Section 8-1.8. Private foundations: administration of certain trusts as defined

in the United States internal revenue code of 1954
    (a) For purposes of this section, a "trust" means a private foundation
  as  defined in section 509 of the United States Internal Revenue Code of
  1986 ("code") including a private foundation charitable trust as defined
  in section 4947(a)(1) of the code, or a split-interest trust as  defined
  in  section  4947(a)(2)  of  the  code,  whether heretofore or hereafter
  created which is administered by a  trustee  described  in  subparagraph
  (a)(1)  of  section  8-1.4.  The  administration  of  a trust, as herein
  defined, is subject to the following provisions:
    (1) The trust shall distribute for each taxable year such  amounts  at
  such  time  and  in  such  manner  as sufficient for such trust to avoid
  liability for any tax imposed on undistributed income under section 4942
  of the code.
    (2) The trust shall not engage in any act of self-dealing which  would
  result  in  the taxation of any amount involved with respect to any such
  act of self-dealing under section 4941 of the code.
    (3) The trust shall not retain  any  excess  business  holdings  which
  would  result in the taxation of any such excess business holdings under
  section 4943 of the code unless the trust is exempt from section 4943 of
  the code pursuant to section 4947(b)(3)(A) or (B) of the code.
    (4) The trust shall not make any investments in such a  manner  as  to
  jeopardize  the  carrying  out of any such trust's exempt purposes which
  would result in the taxation of any such investments under section  4944
  of  the  code  unless  the trust is exempt from section 4944 of the code
  pursuant to section 4947(b)(3)(A) or (B) of the code.
    (5) The trust shall not make  any  taxable  expenditures  which  would
  result  in  the  liability  of the trust for any tax imposed on any such
  taxable expenditures under section 4945 of the code.
    Except  as  provided  in  paragraph  (b),   this   paragraph   applies
  notwithstanding any provision of the governing instrument of a trust.
    (b)  Paragraph  (a) shall not apply with respect to assets transferred
  in trust prior to the effective date of this section to the extent  that
  it conflicts with any mandatory direction in the governing instrument of
  the  trust unless such conflicting direction is removed as impracticable
  under this article or in any other manner provided by law.  The  absence
  of a specific provision in the governing instrument of the trust for the
  current  use  of  the  principal of the fund, or the presence in such an
  instrument of a provision, as to the principal of a fund, limited to the
  principal's  being  held,  invested  and  reinvested,  is  not  such   a
  conflicting mandatory direction.
    (b-1)  A  trust, as defined in paragraph (a) of this section, required
  by section 6104(d) of the code to make available for  public  inspection
  its  annual  return  shall  publish  notice  of the availability of such
  return for inspection. Such notice shall be published,  not  later  than
  the day prescribed for filing such annual return (determined with regard
  to  any  extension of time for filing), in a newspaper designated by the
  clerk of the county in which  the  principal  office  of  the  trust  is
  located,  having general circulation in that county. When such county is
  located within a city with a population of one  million  or  more,  such
  designation shall be as though the notice were a notice or advertisement
  of  judicial  proceedings. The notice shall state that the annual return
  of the trust is available at its principal office for inspection  during
  regular business hours by any citizen who requests it within one hundred
  eighty  days  after  the  date  of such publication, and shall state the
  address and the telephone number of the trust's principal office and the
  name of its principal manager. A copy or notice published in a newspaper
  other than the newspaper or newspapers designated by  the  county  clerk

  shall  not  be  deemed  to  be  one of the publications required by this
  paragraph.
    (c) All references in this section to sections of the code shall be to
  such  sections  as  amended  from  time  to  time,  or  to corresponding
  provisions of subsequent internal revenue laws.
    (d) Nothing in this act shall impair the  rights  and  powers  of  the
  courts or the attorney-general of this state.