Minnesota Session Laws - 1991, Regular Session

  

                         Laws of Minnesota 1991 

                        CHAPTER 145-H.F.No. 1405 
 [At the time of publication, the question of whether this 
chapter is law was under consideration by Minnesota courts.] 
           An act relating to charitable organizations; changing 
          distribution requirements for charitable 
          organizations; amending Minnesota Statutes 1990, 
          section 309.501, subdivision 1. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1990, section 309.501, 
subdivision 1, is amended to read: 
    Subdivision 1.  [DEFINITIONS.] As used in this section, the 
following terms have the meanings given them.  
    "Registered combined charitable organization" means an 
organization 
    (1) which is tax exempt under section 501(c)3 of the 
Internal Revenue Code of 1954 1986, as amended through December 
31, 1980 1990 (hereinafter "Internal Revenue Code"), and to 
which contributions are deductible under section 170 of the 
Internal Revenue Code; 
    (2) which secures funds for distribution to ten or more 
charitable agencies in a single, annual consolidated effort; 
    (3) which is governed by a voluntary board of directors 
which represents the broad interests of the public; 
    (4) which distributes at least 70 percent of its total 
collected campaign income and revenue to the designated agencies 
it supports and expends no more than 30 percent of its total 
income and revenue for management and general costs and fund 
raising costs; 
    (5) and each designated agency supported by the recipient 
institution devotes substantially all of its activities directly 
to providing health, welfare, social, or other human services to 
individuals; 
    (6) and each designated agency supported by the recipient 
institution provides health, welfare, social, or other human 
services, in the community and surrounding area in which the 
recipient institution's fund drive takes place; and 
    (7) which has been registered with the commissioner of 
commerce in accordance with this section.  
    "Charitable agency" means a governmental agency or an 
organization (1) which is tax exempt under section 501(c)3 of 
the Internal Revenue Code; (2) to which contributions are 
deductible under section 170 of the Internal Revenue Code; and 
(3) which is in compliance with the provisions of this chapter. 
    Presented to the governor May 20, 1991 
    Filed with the secretary of state June 10, 1991