China-Us Energy Efficiency Alliance

“The following clearly demonstrates that the Alliance satisfies the facts and circumstances test of Regulation 1.170A-9e3 and qualifies as a public charity under Sections 509a1 and 170b1Avi.”

“Misc. $135”

“Advertising and Promotion $53”

“Office Expenses $413”

“Travel $3578”

“Insurance $1648”

“Payroll expenses $1500”

“Meals & Entertainment $1366”

“Misc. $922”

“Reimbursable Expenses $623”

“Parking & Transportation $501”

“Development/Strategic Planning $60”

“Inventories - Beginning $0 Inventories - Ending $1622”

“The Alliances public support for the advance-ruling period is 21.75, well in excess of the 10 requirement. While a large percentage of our budget is from contributions from several companies, these are publicly owned utilities that support the Alliance as charitable contributions from their corporate social responsibility programs. As a consequence of these contributions, as well as a number of smaller contributions from a range of companies and individual donors, the Alliance is able to move forward with its program. In 2015, the Alliance broadened its donor base to include more individual contributors and signed a $10,000 contract with the Natural Resources Defense Council, a major U.S. environmental group. We expect to expand our donor base in 2016. More importantly, our work involved a large number of participants from the public. The calculation of public support does not take account of the hundreds of individuals who have participated in Alliance activities, many of whom paid a small fee to support these activities. The Alliance benefits enormously from its generous volunteers and their efforts. The Alliance also receives in-kind donations that help to cover overhead expenses. These are not reflected as a part of the support calculation. In addition, we collaborate with other non-profits, including the Natural Resources Defense Council, ChinaSF, and the Alliance to Save Energy. The fact that our largest contributions have come largely from publicly traded corporations, and that we have not received support from members of a single family, is further evidence of the fact that the Alliance is publicly supported.”

“The Regulations provide that: An organization must be so organized and operated as to attract new and additional public or governmental support on a continuous basis. An organization will be considered to meet this requirement if it maintains a continuous and bona fide program for solicitation of funds from the general public, community, or membership group involved, or if it carries on activities designed to attract support from governmental units or other organizations described in Section 170b1Ai though vi. In determining whether an organization maintains a continuous and bona fide program for solicitation of funds from the general public or community, consideration will be given to whether the scope of its fundraising activities is reasonable in light of its charitable activities. Consideration will also be given to the fact that an organization may, in its early years of existence, limit the scope of its solicitation to persons deemed most likely to provide seed money in an amount sufficient to enable it to commence its charitable activities and expand its solicitation program. The Alliance has established a program to actively solicit and attract public support. For example: 1 The Alliance established a Development Committee of our Board to guide this effort, whose members have extensive contacts in the energy and related industries. 2 We prepare a regular marketing and outreach report. We use this to improve our online presence, identify potential donors, and reach our fundraising goals. 3 We are expanding our database of potential donors. We regularly send our newsletters, press releases, and event invitations to more than 900 contacts. 4 We regularly update our website. We intend to revamp it to be more informative, effective, and user-friendly in telling our story and our mission. www.chinauseealliance.org. 5 The Alliance uses social media to increase the profile of the Alliance and to solicit funding from individuals and companies interested in supporting our mission. 6 We continually develop and update a number of materials to support our fundraising efforts including an Alliance brochure, PowerPoint presentations, and a welcome packet for new donors. 7 At every Alliance event, we distribute materials, circulate donation cards, and solicit donations. When we attend conferences or seminars, we reach out to potential donors. We regularly review opportunities to reach out to media sources that might be interested in our work. 8 We have expanded our efforts to work cooperatively with other non-profit organizations that share our mission. 9 The Alliance works in cooperation with federal and California state agencies. The U.S. Commerce Department has officially designated the Alliance as a Strategic Partner. As the regulation suggests, the Alliance began with relatively substantial donations from three primary donors large publicly-owned utilities that allowed us to start operations. We are now reaching out to a wide range of potential donors.”

“The Regulations provide: the fact that an organization meets the requirement of subdivision i of this subparagraph through support from governmental units or directly or indirectly from a representative number of persons, rather than receiving almost all of its support from the members of a single family, will be taken into consideration in determining whether the organization is publicly supported. The Alliance does not receive financial support from the members of a single family. Rather, our funding has come primarily from public companies, which are not in a position to receive any financial gain from their support. Their support stems from the belief that it is critical to share experience in improving energy efficiency with Chinas utilities and decision-makers in order to address the global climate change challenge. The Alliance has also received contracts from two large non-profit organizations, the Natural Resources Defense Council and the Regulatory Assistance Project to undertake specified activities. We also cooperate on joint activities with other 501c3 organizations and U.S. government agencies at national, state and municipal levels. The Alliance has achieved concrete and substantial results with a limited number of donors and a relatively small budget because of our dedicated volunteers. We have had a number of individuals, who donate their time to draft materials, provide translations, organize events, undertake research and provide other services and support. The tremendous value of their time and effort is not reflected in the description of the Alliances financial support. Here is a partial list of volunteer activities and in-kind donations to the Alliance: 1 All of the Alliance roundtable events, as well as several smaller meetings to introduce the Alliance to potential Partners and contributors, were hosted by different organizations including government agencies, non-profit organizations, public corporations and private firms. Individual volunteers provided logistical support and interpretation services. 2 In 2016, the Alliance organized a workshop to educate Chinese real estate developers on how to save energy with their properties in the Bay Area. The workshop would not have been possible without the support of a volunteer senior advisor. 3 In 2016, the Alliance organized a panel on the Future of Utilities in China and the U.S. A major law firm in San Francisco provided in-kind support for this event, including the venue and technical support to stream the event live as a webinar. Representatives from the public and private sectors attended. 4 The Alliance organized a large two-day conference in 2011 called the 2011 China-U.S. Energy Efficiency Solutions Summit. A sponsor underwrote the conference. Almost 100 experts from China and the United States participated. Volunteers served as translators and provided other support. 5 In 2013, we hosted our first roundtable in Washington, D.C., for policymakers, business leaders, students and others interested in issues related to climate change and improving energy efficiency in China. This was held in conjunction with the Global Forum of the Alliance to Save Energy ASE, which is also a 501c3 organization. ASE provided the venue and helped organize our event. 6 In 2014, we, along with the U.S. Department of Commerce, organized a webinar series to help U.S. companies understand how they can tackle the Chinese market to advance energy efficiency. The Department of Commerce hosted this event and provided all the necessary technical support. 7 Also in 2014, we organized and led the first U.S. Commerce Department certified trade mission to China focusing on energy efficiency. We did this jointly with several other non-profit organizations. This would not have been possible without countless hours of volunteer support. 8 A major law firm in San Francisco provides pro bono legal advice to the A”

