Senate File 2006 - Introduced SENATE FILE 2006 BY SODDERS A BILL FOR An Act authorizing the establishment of a philanthropy account 1 within a student activity fund. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5374XS (3) 85 je/sc

S.F. 2006 Section 1. Section 298A.8, Code 2014, is amended to read as 1 follows: 2 298A.8 Student activity fund. 3 1. The student activity fund is a special revenue fund. 4 A student activity fund must be established in any school 5 corporation receiving money from student-related activities 6 such as admissions, activity fees, student dues, student 7 fund-raising events, or other student-related cocurricular or 8 extracurricular activities. Moneys in this fund , other than 9 funds in a philanthropy account established under subsection 2, 10 shall be used to support only the cocurricular program defined 11 in department of education administrative rules. 12 2. A philanthropy account may be established within a 13 student activity fund. A philanthropy account shall only 14 consist of voluntary donations raised by the students, student 15 organizations or clubs, or school district employees for a 16 specified philanthropic purpose. Moneys in the account shall 17 be used to support philanthropic purposes. For purposes of 18 this section, “philanthropic purpose” means an educational, 19 charitable, humane, scientific, patriotic, social welfare or 20 advocacy, public health, environmental, conservation, civic, 21 or other similar objective defined in department of education 22 rules. The philanthropic purposes for which moneys in the 23 account may be used shall be limited to purposes relating to 24 the school district or to students enrolled in the school 25 district. 26 Sec. 2. Section 298A.15, subsections 2 and 4, Code 2014, are 27 amended to read as follows: 28 2. Funds transferred. At the request of a student 29 organization or club and upon approval by the school board, 30 a school corporation shall transfer moneys in a student 31 activity fund established under section 298A.8 , subsection 32 1, for deposit by the student organization or club in 33 an entrepreneurial education fund. However, a school 34 corporation shall not transfer such moneys unless the moneys 35 -1- LSB 5374XS (3) 85 je/sc 1/ 2

S.F. 2006 are attributable through appropriate documentation to the 1 specific student organization or club and unless the student 2 organization or club shows through appropriate documentation 3 that the student organization or club earned the moneys 4 through entrepreneurial activities as defined in subsection 5 , 5 paragraph “a” . 6 4. Fund closure. A school corporation shall close an 7 entrepreneurial education fund at the request of the student 8 organization or club for which the school corporation 9 established the fund. All moneys in the fund on the date 10 of closure and any subsequent return on an investment made 11 with moneys from the fund shall be deposited in the school 12 corporation’s student activity fund established under section 13 298A.8 , subsection 1 . 14 EXPLANATION 15 The inclusion of this explanation does not constitute agreement with 16 the explanation’s substance by the members of the general assembly. 17 This bill authorizes the creation of a philanthropy account 18 within a school district’s student activity fund established 19 under Code section 298A.8. The bill provides that a 20 philanthropy account shall only consist of voluntary donations 21 raised by the students, student organizations or clubs, 22 or school district employees for a specified philanthropic 23 purpose. Moneys in the philanthropy account shall be 24 used to support philanthropic purposes. The bill defines 25 “philanthropic purpose” to be an educational, charitable, 26 humane, scientific, patriotic, social welfare or advocacy, 27 public health, environmental, conservation, civic, or other 28 similar objective defined in department of education rules. 29 The bill specifies that philanthropic purposes for which moneys 30 in the account may be used are limited to purposes relating 31 to the school district or to students enrolled in the school 32 district. 33 -2- LSB 5374XS (3) 85 je/sc 2/ 2