KRS 141.512 — Minimal allocation of contributions required to education opportunity accounts by account-granting organization -- Standard application process for establishment of student eligibility for an account -- Transfer of funds from one account–granting organization to another -- Donations. (See LRC Note below)

immediately succeeding calenda r year or fiscal year, as applicable, unless the
current year's total annual contributions received by the AGO exceed an amount
equal to the average of the total annual contributions received in the immediately
preceding three (3) years by more than fiftee n percent (15%), in which case the
excess amount may be carried forward and expended for EOAs in three (3) equal
installments over the immediately succeeding three (3) years.
(2) An AGO shall maintain separate accounts for EOA funds and operating funds.
(3) Any interest that accrues from contributions that are eligible for the tax credit
permitted by KRS 141.522 shall be allocated by the AGO to fund EOAs.
(4) An AGO shall create a standard application process for parents to establish their
student’s eligibility for an EOA. An AGO shall ensure that the application is readily
available to interested families and may be submitted through various sources,
including the Internet.
(5) An AGO shall provide parents with a written explanation of the allowable uses of
EOA funds, the responsibilities of parents, and the duties of the AGO and the role
of any private financial management firms or other organizations that the AGO may
contract with to process EOA transactions or maintain records for other aspects of
the EOA program.
(6) (a) An AGO may transfer funds to another AGO if additional funds are required
to meet EOA demands at the receiving AGO or if the transferring AGO
determines it cannot continue to operate due to any reason.
(b) If funds are transferred for th e purpose of meeting EOA demands, no more
than a combined aggregate of ten percent (10%) of the AGOs' total annual
contributions received may be retained by the AGOs for administrative
expenses.
(c) All transferred funds shall be allocated by the receiving AGO to its account
for EOAs.
(d) All transferred amounts received by an AGO shall be separately disclosed in
the receiving AGO’s annual report for certification renewal pursuant to KRS
141.510.
(e) An AGO that receives a transfer of funds from an AGO that has determined it
will not contin ue to operate shall agree to fund the EOAs established by the
transferring AGO to the extent funds are available. The receiving AGO shall
also prioritize the funding of transferred EOAs before funding new EOA
applicants.
(7) An AGO may accept donations th at are not eligible for the tax credit permitted by
KRS 141.522, gifts, and grants to cover administrative costs, to inform the public
about the EOA program, to fund additional EOAs or to offer assistance outside of
the EOA program. Donations that are not eligible for the tax credit permitted by
KRS 141.522 shall not be subject to KRS 141.500 to 141.528.