Distributed Infrastructure Toolkit

DI Toolkit

Module 5

Legal and Policy Distributed Infrastructure Databases

State Gift Laws Database

All states prohibit “gifts” of public funds to private individuals or groups. However, most states have also developed extensive exceptions allowing public funds to be directed to private parties when these funds are deployed for primarily public benefits.

These constitutional provisions were adopted in the wake of the public debt crisis of the 1830s – when eight states defaulted on debt incurred to build public infrastructure through private partnerships. In response, nearly every state prohibited the use of public bonds and credit for private projects that do not benefit public interests.

Over time, states have adopted exceptions to state gift prohibitions to enable public investments on private properties that serve primarily public purposes. Some states apply narrow interpretations of terms like “public purpose” and “private benefit” to limit the scope of the prohibition.  

You can search WaterNow’s 50-state database below for:

  • each state’s relevant constitutional sections establishing “gift” prohibitions
  • exceptions to prohibitions against the use of public funds for private purposes
  • relevant state-specific case law
  • state specific attorney general opinions
  • other local agency opinions on gift prohibitions 

Choose the state from the dropdown menu and the relevant information will be provided. You can also select multiple states by clicking the “Search Another State” button. And select the “Email this to Me” option to receive a record of your search. 

State Gift Prohibition Lookup

State Gift Prohibition Lookup

State Gift Prohibition Lookup

DISCLAIMER

DISCLAIMER: These materials are not offered as or intended to be legal advice. Readers should seek the advice of an attorney when confronted with legal issues. Attorneys should perform an independent evaluation of the issues raised in these materials. By providing these materials WaterNow does not endorse, either expressly or by implication, their accuracy or legality and expressly disclaims any and all liabilities and warranties related to use of these materials.

Previous

Example Communication Materials

Go to Example Communication Materials

Next

State Public Finance Laws Database

Go to State Public Finance Laws Database

Explore more modules