SF0184 - Community college endowment fund-2.

 

2001

State of Wyoming

01LSO-0648

 

 

 

SENATE FILE NO.  SF0184

 

 

Community college endowment fund-2.

 

Sponsored by:

 

 

A BILL

 

for

 

 1  AN ACT relating to the community college endowment
 2  challenge fund; establishing the endowment fund; providing
 3  for separate accounts for each community college; defining
 4  terms; imposing conditions and limitations; establishing a
 5  matching program based upon gifts received by each
 6  college's foundation; providing an appropriation; and
 7  providing for an effective date.

 8 

 9  Be It Enacted by the Legislature of the State of Wyoming:

10 

11         Section 1.  W.S. 21-16-901 through 21-16-904 are
12  created to read:

13 

14                         ARTICLE 9

15  WYOMING COMMUNITY COLLEGE ENDOWMENT CHALLENGE PROGRAM

16 

 

Page  1

 

 

 

 1         21-16-901.  Wyoming community college endowment
 2  challenge program.

 3 

 4  The Wyoming community college endowment challenge program
 5  is created.

 6 

 7         21-16-902.  Definitions.

 8 

 9         (a)  As used in this article:

10 

11              (i)  "Challenge fund" means the community college
12  endowment challenge fund created under this article;

13 

14              (ii)  "Endowment gift" means an irrevocable gift
15  or transfer to a Wyoming community college foundation of
16  money or other property, whether real, personal, tangible
17  or intangible, and whether or not the donor or transferor
18  retains an interest in the property, where the gift or the
19  foundation's interest in the property is required to be
20  used by the foundation exclusively for endowment purposes,
21  where:

22 

 

Page  2

 

 

 

 1                   (A)  The gift was received or the transfer
 2  occurred during the period July 1, 2001, through June 30,
 3  2006; or

 4 

 5                   (B)  A commitment to make the gift or
 6  transfer was made in writing to the respective community
 7  college foundation, which commitment was received during
 8  the period July 1, 2001, through June 30, 2006, and the
 9  gift was received or the transfer occurred not later than
10  December 31, 2007.

11 

12              (iii)  "Foundation" means an organization
13  established for each community college that among other
14  purposes, exists to generate additional revenues for
15  community college programs and activities;

16 

17              (iv)  "Permanent endowment funds managed by a
18  Wyoming community college foundation" means the endowment
19  funds that are invested by the respective Wyoming community
20  college foundation on a permanent basis and the earnings on
21  those investments are dedicated to be expended exclusively
22  to benefit and promote the mission, operation or any
23  program or activity of the respective community college,
24  including but not limited to professorships and student

Page  3

 

 

 

 1  scholarships, increases to the corpus of the endowment and
 2  defraying reasonable costs of endowment administration.

 3 

 4         21-16-903.  Wyoming community college endowment
 5  challenge fund.

 6 

 7         (a)  The Wyoming community college endowment challenge
 8  fund is created and shall consist of seven (7) separate
 9  accounts, one (1) account for each Wyoming community
10  college.

11 

12         (b)  The state treasurer shall invest funds within the
13  fund created under subsection (a) of this section and shall
14  deposit the earnings from fund investments to the general
15  fund.

16 

17         21-16-904.  Endowment challenge fund matching program;
18  matching payments; agreements with foundations; annual
19  reports.

20 

21         (a)  To the extent funds are available in the separate
22  account of any community college within the endowment
23  challenge fund, the state treasurer shall match endowment
24  gifts actually received by that community college's

Page  4

 

 

 

 1  foundation. A match shall be paid under this subsection by
 2  the state treasurer at the time any accumulated amounts
 3  actually received by a community college foundation total
 4  ten thousand dollars ($10,000.00) or more. The match shall
 5  be made by transferring from the separate challenge fund
 6  account to the appropriate community college an amount
 7  equal to the amount accumulated by its foundation. The
 8  recipient community college shall immediately transfer
 9  matching funds received under this subsection to the
10  community college foundation.

11 

12         (b)  Each community college district shall enter into
13  an agreement with its foundation under which the foundation
14  shall manage the matching funds received under subsection
15  (a) of this section in the same manner as other permanent
16  endowment funds are managed by its foundation, including
17  the permanent investment of funds, maintenance of the fund
18  corpus as inviolate and the expenditure of fund earnings
19  for endowment purposes only.

20 

21         (c)  Earnings from endowment funds established with
22  matching funds under this section shall be expended only
23  for the purpose of the endowment, including increasing the

Page  5

 

 

 

 1  balance in the fund corpus and reasonable costs of
 2  administration.

 3 

 4         (d)  The state treasurer shall make transfers to the
 5  appropriate community college under this section not later
 6  than the end of the calendar quarter following the quarter
 7  during which foundation gifts total at least ten thousand
 8  dollars ($10,000.00). If gifts are made through a series of
 9  payments or transfers, no matching funds shall be
10  transferred under this section until the total value of all
11  payments or transfers actually received totals at least ten
12  thousand dollars ($10,000.00).

13 

14         (e)  Matching funds paid under this section shall not
15  be distributed to or encumbered by any community college
16  foundation in excess of the amount in the challenge fund
17  account for that college. Matching funds shall not be
18  transferred to any community college by the state treasurer
19  except to match gifts actually received by its foundation.

20 

21         (f)  If the president of any community college
22  determines that the purpose of an endowment gift to its
23  foundation is not consistent with the mission or capability

Page  6

 

 

 

 1  of that college, the gift shall not qualify as matching
 2  funds under this section.

 3 

 4         (g)  For the purpose of computing the matching amount,
 5  the state treasurer shall use the value of an endowment
 6  gift based upon its fair market value at the time the gift
 7  is received by the community college foundation. The
 8  community college shall provide evidence of fair market
 9  value for any gift if requested by the state treasurer and
10  shall fund the cost of providing any requested evidence.

11 

12         (h)  Each community college shall on or before October
13  1 of each year submit a report to the state treasurer from
14  its foundation on the endowment matching program under this
15  section for the preceding fiscal year. The report shall
16  include a financial summary and a review of the
17  accomplishments resulting from endowment program
18  expenditures. The report required under this subsection
19  shall be for each applicable fiscal year through June 30,
20  2008.

21 

22         Section 2.

23 

 

Page  7

 

 

 

 1         (a)  Thirty-five million dollars ($35,000,000.00) is
 2  appropriated from the general fund to the community college
 3  endowment challenge fund as created under section 1 of this
 4  act. Notwithstanding any other provision of law, any
 5  unexpended funds from the amount appropriated under this
 6  subsection shall revert to the budget reserve account on
 7  July 1, 2008.

 8 

 9         (b)  The amount appropriated into the challenge fund
10  under subsection (a) of this section shall be equally
11  deposited into each of the seven (7) separate accounts
12  created within the fund pursuant to section 1 of this act.

13 

14         Section 3.  This act is effective July 1, 2001.

15 

16                         (END)

 

Page  8