The Community Foundation administers charitable funds for individuals, corporations, area organizations, and for special community projects. Many of these funds are “endowment funds” which are structured to serve their charitable purpose(s) in perpetuity. Other funds are “pass-thru funds” which are temporary charitable vehicles that close upon the fulfillment of their purposes. There are solid reasons why donors choose to entrust their charitable dollars with us.
Protection Of Fund Assets And Investments
- The Community Foundation guarantees adherence to the original purposes of each of its funds. Donors have the assurance that grants from their fund will be distributed in a manner consistent with the fund’s original intent.
- The Foundation assumes the responsibility for the secure investment of all of its funds. Within the broadly-designated guidelines suggested by donors, the Foundation strives to maximize annual income or to build fund principal, in accordance with the fund purpose.
- Currently, the Foundation uses the investment services of five local financial institutions – BMO Harris Private Bank, Clear Perspective Advisors, First National Bank of Omaha, Old Second Wealth Management, and Trust Company of Illinois. Working with local institutions ensures careful attention to Foundation accounts.
- We strive to offer a better investment return to each participating fund within the Foundation through (1) the pooling of assets, (2) the diversification of investments, and (3) the reduction of costs to any one fund through shared expenses.
- If a non-profit organization maintaining a fund ceases to exist, the Foundation has the responsibility to redirect distributions from the fund for charitable purposes similar to those supported by the original organization. Donors are assured that gifts given today will be available to serve compatible charitable purposes.
- If the Foundation dissolves or ceases to be a charitable organization, the assets of each of its funds, after payment of any liabilities properly chargeable to the funds, will be distributed in accordance with the instrument which governs the administration of each specific fund. The assets of funds without specific governing instruments will be distributed for charitable purposes in accordance with each fund’s original intent.
Administrative Services
- The Foundation acknowledges all donations accepted for deposit in a fund in a timely manner. All stationery supplies and postage expense are provided.
- An accounting of all receipts and expenditures within a fund is furnished as requested.
- A listing of all donors to each fund will be provided for recognition purposes.
- Distributions are made in accordance with the terms establishing each fund.
- Financial statements are sent to individuals and organizations maintaining funds.
- All government forms and audits are completed by the Foundation for each fund.
- The Foundation keeps current on changes in the tax laws and other legislation that affect charitable giving.
- The Foundation works to attract additional support for all of its funds through its publications and press releases.
- The Foundation office fields telephone calls and written requests for information on behalf of each individual fund.
Other Benefits
- All gifts to the Foundation are tax deductible. Through affiliation with the Foundation, each component fund affords its donors maximum tax advantages.
- Foundation funds can be established for a wide variety of charitable purposes: (1) to one or more fields-of-interest, such as education, health, social services, environmental concerns, senior citizen needs, youth-related needs, etc.; (2) to one or more specific charitable organizations, such as a church, a nonprofit agency, a designated public or private school, a cultural institution, etc.; (3) for unrestricted purposes which authorize the Foundation to allocate grants for emergencies, for newly identified needs, or to current worthwhile community projects.
- Banks are not receptive to managing individual accounts under $100,000. Individuals and organizations with their own accounts must constantly monitor their returns, be aware of market trends and make investment decisions without the benefit of professional guidance. The Community Foundation is an efficient alternative.
- As the Foundation grows, its ability to realize greater investment returns increases as well. By investing in a pool of charitable capital which continues to attract additional participants, each individual fund should benefit accordingly.
- By being a part of the Community Foundation, individuals and organizations receive the benefit of association with a well-respected institution which has served the Fox Valley area for over 70 years.
