2023 Idaho Code › Title 48 - MONOPOLIES AND TRADE PRACTICES › Chapter 19 - IDAHO CHARITABLE ASSETS PROTECTION ACT › Section 48-1907 - SALE OR TRANSFER OF CHARITABLE ASSETS.

48-1907. SALE OR TRANSFER OF CHARITABLE ASSETS. (1) A charitable organization that holds, or within the preceding twelve (12) months received or at any time held, charitable assets with a fair market value in the aggregate exceeding ten thousand dollars ($10,000) shall provide written notice to the attorney general of the charitable organization’s intent to dissolve, convert to a noncharitable organization, terminate, or dispose of all of its charitable assets. In addition, a charitable organization that holds, or within the preceding twelve (12) months received or at any time held, charitable assets with a fair market value in the aggregate exceeding ten thousand dollars ($10,000) shall provide written notice to the attorney general of the charitable organization’s intent to dispose of substantially all of its charitable assets if such charitable organization has no reasonable expectation it will hold charitable assets with a fair market value in the aggregate exceeding ten thousand dollars ($10,000) in the next twenty-four (24) months.
(2) This section shall not apply to a charitable organization that is subject to the provisions of:
(a) Chapter 15, title 48, Idaho Code, where notice is timely provided to the attorney general, as provided therein; or
(b) Section 68-1204, Idaho Code, where notice is timely provided to the attorney general, as provided therein.
(3) Written notice to the attorney general under this section must include, at a minimum, the following:
(a) Legal names and mailing addresses of the directors and officers of the charitable organization;
(b) A description of the charitable assets and the charitable purpose of the assets; and
(c) A copy or summary of the plan of dissolution, conversion to a noncharitable organization, or termination and disposal of the charitable organization’s charitable assets.
(4) Subject to subsection (8) of this section, no charitable assets shall be disposed of, transferred, or conveyed by a charitable organization subject to this section until at least thirty (30) days after it has given notice required by this section to the attorney general or until the attorney general has consented in writing to the actions set forth in the charitable organization’s written notice or indicated in writing that he will take no action with respect to the proposed dissolution, conversion, or termination and disposal of the charitable organization’s charitable assets, whichever is earlier.
(5) Failure to comply with the notice requirements of this section subjects the charitable organization’s accountable persons to liability as provided by this chapter.
(6) A charitable organization that has provided notice under subsections (1) and (3) of this section and has not received a written response from the attorney general after thirty (30) days of giving such notice may proceed with the proposed dissolution, conversion to a noncharitable organization, or termination and disposal of charitable assets and be deemed in compliance with subsections (1) and (3) of this section.
(7) Within ninety (90) days of completion of the proposed dissolution, conversion to a noncharitable organization, or termination and disposal of all or substantially all of its charitable assets, the charitable organization’s board shall deliver to the attorney general a list of who received the assets. The list shall include the address of each person who received the assets and indicate what assets each received.
(8) If the attorney general opposes, in writing, a proposed dissolution, conversion to a noncharitable organization, or termination and disposal of all or substantially all of a charitable organization’s charitable assets, as set forth in the charitable organization’s notice under subsections (1) and (3) of this section, the charitable organization may not proceed forward with the actions proposed in its written notice for at least fourteen (14) days after the attorney general’s written response has been issued to allow the attorney general, in his discretion, to file suit seeking to block the charitable organization’s proposed dissolution, conversion to a noncharitable organization, or termination and disposal of its charitable assets, or otherwise to resolve the matter with the affected parties pursuant to section 48-1909, Idaho Code.
(9) If the attorney general files a lawsuit seeking to block a charitable organization’s proposed dissolution, conversion to a noncharitable organization, or termination and disposal of charitable trust assets, the district court shall review, de novo, the charitable organization’s proposal to determine if it is in compliance with charitable trust law. If the attorney general does not file a lawsuit within the fourteen (14) days provided in this section, the charitable organization may proceed with the proposed dissolution, conversion to a noncharitable organization, or termination and disposal of charitable assets and be deemed in compliance with subsections (1) and (3) of this section.
History:
[48-1907, added 2020, ch. 321, sec. 1, p. 923.]