Charitable purpose: means the relief of poverty, the advancement of education or religion, the promotion of health, the promotion of governmental purposes, and any other purpose the achievement of which is beneficial to the community. See Utah Code 51-8-102
Donor: The person who makes a gift.
Gift: A voluntary transfer or conveyance of property without consideration, or for less than full and adequate consideration based on fair market value.
Gift instrument: means a record or records, including an institutional solicitation, under which property is granted to, transferred to, or held by an institution as an institutional fund. See Utah Code 51-8-102
Institution: means :
(a)
a person, other than an individual, organized and operated exclusively for charitable purposes;
(b)
a government or a governmental subdivision, agency, or instrumentality to the extent that it holds funds exclusively for a charitable purpose; and
(c)
a trust that had both charitable and noncharitable interests, after all noncharitable interests have terminated. See Utah Code 51-8-102
Institutional fund: means a fund held by an institution exclusively for charitable purposes. See Utah Code 51-8-102
Record: means information that is inscribed on a tangible medium or that is stored in an electronic or other medium and is retrievable in perceivable form. See Utah Code 51-8-102
(a)
With the donor‘s consent in a record, an institution may release or modify, in whole or in part, a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund.
(b)
A release or modification may not allow a fund to be used for a purpose other than a charitable purpose of the institution.
(2)
(a)
If a restriction contained in a gift instrument on the management or investment of an institutional fund becomes impracticable or wasteful or impairs the management or investment of the fund, or if because of circumstances not anticipated by the donor a modification of a restriction will further the purposes of the fund, the court, upon application of the institution, may modify the restriction.
(b)
The institution shall notify the attorney general, who must be given an opportunity to be heard.
(c)
To the extent practicable, any modification must be made in accordance with the donor’s probable intention.
(3)
(a)
If a particular charitable purpose or a restriction contained in a gift instrument on the use of an institutional fund becomes unlawful, impracticable, impossible to achieve, or wasteful, the court, upon application of an institution, may modify the purpose of the fund or the restriction on the use of the fund in a manner consistent with the charitable purposes expressed in the gift instrument.
(b)
The institution shall notify the attorney general, who must be given an opportunity to be heard.
(4)
If an institution determines that a restriction contained in a gift instrument on the management, investment, or purpose of an institutional fund is unlawful, impracticable, impossible to achieve, or wasteful, the institution, 60 days after notification to the attorney general, may release or modify the restriction, in whole or part, if:
(a)
the institutional fund subject to the restriction has a total value of less than $25,000;
(b)
more than 20 years have elapsed since the fund was established; and
(c)
the institution uses the property in a manner the institution reasonably determines to be consistent with the charitable purposes expressed in the gift instrument.
