Board of Trustees to enter into contracts necessary for carrying
out the purposes of the University, including contracts “...with
non-profit corporations organized by officers, employees,
alumni or students...” of the University. This provision was
first enacted by Chapter 494 of the Laws of 1958 and it is
quite possible that this reference was intended only to
authorize contracts with ASCs without competitive bidding.
The Not-for-Profit Corporation Law was then enacted by
Chapter 1066 of the Laws of 1969, effective September 1, 1970. As such, today’s corporations
are organized under the State’s Not-for-Profit Corporation Law, in the same way as any other
not-for-profit corporation. Each ASC is independently audited.
By the mid 60s, the associations were thriving businesses with sizable payrolls, extending a broadening array of services across campus and generating modest profits to be shared with their campus community. Governance of each campus association was largely in the hands of campus administration with minimal participation by faculty and students.