Designations and Appointments. 1. The Board shall by Board resolution appoint the Board Treasurer, or such other officer as determined by the Board, to serve as the chief administrative officer of the School (the “CAO”) under the Uniform Budgeting and Accounting Act, MCL 141.421 et seq. (the “Budgeting and Accounting Act”) Notwithstanding any other provision of the Agreement to the contrary, the Board resolution shall designate PrepNet’s chief financial officer, or such other PrepNet officer or employee as is mutually agreed upon by PrepNet and the Board, as the designated agent of the CAO to assist the CAO with the performance of the CAO’s duties under the Budgeting and Accounting Act. 2. PrepNet, including its directors, officers, and employees are hereby designated as “School Officials” for purposes of the Family Educational Right and Privacy Act, and its implementing regulations, 20 U.S.C. §1232g et seq. (FERPA); 34 CFR § 99.31(a)(1)(i)(B). Additionally: (a) PrepNet agrees that it shall observe Board policies and applicable law regarding the confidentiality of Covered Data and Information. Covered Data and Information (“CDI”) includes paper and electronic student education record information and includes, without limitation, “education records” as defined under FERPA, 34 CFR § 99. 1. CDI also includes any new records created and maintained by PrepNet under this Agreement using CDI. (b) PrepNet shall not use or disclose CDI received from or on behalf of the School except as permitted or required by this Agreement and/or applicable law. (c) Upon termination or other conclusion of this Agreement, PrepNet shall return all CDI to the School. (d) PrepNet shall develop, implement, maintain and use appropriate administrative, technical and physical security measures to preserve the confidentiality, integrity and availability of all CDI received from, or on behalf of, the School or its students. These measures will be extended by contract to include subcontractors used by the PrepNet. (e) PrepNet, within two business days of discovery, shall report to the Board any use or disclosure of CDI not authorized by this Agreement. PrepNet’s report shall identify: (i) the nature of the unauthorized use or disclosure, (ii) the CDI used or disclosed, (iii) who made the unauthorized use or received the unauthorized disclosure, (iv) what PrepNet has done or shall do to mitigate any deleterious effect of the unauthorized use or disclosure, and (v) what corrective action PrepNet has taken or shall take to prevent future similar unauthorized use or disclosure. PrepNet shall provide such other information, including a written report, as reasonably requested by the Board. 3. PrepNet, its directors, officers, and employees may be designated by the School for other purposes by a written resolution of the Board.
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Sources: Services Agreement, Services Agreement