Operating Procedures - Part 6: Administrative Policies- Part 19

19. General Property Deposit Endowment

(Forfeited General Property Deposits and Earnings on those funds)

Section 54.5021 of the Texas Education Code provides that any student's general property deposit unclaimed for four years after the last date of attendance is forfeited and may be used as directed by the governing board to award scholarships to needy and deserving students, support a general student union program, establish an institutional loan program, or pay direct expenses for the administration of the funds.

That portion of the current balance of the student deposit fund consisting of the aggregated sums of unexpended student general property deposits forfeited under Section 54.5021 of the Texas Education Code, and the related investment earnings, will be transferred to the Office of Asset Management of The University of Texas System to be deposited into The University of Texas of the Permian Basin Student Deposit Endowment Fund upon completion of the Annual Financial Report each year.

Earnings on The University of Texas of the Permian Basin Student Deposit Endowment Fund transferred from the Office of Asset Management of The University of Texas System to The University of Texas of the Permian Basin will be receipted into a restricted account. On review by the administration of The University of Texas of the Permian Basin, the allocation of the earnings may be revised as the needs change. Until a review and reallocation is made, no less than half of these earnings will be used to create an institutional loan program; the balance of the earnings will be used to award scholarships to needy and deserving students and to pay direct expenses for the administration of the funds.

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