Professional Documents
Culture Documents
OH UPMIFA Comparison
OH UPMIFA Comparison
(1) “Charitable purpose” means the relief of As used in sections 1715.51 to 1715.59 of the
poverty, the advancement of education or Revised Code:
religion, the promotion of health, the
promotion of a governmental purpose, or any (A) "Institution" means an incorporated or
other purpose the achievement of which is unincorporated organization that is organized
beneficial to the community. and operated exclusively for educational,
religious, charitable, or other eleemosynary
(2) “Endowment fund” means an institutional purposes or a governmental organization to the
fund or part thereof that, under the terms of a extent that it holds funds exclusively for any of
gift instrument, is not wholly expendable by those purposes.
the institution on a current basis. The term does
not include assets that an institution designates (B) "Institutional fund" means a fund that is
as an endowment fund for its own use. held by an institution for its exclusive use,
benefit, or purposes. "Institutional fund" does
(3) “Gift instrument” means a record or not include either of the following:
records, including an institutional solicitation, (1) A fund held for an institution by a
under which property is granted to, transferred trustee that is not an institution;
to, or held by an institution as an institutional (2) A fund in which a beneficiary that is not
fund. an institution has an interest other than a right
that may arise upon a violation of or the failure
(4) “Institution” means: of the purposes of the fund.
(A) a person, other than an individual,
organized and operated exclusively for (C) "Endowment fund" means an institutional
charitable purposes; fund, or a part of an institutional fund, that is
(B) a government or governmental not wholly expendable by the institution on a
subdivision, agency, or instrumentality, to the current basis under the terms of the applicable
extent that it holds funds exclusively for a gift instrument.
charitable purpose; and
(C) a trust that had both charitable and (D) "Governing board" means the body
noncharitable interests, after all noncharitable responsible for the management of an
interests have terminated. institution or an institutional fund.
(5) “Institutional fund” means a fund held by (E) (1) "Historic dollar value" means the
an institution exclusively for charitable aggregate fair value in dollars of the following:
purposes. The term does not include: (a) An endowment fund at the time it
(A) program-related assets; became an endowment fund;
(B) a fund held for an institution by a trustee (b) Each subsequent donation to an
that is not an institution; or endowment fund at the time it is made;
(C) a fund in which a beneficiary that is not (c) Each accumulation made pursuant to a
an institution has an interest, other than an direction in the applicable gift instrument at the
interest that could arise upon violation or time the accumulation is added to an
failure of the purposes of the fund. endowment fund.
(a) Subject to the intent of a donor expressed The governing board of an institution may
in the gift instrument [and to subsection (d)], an appropriate for expenditure for the uses and
institution may appropriate for expenditure or purposes for which an endowment fund is
accumulate so much of an endowment fund as established so much of the net appreciation,
the institution determines is prudent for the realized and unrealized, in the fair value of the
uses, benefits, purposes, and duration for which assets of the endowment fund over the historic
the endowment fund is established. Unless dollar value of the fund as is prudent under the
stated otherwise in the gift instrument, the standard established by section 1715.56 of the
assets in an endowment fund are donor- Revised Code. This section does not limit the
restricted assets until appropriated for authority of a governing board to expend funds
expenditure by the institution. In making a as permitted under other law, the terms of the
determination to appropriate or accumulate, the applicable gift instrument, or the charter of the
institution shall act in good faith, with the care institution.
that an ordinarily prudent person in a like
position would exercise under similar
circumstances, and shall consider, if relevant,
the following factors:
(1) the duration and preservation of the
endowment fund;
(2) the purposes of the institution and the
endowment fund;
(3) general economic conditions;
(4) the possible effect of inflation or
deflation;
(5) the expected total return from income
and the appreciation of investments;
(6) other resources of the institution; and
(7) the investment policy of the institution.
SECTION 8. APPLICATION TO
EXISTING INSTITUTIONAL FUNDS.
This [act] applies to institutional funds existing
on or established after [the effective date of this
act]. As applied to institutional funds existing
on [the effective date of this act] this [act]
governs only decisions made or actions taken
on or after that date.
SECTION 9. RELATION TO
ELECTRONIC SIGNATURES IN
GLOBAL AND NATIONAL COMMERCE
ACT. This [act] modifies, limits, and
supersedes the Electronic Signatures in Global
and National Commerce Act, 15 U.S.C.
Section 7001 et seq., but does not modify,
limit, or supersede Section 101 of that act, 15
U.S.C. Section 7001(a), or authorize electronic
delivery of any of the notices described in
Section 103 of that act, 15 U.S.C. Section
7003(b).