2007 manual of procedure (035-en)

Part EightOther Legal Documents

Recommended Rotary Club Bylaws

Bylaws of The Rotary Foundation of Rotary International

Articles of Incorporation of The Rotary Foundation (partial)

RECOMMENDED CLUB BYLAWS

Article Subject Page 1 Definitions...................................................................................................265 2 Board.............................................................................................................265 3 ElectionofDirectorsandOfficers............................................................265 4 DutiesofOfficers........................................................................................266 5 Meetings.......................................................................................................266 6 FeesandDues.............................................................................................267 7 MethodofVoting........................................................................................267 8 FourAvenuesofService............................................................................267 9 Committees..................................................................................................267 10 DutiesofCommittees................................................................................268 11 LeaveofAbsence........................................................................................269 12 Finances........................................................................................................269 13 MethodofElectingMembers...................................................................269 14 Resolutions...................................................................................................270 15 OrderofBusiness........................................................................................270 16 Amendments...............................................................................................270

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MANUAL OF PROCEDURE 2007

*Bylaws of the Rotary Club of

Article 1 Definitions1.Board: TheBoardofDirectorsofthisclub.2.Director: Amemberofthisclub’sBoardofDirectors.3.Member: Amember,otherthananhonorarymember,ofthisclub.4.RI: RotaryInternational.5.Year: Thetwelve-monthperiodthatbeginson1July.

Article 2 BoardThegoverningbodyofthisclubshallbetheboardconsistingof membersofthisclub,namely,thepresident,vice-president,president-elect(orpresident-nominee,ifnosuccessorhasbeenelected),secretary,treasurer,andthesergeant-at-arms.Atthediscretionoftheboard,alsoaddedcanbethe

directorselectedinaccordancewitharticle3,section1ofthesebylaws,andtheimmediatepastpresident. Article 3 Election of Directors and OfficersSection1—Ataregularmeetingonemonthpriortothemeetingforelection

ofofficers,thepresidingofficershallaskfornominationsbymembersoftheclubforpresident,vice-president,secretary,treasurer,and directors.Thenominationsmaybepresentedbyanominatingcommitteeorbymembersfromthefloor,byeitherorbybothasaclubmaydetermine.Ifitisdeterminedtouseanominatingcommittee,suchcommitteeshallbeappointedastheclubmaydetermine.Thenominationsdulymadeshallbeplacedonaballotinalphabeticalorderundereachofficeandshallbevotedforattheannualmeeting.Thecandidatesforpresident,vice-president,secre-tary,andtreasurerreceivingamajorityofthevotesshallbedeclaredelectedtotheirrespectiveoffices.The candidatesfordirectorreceivingamajorityofthevotesshallbedeclaredelectedasdirectors.Thecandidateforpresidentelectedinsuchballotingshallbethepresident-nomineeandserveasadirectorfortheyearcommencingonthefirstdayofJulynextfollowingtheelection,andshallassumeofficeaspresidenton1Julyimmediatelyfol-lowingthatyear.Thepresident-nomineeshalltakethetitleofpresident-electon1Julyintheyearpriortotakingofficeaspresident.

Section2—Theofficersanddirectors,soelected,togetherwiththeimmediatepastpresidentshallconstitutetheboard.Withinoneweekaftertheirelection,thedirectors-electshallmeetandelectsomememberoftheclubtoactassergeant-at-arms.

Section3—Avacancyintheboardoranyofficeshallbefilledbyactionoftheremainingdirectors.

*NOTE:ThesebylawsarerecommendedonlyandmaybechangedbyanyRotaryclubtomeetitsownconditions,providedsuchchangesarenotoutofharmonywiththeStandardRotaryClubConstitutionandwiththeRIconstitution,RIbylaws,andtheRotaryCodeofPolicies.Ifanydoubtexists,theproposedchangesshouldbesubmittedtothegeneralsecretaryfortheconsiderationoftheBoardofDirectorsofRI.

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ARtiCLEs 1; 2; 3

Section4—Avacancyinthepositionofanyofficer-electordirector-electshallbefilledbyactionoftheremainingdirectors-elect.

Article 4 Duties of OfficersSection1— President. Itshallbethedutyofthepresidenttopresideatmeetings

oftheclubandtheboardandtoperformotherdutiesasordinarilypertaintotheofficeofpresident.

Section2— President-elect. Itshallbethedutyofthepresident-electtoserveasadirectorandtoperformsuchotherdutiesasmaybeprescribedbythepresi-dentortheboard.

Section3— Vice-President. Itshallbethedutyofthevice-presidenttopresideatmeetingsoftheclubandtheboardintheabsenceofthepresidentandtoper-formotherdutiesasordinarilypertaintotheofficeofvice-president.

Section4— Secretary. Itshallbethedutyofthesecretarytokeepmember-shiprecords;recordattendanceatmeetings;sendoutnoticesofclub,board,andcommitteemeetings;recordandpreservetheminutesofsuchmeetings;reportasrequiredtoRI,includingthesemiannualreportsofmembershipon1Januaryand1Julyofeachyear,whichshallincludepercapitaduesforallmembersandproratedduesforactivememberswhohavebeenelectedtomembershipintheclubsincethestartoftheJulyorJanuarysemiannualreportingperiod;reportchangesinmembership;providethemonthlyatten-dancereport,whichshallbemadetothedistrictgovernorwithin15daysofthelastmeetingofthemonth;collectandremitRIofficialmagazinesubscrip-tions;andperformotherdutiesasusuallypertaintotheofficeofsecretary.

Section5— Treasurer. Itshallbethedutyofthetreasurertohavecustodyofallfunds,accountingforittotheclubannuallyandatanyothertimeupondemandbytheboard,andtoperformotherdutiesaspertainstotheofficeoftreasurer.Uponretirementfromoffice,thetreasurershallturnovertotheincomingtreasurerortothepresidentallfunds,booksofaccounts,oranyotherclubproperty.

Section6— Sergeant-at-Arms. Thedutiesofthesergeant-at-armsshallbesuchasareusuallyprescribedforsuchofficeandotherdutiesasmaybepre-scribedbythepresidentortheboard.

