Moments in Philanthropy || March 2010
In This Issue
" src="/CuteSoft_Client/CuteEditor/Images/anchor.gif">New Funds Recently Opened at Madison Community Foundation
Dane County K-9 Fund
Common Wealth Development Fund
Sharifa Merchant Charitable Gift Annuity
Marlette E. Larsen Family Acorn Fund
Fitchburg LIbrary Fund
FMPS Karen Meissen Scholarship Endowment Fund
Madison Community Foundation Offers A New Charitable Giving Option
Families and individuals interested in creating private foundations now have access to a more flexible option with the advent of a new fund type at Madison Community Foundation. The Maximum Giving Fund is a permanent, non-endowed fund which allows distribution of income as well as principal. The fundholder enjoys more charitable flexibility while having assets actively invested.
Ideal for the family or individual who thinks a private foundation may be the way to create philanthropic latitude, the Maximum Giving Fund is less costly to establish and maintain than a private foundation, in terms of both time and money. The fundholder is also spared the ongoing administrative work and investment management costs of a private foundation. They can instead focus on their philanthropy and grantmaking, rather than legal, accounting and operational matters.
- Minimum initial gift of $100,000 with no maximum
- Can be added to at any time
- Distributions of up to 20 percent of the balance each year
- Minimum required balance of $50,000
As a public charity, Madison Community Foundation is granted certain tax advantages that are accorded fundholders that are not available for advisors of private foundations.
These advantages include:
- Higher deduction limits for donors
- No excise tax on investment income
- No minimum payout requirement
- No separate tax reporting on individual funds
A Maximum Giving Fund at the Madison Community Foundation can also provide anonymity and privacy not available with a private foundation.
For more information on how a Maximum Giving Fund can assist you in meeting your philanthropic goals, contact Amy Overby, Vice President, Donor Relations, or Paul Houseman, Donor Relations Manager, at (608) 232-1763.
Socially Responsive Investment at Madison Community Foundation
Within the circle of donors who bring their funds to Madison Community Foundation for stewardship and assistance in reaching their charitable goals, there exists a unique community: investors who seek to create positive social impact with their investments. To meet the needs of these fundholders, Madison Community Foundation partners with Walden Asset Management, a leader in socially responsive investing.
Socially responsible investing (SRI) is a growing trend in philanthropy, now encompassing an estimated $2.71 trillion out of $25.1 trillion in the U.S. investment marketplace today.* Consideration of environmental, social and corporate governance join standard financial analysis as criteria for financial decisions. SRI may be referred to as responsible investing, double or triple bottom line investing, ethical investing, sustainable investing, or green investing. Institutional investors represent the largest and fastest growing segment of the SRI world.
Since 1975, Walden has been a leader and innovator in social investing, delivering positive results on both financial and social investment objectives. Walden is a division of Boston Trust and Management Company, itself employee owned and managed. The company maintains an investment philosophy that emphasizes careful consideration of asset allocation and portfolio diversification along with a focus on financially strong companies. With an aim to achieve superior long-term investment results, Walden invests in companies with strong social, environmental, and governance records and works with those companies to strengthen corporate social responsibility.
Madison Community Foundation clients traditionally choose their portfolio focus at fund inception. For those individuals who advocate for social accountability and positive social change, Walden is the option.
To find out more about Walden Asset Management, contact Amy Overby, Vice President, Donor Relations, at (608) 232-1763.
*Social Investment Forum, “Socially Responsible Investing Facts” http://www.socialinvest.org/resources/sriguide/srifacts.cfm
Lodi Citizens Create Newest Affiliate Fund
Residents of Lodi, Wisconsin had talked for years about creating an endowment to help support special projects for the schools and greater community. When Sheila Landsverk found herself in Lodi after years of working in the not-for-profit sector in New York and Northern Wisconsin, she was perfectly poised to help the community move towards that dream.
“Lodi was ripe for an endowment,” said Sheila, Chair of the endowment creation committee. “Our community is passionate about our schools, our scenic environment, and our quality of life. We want to maintain and enhance those elements for future generations, and creating an endowment gives us the means to meet that goal.”
After extensive research, the committee decided that the best way to proceed was to allow Madison Community Foundation to handle the details of administrating an affiliate endowment fund so that their efforts could be directed towards fundraising.
“Lodi invited us to meet with them,” explained Bob Sorge, Vice President, Strategic Development, who helped the Lodi group create their endowment. “Even though a community may be outside of Dane County, they can still create a fund with us. By creating the endowment with MCF, the community receives the tax advantages of a foundation without the headache of having to become one themselves. Distributions will be used to enhance that community in perpetuity.”
