Ordinance on the Supervision of Foundations

1. Foundations are subject to public supervision.

2. Exempt from this are family foundations and church foundations.

**1. Supervisory Authorities are:**

a) the municipal council for foundations which, according to their purpose, belong to the municipality

b) * the Office for Justice and Municipalities for foundations which, by their nature, belong to multiple municipalities or the canton

**2. Supervision of institutions for occupational retirement provision is governed by the Intercantonal Agreement on the BVG and Foundation Supervision of the Cantons of Zurich, Glarus, Schaffhausen, Appenzell Ausserrhoden, Appenzell Innerrhoden, St. Gallen, Graubünden, Thurgau, and Ticino (ATIOZ).**

1. The supervisory authority must ensure that the foundation's assets are used in accordance with their purposes (Art. 84 para. 2 CC).

2. It is authorized to issue the necessary regulations and directives to fulfill this task.

3. If necessary, it can also take appropriate administrative enforcement measures, such as warnings, reprimands, the threat of referral to the criminal judge, dismissal and reappointment of foundation bodies, application for the appointment of a guardianship, substitutional execution, etc.

1. Upon the establishment of a foundation, a certified copy of the foundation deed must be submitted to the supervisory authority, unless this has already been done by the official in charge of the deed.

2. Similarly, the issuance and amendment of regulations must be promptly brought to the attention of the supervisory authority.

1. Authority for Transformation (Art. 85 to Art. 86a CC) and Dissolution (Art. 88 CC) of a Foundation rests with the Office for Justice and Municipalities.

1. Foundations must manage their assets prudently. In doing so, they must adhere to the principles of security, while taking into account risk diversification, return, and liquidity.

1. The foundation bodies must render an account of the administration of the foundation's assets to the supervisory authority annually.

2. For this purpose, they must submit within six months after the end of the financial year

a) the balance sheet and income statement, duly signed by the organ authorized to represent the foundation

b) the auditor's report

c) if the foundation has been exempted by the supervisory authority from the obligation to appoint an auditor: proof of the existence and valuation of the assets

d) any other documents requested by the supervisory authority

3. ...

4. In the event of special occurrences that significantly affect the situation of the foundation, it must immediately notify the supervisory authority.

1. The supervisory authority charges a fee for the audit of annual financial statements.

2. The amount of this fee is generally determined by the total balance sheet amount. It is charged per year and foundation with a balance sheet amount of

a) up to CHF 100,000.00: CHF 200.00

b) up to CHF 500,000.00: CHF 350.00

c) up to CHF 1,000,000.00: CHF 500.00

d) up to CHF 2,500,000.00: CHF 650.00

e) up to CHF 5,000,000.00: CHF 800.00

f) up to CHF 10,000,000.00: CHF 1,000.00

g) up to CHF 25,000,000.00: CHF 1,400.00

h) up to CHF 100,000,000.00: CHF 1,800.00

i) up to CHF 500,000,000.00: CHF 2,000.00

j) over CHF 500,000,000.00: CHF 2,200.00

3. For additional expenses, such as reminders, extensions of deadlines, obtaining missing signatures, a surcharge of CHF 50.00 is applied.

4. The fees for other official acts of the supervisory authority are determined according to the provisions of the Administrative Fees Ordinance or the fee ordinances of the municipalities.

1. The municipal council shall annually report to the Office for Justice and Municipalities the financial status of the foundations under its supervision.

1. For the performance of its duties, the supervisory authority may, if necessary, also involve other official agencies in its activities.

1. Any person is entitled to report actions and omissions of the foundation's bodies to the supervisory authority at any time, insofar as an action to the civil court is not permissible against them.

2. The supervisory authority shall then examine whether it is required to take action.

1. The appeal of decisions and orders based on this regulation is governed by the Act on Legal Protection in Administrative Matters.

1. This ordinance shall enter into force on January 1, 1979, following approval by the Federal Council. It shall be published in the Official Gazette and included in the cantonal compendium of laws.

2. It replaces the ordinance of the same name dated November 17, 1919.