CHAPTER 7 ATTORNEYS GENERAL, DIRECTOR OF CHARITABLE TRUSTS, AND COUNTY ATTORNEYS
Director of Charitable Trusts
Section 7:28
7:28 Reports by Trustees of Charitable Trusts. –
I. Every trustee subject to this chapter who has received property for charitable purposes shall file with the attorney general, within 6 months after any part of the income or principal is authorized or required to be expended for a charitable purpose, a copy of the instrument providing for the title, powers or duties of the trustee. If any part of the income or principal is authorized or required to be expended for a charitable purpose at the time this act takes effect, the filing shall be made within 6 months after the effective date of this act.
II. Except as otherwise provided, every trustee subject to this chapter shall, in addition to filing copies of the instruments required by RSA 7:28, I file with the attorney general periodic written reports, under oath, setting forth information as to the nature of the assets held for charitable purposes and the administration thereof by the trustee, the property so held or administered, the receipts and expenditures in connection therewith, the names and addresses of the beneficiaries thereof, the conduct of any charitable solicitation by the trustee, or the conduct of any charitable solicitation or charitable sales promotion on its behalf by others, and such other information as he may require, in accordance with the rules of the attorney general.
III. The attorney general shall make rules and regulations as to the time for filing reports, the contents thereof, and the manner of executing and filing them. He may classify trusts and other relationships concerning property held for a charitable purpose as to purpose, nature of assets, duration of the trust or other relationship, amount of assets, amounts to be devoted to charitable purposes, nature of trustee, or otherwise, and may establish different rules for the different classes as to time and nature of the reports required to the ends (a) that he shall receive reasonably current, periodic reports as to all charitable trusts or other relationships of a similar nature, which will enable him to ascertain whether they are being properly administered, and (b) that periodic reports shall not unreasonably add to the expense of the administration of charitable trusts. The attorney general may suspend the filing of reports as to a particular charitable trust for a reasonable, specifically designated, time upon written application of the trustee filed with the attorney general and after the attorney general has filed in the register of charitable trusts a written statement that the interests of the beneficiaries will not be prejudiced thereby and that periodic reports are not required for proper supervision by his office.
III-a. Any charitable organization with revenue, gains, and other support of $500,000 or more that is required to file an Internal Revenue Service Form 990 with the attorney general shall also submit the organization's latest financial statement prepared in accordance with generally accepted accounting principles.
III-b. Any charitable organization with revenue, gains, and other support of $2,000,000 or more that is required to file an Internal Revenue Service Form 990 with the attorney general shall also submit the organization's latest audited financial statement prepared in accordance with generally accepted accounting principles.
III-c. Charitable organizations for which compliance with paragraphs III-a or III-b would constitute a financial burden may request an exemption according to criteria established and administered by the director of charitable trusts. An exemption, if granted, shall be valid for 3 years from the date of issuance unless revoked by the director of charitable trusts and written notice of such revocation is provided to the charitable organization.
IV. A copy of an account filed by the trustee in any court having jurisdiction of the trust or other relationship, if the account substantially complies with the rules and regulations of the attorney general, may be filed as a report required by this section.
V. The first report for a trust or similar relationship hereafter established, unless the filing thereof is suspended as herein provided, shall be filed not later than 4 months and 15 days following the close of the first calendar or fiscal year in which any part of the income or principal is authorized or required to be applied to a charitable purpose and annually thereafter, unless excused by the attorney general under RSA 7:28, III. If any part of the income or principal of a trust previously established is authorized or required to be applied to a charitable purpose at the time this act takes effect, the first report, unless the filing thereof is suspended, shall be filed within 6 months after the effective date of this act.
VI. Failure for 2 successive years to file a report shall, unless excused by the attorney general under RSA 7:28, III, constitute a breach of trust and the attorney general shall take such action as may be appropriate to compel compliance.