The Kentucky Community and Technical College (KCTCS) Board of Regents endorsed policy 7.4 [1] to recognize an independent foundation as "a non-profit foundation organized for the purpose of raising private funds and working to enhance the programs and services of any institution of KCTCS." KCTCS Board of Regents Policy 7.6 [2] considers private fund raising efforts as an essential component in achieving the mission and goals of KCTCS [3]. The KCTCS Administrative Policies of 7.4 [4] and 7.6 [5] were established in accordance with the KCTCS Board of Regent Policies for private fund raising and the role of the independent foundation. In accordance with these policies, Big Sandy Community and Technical College (BSCTC) is supported by an independent foundation.

The Big Sandy College Educational Foundation, Inc. (Foundation) serves as the fund-raising arm of BSCTC. The Memorandum of Understanding (MOU) [6], signed October 29. 2004, establishes a formal agreement between BSCTC and the Foundation. The Foundation is a non-profit entity incorporated in December 1989. The Articles of Incorporation serve as evidence of the legal existence and authority of the Foundation and specifies objectives to accomplish the Foundation's purpose of promoting BSCTC [7]. The By Laws of the Foundation state that "The Big Sandy College Educational Foundation, Inc. is organized exclusively for charitable, scientific, literary, or educational purposes within the meaning of Section 501(c)(3) of the Internal Revenue Code of 1986, as amended and is not for profit" [8].

The mission statement of the college [9] states that BSCTC exists to "Secure external funding to support identified needs." The Foundation exists to support the mission of the college as evidenced in the MOU [6] which states that "The Big Sandy College Educational Foundation, Inc. will assist the Big Sandy Community and Technical College in attracting the support of individuals, corporations, foundations, and organizations who desire to advance the vision, mission, and goals of the Big Sandy Community and Technical College through voluntary efforts and philanthropic financial support."

KCTCS Administrative Policies and Procedures 1.5.6.1 [10] list the duties of the college president, including responsibilities for the fund raising activities. The policy further states "that the college President has ultimate control of the institution's fund raising activities."

In accordance with the policies and procedures regarding independent foundations, the Foundation is audited annually by the independent auditing firm of Wells & Company, PSC [11]. The financial position of the Foundation does not affect the financial soundness of BSCTC. The membership listing of the Foundation Board of Directors [12] is evidence that the leadership of the Foundation is independent of BSCTC. Yet, both entities work cooperatively through the involvement of the BSCTC President and the BSCTC Director of Advancement. The minutes of the Foundation [13] further support that the Foundation and college operate separately, yet work cooperatively, to accomplish the mission of the college and the Foundation.

Article 10 of the Foundation Bylaws defines the liabilities and indemnifications of the Foundation Board Members [8]. Under state law, an incorporated entity, such as the Foundation, is separately liable for its own activities.

Source

Location/Special Instructions

KCTCS Board of Regents Policy 7.4 - Independent Foundations

http://www.kctcs.edu/employee/policies/volumeI/boardpolicies7-4.pdf

KCTCS Board of Regents Policy 7.6 - Private Fund Raising

http://www.kctcs.edu/employee/policies/volumeI/boardpolicies7-6.pdf

KCTCS Mission and Goals

http://www.kctcs.edu/organization/strategicplanning/values.html

KCTCS Administrative Policy 7.4 - Independent Foundations

http://www.kctcs.edu/employee/policies/volumeII/volII7-4.pdf

KCTCS Administrative Policy 7.6 - Private Fund Raising

http://www.kctcs.edu/employee/policies/volumeII/volII7-6.pdf

MOU between college and foundation

3.2.13_6_Memo_of_Understanding.pdf

BSCEF (Foundation) Articles of Incorporation

3.2.13_7_Amended_Articles_Amended_Articles_00001.pdf

BSCEF (Foundation) Bylaws

3.2.13_8_BSCEF_By_Laws.pdf

BSCTC Mission

http://www.bigsandy.kctcs.edu/administration/mission.html

KCTCS Administrative Policy 1.5.6.1 - Page 3 and 4

http://www.kctcs.edu/employee/policies/volumeII/volII1-5.pdf#page=3

Evidence of audit of Foundation's financial records

3.2.13_11_Letters.pdf

Foundation Board of Directors

http://www.bigsandy.kctcs.edu/administration/foundation_board.html

BSCEF, Inc. meeting minutes

3.2.13_13_BSCEF_BOD_Minutes.pdf