Article 5 MeetingsSection1— Annual Meeting. Anannualmeetingofthisclubshallbeheldon

the ineachyear,atwhichtimetheelectionofofficersanddirec-torstoservefortheensuingyearshalltakeplace.

(Note:Article6,section2oftheStandardRotaryClubConstitutionprovidesthat“Anannualmeetingfortheelectionofofficersshallbeheldnotlaterthan31December...”)

Section2— Theregularweeklymeetingsofthisclubshallbeheldon(day)at (time).

Duenoticeofanychangesinorcancelingoftheregularmeetingshallbegiventoallmembersoftheclub.Allmembersexceptinganhonorarymember(ormemberexcusedpursuanttothestandardRotaryclubconstitution)ingoodstandinginthisclub,onthedayoftheregularmeeting,mustbecount-edaspresentorabsent,andattendancemustbeevidencedbythemember’s

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beingpresentforatleastsixty(60)percentofthetimedevotedtotheregularmeeting,eitheratthiscluboratanyotherRotaryclub,orasotherwisepro-videdinthestandardRotaryclubconstitution,article9,sections1and2.

Section3—One-thirdofthemembershipshallconstituteaquorumattheannualandregularmeetingsofthisclub.

Section4—Regularmeetingsoftheboardshallbeheldon ofeachmonth.Specialmeetingsoftheboardshallbecalledbythepresident,wheneverdeemednecessary,orupontherequestoftwo(2)directors,duenoticehavingbeengiven.

Section5—Amajorityofthedirectorsshallconstituteaquorumoftheboard. Article 6 Fees and DuesSection1—Theadmissionfeeshallbe$ tobepaidbeforethe

applicantcanqualifyasamember,exceptasprovidedforinthestandardRotaryclubconstitution,article11.

Section2—Themembershipduesshallbe$ perannum,payablesemiannuallyonthefirstdayofJulyandofJanuary,withtheunderstandingthataportionofeachsemiannualpaymentshallbeappliedtoeachmember’ssubscriptiontotheRIofficialmagazine.

Article 7 Method of VotingThebusinessofthisclubshallbetransactedbyviva voce*voteexcepttheelec-tionofofficersanddirectors,whichshallbebyballot.Theboardmaydeter-minethataspecificresolutionbeconsideredbyballotratherthanbyviva vocevote.

(*Note:Viva vocevoteisdefinedaswhenclubvotingisconductedbyvocalassent.)

Article 8 Four Avenues of ServiceThefourAvenuesofServicearethephilosophicalandpracticalframeworkfortheworkofthisRotaryclub.TheyareClubService,VocationalService,CommunityService,andInternationalService.ThisclubwillbeactiveineachofthefourAvenuesofService. Article 9 CommitteesClubcommitteesarechargedwithcarryingouttheannualandlong-rangegoalsoftheclubbasedonthefourAvenuesofService.Thepresident-elect,president,andimmediatepastpresidentshouldworktogethertoensurecontinuityofleadershipandsuccessionplanning.Whenfeasible,committeemembersshouldbeappointedtothesamecommitteeforthreeyearstoensureconsistency.Thepresident-electisresponsibleforappointingcommitteemem-berstofillvacancies,appointingcommitteechairs,andconductingplanningmeetingspriortothestartoftheyearinoffice.Itisrecommendedthatthechairhavepreviousexperienceasamemberofthecommittee.Standingcommitteesshouldbeappointedasfollows:

• MembershipThiscommitteeshoulddevelopandimplementacomprehensiveplanfortherecruitmentandretentionofmembers.

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• ClubPublicRelationsThiscommitteeshoulddevelopandimplementplanstoprovidethepublicwithinformationaboutRotaryandtopromotetheclub’sserviceprojectsandactivities.

• ClubAdministrationThiscommitteeshouldconductactivitiesassociatedwiththeeffectiveoperationoftheclub.

• ServiceProjectsThiscommitteeshoulddevelopandimplementeducational,humanitarian,andvocationalprojectsthataddresstheneedsofitscommunityandcom-munitiesinothercountries.

• TheRotaryFoundationThiscommitteeshoulddevelopandimplementplanstosupportTheRotaryFoundationthroughbothfinancialcontributionsandprogramparticipation.

Additionaladhoccommitteesmaybeappointedasneeded.

(a) Thepresidentshallbeexofficioamemberofallcommitteesand,assuch,shallhavealltheprivilegesofmembershipthereon.

(b) Eachcommitteeshalltransactitsbusinessasisdelegatedtoitinthesebylawsandsuchadditionalbusinessasmaybereferredtoitbythepresi-dentortheboard.Exceptwherespecialauthorityisgivenbytheboard,suchcommitteesshallnottakeactionuntilareporthasbeenmadeandapprovedbytheboard.

(c) Eachchairshallberesponsibleforregularmeetingsandactivitiesofthecommittee,shallsuperviseandcoordinatetheworkofthecommittee,andshallreporttotheboardonallcommitteeactivities.

(Note:TheabovecommitteestructureisinharmonywithboththeDistrictLeadershipPlanandtheClubLeadershipPlan.Clubshavethediscretiontocreateanycommitteesthatarerequiredtoeffectivelymeetitsserviceandfellowshipneeds.AsamplelistingofsuchoptionalcommitteesisfoundintheClub Committee Manual.Aclubmaydevelopadifferentcommitteestructureasneeded.)

Article 10 Duties of CommitteesThedutiesofallcommitteesshallbeestablishedandreviewedbythepresidentforhisorheryear.Indeclaringthedutiesofeach,thepresidentshallreferencetoappropriateRImaterials.TheserviceprojectscommitteewillconsidertheAvenuesofVocationalService,CommunityService,andInternationalServicewhendevelopingplansfortheyear.

Eachcommitteeshallhaveaspecificmandate,clearlydefinedgoals,andactionplansestablishedbythebeginningofeachyearforimplementationdur-ingthecourseoftheyear.Itshallbetheprimaryresponsibilityofthepresi-dent-electtoprovidethenecessaryleadershiptopreparearecommendationforclubcommittees,mandates,goals,andplansforpresentationtotheboardinadvanceofthecommencementoftheyearasnotedabove.

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Article 11 Leave of AbsenceUponwrittenapplicationtotheboard,settingforthgoodandsufficientcause,leaveofabsencemaybegrantedexcusingamemberfromattendingthemeet-ingsoftheclubforaspecifiedlengthoftime.

