§ 53E-3-403 — Establishment of public education foundations -- Powers and duties -- Tax exempt status.

(1) The state board, a local school board, or the Utah Schools for the Deaf and the Blind may establish foundations to:

(1)(a) assist in the development and implementation of programs to promote educational excellence; and
(1)(b) assist in the accomplishment of other education-related objectives.
(2) A foundation established under Subsection (1):

(2)(a) may solicit and receive contributions from private enterprises for the purpose of this section;
(2)(b) shall comply with Title 51, Chapter 7, State Money Management Act, and rules made under the act;
(2)(c) has no power or authority to incur contractual obligations or liabilities that constitute a claim against public funds except as provided in this section;
(2)(d) may not exercise executive, administrative, or rulemaking authority over the programs described in this section, except to the extent specifically authorized by the responsible school board;
(2)(e) is exempt from all taxes levied by the state or any of its political subdivisions with respect to activities conducted under this section;
(2)(f) may participate in the Risk Management Fund under Section 63A-4-204;
(2)(g) shall provide a school with information detailing transactions and balances of funds managed for that school;
(2)(h) shall, for foundation accounts from which money is distributed to schools, provide all the schools within a school district information that:
(2)(h)(i) details account transactions; and
(2)(h)(ii) shows available balances in the accounts; and
(2)(i) may not:
(2)(i)(i) engage in lobbying activities;
(2)(i)(ii) attempt to influence legislation; or
(2)(i)(iii) participate in any campaign activity for or against:

(2)(i)(iii)(A) a political candidate; or
(2)(i)(iii)(B) an initiative, referendum, proposed constitutional amendment, bond, or any other ballot proposition submitted to the voters.
(3) A local school board that establishes a foundation under Subsection (1) shall:

(3)(a) require the foundation to:
(3)(a)(i) use the school district's accounting system; or
(3)(a)(ii) follow written accounting policies established by the local school board;
(3)(b) review and approve the foundation's accounting, purchasing, and check issuance policies to ensure that there is an adequate separation of responsibilities; and
(3)(c) approve procedures to verify that issued foundation payments have been properly approved.

Legislative History

Amended by Chapter 186, 2019 General Session