The Endowment Fund is a “permanently restricted” fund. The principal in this fund shall remain permanently intact in perpetuity or until the occurrence of a specified event, or for a specified time as described in the terms of the endowment gift. Sub-accounts may be included in this fund with interest tracked on a prorated basis. Only funds that are designated by the donor as being contributed specifically to the “endowment” fund may be placed in this fund.
Earnings from the Centennial Endowment Account within this Fund will be reinvested until a $1 million goal is reached (per Long-range Plan). When the Fund principal is $1 million, the earnings from the Fund will be available to supplement first, asset purchases, and secondly, the Library operating budget as deemed appropriate by the Board of Trustees at that time and pursuant to donor restrictions.
The Endowment Fund will be invested and managed according to the Investment Policy of the Scarborough Public Library Corporation.
The Treasurer will review this policy annually and recommend revisions as necessary.
Approved March 16, 2000