AUTHORITY AND PURPOSE
The board may accept and retain control of gifts, devises, bequests, donations, or non-governmental grants, to the School (hereinafter, “gift”), either absolutely or in trust, of money, securities, personal property, and real property from any individual, estate, group, association, or corporation. The funds, or other property donated, or the income from the property may be spent by the board for:
- Any purpose designated by the donor that is in keeping with the lawful purpose of the School; or
- Any legal purpose, if a specific purpose is not designated by the donor.
Tx. Educ. Code 30.022
The School may accept a gift that has a value of $500 or more only if a majority of the Board, in an open meeting, acknowledges the acceptance of the gift not later than the 90th day after the date the gift is accepted.
Tx. Govt. Code 575.003
The School shall maintain monetary gifts to the School in its Expendable Trust Fund account, commonly referred to as the “School Legacy Fund”, the title which will be used throughout this policy. Legacy funds received by the School are appropriated to the School by the Texas Legislature. No appropriated funds, including Legacy funds, may be used for a private purpose. The Superintendent shall establish guidelines or procedures in accord with applicable state laws and rules to guide School staff in making decisions about the allowable use of appropriated funds.
The School shall follow the opinions of the Texas Ethics Commission regarding the acceptance and use of gifts by a state agency. The School may accept gifts only if the gifts can be used in carrying out the School’s powers and duties. A gift to a state agency becomes state property, and neither the agency nor any officer or employee of the agency is permitted to use it for personal or private purposes. Consequently, the School as a state agency, cannot accept gifts for the personal use or enjoyment of individual state officers or employees nor may it expend gifts for a private purpose, that is any purpose not directly related to the School’s purpose and mission.
Texas Ethics Commission: Ethics Advisory Opinion No. 62 (1992); Ethics Advisory Opinion No. 130 (1993); A Guide to the Ethics Laws for State Officers and Employees, p.5 (2008)
BOARD NOTIFICATION AND ACCEPTANCE
At the next regularly scheduled board meeting following the School’s receipt of a gift with a value of $500 or more from a donor, or the notification by the donor, or the donor’s representative, of the donor’s intent to make a gift to the School, the Superintendent shall include an item on the Board agenda to inform the Board of the gift and to allow the Board to acknowledge the acceptance of the gift. The Superintendent will also inform the Board of gifts with a value of less than $500 so that the Board in an open meeting may acknowledge the acceptance of the gift or direct the Superintendent otherwise.
The Board reserves the right to determine the designated expenditure of monetary gifts of any value when the purpose for that gift is not designated by the donor.
When the Board acknowledges the acceptance of a gift with a value of $500 or more, the board meeting minutes must include the name of the donor, a description of the gift, and a statement of the purpose of the gift.
Government Code Chapter 575.004
ACCEPTANCE BY SUPERINTENDENT
The Superintendent is authorized to receive all legal and ethical gifts pending the next regularly scheduled meeting of the Board, at which time the Board will acknowledge the acceptance of a gift with a value of $500 or more or direct the Superintendent otherwise. The Board acknowledges that some donated goods or services, valued at $500 or more, may be time sensitive, and hereby authorizes the Superintendent to accept and utilize such gifts as necessary.
All monetary gifts, including income from real property or from financial vehicles donated to the School shall be maintained and accounted for in a separate fund designated as the School “Legacy Fund.”
No other funds shall be maintained, commingled, or accounted for with the funds in the Legacy Fund.
The property and funds in the Legacy Fund shall be managed in accordance with the Public Funds Investment Act and TSBVI Board Policy CDA.
All gifts shall be included among the total receipts of the School which are reported in the annual financial report.
General Appropriations Act (current)
ANNUAL LEGACY FUND BUDGET
Preparation and Approval
The Superintendent, or designee, shall annually present to the Board for approval at a regularly scheduled meeting of the Board, prior to the beginning of the fiscal year, a budget for the expenditure of funds from the Legacy Fund for the next fiscal year.
Unless otherwise directed by a quorum majority of the Board to exceed 100% of annual projected revenues, the amount to be budgeted annually from the Legacy Fund shall not exceed 100% of all revenues projected to be received during the next fiscal year from the following sources:
- Income received from gifts accepted prior to the approval of the current year’s Legacy Budget; and
- Interest earned on investments.
Additional Budget Approval
When the School receives gifts during a fiscal year after the Legacy Budget has been approved by the Board, the Board may authorize the expenditure of those additional gifts either in accordance with the expressed purpose of the donor or for a specific purpose approved by the Board. The Superintendent may propose specific uses of these additional gifts to the Board.
The Superintendent is authorized to prepare an amended budget for any revenues that are greater than the amounts originally projected. Any amendment to the annual Legacy Fund Budget is subject to the approval of the Board.
LEGACY FUND REPORT
The Superintendent, or designee, shall present to the Finance and Audit Committee of the Board, at each regularly scheduled meeting, a report of all funds deposited into and expended from the Legacy Fund.
Amended: 11/14/97, 3/31/98, 4/10/15