(Note:Suchleaveofabsencedoesoperatetopreventaforfeitureofmembership;itdoesnotoperatetogivetheclubcreditforthemember’sattendance.Unlessthememberattendsaregularmeetingofsomeotherclub,theexcusedmembermustberecordedasabsentexceptthatabsenceauthorizedundertheprovisionsoftheStandardRotaryClubConstitutionisnotcomputedintheattendancerecordoftheclub.)

Article 12 FinancesSection1—Priortothebeginningofeachfiscalyear,theboardshallpreparea

budgetofestimatedincomeandexpendituresfortheyear,whichshallstandasthelimitofexpendituresforthesepurposes,unlessotherwiseorderedbyactionoftheboard.Thebudgetshallbebrokenintotwoseparateparts:oneinrespectofcluboperationsandoneinrespectofcharitable/serviceoperations.

Section2—Thetreasurershalldepositallclubfundsinabank,namedbytheboard.Theclubfundsshallbedividedintotwoseparateparts:clubopera-tionsandserviceprojects.

Section3—Allbillsshallbepaidbythetreasurerorotherauthorizedofficeronlywhenapprovedbytwootherofficersordirectors.

Section4—Athoroughreviewofallfinancialtransactionsbyaqualifiedper-sonshallbemadeonceeachyear.

Section5—Officershavingchargeorcontrolofclubfundsshallgivebondasrequiredbytheboardforthesafecustodyofthefundsoftheclub,costofbondtobebornebytheclub.

Section6—Thefiscalyearofthisclubshallextendfrom1Julyto30June,andforthecollectionofmembers’duesshallbedividedintotwo(2)semiannualperiodsextendingfrom1Julyto31December,andfrom1Januaryto30June.ThepaymentofpercapitaduesandRIofficialmagazinesubscriptionsshallbemadeon1Julyand1Januaryofeachyearonthebasisofthemembershipoftheclubonthosedates.

Article 13 Method of Electing MembersSection1—Thenameofaprospectivemember,proposedbyanactivemember

oftheclub,shallbesubmittedtotheboardinwriting,throughtheclubsec-retary.Atransferringorformermemberofanotherclubmaybeproposedtoactivemembershipbytheformerclub.Theproposalshallbekeptconfidentialexceptasotherwiseprovidedinthisprocedure.

Section2—Theboardshallensurethattheproposalmeetsalltheclassifica-tionandmembershiprequirementsofthestandardRotaryclubconstitution.

Section3—Theboardshallapproveordisapprovetheproposalwithin30daysofitssubmissionandshallnotifytheproposer,throughtheclubsecretary,ofitsdecision.

Section4—Ifthedecisionoftheboardisfavorable,theprospectivemembershallbeinformedofthepurposesofRotaryandoftheprivilegesandrespon-sibilitiesofmembership,followingwhichtheprospectivemembershallbe

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requestedtosignthemembershipproposalformandtopermithisorhernameandproposedclassificationtobepublishedtotheclub.

Section5—Ifnowrittenobjectiontotheproposal,statingreasons,isreceivedbytheboardfromanymember(otherthanhonorary)oftheclubwithinseven(7)daysfollowingpublicationofinformationabouttheprospectivemember,thatperson,uponpaymentoftheadmissionfee(ifnothonorarymembership),asprescribedinthesebylaws,shallbeconsideredtobeelectedtomembership.

Ifanysuchobjectionhasbeenfiledwiththeboard,itshallvoteonthismat-teratitsnextmeeting.Ifapproveddespitetheobjection,theproposedmem-ber,uponpaymentoftheadmissionfee(ifnothonorarymembership),shallbeconsideredtobeelectedtomembership.

Section6—Followingtheelection,thepresidentshallarrangeforthenewmember’sinduction,membershipcard,andnewmemberRotaryliterature.Inaddition,thepresidentorsecretarywillreportthenewmemberinformationtoRIandthepresidentwillassignamembertoassistwiththenewmember’sassimilationtotheclubaswellasassignthenewmembertoaclubprojectorfunction.

Section7—Theclubmayelect,inaccordancewiththestandardRotaryclubconstitution,honorarymembersproposedbytheboard.

Article 14 ResolutionsTheclubshallnotconsideranyresolutionormotiontocommittheclubonanymatteruntiltheboardhasconsideredit.Suchresolutionsormotions,ifofferedataclubmeeting,shallbereferredtotheboardwithoutdiscussion. Article 15 Order of BusinessMeetingcalledtoorder.Introductionofvisitors.Correspondence,announcements,andRotaryinformation.Committeereportsifany.Anyunfinishedbusiness.Anynewbusiness.Addressorotherprogramfeatures.Adjournment.

Article 16 AmendmentsThesebylawsmaybeamendedatanyregularmeeting,aquorumbeingpres-ent,byatwo-thirdsvoteofallmemberspresent,providedthatnoticeofsuchproposedamendmentshallhavebeenmailedtoeachmemberatleastten(10)daysbeforesuchmeeting.NoamendmentoradditiontothesebylawscanbemadewhichisnotinharmonywiththestandardRotaryclubconstitutionandwiththeconstitutionandbylawsofRI.

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BYLAWS OF THE ROTARY FOUNDATION OF ROTARY INTERNATIONAL

Article Subject Page I PurposesofCorporation...........................................................................273 II Membership.................................................................................................273 III BoardofTrustees........................................................................................274 IV MeetingsofTrustees..................................................................................277 V OfficersoftheCorporation.......................................................................278 VI Committees..................................................................................................279 VII JointCommitteeofTrusteesandDirectors oftheCorporateMember..........................................................................280 VIII FinancialReports........................................................................................280 IX Miscellaneous..............................................................................................281

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Bylaws of The Rotary Foundation of Rotary International

Article I Purposes of Corporation

Section1.1— Purposes. Thepurposesofthecorporationshallbeasprovidedinthearticlesofincorporation.

