I am forming a P.T.O. and incorporating as well as obtaining 501(c)(3) status. The former association was part of the school and was using the schools EIN. It has well over 5K of donations / gross revenue per year, so it obviously needs its own EIN, and as a 501(c)(3) it benefits donors, as well as giving us state sales tax exempt status. My question is this, we are now an independant entity, we provide field trips for educational purposes for the students of the school. The school used to force the former entity to use the bus company the school is contracted to use. This comoany is NOT the cheapest in the area, and refuses to meet the offer from a different company. The school has a contract that states exclusivity with this company for everything, do we as an independant organization have to abide by the schools contract? or do we have the option to use the lowest bidder since we are paying for it?


Any help will be GREATLY appreciated!!!


Norm