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701.4 TRUST FUNDS POLICY |
Adopted: 6/28/04 Stewartville School District Policy 701.4 Revised: 701.4 TRUST FUNDS POLICY I. PURPOSE The purpose of this policy is to establish guidelines for the maintenance of trust fund records, investment of trust funds, and distribution of trust funds by the Stewartville Public Schools. II. GENERAL STATEMENT OF POLICY It is the policy of the Stewartville Public Schools to accept, maintain and distribute trust funds in accordance with the directives of the donor. III. MAINTENANCE OF TRUST FUND RECORDS Stewartville Public Schools will maintain a permanent file for each gift, contribution, or bequest that it receives. This permanent file will be updated for all trust funds that the district receives using the “Stewartville Public School Trust” form. IV. SCHOLARSHIP FUNDS Trust fund files for each scholarship will contain the following information, if available: A. Name of Scholarship B. Date of Bequest or Gift C. Amount of Bequest or Gift D. Scholarship Specifications 1. Scholarship Eligibility/Selection Criteria a. Individual Characteristics b. Academic Record c. Need d. Type of Educational Institution e. Course of Study f. Selection Process 1. Donor Directives 2. Donor Information a. Obituary b. News Articles c. Family Data d. Legal Documents 3. Family Contacts 4. Investment Earnings 5. Recipient Information a. List of Recipient(s) b. Scholarship Amount for Each Year 6. Recipient Information After Receiving Scholarship V. OTHER TRUST FUNDS Trust fund files for other types of trust funds will contain the following information, if available: A. Name of Donor B. Date of Bequest or Gift C. Amount of Bequest or Gift D. Trust Specifications E. Donor Directives A. Donor Information 1. Obituary 2. News Articles 3. Family Data 4. Legal Documents G. Family Contacts H. Investment Earnings I. Trust Expenditures VI. INVESTMENT GUIDELINES A. Scholarship Funds Ownership of scholarship funds will be transferred to the Rochester Area Foundation or another foundation as soon as feasible for professional management. The school district will request quarterly financial data on the scholarship funds from the foundation that has the funds. This information will be reported to the school board after it is received from the foundation. B. Other Trust Funds 1. Other trust funds may be invested into interest-bearing financial instruments that meet state and federal laws and regulations or may be transferred to a foundation for professional management. 2. The Stewartville Board of Education will determine how funds will be invested based upon: a. Donor’s Directive b. Length of Investment c. Timing of Expenditures d. Size of Investment e. Intended Use of Funds VII. EXPENDITURE OF TRUST FUNDS A. All trust funds will be expended in accordance with the specifications and directives of the donor. B. Scholarship Funds 1. Applicants for scholarship funds will complete the “Stewartville Public Schools Scholarship Application Form”. One standard form will be used for all scholarships and the applicant will indicate which scholarship(s) he or she is applying for. Applicants will be selected by a committee of people specified by the donor or by a committee selected by school district personnel if the scholarship donor has not specified. 2. The total amount of the scholarship(s) awarded from each specific scholarship fund, if not specified by the donor, may be up to five percent (5%) of the value of each individual scholarship fund on December 31st of the calendar year prior to the scholarship being awarded. C. Other Trust Funds Other trust funds will be expended by the action of the Stewartville Board of Education. Legal References: Cross References: |