Article II Membership

Section2.1— Members. Thecorporationshallhaveoneclassofmembers,whichclassshallconsistofonemember,designatedasthe“corporatemember.”TheinitialcorporatemembershallbeRotaryInternational,anIllinoisnot-for-profitcorporation,oranysuccessortheretoresultingbymerger,consolida-tion,orchangeofname.Ifavacancyshallexistinthepositionofcorporatememberforanyreason,thetrusteesofthecorporationshallelectanewcor-poratemember.

Section2.2— Elections and Appointments. Annually,thecorporatemembershallappointtrusteestosucceedtrusteeswhosetermshaveexpiredandtofillvacanciesthathaveoccurred.Suchactionbythecorporatemembershallcon-stitutetheannualmeetingofmembers.

Section2.3— Manner of Acting. Thecorporatemember,exceptasotherwiseprovidedherein,shallactbymajorityvoteofitsinternationalboardofdirec-torscommunicatedtothechairmanorgeneralsecretaryofthecorporationbywritteninstrumentsignedbyanofficerofthecorporatememberspecifyingtheactiontaken.

Section2.4— Matters Requiring Approval of the Corporate Member. Thecorporatemembermustapprovethefollowingactionsofthetrustees:(a) ExpendituresfromthepropertyoftheFoundation,exceptfor:

(i) thenecessaryexpensesofadministrationoftheFoundation,and

(ii) expendituresofincomeorprincipalofgiftstotheFoundationwhichareprescribedbythetermsofthegiftorbequest,bothofwhichrequireonlytheapprovalofthetrustees;

(b) Amendmentorrestatementofthearticlesofincorporationorthebylaws;(c) Merger,consolidation,dissolution,orsale,lease,exchange,mortgage,or

pledgeofsubstantiallyalltheassetsofthecorporation;(d) Allproposedprograms,projects,oractivitiesofthecorporation,before

theirpromulgationorfunding,forthepurposessetforthinthearticlesofincorporation.

Section2.5— Responsibilities of the Corporate Member. Thecorporatemembershallhavethefollowingresponsibilities:(a) ToencourageofficersofRotaryInternationalandallRotarianstosupport

theprograms,projects,andactivitiesoftheFoundationthroughpersonalinvolvementandfinancialcontributionsandtopromoteFoundationprograms,projects,andactivitiesthroughclub,district,andinternational

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meetings,leadershipdevelopment,andeducationalprogramsandpublications;

(b) Toproposetothetrusteesnewprograms,projectsoractivitiesoftheFoundation.

Article III Board of Trustees

Section3.1— General Powers. Directorsofthiscorporationshallbeknownastrustees.Allbusinessofthecorporationshallbemanagedbythetrustees,exceptcertainmattersmustalsoreceiveapprovalofthecorporatemember,assetforthinsection2.4ofarticleII.Inmanagingtheaffairsofthecorpora-tion,thetrusteesshallbeauthorizedtoexerciseallpowersasarenowormayhereinafterbegrantedtothecorporationbytheIllinoisGeneralNotforProfitCorporationActof1986,oranysuccessorlegislationadoptedbytheStateofIllinoisoftheUnitedStatesofAmerica;exceptthatsuchpowersmaybeexercisedonlyinfurtheranceofthepurposesofthecorporationasstatedinitsarticlesofincorporationandconsistentwithitsstatusasacorporationdescribedinsection501(c)(3)oftheUnitedStatesInternalRevenueCodeof1986,asamended.Thetrusteesshallhavethefollowingspecificduties:(a) Tohold,invest,manage,andadministerallfundsandpropertyofthe

Foundation.Infurtheranceofthisresponsibility,inadditiontothepowersotherwisegrantedbystatuteorthesebylaws,thetrusteesareauthorizedtodothefollowing:

(i) Tosell,lease,transfer,orexchangealloranypartofthepropertyoftheFoundationatsuchpricesanduponsuchtermsandconditionsandinsuchmannerastheymaydeembest;

(ii) Toexecuteanddeliveranyproxies,powersofattorney,oragreementsthattheymaydeemnecessaryorproperandthatmaybepermittedbylaw;

(iii) Toinvestandreinvestinsuchloans,securities,orrealestateastheymaydeemsuitablefortheinvestmentofFoundationfunds;

(iv) TodeterminewhethermoneyorpropertycomingintotheirpossessionshallbeheldasunrestrictedfundsfortheaccomplishmentofthegeneralpurposesoftheFoundationorshallbeheldasrestrictedorendowmentfundsfortheaccomplishmentofspecificpurposes,andtochargeorapportionexpensesorlossestorestrictedorunrestrictedfundsastheymaydeemjustandequitable;

(v) Toselectandemploysuitableagentsandattorneys,includingtheemploymentofinvestmentmanagerstowhommaybedelegatedsuchpowersinmanagingandinvestingthefundsofthecorporationasthetrusteesmaydeemadvisable,andasthelawsofthejurisdictionmaypermit,andtopaytheirreasonablecompensationandexpenses;

(vi) Toadoptbudgetsandappropriatefundsforprograms,projectsandactivitiesoftheFoundation;and

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(vii) TopayallnecessaryexpensesofadministeringtheFoundation,includingtheexpensesofthetrustees,outofthefundsoftheFoundation,unlesstheybeotherwiseprovidedbythedirectorsofthecorporatemember;

(b) Toassess,acceptandrefuseonbehalfofthecorporationanypositionasfiduciaryhoweverestablished;andtoexercisealllawfulfiduciarypowersinandunderthelawsofanystateornation,includingwithoutlimitationallthepowersoftrusteegivenundertheIllinoisTrustsandTrusteesActandotherapplicablelawsofIllinois;andtodisclaimortograntorwithholdanyreleasesinorwithrespecttoanyproperty,funds,orotherinterests,beneficialorlegal,whenactingonbehalfofthecorporationorothersinanycapacity,fiduciaryorotherwise;

(c) Tocreate,administer,andmanageortoparticipateininvestmentpartnerships,suchaspooledinvestmentfunds;

(d) Toadministerallprograms,projects,andactivitiesoftheFoundation,exceptwhenthetrusteesandthecorporatememberagreethataspecificprogram,project,oractivityoftheFoundationshallbeadministeredbythecorporatememberasanagentofthetrusteesorbybothincooperation;

(e) Toevaluateonacontinuingbasisallprograms,projects,andactivitiesfundedbytheFoundationandreporttothecorporatememberannuallyconcerningallawardsandgrantsmadebytheFoundation;

