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Ark. Code Ann. § 19-8-305

Terms of trust agreement

Acts 1993, No. 583, § 5; 2009, No. 417, § 1.

(1) Each trust agreement shall specify the following: Its duration;

(2) The number, qualifications, method of election, and terms of the trustees who shall serve as the governing body of the trust.

(3) Each trust shall have a minimum of seven (7) trustees.

(4) Only current elected officials and active or retired employees of a local government or of a local government association may serve as trustees.

(5) A majority of the trustees must be officials or employees of participants.

(6) Each trustee shall be elected by the participants for a term not to exceed three (3) years.

(7) The terms of office shall be staggered so that at least one-third (1/3) of the trustees are elected each year.

(8) Each participant shall be entitled to one (1) vote in each election of trustees;

(9) The qualifications, terms, and conditions necessary for additional local governments to become parties to the trust;

(10) The terms and conditions under which local governments may withdraw as parties to the trust; provided, that any party shall have the unconditional right to withdraw upon not more than ninety (90) days' notice;

(11) The permissible methods for acquiring, holding, and disposing of real and personal property used in the operation of the trust;

(12) The maximum amount of funds of participants the trust may accept for investment;

(13) The permissible methods to be employed in accomplishing the partial or complete termination of the trust and for disposing of property upon the partial or complete termination;

(14) The terms and conditions under which the trust agreement may be amended and supplemented; and

(15) Any other necessary and proper matters.

(16) Each addition of a local government as a party to a trust, each withdrawal of a local government as a party to a trust, and each amendment or supplement to a trust agreement shall be evidenced by a written supplement to the trust agreement.

Current official text: Arkansas General Assembly. Digitized from the UniCourt Code Improvement Commission public-domain capture. Reproduced from public-domain Arkansas statutes; confirm against the official source for the current text. Not legal advice.