advice regarding how best to distribute the funds – through a fiscal receiver or my LLC.
My situation is a bit complicated because of the history of funding on the project. Prior to my ITVS contract, I used one fiscal receiver for State grants (NYFA) and a non-profit organization for NEA funds. (NEA changed their rules several years ago and only allows organizations to apply, not individuals with fiscal receivers). I signed off on my ITVS budget giving the non-profit organization's director a salary equivalent to cover fiscal responsibilities. What I completely forgot about was that NYFA requires that they be the only fiscal receiver. NYFA is now telling me that they will terminate my contract if I don't use them as the fiscal receiver. I don't have an additional 8% in my budget to spare to cover their fee (18,000). The only option I can think of in order to not breach my contract with NYFA would be to use my LLC for the ITVS funds.
Does anyone know if I could still pay people as independent contractors if I use my LLC? What if people are working at my office? – Won't they technically need to be on payroll? (I did not allow for payroll expenses in my budget).
The only people who would be working at my office on a regular basis for the year are editing assistants and the editor.