National Bank of Arizona donates to private school tuition fund

Many parents would like the opportunity to send their children to a private or parochial school but lack the means, say a banker and an accountant who want to help the families overcome the financial obstacle of tuition.

Schools Tuition Association of Yuma Inc. (STAY), a nonprofit that accepts donations for private schools, received a donation of $15,000 Monday from the National Bank of Arizona. This is the third year the bank has contributed since the Legislature voted to allow corporations to make donations in 2006.

The bank previously contributed to community service projects, but it is interested in supporting education, said Tom Thompson, regional president for the Southwest Region of the bank. STAY, which incorporated in 1999, is administered by Lloyd Sunderman, a Yuma certified public accountant, who also chairs STAY.

"The future of the community is in providing a quality education for youth," Thompson said.

The law prevents direct donations to private schools but in 1997, Arizona Revised Statutes 43-1089 allowed for a dollar-for-dollar tax credit for charitable organizations to enable students to attend a private school. Individuals can take up to $500 while married couple who file jointly can get a $1,000 tax credit.

 But now the law allows significantly larger contributions through corporations. Collectively, corporations can donate up to $17.28 million for 2009 and receive dollar-for-dollar tax credits.

"It permits parents to choose schools that fits their child's situation and helps them maximize their academic potential," Sunderman said.

Since 1999 STAY has received 464 individual donations and provided $2.15 million to schools. In 2008 STAY gave $322,000 in direct tuition contributions. The corporations gave $19,000 that year and since three years ago, eight corporations have donated $64,000.

"Obviously, we'd like to help more children but the economy the last year has stifled donations," said Rhonda Maese, Sunderman's administrative assistant.

Last year STAY helped nine schools: Calvary Baptist School, Immaculate Conception School, Southwestern Christian School, St. Francis School, Yuma Catholic High School, Yuma Lutheran School, Hand in Hand Christian School, plus two out-of-town schools, Phoenix Christian Elementary and Tri-City Christian Academy in Tempe.

STAY is allowed to use up to 10 percent of donations for administrative costs, but because it is administered through Sunderman's firm, STAY only spends about 5 percent, Maese said.

Because of this, it also maintains a "hardship case" fund that helps individual families who have experienced a catastrophic illness or other disaster to continue to send their children to school with leftover administrative money, Maese noted.

"It's a win-win situation, " Maese said. "Mr. Sunderman feels children should have the opportunity to go to a school of their choice and money should not be a hinderance."

Only six states allow for a dollar-for-dollar tax credit and STAY hopes more states follow suit, she said, because studies have shown that donations for private school helps relieve pressure on state budget which otherwise have to increase education funding.

"Word-of-mouth is our best advertisement. Corporations are often surprised and can see what a great program it is when parents can send children to a school of their own choice."

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Sun Staff Writer William Roller can be reached at 539-6858 or wroller@yumasun.com.