Minnesota Session Laws - 1987, Regular Session

  

                         Laws of Minnesota 1987 

                        CHAPTER 118-S.F.No. 1296 
           An act relating to Gillette Children's Hospital; 
          clarifying the hospital's exemption from certain tax 
          provisions; amending Minnesota Statutes 1986, section 
          250.05, by adding subdivisions. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1986, section 250.05, is 
amended by adding a subdivision to read: 
    Subd. 7.  The Gillette Children's Hospital is organized and 
shall be operated exclusively for charitable, scientific, and 
educational purposes within the meaning of section 501(c)(3) of 
the Internal Revenue Code of 1986, as amended.  Notwithstanding 
any other provisions of this chapter, the Gillette Children's 
Hospital shall not carry on any activities not permitted to be 
carried on by:  
    (1) a corporation exempt from federal income tax under 
section 501(c)(3) of the Internal Revenue Code of 1986, as 
amended; or 
    (2) a corporation, contributions to which are deductible 
under sections 170(c)(2), 2055(a)(2), and 2522(a)(2) of the 
Internal Revenue Code of 1986, as amended.  
    Sec. 2.  Minnesota Statutes 1986, section 250.05, is 
amended by adding a subdivision to read: 
    Subd. 8.  The Gillette Children's Hospital may be dissolved 
upon the adoption of a plan to dissolve by two-thirds of the 
Gillette Children's Hospital board.  In the event of dissolution 
of the Gillette Children's Hospital, no liquidating or other 
dividends shall be declared or paid to any private individual 
and the net assets of the Gillette Children's Hospital shall be 
distributed as follows:  
    (1) all liabilities and obligations of the Gillette 
Children's Hospital shall be paid, satisfied, or discharged, or 
adequate provision shall be made to do so; and 
    (2) remaining assets shall be distributed to the state of 
Minnesota or public, charitable, scientific, or educational 
organizations described in sections 170(c)(2), 501(c)(3), 
2055(a)(2), and 2522(a)(2) of the Internal Revenue Code of 1986, 
as amended, as determined in the plan to dissolve. 
      Sec. 3.  [EFFECTIVE DATE.] 
     Sections 1 and 2 are effective the day following final 
enactment. 
    Approved May 14, 1987