Bill > H2622

This bill aims to increase transparency and reporting for public charities, specifically private colleges and universities operating in the Commonwealth and their related organizations. For these institutions, the bill mandates that their annual reports must now include the names and earnings of employees and consultants who made over $250,000, as well as the names and amounts paid to service providers who received $250,000 or more, along with a description of services. It also requires disclosure of any donations made by these service providers to the charity and, for charities that require employees to disclose outside income, these disclosures must be attached. If a charity does not require such disclosures, it must report employees earning $250,000 or more from third parties, the identity of those third parties, the amounts paid, and the reason for payment. Furthermore, charities with over $10 million in investments or real property must list these assets and their values. Starting January 1, 2013, these reports must also include a statement of what federal, state, and local taxes the charity would have paid if it were not tax-exempt, with the Attorney General to issue regulations on how to calculate this. The bill also introduces new reporting requirements for trustees and directors of these private colleges and universities, requiring them to annually file a report detailing any economic or business transactions between themselves, their immediate family (spouse, parents, children, siblings), or entities they control or are employed by, and the public charity. This section does not apply to property held for religious purposes.