(f) TopromotetheFoundationanddisseminateinformationaboutit,andtoprovideappropriateformsofrecognitiontoindividuals,Rotaryclubs,andotherswhosupporttheFoundation;

(g) ToassumeprimaryresponsibilityfordevelopingandinitiatingnewFoundationprograms,projects,oractivities;

(h) Toestablishoraffiliatewithanyrelated,subordinate,orothercharitablecorporations,foundations,trusts,orsimilarorganizationsinanycountryorregionoftheworld;

(i)ToconsiderandapproveproposalsbythedirectorsofthecorporatememberofresolutionsrelatedtotheFoundationandofamendmentstotheprovisionsofthebylawsorconstitutionofthecorporatememberconcerningtheFoundationpriortotheirconsiderationbyacouncilonlegislationofthecorporatemember.Ifsuchamendmentsorresolutionsareproposedbyotherparties,thetrusteesandthedirectorsofthecorporatemembershalljointlyconsidersuchamendmentspriortotheirconsiderationbyacouncilonlegislationofthecorporatemember;and

(j) ToadoptandamendadditionalrulesandregulationsfortheadministrationoftheFoundationasintheiropinionmaybenecessaryoradvisable,providedsuchrulesandregulationsshallnotbecontrarytotheconstitutionandbylawsofthecorporatememberortothearticlesofincorporationoftheFoundationandtothesebylaws.

Section3.2— Number, Appointment, and Term. Thenumberoftrusteesshallbefifteen(15).Thetrusteesshallbeappointedbythepresidentofthecorporatemember,withtheconcurrenceofthedirectorsofthecorporatemember.Four(4)ofthetrusteesshallbepastpresidentsofthecorporatemember.Theterms

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oftrusteesshallbefour(4)years.Trusteesmaybereappointedafterthecon-clusionofanytermofserviceastrustees,providedthattheythensatisfythequalificationsforservingastrusteesetforthinthissectionandsection3.3ofthisarticle.Barringdeath,resignation,removal,orfailureofqualification,eachtrusteeshallholdofficeforthetermforwhichthetrusteeisselectedoruntiltheselectionandqualificationofasuccessor.

Section3.3— Qualifications. Eachtrusteeshallbeamember,otherthananhon-orarymember,ofaRotaryclub.EachtrusteeshallbeaRotarianwithbroadexperienceinRotarylifeandwithseniorexecutiveandpolicy-makingexpe-rience,particularlyinfinanceandthefieldsinwhichtheFoundationsup-portsactivities.Trusteesshallbeappointedfromvariouspartsoftheworld.

Section3.4— Resignation. Anytrusteemayresignverballyatatrusteemeet-ingorbyletteraddressedtothecorporation’sgeneralsecretary,andsuchtrustee’sresignationshalltakeeffectwhenindicatedandwithoutformalacceptance.

Section3.5— Removal. Anytrusteewhofailstosatisfythequalificationssetforthinsection3.3ofthisarticleshallforfeittheofficeoftrusteeatthetimeofsuchfailure,andnofurtheractionbythedirectorsofthecorporatemem-berortheremainingtrusteesshallbenecessarytoeffectsuchforfeiture.Atrusteewhoseofficeisforfeitedpursuanttothisactionshallbereplacedinaccordancewithsection3.6ofthisarticle.Ifatrusteebecomesdisabled,totheextentsuchtrusteeisunabletodischargeadequatelythedutiesoftheoffice,asdeterminedbythetrusteesandthecorporatemember,suchtrusteeshallforfeittheofficeuponsuchdetermination,andbereplacedasprovidedinsection3.6ofthisarticle.Forgoodandsufficientcause,anduponnoticetoallthetrusteesandthetrusteeconcerned(whoshallbegivenanopportunitytobeheard),atrusteemayberemovedbythethree-fourthsvoteofthedirec-torsofthecorporatemember.Suchremovalshallbeeffectiveuponratifica-tionofthedirectors’actionbymajorityvoteatthenextscheduledconventionofthecorporatemember.

Section3.6— Vacancies. Anyvacancyamongthetrusteescausedbydeath,res-ignation,failureofqualification,disability,orremovalmaybefilledforthebalanceofthetermbythecorporatememberinaccordancewiththeproce-duresspecifiedinsection3.2ofthisarticle.Successortrusteesshallhaveallpowersanddiscretionsandshallbechargedwithdutiesidenticaltothoseconferredupontheoriginaltrustees.

Section3.7— Chairman. Thetrusteesshallannuallyelectoneofthetrusteesaschairman-electforthefollowingyear.Thechairman-electshallserveaschairmanintheyearfollowinghisorheryearaschairman-elect.Inthecaseofdeath,resignation,disability,orremovalofthechairman,thechairman-electshallservefortheunexpiredterm.

Section3.8— Compensation. Thetrusteesshallservewithoutcompensation.

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Article IV Meetings of Trustees

Section4.1— Annual Meeting. TheannualmeetingoftheFoundationtrusteeswillbeheldeachyearatsuchtimeandatsuchplacewithinorwithouttheStateofIllinoisasshallbedesignatedbythetrustees.Ifnecessaryordesir-able,thetrusteesandthedirectorsofthecorporatemembermayholdajointmeetingatanymutuallyagreeabletimeandplace.

Section4.2— Other Meetings. Thereshallbesuchothermeetingsofthetrusteesasmaybecalledfromtimetotimebythechairmanofthetrusteesorbythemajorityofthetrusteesbywrittennoticetotheothertrustees.

Section4.3— Notice of Meetings. Unlesswaivedinwriting,writtenorprintednoticeofthetime(dateandhour)andplaceofallregulartrustees’meet-ingsshallbemailedtoeachtrusteeatthetrustee’sresidenceorusualplaceofbusinessatleastthirty(30)daysbeforethemeetingdateorgiventothetrusteebypersonaldelivery,telegraph,ortelephoneatleasttwenty(20)daysbeforethemeetingdate.Noticeofspecialmeetingsshallbemailedatleastten(10)daysbeforethemeetingdateorgiventothetrusteebypersonaldelivery,telegraph,ortelephoneatleastsix(6)daysbeforethemeetingdate.Attendanceofatrusteeatameetingconstituteswaiverofnoticeexceptwherethetrusteeattendsfortheexpresspurposeofobjectingtothetransactionofbusinessbecausethemeetingisnotlawfullycalledorconvened.

