HB 1399 – AS INTRODUCED
2006 SESSION
01/03
HOUSE BILL 1399
AN ACT relative to the compensation paid to directors or officers of a charitable trust.
SPONSORS: Rep. Hagan, Hills 17; Rep. Cady, Rock 1
This bill clarifies the law relative to compensation for directors and officers of a charitable trust.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
06-2611
01/03
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Six
AN ACT relative to the compensation paid to directors or officers of a charitable trust.
Be it Enacted by the Senate and House of Representatives in General Court convened:
1 Charitable Trusts; Compensation of Directors and Officers. Amend RSA 7:19, II to read as follows:
II. Directors, officers, and trustees of charitable trusts shall serve on the governing boards of such charitable trusts only for the charitable purposes of the organization. If such directors, officers, or trustees are serving for any other expressed or intended reasons, they shall not serve on the governing board of the organization. Directors and officers of charitable trusts shall not obtain any pecuniary benefit paid from the charitable trust to them or to any business of which they or their immediate family are partners, owners with more than a 10 percent share, or commissioned agents, with the exception of reasonable compensation for services rendered and expenses incurred in connection with their official duties. Exceptions may be allowed only if it is demonstrated to the satisfaction of the attorney general that the transaction with the director or officer is fair and reasonable to the public interest. Any board member who is individually, or as a member of a firm, involved in business transactions or professional services shall disclose this relationship to the board and not participate in votes taken in regard to such transactions.
2 Effective Date. This act shall take effect 60 days after its passage.