Kentucky Revised Statutes Title IX. Counties, Cities, and Other Local Units § 65.1575.Charitable community foundations; relationship with local governments

(a) “Foundation” means a charitable community foundation established to accept gifts, bequests, devises, or other transfers for the purpose of meeting charitable objectives for the citizens of the community;

(b) “Local government” means every city, regardless of classification, every county, and every charter county and urban-county government;

(c) “Component fund” means an individual fund treated as part of a foundation and that meets the requirements established under regulations promulgated implementing 26 U.S.C. sec. 170 as amended from time to time; and

(d) “Nonprofit organization” means an organization incorporated under KRS Chapter 273 and exempt under Section 501(c)(3) of the Internal Revenue Code 1.

(2) (a) A local government may donate to a foundation the proceeds from the sale of any utility or facility or any grant, bequest, or devise received by it.

(b) A local government may contribute to a nonprofit organization exempt under Section 501(c)(3) of the Internal Revenue Code for the development and operation of a community center or recreational facilities.

(a) The foundation or nonprofit organization exempt under Section 501(c)(3) of the Internal Revenue Code loses its status as a public charitable organization;

(b) The foundation or nonprofit organization exempt under Section 501(c)(3) of the Internal Revenue Code is liquidated; or

(c) The foundation or nonprofit organization exempt under Section 501(c)(3) of the Internal Revenue Code violates any condition, limitation, or requirement as established by the local government governing body.