Section4.4— Quorum and Manner of Acting. Amajorityofthetrusteesthenqualifiedandactingshallconstituteaquorumforthetransactionofbusi-nessatanytrustees’meeting,andanymatterrequiringactionbythetrusteesmaybedecidedbyamajorityvoteofthetrusteespresent,unlessotherwiseprovidedbystatuteorinthesebylaws.Intheabsenceofaquorum,amajorityofthetrusteespresentmay,withoutfurthernotice,adjournthemeetinguntilsuchtimeasaquorumispresent.Nonoticeofanyadjournedmeetingneedbegiven.

Section4.5— Informal Action. Anyactionwhichmaybetakenatthemeetingofthetrusteesmaybetakenwithoutameetingifaconsentinwriting,set-tingforththeactionsotaken,shallbesignedbyallofthetrusteesentitledtovoteonthematter.Thegeneralsecretaryshallhaveauthoritytosendoutballots-by-mailwhenthesubjectmattercomesunderexistingpolicies.Whenthesubjectmatterrelatestootherthanexistingpolicies,thechairmanofthetrusteesshallhaveauthoritytodeterminewhetherthemattershallbehan-dledinaballot-by-mailorheldoveruntilthenextmeetingofthetrustees.

Section4.6— Telephonic Meetings. Trusteesmayparticipateinandactatanymeetingofthetrusteesthroughtheuseofaconferencetelephoneorothercommunicationsequipmentbymeansofwhichallpersonsparticipatinginthemeetingcancommunicatewitheachother.Participationinsuchameet-ingshallconstituteattendanceandpresenceinpersonatthemeetingofthepersonorpersonssoparticipating.

Section4.7— Presiding Officer. Thechairmanofthetrusteeswillpresideatallmeetingsofthetrustees.Intheabsenceofthechairman,thechairman-elect,orthevice-chairman,thetrusteeswillselectachairmanpro temfromamongtheirnumber.

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Article V Officers of the Corporation

Section5.1— Titles. Theofficersofthecorporationshallbethechairmanofthetrustees(“thechairman”),thechairman-elect,thevice-chairman,andthegeneralsecretary.

Section5.2— Election, Term, and Compensation. Thechairman-electandthevice-chairmanshallbeannuallyelectedbythetrustees.Thechairman-electshallnotbeeligibleforelectionasvice-chairman.Thetermofofficeofthechair-man-electandvice-chairmanshallbeginon1Julyfollowingelection.Thetrusteeelectedaschairman-electshallserveforatermofoneyear,followingwhichheorsheshallserveforatermofoneyearaschairman.Thetrusteeelectedasvice-chairmanshallserveforatermofoneyear.Thegeneralsec-retaryshallbeelectedbythedirectorsofthecorporatemember,andshallbethesameindividualwhoisthegeneralsecretaryofthecorporatemember.Barringdeath,resignation,disability,failureofqualification,orremoval,eachofficershallserveforthetermofelectionoruntilasuccessorisselectedandqualified.Thechairman,chairman-elect,andvice-chairmanshallservewith-outcompensation.Thecompensationofthegeneralsecretaryshallbefixedbythecorporatemember.

Section5.3— Resignation. Anyofficermayresignbyletteraddressedtothechairmanandsuchresignationshalltakeeffectwhenindicatedandwithoutformalacceptance.

Section5.4— Removal. Thechairman,thechairman-elect,orthevice-chairmanmayberemoved,withorwithoutcause,bythetrusteesatanymeetingofthetrustees.Thegeneralsecretarymayberemovedbythedirectorsofthecorpo-ratemember.

Section5.5— Vacancies. Intheeventofavacancyintheofficeofchairman,thevice-chairmanshallsucceedtotheofficeofchairman.Anyvacancyinanyotherofficemaybefilledforthebalanceofthetermbyasuccessorelectedorappointedbythepersonsauthorizedtoelectorappointsuchofficer.

Section5.6— Chairman. Thechairmanshallbethehighestofficerofthecorpo-ration.Assuch,thechairmanshall:(a)betheprincipalpersonaltospeakonbehalfoftheFoundation;(b) presideatallmeetingsofthetrustees;(c)counselthegeneralsecretary;(d)performsuchotherdutiesaspertaintotheoffice.Thechairmanmaydelegateanypowersoftheofficetoothertrusteesorofficersofthecorporation.Thechairmanshallappointthemembersofallstandingandtemporarycommittees,andshallbeamemberofallcommittees,votingonlyintheeventofatie.Thechairmanmayactinemergencymattersforthetrusteeswhenthetrusteesortheirexecutivecommitteeisnotinsessionorcannotbeeasilycalledintosession,solongassuchactionisinharmonywiththeconstitutionandbylawsofthecorporatememberandthearticlesofincorporationoftheFoundationandthesebylaws.Anyemergencyactiontakenpursuanttothissectionmustbereportedtothetrusteeswithin10daysofanysuchaction.

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Section5.7— Chairman-elect. Thechairman-electshall:(a) planandprepareforthefollowingyear’stermastrusteechairman;(b)performsuchotherdutiesasassignedbythechairmanortrustees.

Section5.8— Vice-Chairman. Thevice-chairmanshallactonbehalfofthechairmanbetweenorduringmeetingsofthetrusteeswhendelegatedbythechairmantodosoorwhenforanyreasonthechairmanisunabletoact,andshallperformsuchotherdutiesassignedbythechairmanortrustees.

Section5.9— General Secretary. Thegeneralsecretaryshallbethechiefadmin-istrativeandfinancialofficerofthecorporation,subjecttothedirectionofthetrusteesandthechairmanandresponsiblefortheimplementationofthetrustees’policiesandforgeneralmanagementandadministrationofthecorporation.

Section5.10— Other Duties. Inadditiontotheforegoingenumerateddutiesandpowers,theseveralofficersofthecorporationshallperformsuchotherdutiesandexercisesuchotherpowersinaccordwiththesebylaws,asthetrusteesmayfromtimetotimedelegateordetermine,orasmaybeassignedtothembythechairmanoranyothersuperiorofficer.Anyofficeractingonbehalfofthetrusteesshallreportsuchactiontothetrusteesattheirnextscheduledmeeting.

