UPMIFA Update
Susan Gary (Professor of Law and Associate Dean for Academic Affairs, University of Oregon School of Law) has recently published her article entitled UPMIFA: Coming Soon to a Legislature Near You, Prob. & Prop., Jan./Feb. 2007, at 32.
This article reviews the updated version of the 1972 Uniform Management of Institutional Funds Act called the Uniform Prudent Management of Institutional Funds Act.
Prof. Gary explains:
* * * UPMIFA updates the prudence standard that applies to the management and investment of charitable funds. UPMIFA also modernizes the rules governing expenditures from endowment funds, both to provide better guidance on spending from endowment funds and to give institutions the ability to copy more easily with fluctuations in the value of the endowment. Finally, UPMIFA adopts provisions governing the release and modification of restrictions on charitable funds to permit more efficient management of these funds.
Although no state has yet to adopt the Act, it is pending in nine jurisdictions:
- Connecticut
- Idaho
- Indiana
- Nebraska
- Oklahoma
- South Dakota
- Texas
- US Virgin Islands
- Utah