(a) The board may enter into an agreement with the National Geographic Society of Washington, D.C., to operate an endowment fund for purposes of this subchapter to be known as the Texas Fund for Geography Education.
(b) The agreement must include the following conditions:
(1) appropriated money may be deposited to the fund only in an amount equal to matching funds deposited to the fund by the National Geographic Society from other sources;
(2) the National Geographic Society shall provide to the board an annual report describing the fund’s investments, earnings, operating procedures, and major programs; and
(3) if the board determines that the public purposes described by § 61.9681 are not being accomplished, the fund shall be dissolved and the fund balance shall be distributed as follows:
(A) one-half to the general revenue fund; and
(B) the remainder to be returned to the donors of any amount deposited to the fund for the preceding five years in proportion to the amount of the donation, if the donor accepts the return of the donation, and any remainder to the National Geographic Society.

(c) The board may transfer to the National Geographic Society for deposit to the fund any amount appropriated to the board for that purpose.
(d) The National Geographic Society shall award grants from the fund to institutions of higher education and private or independent institutions of higher education as defined by § 61.003(15) to promote the purposes of this subchapter.