When nonprofits invest through the PACF, they gain services that might not otherwise be available to them. The PACF handles all investment management and the administrative responsibilities related to the endowment, so that staff and volunteers can concentrate on fulfilling the organization’s mission.
How it works:
- We assist in the development of a fund agreement, which establishes the fund, the purpose of the fund and the name of the fund.
- Your organization make a gift to the Parkersburg Area Community Foundation — you can give cash, appreciated stocks, real estate, or other assets.
- You receive tax benefits in the year your gift is made.
- Your gift will be placed into permanent endowment, meaning it will benefit your organization forever. We invest your gift so it grows and maximizes your resources.
- We handle all the administrative details and provide your organization with quarterly fund statements.
- Once the fund has reached endowment, it will continue to be invested over time. Earnings are used to make distributions to your organization to help you continue to serve your mission in our community.
Minimum to open an endowed Agency Endowment Fund: $5,000
Donor Confidence - Administration of an agency’s endowment by a neutral third party, like the PACF, gives added assurance to an agency’s donors that their gifts will be perpetually used as intended. The Foundation has administered endowment funds since 1963.
Investment Expertise - Nonprofit organizations may not have the time or the expertise to devote to managing endowments. Our Community’s Foundation exists specifically to administer local endowment funds. Careful stewardship by the Foundation’s board and staff assures prudent management and accountability to donors’ intentions.
Economy – The PACF's assets are co-mingled for investment and administrative purposes, achieving an economy of scale that is usually more cost-effective than smaller pools of capital can achieve on their own and that offers access to an institutional level of products.
Greater Visibility/Publicity – Agency endowment fund stories are periodically featured in Foundation publications (annual report, newsletters, etc.) providing public exposure and opportunities to educate the public about the agencies’ missions and work in the community.
Simplicity – The PACF takes care of the ongoing administrative, tax and reporting details of operating an endowment, including grant distributions to the agency. Customized statements, provided on a mutually-agreed upon frequency, enable an agency to monitor fund activity.
Relevance – If an agency closes, the PACF will ensure that the agency’s fund continues to address similar purposes within its local community.
Public Accountability – The Community Foundation makes a full accounting to the community through annual reports certified by independent auditors and files an annual consolidated 990 tax form that includes all agency funds.
Service and Added Value – The Community Foundation will exist forever, ensuring that the agency’s fund is and will continue to be professionally managed, regularly evaluated for performance and independently audited each year.
The PACF provides the following services for an agency endowment:
- Provides donor acknowledgement letters to all donors who contribute to the agency’s endowment fund.
- Notifies its agency customers each time a contribution is accepted on its behalf.
- If the agency does not know how to handle or liquidate stock contributions from their donors, the Community Foundation will manage the liquidation of these contributions on the agency’s behalf to its endowment. The Foundation can also assist with the liquidating of other infrequent gifts, such as real estate.
- Can assist agency endowment customers in developing various fundraising strategies.
- Provides assistance and expertise to the agency in the area of Planned Giving. The Foundation is experienced in handling deferred gifts including trusts, life estates and other complex arrangements, which are usually the source of larger donations. A community foundation’s permanence is often appealing to donors who want to feel their gift will be lasting and well managed. Often, these donors feel more comfortable about making a large gift to funds held within a community foundation.
- Is available to work with the agency’s donors and professional advisors to establish Charitable Reminder Trusts that will ultimately benefit the agency endowment customer.
- Can assist with the development of educational, philanthropic seminars to be presented to the agency’s donors and prospective donors.
- Assist in developing brochure copy if the agency endowment customer is interested in creating their own unique brochure to advertise their endowment fund.
- Provide pre-printed PACF giving envelopes to the agency which it can label and customize for their own donor’s use in supporting their endowment.
Get our Agency Endowment Fund Fact Sheet for more information.
To learn more about establishing an Agency Endowment Fund with the Foundation. 304.428.4438
Looking to the future
With many features and multiple acres to maintain, the Doddridge County Parks and Recreation Commission took a proactive step to secure its financial future by establishing a permanent charitable fund with the PACF’s Doddridge County affiliate.