{"data":{"id":"us-ky/krs-164a.610","jurisdiction":"us-ky","citation":"KRS 164A.610","heading":"Organization and operation of affiliated corporations.","body":"(1) An institution may organize and operate one (1) or more affiliated corporations to\nassist it in carrying out its programs, missions or other functions.  A qualified firm\nof certified public accountants experienced in the auditing of colleges and\nuniversities and their affiliated corporations shall be engaged to conduct an annual\nexamination of the corporation's financial statements in accord with generally\naccepted auditing standards for the purpose of rendering an independent opinion\nthereon and preparing a report of findings and recommendations concerning\nappropriate accounting controls and compliance with applicable statutes.  The\naffiliated corporation shall adhere to the principles of accounting and purchasing\nused by the institution with which it is affiliated.\n(2) The affiliated corporation shall provide the institution with an accounting at least\nquarterly, of all income and expenditures of said corporation in connection with\ncontracts or grants with entities external to the institution and the corpo ration, for\nthe conduct of research or other projects carried out, in whole or in part, through the\nuse of institutional facilities or personnel.\n(3) The affiliated corporation shall pay to, or for the benefit of, the institution any and\nall funds receive d by it from any person, corporation, association or governmental\nagency external to the institution and the affiliated corporation as reimbursement for\nindirect expenses incurred by the institution in carrying out research or furnishing\nother goods or ser vices, deducting from such payments only the expenses\nattributable to the procurement and performance of research grants and contracts\nand other contracts for the provision of such goods and services and such sums as\nmay be essential to meet contractual ob ligations incurred at the request of the\ninstitution's governing board.","path":["KRS Chapter 164A"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=4587","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:51:19Z","sha256":"30456f294449d65ca6afba60e510bb908d9012fe2f72ebe59f0343345496abe2","source_id":"us-ky","stale":false,"prev":"us-ky/krs-164a.608","next":"us-ky/krs-164a.615"},"notice":"GroundRules: Original legal text. Not legal advice."}