Article VI Committees

Section6.1— Number and Term. Thetrusteesofthecorporationshallestablishcommittees,andprescribethedutiesandauthorityofsuchcommittees,astheyfromtimetotimemaydetermineisinthebestinterestsofthecorpora-tion.Thenumberofmembersonthecommitteesandthetermofmembershipshallbeasdeterminedbythetrustees,providedthatnocommitteeshallhaveandexercisetheauthorityofthetrusteesinthemanagementofthecorpora-tionunlessamajorityofthemembersofthecommitteearetrustees.

Section6.2— Membership. Thechairmanshallappointthemembersofthecommitteesandanysubcommitteesthereof,andshallalsodesignatethechairmanofeachcommitteeandsubcommittee.Eachcommitteeshallconsistofatleasttwotrustees.

Section6.3— Meetings. Committeesandsubcommitteesshallmeetatsuchtimesandplacesanduponsuchnoticeasmaybedeterminedbythechair-manofthetrustees.Amajorityofthemembershipofthecommitteeshallconstituteaquorum,andtheactofamajorityofthememberspresentatameetingatwhichaquorumispresentshallbetheactofthecommittee.

Section6.4— Standing Committees. Unlessotherwiseprovidedbymajorityvoteofthetrusteespresentattheannualmeetingorothermeeting,thecorpora-tionshallhaveanexecutivecommittee,afinancecommittee,aprogramscommittee,adevelopmentcommittee,andastewardshipcommittee.Eachcommitteeshallhavesuchmembershipanddutiesasmaybesetforthbythetrusteesfromtimetotime.

Section6.5— Temporary Committees. Thechairmanofthetrusteesmay,fromtimetotime,establishtemporaryadhoccommitteesandappointthemem-bersandchairmenthereof.Thesecommitteesmaycontaintrustees,whoshall

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alwayshavevotingrights,and/ornon-trustees,whomaybevotingmembersornotatthediscretionofthechairmanofthetrustees.

Article VII Joint Committee of Trustees and Directors of the Corporate Member

Section7.1— Membership and Term. Asameansofmaintainingmutualunder-standingandcooperationbetweenthetrusteesandthedirectorsofthecor-poratemember,ajointcommitteeoftrusteesanddirectorsofthecorporatemembershallbeestablishedandmaintained.Thecommitteeshallconsistofbetweenthree(3)andfive(5)directorsofthecorporatememberandanequalnumberoftrustees.Thedirectorsshallbeappointedbythepresidentofthecorporatemember,andthetrusteesshallbeappointedbythechairmanofthetrustees.Membersofthecommitteeshallserveforoneyeartermsandmaybereappointed.

Section7.2— Powers. Thecommitteemayconsidermattersofmutualinteresttothetrusteesanddirectors,andisauthorizedtomakerecommendationstobeapprovedbythetrusteesandthedirectorsofthecorporatemember.

Section7.3— Meetings. Thecommitteeshallmeetatthejointcallofthepresi-dentofthecorporatememberandthechairmanofthetrustees.

Section7.4— Vacancies. Thechairmanofthetrusteesandthepresidentofthecorporatemember,respectively,shallhavethepowertofillvacanciescausedbythedeath,resignation,disability,removal,orfailureofqualificationofmemberstheyappoint.

Section7.5— Notice. Unlesswaivedinwriting,writtenorprintednoticeofthetime(dateandhour)andplaceofallcommitteemeetingsshallbemailedtoeachcommitteememberatthemember’sresidenceorusualplaceofbusinessatleastthirty(30)daysbeforethemeetingdateorgiventothememberbypersonaldelivery,telegraph,ortelephoneatleasttwenty(20)daysbeforethemeetingdate.Attendanceofacommitteememberatameetingconstituteswaiverofnoticeexceptwheresuchmemberattendsfortheexpresspurposeofobjectingtothetransactionofbusinessbecausethemeetingisnotlawfullycalledorconvened.

Section7.6— Quorum and Manner of Acting. AmajorityofboththeFoundationtrusteesandthedirectorsofthecorporatememberappointedtothejointcommitteeshallconstituteaquorumforthetransactionofbusinessatanymeeting.Theactofamajorityofthememberspresentatanymeetingatwhichaquorumisattainedshallbetheactofthejointcommittee.Intheabsenceofaquorum,amajorityofthememberspresentmayadjournthemeetingfromtimetotime,untilaquorumispresent.Nonoticeofanyadjournedmeetingneedbegiven.

Article VIII Financial Reports

Section8.1— Books and Financial Records. Thetrusteesshallprovideforthekeepingofaccuratebooksandrecordsofthereceipts,expenditures,invest-ments,properties,andallotherassetsoftheFoundationtotheendthatallpropertyreceivedbythecorporationshallbedevotedexclusivelytothepur-posessetforthinthearticlesofincorporation.

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Section8.2— Reports. ThetrusteesshallperiodicallynotifythedirectorsofthecorporatememberofthestatusofFoundationappropriationsandalsooftheamountofmoneythatmaybeavailabletofurtherthepurposesoftheFoundation.

Section8.3— Audit. Thecorporation,asanadministrationexpense,shallannu-allyengagetheauditorsemployedtoaudittheaccountsofthecorporatemembertoaudittheaccountsoftheFoundation.Thegeneralsecretaryshalldistributetheauditors’reporttothetrusteesandtothedirectorsofthecor-poratememberandshallcausesuchreport,insuchformasthegeneralsecre-tarymaydeemappropriate,tobepublishedanddistributed.

Section8.4— Surety Bonds. ThetrusteesshalldeterminethenecessityandamountofsuretybondsforanypersonsworkingonFoundationactivitiesandprovideintheadministrationbudgetoftheFoundationforthecostofsuchbonds.

Section8.5— Fiscal Year. Thefiscalyearofthecorporationshallbethesameasthefiscalyearofthecorporatemember.

Section8.6— Budget. Eachyearthetrusteesshalladoptabudgetforthesuc-ceedingfiscalyear,whichtheymayreviseinthesucceedingfiscalyearifnecessary.

