Types of Endowment Funds
Many gifts are given free of restrictions and are used to address current needs as they arise.
Other gifts are ‘restricted-use’ and allocated to specific needs, programs or purposes as the donor chooses to direct.
General Community Fund - Unrestricted
These types of funds offer the greatest amount of flexibility to the Foundation in responding to immediate and changing needs in Lennox and Addington.
Donors place no restrictions on the use of this type of fund and trust the Foundation’s Board of Directors to make grantmaking decisions as it deems appropriate and in the best interests of the community.
The Napanee District Community Foundation Community Fund was established at the Foundation’s creation, in 1987. Earned income from this fund is available annually to charitable organizations serving children, seniors, health, arts and culture, education, recreation and the environment.
Organizations throughout Lennox and Addington that possess a Charitable Registration Number issued by the Canada Revenue Agency are invited annually to apply for grants from this fund.
• To assist fundraising for capital construction or major renovations.
Donor Advised Fund
These types of funds allow a donor, or other persons designated by the donor, to make recommendations to the Foundation’s Board of Directors regarding proposed charitable distributions from their fund.
Donor Directed Fund
These funds are established to benefit specific charitable organizations or fields of interest named by the donor. The investment earnings from these funds are distributed as specifically designated by the donor.
Agency Endowment Fund
Through these types of funds, charitable organizations may provide themselves with an annual source of revenue to support their operations and programs.
Emerging Fund (NEW)
This type of fund – introduced in 2018 – permits individuals, groups or organizations that lack the ability to provide the $5,000 minimum lump sum required to establish one of the foregoing funds to build toward a fund with a minimum affordable donation and a pledge to achieve the $5,000 minimum over a pledged period of time.
Donating to an Endowment Fund
Donations to establish a new or to grow an existing Fund can be made in the form of a gift of cash, appreciated securities, life insurance, a bequest by will, or with other assets (e.g. real estate, automobiles, collections, etc.).