§ 79-1104.01 — Nebraska Early Childhood Education Endowment; endowment provider; requirements; endowment agreement; Early Childhood Education Endowment Fund; Early Childhood Education Endowment Cash Fund; created; investment

Nebraska § 79-1104.01

• Jurisdiction: Nebraska
• Ch. 79: Schools

Text

(1) Within ninety
days after July 14, 2006, the State Department of Education shall request
proposals from private endowments with experience in managing public and private
funds for the benefit of children and families in multiple locations in Nebraska
to be the endowment provider for the Nebraska Early Childhood Education Endowment
upon the terms set forth in this section.
(2) An endowment seeking to become the endowment provider for the Nebraska
Early Childhood Education Endowment shall agree to:
(a) Irrevocably commit, subject to subdivision (4)(a) of this section,
no less than twenty million dollars in a private endowment to be used solely
as part of the Nebraska Early Childhood Education Endowment within five years
after the effective date of the endowment agreement, of which no less than
five million dollars shall be pledged on the effective date of the endowment
agreement. A minimum of one million dollars shall be placed in the private
endowment prior to December 31, 2006, and a minimum of five million dollars
shall be placed in the private endowment prior to June 30, 2007;
(b) Commit all earnings deposited from such private endowment for deposit
into the Early Childhood Education Endowment Cash Fund;
(c) Permit the board of trustees to determine the allocation of funds
from the Early Childhood Education Endowment Cash Fund pursuant to section 79-1104.02 ; and
(d) Submit to the State Department of Education an annual financial
statement of the private endowment, audited by an independent auditor and
complying with all applicable Internal Revenue Service requirements. The financial
statement shall report details on the private endowment, including the current
value of the corpus and the annual receipts to the private endowment categorized
by donations and interests, together with a report listing the amount and
purpose of expenditures from the private endowment.
(3) Upon selection of an endowment provider, the State Department of
Education and such endowment provider shall enter into an endowment agreement
pursuant to which the state and the endowment provider will agree to deposit
funds as provided in subsection (4) of this section.
(4)(a) Upon the effective date of an endowment agreement, the state
shall provide for the Early Childhood Education Endowment Fund, which is hereby
created, in accordance with section 79-1104.05 . Any money in the fund available
for investment shall be invested by the state investment officer pursuant
to the Nebraska Capital Expansion Act and the Nebraska State Funds Investment
Act.
(b) All interest, earnings, and proceeds from the Early Childhood Education
Endowment Fund shall be deposited in the Early Childhood Education Endowment
Cash Fund, which is hereby created. Any money in the fund available for investment
shall be invested by the state investment officer pursuant to the Nebraska
Capital Expansion Act and the Nebraska State Funds Investment Act. All interest,
earnings, and proceeds from the Early Childhood Education Endowment Cash Fund
shall be retained in such fund.
(c) Upon the effective date of an endowment agreement, the endowment
provider shall deposit the amounts set forth in the endowment agreement into
a private endowment for the sole benefit of the Early Childhood Education
Endowment Fund. Money in the private endowment shall be managed by the endowment
provider in accordance with sound, professional, fiduciary practices and in
accordance with the endowment agreement.
(d) Earnings deposited from the private endowment shall be deposited
into the Early Childhood Education Endowment Cash Fund at least annually or
as the endowment agreement provides.

Legislative History

Source: Laws 2006, LB 1256, § 4; Laws 2008, LB1153, § 4; Laws 2009, LB456, § 1. Cross References: Nebraska Capital Expansion Act, see section 72-1269. Nebraska State Funds Investment Act, see section 72-1260.