The donor who establishes this type of fund requests that income from the Fund benefit one or more named non-profit organizations, such as a church, hospital, museum, or college. This is an excellent way to permanently endow annual gifts to a particular organization. In the event a designated charity disbands or fails to provide the intended services, the Foundation’s Board may redirect the charitable proceeds to a similar non-profit agency in the community

 

• Each year the Board determines the level of maximum payout of endowment income to designated recipients up to a maximum of 5%

 

• Such distributions will be made annually and  any undistributed income will accrue to the fund balance.

 

• The donor may indicate to the designated recipient organization specific kinds of expenditures which are authorized.

 

• The Pella Community Foundation will monitor the broad operations of the non-profit organizations to assure that the original intentions of the donor are being met, that operations are reasonably effective and that there is a continuing need for endowment support.

 

• From time to time the Board may elect to change the 0.5% fee for investment services, administration and general operations.

 

• The board has the power to modify  the distribution of funds for any charitable purposes or to specified organizations if in their judgment distributions become impossible, impracticable, or illegal to carry out.

 

• The assets of the Fund shall be the assets of the Foundation and not a separate trust.

 

• Gifts to the fund from individuals may be eligible for an Endow Iowa Tax Credit.

 

• To establish a fund requires at least an initial gift of $100.00.

 

• A  fund balance of $10,000 must be reached before the earnings can be awarded to specified organization(s).]