Common use of Method of Termination Clause in Contracts

Method of Termination. A Member District may request that the Board initiate proceedings to terminate the EDCO Collaborative agreement by giving notice to all other Member Districts and the executive director at least twelve (12) months before the end of the current fiscal year. Within thirty (30) days of a request that the Board initiate termination proceedings, the Board shall discuss the request to terminate the collaborative and determine next steps. A two-thirds (2/3) vote of the Board is required in order to initiate termination proceedings. Should the Board vote to initiate termination proceedings, notice must be provided to all Member Districts within ten (10) working days of such vote. Prior to termination, the Board shall: 1. Cause a final fiscal audit of the Collaborative to be performed, including an accounting of all assets and liabilities (debts and obligations) of the Collaborative and proposed disposition of the same. A copy shall be made available to each Member District and to the Department of Elementary and Secondary Education. 2. Determine the fair market value of all assets of the Collaborative. 3. Determine the process for appropriate disposition of state and federal funds, equipment, and supplies. 4. Determine which Member District(s) will maintain fiscal, employee, and program records. 5. Determine the means for meeting all liabilities (debts and obligations) of the Collaborative, including obligations for post-employment benefits. 6. The Collaborative must meet all liabilities before any monies are distributed to the Member Districts. 7. Distribute surplus or reserve funds in proportional shares using the Enrollment Assessment formula previously articulated above under Annual Member Assessment. 8. Return individual student records to their respective school district. 9. Assets shall be sold and monies distributed in proportional shares using the Enrollment Assessment formula previously articulated above under Annual Member Assessment. 10. The Executive Director shall notify the Department of Elementary and Secondary Education in writing at least one hundred eighty (180) days before such termination. 11. The Board shall notify the Department of Elementary and Secondary Education of the official termination date and submit documentation required by 603 CMR 50.11 to the Department.