“The Regulations provide that: the fact that an organization has a governing body which represents the broad interests of the public, rather than the personal or private interests of a limited number of donors or persons standing in a relationship to such donors which is described in section 4946a1C through G will be taken into account in determining whether an organization is publicly supported. We are an independent organization, managed by a Board of Directors composed of recognized leaders in the field of energy efficiency and clean technology. They have no personal stake in the success of the Alliance but contribute their time to support the mission of the Alliance. We also have a Leadership Council to provide guidance. The Council comprises key experts from government, research institutes, utilities and non-profit organizations with deep experience in the fields of energy efficiency, clean technology, environmental stewardship and China-U.S. relations. A list of our Board of Directors and Leadership Council is attached. We are proud to have such a distinguished group of experts providing support and advice and believe that their involvement demonstrates the interests of the public.”

“The Regulations provide that: c Similarly, the following factors will also be considered evidence that an organization is publicly supported. 1 The participation in, or sponsorship of, the programs of the organization by members of the public having special knowledge or expertise, public officials, or civic or community leaders 2 The maintenance of a definitive program by an organization to accomplish its charitable work in the community, such as slum clearance or developing employment opportunities and 3 The receipt of a significant part of its funds from a public charity or governmental agency to which it is in some way held accountable as a condition of the grant, contract, or contribution. As referenced in the regulations, the Alliance has had intensive and continuing participation and support from members of the public with specialized expertise, as well as from public officials. For example, as noted above, we have leading experts and officials on our Board and Leadership Council. These and other experts and officials volunteer their time to participate in our roundtables, training programs, and exchange programs. Another example of the sponsorship of the Alliance by public is the fact that the Alliance was designated as one of two implementing organizations in support of a Cooperation Agreement between the State of California and Jiangsu Province China. The purpose of the Agreement, signed in 2005, is to establish cooperative activities to advance the common interests of the state of California and Jiangsu Province with respect to promoting energy efficiency and renewable energy policy and implementation. It was recognized that faciliting such cooperation will involve coordination with government agencies, utilities, non-profit organizations, private companies, public-private partnerships, research institutes and others. The two government signatories stated that they recognize that the Alliance will be instrumental in facilitating the cooperative activties pursuant to the Agreement, and therefore agreed that the Alliance should be a signatory. As noted above, other public charities support the Aliance through contracts and other agreements. And the Alliance supports other charities and government agencies by co-hosting or promoting their activities. Since May, 2013, the Alliance is an offical Strategic Partner of the U.S. Department of Commerce. The large number of individuals who participate in our educational and outreach activities provides additional evidence of public support for the Alliance. Here are some examples: 1 Educational / Networking Roundtables: The Alliance regularly organizes Roundtable events. They each attract 70 100 participants. These participants represent a cross-section of the community interested in energy efficiency, climate change and China. We recruit several speakers at each Roundtable from government, industry and community to address relevant issues. For each Roundtable, the speakers contribute their time without charge to the Alliance. The Alliance recruits sponsors to host and/or pay for the venue and refreshments. The estimated costs of these events are in the range of $5000 - $10,000, not including the speakers time. We also organize events in conjunction with other non-profit organizations with missions that are similar to the Alliance. 2 Conference: In December 2011, the Alliance organized its first large conference in the United States, the 2011 China-US Energy Efficiency Solutions Summit. Hosted by an Alliance member, the two-day conference brought together a group of distinguished government officials and private sector experts from China and the United States to provide an unprecedented opportunity for high-level dialogue to accelerate the deployment of energy efficiency in China. 3 Training Programs and Study Tours: The Alliance co-sponsors training programs in China to share U.S. experience in d”

“Based on the foregoing, there is no question that the Alliance satisfies the facts and circumstances test and qualifies as a public charity: 1 Its public support percentage is in excess of the 10 requirement. 2 It maintains an active and on-going program to solicit support from the public. 3 It has received financial and in-kind support from a range of donors including public corporations, publicly-supported charities, companies, government agencies and individuals. 4 It has a Board of Directors and Leadership Council composed of key experts in the subjects relevant to the Alliance mission. 5 It has broad participation in its programs by members or the public that have special knowledge including public officials and community leaders. 6 We provide regular updates on developments related to climate change and China energy policy to a broad audience through various sources including our website and social media.”