Utah State University

[Introduction]

1. Mechanisms of Contractual Control

A. IDEOLOGICAL CONDITIONS FOR DONOR WITHDRAW

At universities where the public has been able to see a contract between by a university and the Charles Koch Foundation, a common stipulation is that any activities comply with the a provision of the contract that CKF calls its “Objectives and Purposes.” In later contracts, this provision is restructured so that the activities must comply with a predefined "mission" of the program.

At Utah State University, the 2008 MOU creates donor funded positions by “augmenting funding for five professors,” called “the Professors”: 

1. Objectives and Purposes.
(a) The purpose of the support for the Professors is to advance the understanding and practice of those free voluntary processes and principles that promote social progress, human well-being, individual freedom, opportunity and prosperity based on the rule of law, constitutional government, private property and the laws, regulations, organizations, institutions and social norms upon which they rely. These goals will be pursued by supplementing the academic talent currently at USU to create a strong program that will focus on  building upon and expanding research and teaching efforts related to individual freedom, social progress and human well-being. The Parties seek to strengthen the foundation that exists at USU and extend efforts related to the research, publication, education, dissemination and academic and public appreciation of individual freedom, social progress and human well-being (Collectively, the “Objectives and Purposes”). (USU 2008 MOU, Section 1.a)

All activities of “the Professors” set forward in the MOU are obligated to comply with the Koch Foundation’s “Objectives and Purposes,”  and compliance is actively enforced by CKF, which:

 CGK Foundation reserves the right to discontinue or withhold any Funding Amount to be paid under this Agreement if, in CGK Foundation’s reasonable discretion, (a) USU has not fully complied with the terms and conditions of this Agreement; (b) the Professors are not advancing the Purposes and Objectives; or (c) such action is necessary to comply with any law or regulation applicable to USU or to CGK Foundation. (USU 2008 MOU, Section 9)

The monitoring of compliance not only an obligation that university hires and officials are responsible for, but the Koch foundation also requires access to faculty “files” and “accounts” on any given business day: 

Additionally, USU will cause CGK Foundation and its representatives to have reasonable access during regular business hours to files, reports, accounts, or personnel that are associated with this Agreement, the Professors and the Funding Amount.  (USU 2008 MOU, Section 10.a)

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