Appendix B to Part 556 - Classification System for Private Organizations by Type and Subtype

(The list is not inclusive.) B-1. Types of private organizations

a. Type 1—federally sanctioned.

b. Type 2—affiliated.

c. Type 3—independent.

B-2. Subtypes of private organizations

a. Financial institutions.

b. Community services, fraternal/benevolent.

c. Labor-management organizations.

d. Sports, hobbies, crafts.

e. Distaff service organizations.

f. Youth groups.

g. Professional, scientific, and management.

h. Religious groups.

B-3. Examples of private organizations by type and subtype

a. Type I—federally sanctioned. Subtypes are—

(1) Financial institutions.

(i) Banks.

(ii) Credit unions.

(2) Labor-management organizations.

(i) Labor organizations.

(b) Association of managers and supervisors.

(3) Community service.

(i) USO.

(ii) Red Cross.

(iii) United Seamen's Service.

(iv) Component relief/aid organizations.

(4) Youth groups.

b. Type 2—affiliated. Subtypes are—

(1) Professional, scientific, and management.

(i) Engineering or scientific fraternities.

(ii) Associations of active duty personnel.

(iii) Nurses’ guilds.

(iv) Financial management associations.

(v) Personnel management organizations.

(2) Sports, hobbies, crafts.

(i) Affiliated hobby/craft groups.

(ii) Sports Officials’ Association.

(3) Community service.

(i) Veterans organizations.

(ii) Parent Teachers Association.

(iii) Surviving spouse/parent organizations.

(iv) Ethnic group affiliations.

(v) Reserve and retired associations.

(vi) Affiliated community service clubs.

(4) Religious groups.

(i) Altar guild society.

(ii) Guilds.

(iii) Religious youth organizations.

(5) Youth organizations.

(i) Junior Army Navy Guild Organizations (JANGO)

(ii) 4-H Clubs.

(iii) Scouting organizations.

(iv) Little league.

(6) Other affiliations.

c. Type 3—independent. Subtypes are—

(1) Sports, hobbies, and crafts.

(i) Model clubs.

(ii) Stamp, coin, other collectors.

(iii) Theater and dance guilds.

(iv) Fish and game clubs.

(v) Golf leagues.

(vi) Bowling leagues not affiliated with national organizations. (Note: DOD has waived requirement for nationally affiliated bowling leagues to become private organizations under this regulation.)

(vii) Investment clubs.

(2) Youth organizations.

(i) Contemporary age clubs (teens, and so forth).

(ii) Youth sports/recreation clubs.

(3) Professional, scientific, management. Local, independent, unaffiliated organizations.

(4) Community service.

(i) Thrift shops.

(ii) School booster clubs.

(iii) Local ethnic groups.

(iv) Museum associations and foundations.

(v) Social problem study groups.

(5) Auxiliary organizations.

(i) Spouses’ or wives’ clubs (may include thrift shop operations).

(ii) National origin clubs.

(6) Religious. Local, independent, unaffiliated organizations.

Glossary Abbreviations AAFES. Army and Air Force Exchange Service ACS. Army Community Services AFR. Air Force Regulation APF. Appropriated funds CFSC. U.S. Army Community and Family Support Center CONUS. Continental United States CPR. Civilian Publication Regulation DA. Department of the Army DCSPER. Deputy Chief of Staff for Personnel DOD. Department of Defense FPM. Federal Personnel Manual HQDA. Headquarters, Department of the Army IRS. Internal Revenue Service MACOM. Major command MBFS. Military banking facilities MOU. Memorandum of Understanding MPS. Military Postal Service MWR. Morale, welfare and recreation NAF. Nonappropriated funds NAFI. Nonappropriated fund instrumentality OCONUS. Outside the continental United States OSD. Office of the Secretary of Defense POs. Private Organizations SJA. Staff Judge Advocate TDY. Temporary duty USPS. United States Postal Service Terms

Audit. An official examination, verification, and correction of account books that shows the financial status of a PO.

DA installation. A location, facility, or activity assigned to, owned, leased, controlled, or occupied by DA.

DOD family. A group consisting of—

a. Active duty military personnel.

b. Retired military members.

c. Members of Reserve Components.

d. Family members and surviving spouses of personnel in a. through c. above.

e. Local DOD civilian employees.

4. Other civilians as authorized by major commanders and installation commanders.

Double entry accounting system. A system in which both elements of each transaction (debits and credits) are—

a. Recorded separately, and

b. Recorded during the period of occurrence.

Gross annual revenue. The total revenue of a PO, which includes income from—

a. Sales of goods and services.

b. Membership assessments or dues.

c. Contributions and donations.

d. Interest.

Investment club. A membership that pools stated amounts of funds to invest in stock or other securities. Usually, group members pledge a regular amount to be paid into the club on a scheduled basis, for example, monthly and annually. Some clubs have a committee that gathers information on securities, selects the most promising, and recommends that the club invest in them. Other clubs rotate the investigatory responsibilities among all their members. Most require all members to vote for or against all investments, sales, exchanges, and other transactions.

Nonappropriated fund instrumentality. An integral DOD organizational unit that performs an essential Government function. It acts in its own name to provide, or assists other DOD organizations in providing, MWR programs for military personnel and authorized civilians. It is established and maintained individually or jointly by the secretaries of the military departments. As a fiscal entity, it maintains custody of and control over its NAFs and contributes to the MWR programs of organizational entities. It is not incorporated under the laws of any State or the District of Columbia. It enjoys the legal status of an instrumentality of the United States.

Nonappropriated funds. Cash and other assets received by NAFIs from sources other than monies appropriated by the Congress of the United States.

Private organization. A self-sustaining, non-Federal entity constituted or established and operated by individuals acting outside any official capacity as officers, employees, or agents of the Federal Government or its instrumentalities. It may be incorporated or unincorporated. It may operate on or off DA installations; however, to operate on-post, the private organization must have the written consent of the installation commander or higher authority.

Qualified auditor. An auditor qualified to hold grade UA/GS 9 (or local national equivalent grades) or above in civilian job series 510 or 511, or public accountant or certified public accountant licensed by a State or other recognized licensing jurisdiction.

Single entry accounting system. A simple system of recording transactions on a cash basis. No inventories or accounts receivable or payable are kept. (Often called a combination journal system.)

Status of forces agreement. International agreement which defines status of guest forces while on the territory of the host country.

Index

References are to paragraph numbers except where specified otherwise. Definitions of technical terms are found in the Glossary.

AAFES, Section 556.18 Alcoholic beverages, Section 556.8 Boy Scouts, Sections 556.17, and 556.23 Charitable contributions, Section 556.17 Donations, Section 556.18 Property acquisition, Section 556.7 Raffles, Sections 556.13 and 556.18 Rent, Section 556.23