R277-113-7. School Sponsored Activities

  (1)(a) If an activity, fundraising event, clinic, club, camp, or activity does not meet the definition of school sponsored and is organized by a third party, then the requirements of Subsection R277-113-4(11) do not apply.

  (b) All transactions pertaining to nonschool sponsored events shall be conducted at arm's length.

  (c) Revenues and expenditures from nonschool sponsored events may not be commingled with public funds.

  (2) For nonschool sponsored events, funds may only be managed or held by a public school employee consistent with Rule R277-107.

  (3) The definition of school sponsored and requirements of Subsection R277-113-4(11) do not apply to non-curricular clubs specifically authorized and meeting all criteria of Sections 53G-7-704 through 53G-7-707.

  (4) An LEA or individual public school shall comply with the following regarding school and nonschool sponsored activities:

  (a) An LEA may establish LEA specific rules or polices designating categories of school sponsored activities or groups and establishing LEA policy regarding use of facilities or LEA resources.

  (b) An LEA may enter into contractual agreements to allow for fundraising and use of LEA facilities.

  (i) An agreement under Subsection (4)(a) shall take into consideration the LEA's fiduciary responsibility for the management and use of public funds.

  (ii) An LEA should consult with the LEA's insurer or legal counsel, or both, to ensure risks are adequately considered and managed;

  (c) An LEA shall annually review fundraising activities that support or subsidize LEA or public school-authorized clubs, activities, sports, classes or programs to determine if the activities are school sponsored;

  (d) An LEA shall ensure that revenues raised from school sponsored activities and funds expended from the proceeds are classified and processed as public funds;

  (e) An LEA shall maintain adequate records to verify that funds collected from or during school sponsored activities are in compliance with LEA cash handling policies as required by Section R277-113-5;

  (f) An LEA shall maintain adequate records to show that expenditures made to support activities from LEA or public school funds are in compliance with LEA expenditure of funds policies as required by Section R277-113-5; and

  (g) An LEA shall:

  (i) make records of activities available to parents, students, and donors;

  (ii) maintain records in sufficient detail to track individual contributions and expenditures, as well as overall financial outcome.

  (iii) restrict access to records as required by state or federal law.