AGO 1991-008.

• Case Date: March 01, 1991
• Court: Connecticut

Connecticut Attorney General Opinions 1991. AGO 1991-008. March 1, 1991Opinion No. 1991-008James E. Mulvihill, D.M.D.V.P. & Provost for Health AffairsUniversity of Connecticut Health CenterFarmington, CT 06030Dear Dr. Mulvihill: This is in response to your request for opinion wherein you raise the following issues: In response to a recommendation contained in the most recent report of the Auditors of Public Accounts on the University of Connecticut Health Center, we are examining available options relative to the Health Center's Academic Enhancement Fund. This fund consists of monies deposited from outside speaking or consulting activities of our faculty and administrators. These monies are used to support a wide variety of academic and educational activities in support of the Health Center's missions of teaching, research, patient care and community service. Were these funds not available, additional general fund appropriations would most likely be necessary. We request your opinion as to the legality of two options currently under consideration:

1. Establish the Academic Enhancement Fund as an activity fund in accordance with § 4-52 of the Connecticut General Statutes.

2. Incorporate the Academic Enhancement Fund into the University of Connecticut Research Foundation in accordance with § 10a-110a of the Connecticut General Statutes.

If neither of these options are legally permissible, can you please advise as the existence of any other options short of petitioning the Governor or introducing legislation. You are advised for the reasons discussed below that (1) as it is currently structured and used the Academic Enhancement Fund does not qualify as an activity fund within the meaning of Conn. Gen. Stat. § 4-52, and, (2) the Academic Enhancement Fund may be incorporated into the University of Connecticut Research Foundation, subject to the statutory restrictions applicable thereto. By way of background, the Academic Enhancement Fund is a "local fund" operated by the Health Center. A "local fund" is one which is operated by agency personnel entirely. Thus, monies in a local fund are managed in checking/savings accounts separate from those controlled by the State Treasurer or Comptroller. Although the fund has been regularly audited by the Auditors of Public Accounts over the years, the normal restrictions applicable to...