Section8.7— Reimbursement for Services by Corporate Member. TheFoundationshallreimbursethecorporatememberforthecostofalladministrativeandotherservicesrequestedbythetrustees.ThegeneralsecretaryshallpresentaforecastoftheexpenseofsuchservicesatthetimethetrusteesadopttheannualbudgetfortheFoundation.Pursuanttothisforecast,thetrusteesshallfromtimetotimeduringthefiscalyearadvancepaymentstowardstheseexpenses.AfterthefinancialauditandreviewofboththeFoundationandthecorporatememberattheendofthefiscalyear,anydocumenteddiffer-ence,whetherexcessordeficiency,betweentheforecastandactualexpensesincurredinperformingsuchservicesshallbeadjustedaccordingly.

Article IX Miscellaneous

Section9.1— Indemnification. TheFoundationshallindemnifyallofitspresentandformertrusteesandofficerstothefullextentpermittedbytheIllinoisGeneralNotforProfitCorporationActof1986,oranysuccessorlegislationadoptedbytheStateofIllinoisoftheUnitedStatesofAmerica,therelevantindemnificationprovisionsofwhichactareherebyincorporatedhereinbyreference.Inaddition,theFoundationmay,uponapprovalofthetrustees,indemnifyanycommitteememberoragentoftheFoundationtothefullextentpermittedunderthesaidGeneralNotforProfitCorporationAct.TheFoundationshallalsocausetobepurchasedinsuranceforsuchindemnifi-cationofitsofficersandtrusteestothefullextentdeterminedfromtimetotimebythetrusteesoftheFoundation.

Section9.2— Seal. Thesealofthecorporationshallbeinsuchformasmayfromtimetotimebeadoptedbythetrustees.

Section9.3— Grant Policy. ThefollowingpersonsareineligibleforanyawardorgrantfromtheFoundation:

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(a) aRotarian,withthespecificexemptionofallvolunteerservicesasidentifiedbythetrustees;

(b) anemployeeofaclub,districtorotherRotaryentity,orofRotaryInternational;and

(c) aspouse,alinealdescendant(childorgrandchildbybloodandanylegallyadoptedchild),aspouseofalinealdescendant,oranancestor(parentorgrandparentbyblood)ofanypersonincategories(a)or(b).

Section9.4— Bylaws Amendments. Thesebylawsmaybereviewedfromtimetotimefornecessaryandtimelyrevisionbythetrustees.Upontheapprovalofsuchrevisionbythetrustees,therevisionshallbetransmittedtothedirec-torsofthecorporatememberfortheirsubsequentapproval.Revisionstothebylawsshallbeeffectiveupontheirapprovalbythedirectorsofthecorporatemember,provided,however,thatanybylawsthatareinconsistentwiththeprovisionsoftheconstitutionorbylawsofthecorporatemembershallnotbeeffectiveuntilapprovedbythecouncilonlegislationofthecorporatemember.

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Extracts from the Articles of Incorporation of

The Rotary Foundation of Rotary International

Filed 31 May 1983

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Name.Thenameofthecorporationis:TheRotaryFoundationofRotaryInternational.

Purposes.Thiscorporationisorganizedandshallatalltimesbeoperatedexclusivelyforcharitableandeducationalpurposes,orsuchotherpurposesorobjectsasmaybeprovidedinsection501(c)(3)oftheInternalRevenueCodeof1954orcorrespondingprovisionsofsubsequentfederaltaxlawsandasmaybeapprovedbythecorporatemember,including,butnotlimitedto,thefollowing:Thefurtheringofunderstandingandfriendlyrelationsbetweenpeopleofdifferentnationsthroughthefosteringoftangibleandeffectiveprogramsofaphilanthropic,charitable,educational,orothereleemosynarynature.

DedicationofIncomeandAssets.(a) Nopartoftheassetsornetearningsofthiscorporationshallinureto

thebenefitofanydirector,trustee,orofficerofthiscorporationortoanyprivateindividual,exceptthatthecorporationmaymakepaymentsanddistributionsinfurtheranceofthepurposessetforthabove,includingthepaymentofreasonablecompensationforservicesrendered.Notwithstandinganyotherprovisionofthesearticles,thecorporationshallnotcarryonanyotheractivitiesnotpermittedtobecarriedon(i)byacorporationexemptfromfederalincometaxundersection501(c)(3)oftheInternalRevenueCodeof1954(orthecorrespondingprovisionofanyfutureUnitedStatesInternalRevenueLaw)or(ii)byacorporation,contributionstowhicharedeductibleundersection170(c)(2)oftheInternalRevenueCodeof1954(orthecorrespondingprovisionofanyfutureUnitedStatesInternalRevenueLaw).

(b) Nosubstantialpartoftheactivitiesofthiscorporationshallbethecarryingonofpropagandaorotherwiseattemptingtoinfluencelegislation.Thiscorporationshallnotparticipatein(includingthepublishingordistributingofstatements)anypoliticalcampaignonbehalfofanycandidatesforpublicoffice.

(c) Upondissolutionorliquidationofthiscorporation,afterpaymentorprovisionforitsdebtsandliabilities,allofitsassets(exceptanyassetsconveyedtothiscorporationuponconditionrequiringreturn,transfer,orconveyance,whichconditionoccursbyreasonofthedissolutionofthiscorporation)shallbetransferredorconveyedpursuanttolawtooneormoreorganizationsdescribedinsection501(c)(3)oftheInternalRevenueCodeof1954orcorrespondingprovisionsofanysubsequentfederaltaxlawsforoneormoreofthepurposesdescribedabove,asthecorporatememberofthiscorporationshalldetermine.

CorporateMember.Thecorporationshallhaveoneclassofmembers,whichclassshallconsistofonemember,designatedasthe“corporatemember.”Themannerofselectionofthecorporatemembershallbeprescribedbythebylaws.Inadditiontomattersrequiredbystatute,thecorporatemembershallhavethesolepowertoappointthedirectorsofthecorporation(whoshallbeknownastrustees).Thearticlesofincorporationandbylawsshallnotbechangedwithouttheapprovalofthecorporatemember.Thebylawsmayrequirethatadditionalmattersbesubmittedforapprovalbythecorporatemember.

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