| Partnership Endowment Grants
 Each year, two organizations will be selected to participate based upon the application submitted, reviewed and approved by the CACF Board of Directors. Organizations that are selected will have two years to raise $50,000 in permanent endowment. CACF will provide a $1 match for every $2 raised by the participating organization. Endowment funds raised in the program will be held and managed by the Central Alabama Community Foundation, with approximately 5% of the value of the fund returned to the organization each year.
Benefits that will be realized by participation in the program
include:
- A guaranteed stream of income that will increase over the years to meet the rising cost of operations.
- A stronger fundraising program providing donors the opportunity to help your agency forever without affecting annual giving.
- A more active and committed board of directors.
- Improved image in the community as a result of greater financial stability and affiliation with the Central Alabama Community Foundation.
Who is Eligible?
Tax-exempt, charitable organizations with audited financial
statements are eligible to apply. Churches, elementary and
secondary schools and colleges are not eligible. Health
and human service organizations as well as arts organizations
are encouraged to participate.
What happens to the Endowment?
CACF invests the permanent endowment to produce a reasonable
income return and growth of the principal. These may vary
depending on market conditions. Each year, 5% of the value
of the fund (determined by the fair market value of the
fund on 12/31 of the previous year) is returned to the organization.
CACF charges 1.25% of the market value of the fund for administrative
and investment management fees.
What contributions may be counted toward the match?
Gifts of cash and marketable securities will be counted.
Gifts raised as part of a fundraising event may be included
as long as participants are informed in the event’s
advertisement. Gifts may be paid to the agency and then
forwarded to CACF or may be paid directly to CACF designated
for the agency’s fund. CACF is a public charity so
gifts would be deductible for federal income tax purposes
in either case.
How does an organization apply?
The application form is located here.
The form must be returned by September 7, 2007. CACF Board
and staff will review the application and interview the
organization’s executive director. The organizations
selected will be notified in mid-November. Matching monies
will be released by CACF to the organization’s endowment
on a quarterly basis.
Questions?
|
