SB-0959 Summary

• Establishes the "Michigan Community Foundation Act" to authorize municipalities, school boards, intermediate school boards, and public libraries to transfer gifts and intangible personal property to community foundations.

• Defines "community foundation" as an organization meeting 12 requirements including: 10+ years in existence, $5,000,000+ in assets, 501(c)(3) tax-exempt status, independent governance, broad geographic charitable support, and annual independent financial audits.

• Allows municipalities, school boards, and public libraries to receive gifts of real, personal, and intangible property for public purposes, with gifts remaining valid even if they violate perpetuities rules or contain informalities if donor intent is clear.

• Permits transfers of gifts and intangible property to community foundations as component funds, either with no conditions or with conditions substantially similar to the original gift restrictions; transferred property must be returned if the foundation fails certification, liquidates, or substantially violates conditions.

• Repeals sections 1 and 4 of 1913 PA 380, sections 15 and 602 of the Revised School Code, and all of 1921 PA 136; ratifies all property transfers made before the act's effective date.