P.R. Laws tit. 2, § 905
Every entity interested in applying for a legislative donation shall meet the following requirements:
(a) It shall be organized and constituted pursuant to the Laws of the Commonwealth of Puerto Rico and recorded and registered in the State Department as a nonprofit corporation, and has submitted the annual financial statements and reports to the Department of State and the Department of the Treasury, required by law from nonprofit corporations.
(b) It shall perform the public function or activity for which it requests the legislative donation free of charge, except when it is necessary to impose and charge a fee or price to cover all or part of the real cost of such activity or public function.
(c) It shall comply with the laws and regulations of the Commonwealth of Puerto Rico that require use permits, security measures, access to services or other conditions and dimensions or measures for the structures, buildings, facilities and sites of land used or dedicated to its functions and activities; have its licenses, permits, authorizations or any other requirement by law or regulation, in effect, for the activities or functions it carries our and comply with all other laws and regulations that require the adoption of certain norms or regulations, and the application or execution of specific measures.
(d) It shall keep a current State Insurance Fund Administration insurance policy for the protection of its employees in case of injury, illness or death due to work accidents, as well as any other policies or insurance required by law.
(e) It shall observe, with respect to its employees, the faithful compliance of all laws and regulations regarding working schedules and salaries, vacations, benefits, security and health at work, and of the provisions of the Income Tax Act concerning withholding of its employees taxes and their remittance.
(f) It shall establish before the Secretary of the Treasury its right to enjoy tax exemptions in those areas covered by the various fiscal laws that are applicable.
(g) The entities which receive donations shall only use fifty percent (50%) of said donation for administrative expenses, excluding those entities that requested a dispensation with its justification to use a greater amount and were authorized to do so by the designated agency, except in those cases in which the entity uses such donation for the matching of federal funds.
(h) Only the public entities which, as of the date of approval of this act, are receiving a legislative donation, may enjoy the same provided they comply with all the requirements of this chapter. These can be considered to receive legislative donations for a maximum of five (5) additional years. After five (5) years from the approval of this act, no public entity shall enjoy the granting of a legislative donation.
History —Dec. 29, 1995, No. 258, § 6.