Assets in an endowment fund must be invested 12 months before any grants are paid to charity.
After that initial 12 months, grant payments consisting of one fourth of the annual amount will be paid to the charity at the beginning of each quarter.
The Annual Distribution Amount shall be the annual grant amount from an endowed fund and will be four and one half percent (4.5%) of the net value of the fund, until the grant distribution policy of the Foundation is changed. The net value shall be determined by averaging the previous twelve (12) quarters’ ending values. If the fund has not existed twelve (12) quarters, the net value will be the average of the ending quarter values since its inception.
If a fund has not been in existence for 12 months by January, the grant withdrawal will be delayed until the beginning of the next quarter after the 12-month period. At that time, the calculated grant amount for the remaining quarterly payments for that foundation year will be withdrawn and placed in the temporary investment account for payment when due.
Basically, two service charge plans exist depending on whether the fund is of a permanent or temporary nature. Any out-of-pocket expenditure by Community Foundation of Burke County, Inc. for investment services or other property management services will be charged in addition to anything set forth below.
Community Foundation of Burke County · 123 North Sterling Street · P.O. Box 1156 · Morganton, NC 28680 · (828) 437-7105 · info@cfburkecounty.org
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