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City attorney outlines legal steps and risks for creating a nonprofit; council discusses partnering with Ed Foundation
Summary
City Attorney Christy Gideau outlined legal, financial and governance issues if the city creates or partners with a nonprofit to accept donations; council discussed working with the Education Foundation as a potential partner to manage donations and scholarships.
City Attorney Christy Gideau briefed the council on legal and administrative considerations if the city or council wishes to establish a nonprofit entity to receive donations or manage charitable funds.
Gideau said municipalities can form nonprofit corporations but cautioned that establishing and, importantly, maintaining them raises multiple issues: governance and appointment of board members, clarity of purpose and day-to-day…
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