An affiliate fund is an endowment that is housed at MCF, and serves a particular community outside Madison. It is represented by an advisory committee of residents from that community who raise resources for the endowment and recommend distributions from the endowment for charitable causes within that community. Affiliates partner with MCF to maximize earnings, secure principal and minimize administrative costs.
“Our community encompasses a broad area and a wide diversity of social groups,” added Sheila. “We want to use this endowment to empower groups in this community to enhance what they love. The sky is the limit to what we can do.”
To donate to the Lodi Area Community Endowment (LACE), click here, or contact Paul Houseman, Donor Relations at (608) 232-1763 x234.
For more information about affiliate funds contact Bob Sorge, Vice President of Strategic Development, (608) 232-1763 x226.
Dane County K9, Inc., Creates Fund at Madison Community Foundation
Dane County K9, Inc. is a non-profit organization comprised entirely of volunteers dedicated to helping the Dane County Sheriff’s Office K-9 Unit purchase, train, and support canine service dogs. The organization recently established an endowment fund at Madison Community Foundation to secure the long-term financial needs of the K-9 Unit.
“When Dane County K9, Inc. starting researching an endowment fund we were constantly referred back to the Madison Community Foundation as being the best investment option, and the organization best suited to help us,” said Brian Biwer, Deputy with the Dane County Sheriff’s office. “The staff at MCF is informative and helpful. Everyone involved with Dane County K9, Inc. is very excited about this fund and our partnership with the MCF.”
Each of the five Dane County K9 teams consists of a deputy handler and their canine partner. The canines are privately funded, meaning no tax payer dollars are used for purchase or training. K9 handlers were responsible for funding their dogs and subsequent training prior to the formation of Dane County K9, Inc., in 2007. Labrador, German Shepherd, or Belgian Malinois, are the most common breeds used and usually cost on average $11,000. Annually, the K9 Unit needs financial assistance for advanced training for dogs and handlers, to purchase updated equipment, and offset other costs the handlers would incur personally without the assistance of Dane County K9.
Dane County has three patrol teams, one explosives detection team, and one search/rescue team. Police K-9 teams are trained to apprehend criminals, protect officers, search indoor and outdoor areas, search for specific articles, detect narcotics, drugs, and explosives, and of course to track people, alive or not. When someone is lost or has wandered away, the K9 Unit may be called to help. When a bomb threat happens in Dane County, a K9 team will probably be part of the response.
K9 teams occasionally provide “Dignitary Detail” where a protective space is necessary. Teams were in action during the Dalai Lama’s visit in 2008 and assisted the FBI during President Obama’s Madison engagement in 2009. Both luminaries had safe and successful visits to Dane County. About every eighteen months, the K9 Unit needs to replace one of the dogs. Once on the job, the teams train additional hours every month to maintain and enhance their performance. The handlers also give countless hours of their own time each year to improve their skills and provide community education and fundraising activities for the program.
Dane County K9, Inc. has been fortunate to have the support of many businesses, individuals. If you are interested in additional information about Dane County K9, please go to www.danecountyk9.org.
To contribute to the Dane County K-9 Endowment Fund, click here.
Name the Monona Library for a Loved One
If you have ever wanted to name a library for a loved one, this is your time to do it!
Donate at least $60 or more to the Monona Library “Booked For Life” endowment campaign and receive naming rights to the library for a day of your choosing in 2010. In addition, your loved one’s name and picture will be prominently displayed on the library website and entrance television. Donors will also receive a reserved parking space just for that day’s “Library Owner,” a place to plug their favorite library items, and a certificate of authenticity commemorating the name change. Individuals or families have the opportunity to re-name the library for just $60 while businesses or other organizations may do so for $100.
Monona Library was one of three Dane County libraries, who, along with Waunakee Public Library and Sequoya Branch Library, were each offered a $50,000 challenge grant and are still working towards their goal. The grants will provide up to $50,000 when the library raises $100,000. In the case of Monona, all donations will assist in purchasing library materials in coming years. A $500 donation will endow an annual book purchase at the library in perpetuity.
To find out more about naming Monona Library for a Day, contact: Assistant Monona Library Director Erick Plumb at (608) 216-7455 or firstname.lastname@example.org
To contribute online to the library endowment campaigns, visit:
Monona: click here.
Waunakee: click here.
Sequoya Branch Library Celebrates Successful Chapter
Sequoya Branch Library successfully completed their endowment grant challenge in December 2009 and even exceeded their $100,000 goal by $16,000!
One of three libraries who received a challenge grant from Madison Community Foundation to build an endowment fund, Sequoya was aided by an additional matching grant from the Friends of Sequoya Library. Beginning in December 2009, the Sequoya Friends matched all pledges and cash donated to the endowment fund dollar for dollar.
Distributions from the fund will be used to support services and programs not covered by the library budget.
To give a gift to the Sequoya endowment, click here.