RULES FOR ALL FUNDS AT SOLANO COMMUNITY FOUNDATION

For all Funds:

1. Under the Pension Protection Act of 2006 (HR4), the Solano Community Foundation retains exclusive legal control over all fund assets.
2. All contributions to the Solano Community Foundation continue to be tax exempt if no goods or services were received in return.
3. Only grants recommended to qualified nonprofit organizations with current 501c3 determination letters from the IRS can be authorized.
4. No distributions may be made from any Fund to pay program expenses, including vendors, reimbursements or invoices.

For Scholarship Funds:

1. All scholarship recipients must be selected by a committee, and it must be a competitive process.
2. The donor’s advice is limited to his/her role of serving as a selection committee member.
3. The donor does not appoint a majority of the committee or otherwise control the committee directly or indirectly.
4. The selection committee must consist of a minimum of three individuals, two of them must be disinterested parties.
5. The Solano Community Foundation Board of Directors must appoint all members of the committee.
6. Donors may make recommendations of committee members.
7. The Foundation Board must approve procedures for selecting recipients insuring they are objective and nondiscriminatory.
8. The Foundation Board must annually review selection criteria and procedures.
9. Grants are made to the institution at which the scholarship recipient will attend, not to the student directly.
10. Grants may not fulfill pledges and/or be made to secure benefits from the distribution recipient.
11. Donors, advisors, or related parties may not receive grants, loans, compensation, or expense reimbursements from any Fund.