Senate Bill No. 996
Public Act No. 21-19
AN ACT CONCERNING FUNDRAISING BY THE FOUNDATION OF
THE UNIVERSITY OF CONNECTICUT.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Subdivision (10) of section 4-37f of the general statutes is
repealed and the following is substituted in lieu thereof (Effective July 1,
2021):
(10) There shall be a written agreement between the state agency and
the foundation that (A) addresses any use by the foundation of the
agency's facilities and resources including, but not limited to, office
space, storage space, office furniture and equipment, utilities,
photocopying services, computer systems and the maintenance by the
state agency of the books and records of the foundation, provided any
such books and records maintained by the state agency shall not be
deemed to be public records and shall not be subject to disclosure
pursuant to the provisions of section 1-210, (B) provides that the state
agency shall have no liability for the obligations, acts or omissions of the
foundation, (C) requires the foundation to reimburse the state agency
for expenses the agency incurs as a result of foundation operations, if
the agency would not have otherwise incurred such expenses, (D) in the
case of foundations established for a constituent unit of the state system
of higher education or for a public institution of higher education, Senate Bill No. 996
Public Act No. 21-19 2 of 3
requires the foundation to establish and adhere to an investment policy
and a spending policy that are consistent with sections 45a-535 to 45a-
535i, inclusive, (E) on and after July 1, 2017, if the state agency is The
University of Connecticut, provides that (i) the total cash compensation
to be paid in a fiscal year by the state agency to the foundation shall
decrease from the amount paid in the preceding fiscal year or the
amount paid in the fiscal year ending June 30, 2016, whichever is
greater, by (I) one million dollars when the market value of the
foundation's endowment fund as of January first of the preceding fiscal
year is equal to or greater than five hundred million dollars but less than
seven hundred million dollars, (II) one million five hundred thousand
dollars when the market value of such fund as of January first of the
preceding fiscal year is equal to or greater than seven hundred million
dollars but less than nine hundred million dollars, or (III) three million
dollars when the market value of such fund as of January first of the
preceding fiscal year is equal to or greater than nine hundred million
dollars but less than one billion two hundred fifty million dollars, (ii) no
cash compensation shall be paid by the state agency to the foundation
when the amount in such foundation's endowment fund as of January
first of the preceding fiscal year is equal to or greater than one billion
two hundred fifty million dollars, [and] (iii) if the market value of the
foundation's endowment fund as of January first of the preceding fiscal
year decreases below any of the thresholds stated in subclause (I), (II) or
(III) of clause (i) of this subparagraph, then the amount of the cash
payment to the foundation shall be increased to equal the same amount
that was paid to the foundation prior to exceeding the threshold in
subclause (I), (II) or (III) of clause (i) of this subparagraph, until the July
first following a January first on which the market value of the
foundation's endowment fund again exceeds such threshold, and (iv) in
any fiscal year, if the two-year average of total gifts and commitments
reported by the foundation, pursuant to subparagraph (B) of
subdivision (9) of this section, for the preceding two fiscal years is not
less than five times the average total cash compensation paid by the state Senate Bill No. 996
Public Act No. 21-19 3 of 3
agency during the same period, the provisions of clauses (i) to (iii),
inclusive, of this subparagraph shall not be applicable to the cash
compensation paid by the state agency to the foundation in such fiscal
year, (F) on and after July 1, 2017, requires the foundation to use
reasonable efforts to raise gifts and commitments each fiscal year for
student support, including, but not limited to, scholarships,
assistantships, fellowships, awards and prizes, that equal not less than
fifteen per cent of the total amount of all gifts and commitments raised
by the foundation in the same fiscal year, and (G) provides that if the
foundation ceases to exist or ceases to be a foundation, as defined in
section 4-37e, (i) the foundation shall be prohibited from using the name
of the state agency, (ii) the records of the foundation, or copies of such
records, shall be made available to and may be retained by the state
agency, provided any such records or copies which are retained by the
state agency shall not be deemed to be public records and shall not be
subject to disclosure pursuant to the provisions of section 1-210, and (iii)
there are procedures for the disposition of the financial and other assets
of the foundation. If the state agency is a constituent unit, the board of
trustees of the constituent unit shall approve such agreement. If the state
agency is a public institution of higher education, the board of trustees
of the constituent unit which has jurisdiction over the institution shall
approve such agreement; and
Approved May 26, 2021