University of Maine Athletics

Purpose. The goal of the Black Bears of the Future Scholarship (Scholarship) is to inspire students to go to college.

In General. Each year the University of Maine Athletics Department (UMaine Athletics) will randomly select three $1,000 Scholarship recipients from active Bananas Cub Club members prior to the last game of the season. The Scholarship is invested in a NextGen College Investing Plan (NextGen® ) account owned by the University of Maine Foundation (Foundation). Approximately $670 of each Scholarship is funded by Black Bear Sports Properties, LLC (BBSP), and approximately $330 of each Scholarship is funded by NextGen. NextGen is a Section 529 plan administered by the Finance Authority of Maine. Scholarships may only be withdrawn for qualified higher education expenses. Scholarship recipients must agree to provide the Foundation with personal information necessary to award Scholarship funds. The Scholarship account is not eligible for other grants available through NextGen.

Contest Guidelines. Bananas Cub Club members must activate their memberships by February 1st annually to be eligible for the Scholarship drawing. Bananas Cub Club members must be in 8th grade or below at the time of the drawing. Due to NCAA rules, any Bananas Cub Club member in 9th grade or above is NOT eligible to receive a Scholarship.

Selection Method. The Scholarship recipients will be chosen at random each year from a list of active Bananas Cub Club members. The selection process will be conducted by the UMaine Athletics staff using a computerized selection format. All winners will be selected in February of the respective athletic season. Awards. The parent or legal guardian of the winning student will be contacted by a BBSP staff member following the random selection process. The Scholarship recipients will be invited to attend the annual Scholarship presentation ceremony. The ceremony will be held each year at a University of Maine men’s hockey game in February or March. The specific date will be determined once the official hockey schedule has been released for the season. Each Scholarship recipient will be provided with two (2) complimentary tickets to attend the game as the guest of UMaine Athletics. If a recipient does not show up for the Scholarship presentation ceremony, he or she will still receive the Scholarship. The winning student will be presented with a Certificate of Award, which must be redeemed by the winning student to claim the Scholarship at a later date.

Certificate of Award. The following conditions apply when redeeming the Certificate of Award.

1. The Certificate of Award must bear the original signature of an authorized representative of the Foundation to be deemed authentic.

2. The student named on the Certificate of Award must be enrolled at an eligible higher education institution, which generally include colleges, graduate schools, trade schools and some foreign institutions that participate in federal financial aid programs.

3. The winning student must redeem the Certificate of Award before he/she turns age 25 or the Scholarship will be forfeited.

4. The winning student named on the Certificate of Award must complete and return the Certificate and provide the Foundation with personal information necessary to award the Scholarship. Contact the Foundation at 207-581-5100 for further redemption instructions. The entire $1,000 Scholarship will be paid directly to the higher education institution for the benefit of the winning student only after the winning student has provided proof of enrollment to the Foundation.

5. It is the responsibility of the winning student to contact the Foundation to redeem the Certificate of Award and claim the Scholarship.

6. The Foundation reserves the right to revoke the Certificate of Award at any time.

Investment of Scholarship Funds. All Scholarship funds are invested in NextGen at the discretion of the Foundation.

Ownership of Scholarship Funds. The Foundation retains ownership of Scholarship funds in the NextGen account until the winning student is enrolled in college and contacts the Foundation to claim the Scholarship.

Use of Scholarship Funds. The Foundation will initiate withdrawals from the NextGen account for the winning student. FAME will provide the Foundation with the necessary Withdrawal Request Forms.

Tax Consequences. The Black Bears of the Future Scholarship Program has been designed so that funds used for certain qualified higher education expenses will be treated as a scholarship as defined by the Internal Revenue Code. Funds can be used for tuition, fees, certain room and board expenses, books, supplies and certain equipment including computer expenses. However, any portion used as payment for room and board costs may be subject to federal and/or state income tax. Similarly, any portion used to pay for qualified higher education expenses at schools not eligible for Title IV may not be eligible for federal and/or state tax-exempt treatment. Notwithstanding the design of the program, the Internal Revenue Service could take the position that awards are subject to federal income taxation in the year the funds are awarded or the year in which the funds are withdrawn. Recipients should consult their own tax advisor regarding the tax treatment of funds awarded.

Tax reporting. The beneficiary will receive an IRS Form 1099-Q for disbursements made directly to the institution of higher education attended by the beneficiary.

Termination of Scholarship Funds. The winning student must redeem the Certificate of Award before he/she turns age 25 or the Scholarship will be forfeited. In the event the Scholarship is forfeited, the funds will remain in the account for future awards to other eligible beneficiaries.

Verification. The Foundation may undertake, at its discretion, investigation to verify that the recipient meets the program requirements. The Foundation reserves the right at all times to require evidence of eligibility to receive the Scholarship and may conduct investigations to determine eligibility. In the event the Scholarship was obtained through misrepresentation or fraud, the Foundation will revoke the Scholarship.

Privacy: The name and town/city of residence of each winner and the named parent or guardian of the recipient will be made available to the public. No other identifying information about the winner will be made available to the public.