§7105. Establishment of National Trust for Drug-Free Youth

(a) Establishment; purpose

In order to encourage private gifts of real and personal property to assist the Secretary of Education in carrying out the national programs of drug abuse research, education, and prevention under subtitle B,¹ there is hereby established a charitable, nonprofit, and nonpartisan corporation to be known as the National Trust for Drug-Free Youth.

(b) Board of Directors; duties and functions; composition

The National Trust for Drug-Free Youth (hereinafter in this section referred to as the "National Trust") shall be under the general direction of a Board of Directors. The overall priorities, policies, and goals of the National Trust shall be determined by the Board in consultation with the Secretary. The Board shall coordinate the activities of the National Trust for Drug-Free Youth with the Secretary. The Board shall be composed of three members appointed as follows:

(1) one member shall be appointed by the President;

(2) one member shall be appointed by the Speaker of the House of Representatives; and

(3) one member shall be appointed by the Majority Leader of the Senate.

(c) Principal office; venue

The National Trust shall have its principal office in the District of Columbia and for the purposes of venue in civil actions shall be considered an inhabitant and resident of the District.

(d) Powers of Trust generally

The National Trust shall have the following general powers:

(1) to have succession until dissolved by Act of Congress, in which event title to the properties of the National Trust, both real and personal shall, insofar as consistent with existing contractual obligations and subject to all other legally enforceable claims or demands by or against the National Trust, pass to and become vested in the United States of America;

(2) to adopt, alter, and use a corporate seal which shall be judicially noticed;

(3) to sue and be sued, complain and defend in any court of competent jurisdiction;

(4) to adopt and establish such bylaws, rules, and regulations, not inconsistent with the laws of the United States or of any State, as the Board considers necessary for the administration of its functions, including among other matter, bylaws, rules, and regulations governing administration of corporate funds;

(5) to accept, hold, and administer gifts and bequests of money, securities, or other personal property of whatsoever character, absolutely or on trust, for the purposes for which the National Trust is created;

(6) to sell, exchange, or otherwise dispose of as it may determine from time to time the moneys, securities, or other gifts given or bequeathed to it;

(7) to appoint and prescribe the duties of such officers, agents, and employees as may be necessary to carry out its functions, and to fix and pay such compensation to them for their services as the National Trust is created; and

(8) to audit the financial records of the corporation.

(e) Issuance of shares or stock; declaration or payment of dividends; loan of funds to officers or directors

The National Trust shall not have authority-

(1) to issue shares or stock or declare or pay dividends; or

(2) to loan funds to its officers or directors.

(f) Annual report and independent audit

The Board shall submit an annual report and independent audit to the Congress and the President concerning the expenditure of funds under the National Trust.

( Pub. L. 99–570, title IV, §4302, Oct. 27, 1986, 100 Stat. 3207–153 .)

References in Text

Subtitle B, referred to in subsec. (a), is subtitle B of title IV of Pub. L. 99–570, Oct. 27, 1986, 100 Stat. 3207–125 , known as the Drug-Free Schools and Communities Act of 1986, which was classified to chapter 58 (§4601 et seq.) of this title, prior to repeal by Pub. L. 100–297, title I, §1003(e), Apr. 28, 1988, 102 Stat. 293 . Provisions related to drug-free schools and communities are now contained in this subchapter.

Codification

Section was enacted as part of the Anti-Drug Abuse Act of 1986, and not as part of the Elementary and Secondary Education Act of 1965 which comprises this chapter.

Section was formerly classified to section 4665, and subsequently section 3225, of this title.

Termination of Reporting Requirements

For termination, effective May 15, 2000, of provisions in subsec. (f) of this section relating to submitting annual report and audit to Congress, see section 3003 of Pub. L. 104–66, as amended, set out as a note under section 1113 of Title 31, Money and Finance, and page 185 of House Document No. 103–7 (specifying report under section 4665 of this title, subsequently transferred to this section).

¹ See References in Text note below.