§ 21-16-904 — Endowment challenge fund matching fund program; matching payments; agreements with university foundation; annual reports; reversions of appropriations; legislative oversight

Wyoming § 21-16-904

• Jurisdiction: Wyoming
• Title 21: Education
• Ch. 16: HIGHER EDUCATION GENERALLY
• Art. 9: UNIVERSITY OF WYOMING ENDOWMENT FUND

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(a) The state treasurer shall administer the matching fund
program established under this section. The following shall
apply to the program:
(i) To the extent that funds are available in the
challenge account, the state treasurer shall match each
substantial endowment gift actually received by the University
of Wyoming foundation by transferring from the challenge account
to the university an amount equal to the amount of the
substantial endowment gift. Prior to the receipt of any
substantial endowment gift, the donor shall be notified by the
foundation that there may or may not be any state matching funds
available for the gift. If funds are not available within the
account, the amount of substantial endowment gifts to the
foundation may be accumulated until such time as matching funds
become available. Endowment gifts made directly to the
university shall be endowment gifts to the foundation for
purposes of this section. The university shall manage both the
endowment gifts and the matching funds in the same manner as
other endowment funds, but otherwise subject to the provisions
of this section;
(ii) The state treasurer shall make transfers to the
university under this section not later than the end of the
calendar quarter following the quarter during which the gift is
received. Matching funds shall only be available for expenditure
to the extent cash or cash equivalent contributions are actually
received by the University of Wyoming. Where a gift is made
through a series of payments or transfers, except as provided in
paragraph (ix) of this subsection, no matching funds shall be
transferred by the state treasurer until the total value of all
payments or transfers actually received toward the gift totals
at least fifty thousand dollars ($50,000.00). Thereafter,
matching funds shall be transferred as payments or transfers
toward that gift are received by the foundation. Nothing in this
paragraph prohibits the university foundation from accumulating
substantial endowment gifts until such time as state matching
funds become available;
(iii) The university shall immediately transfer all
matching funds received to the university foundation to be
permanently invested. The university shall enter into a new
agreement or modify its existing agreement with the University
of Wyoming foundation under which the foundation shall manage
the matching funds it receives in the same manner as other
permanent endowment funds managed by the University of Wyoming
foundation subject to the provisions of this section.
Expenditures may be made from that portion of the funds
attributable to endowment gifts received in accordance with the
Uniform Prudent Management of Institutional Funds Act.
Notwithstanding that act, only the earnings from the investment
of state matching funds may be expended for purposes other than
reasonable costs of administration. All expenditures shall be
used exclusively for the purposes of the endowment, including
reasonable costs of administration. Earnings also may be
reinvested to increase the balance of the corpus. Reasonable
costs of administration shall not exceed an annual rate of one
percent (1%) of the fair value of each state matching fund
account held by the foundation that is associated with a
substantial endowment gift received by the foundation under W.S.
21-16-902(a)(iii). The costs of administration shall be assessed
quarterly at one-fourth (1/4) the annual rate as specified in
this subsection or as otherwise specified by law. The fair value
of each state matching fund account held by the foundation shall
be determined by the foundation as of the last day of the
preceding quarter. Any modification of costs of administration
allowed shall be effected through a footnote to the University
of Wyoming's general appropriation in the general government
appropriations bill or in a 300 section of the general
government appropriations bill. Upon the modification of any
costs of administration to an amount above one percent (1%), the
University of Wyoming foundation shall submit to the joint
appropriations interim committee a detailed financial accounting
of all costs of administration incurred during the fiscal year;
(iv) The state treasurer shall distribute funds or
encumber funds for future distribution in the case of a written
commitment, to match a substantial endowment gift based on the
order in which each substantial endowment gift is actually
received or in which a written commitment to make a substantial
endowment gift is received by the foundation. Matching funds
shall not be distributed or encumbered in excess of the amount
in the challenge account. In no event shall matching funds be
transferred to the university except to match substantial
endowment gifts actually received or to match gifts actually
received and accumulated. The state treasurer shall rescind an
encumbrance if the university notifies him that a donor who made
a commitment will not make a substantial endowment gift that
qualifies for matching funds under this section;
(v) If the president of the university determines
that the purpose of a substantial endowment gift to the
foundation is not consistent with mission or capability of the
university, the gift shall not qualify for the matching program
under this section;
(vi) For the purpose of calculating the matching
amount only, the state treasurer shall use the value of a
substantial endowment gift based on its fair market value at the
time the gift is received by the university foundation. The
university shall provide evidence of fair market value as the
state treasurer requires for each substantial endowment gift.
The state treasurer's office shall not bear any costs associated
with providing evidence;
(vii) The University of Wyoming shall on or before
October 1 of each year submit a report to the state treasurer
from the foundation regarding the endowment matching program
established under this section for the preceding fiscal year.
The report shall include a financial summary and a review of the
accomplishments resulting from endowment program expenditures.
The state treasurer shall distribute the report to the governor
and the legislature;
(viii) Repealed By Laws 2009, Ch. 52, § 3.
(ix) To the extent funds are available in the
challenge account, the state treasurer shall distribute matching
funds not to exceed five thousand dollars ($5,000.00) for each
fallen heroes endowment as follows:
(A) Two thousand dollars ($2,000.00) for the
first one thousand dollars ($1,000.00) actually received in a
fallen heroes endowment; and
(B) Three thousand dollars ($3,000.00) for an
additional one thousand dollars ($1,000.00) received in a fallen
heroes endowment, excluding any funds deposited in a fallen
heroes endowment pursuant to this paragraph.
(b) Any funds appropriated to a university endowment fund
by the legislature shall be credited to the university fund
endowment challenge account under W.S. 21-16-903.
(c) Nothing in this section obligates the legislature to
match accumulated substantial endowment gifts as authorized
under subsection (a) of this section. The legislature reserves
the right to modify or terminate the matching program at any
time.
(d) As used in this section "earnings from the investment
of state matching funds" means that amount of net appreciation,
realized and unrealized, in the fair value of assets of the
endowment fund attributable to all state matching funds which
exceeds the total amount of those state matching funds when
distributed by the state treasurer to the university.