Foundation Policy
The Foundation has adopted the following spending rule policy for Endowment funds in accordance with Pennsylvania Nonprofit Corporation Law (NCL) 15 PA CSA Sec. 5548 (c). The Foundation recognizes the goal of applying funds to further the Endowment purpose. Consistent with that goal, the Foundation has adopted or will adopt a policy to invest Endowment funds for total return. In lieu of determining fund income on the basis of fiduciary accounting income, the Foundation shall spend between 2% and 7% (as determined annually in writing by the board) of the fund value (the 鈥淪pending Amount鈥�), annually. The Spending Amount shall be based on the average fair market value of the fund over the preceding 12 quarters. Until the fund has 12 quarters of investing experience, the Spending Amount shall be based on the average fair market value of the fund over the life of the fund. The Spending Amount shall be applied in the succeeding fiscal year after determining the spending amount. At no time will the corpus be invaded.
