Committee approves bill allowing universities to use private nonprofits for athletics development, exempts some meetings from open meetings rules

Committee members voted to report House Bill 25-95 to the full Senate with a recommendation that it pass. Counsel told the committee the measure is intended to allow state colleges to form or contract with private nonprofit corporations to conduct development and operational activities related to intercollegiate athletics.

Counsel explained the bill "adds legislative finding that in order to foster and enhance an operational success and competitive nature of intercollegiate athletics ... the state institutions of higher education will benefit from the use of private corporations to conduct operational, economic, fiscal, and educational development activities and services related to intercollegiate athletics programs." Counsel said voting corporate directors must be employees of the institution or an affiliate, and that matters "relating to the conduct of these development activities and services" are exempt from the Freedom of Information Act and the Open Governmental Proceedings Act notice and open-meeting requirements.

The bill would allow institutional boards of governors to assign rights, transfer funding and property to such corporations and would expand the authorized purposes under which a corporation may be organized to include athletics development activities. Counsel said the proposal also repeals an older code section governing transfers and reversions related to certain transfers to corporations.

Committee discussion was limited; the senior senator from the thirteenth said he believes private nonprofit corporations are "necessary to help, for example, West Virginia University to facilitate the kinds of changes they need to make in intercollegiate athletics." With no amendments offered, the committee's vice chair moved to report the bill to the full Senate with a recommendation that it do pass; the chair declared the motion adopted.