Creating an Endowment Legacy

“The best use of life is to invest it in something which will outlast life.” William James

Endowments Create a Legacy
An endowment establishes a permanent fund, which provides perpetual, annual support for the Cumberland Health Care Foundation. Your gift to establish an endowment creates a lasting legacy in your name or the name of someone you wish to honor. Your endowment benefits a Cumberland Health Care Foundation priority of your choice, or you may give the Foundation discretion to apply the payout from your gift to one of its highest priorities. The concept is simple:

• All endowed funds are established by a written gift use agreement between the donors and the Cumberland Health Care Foundation;
• Your gift is invested prudently, in accordance with Foundation policies, so that over time the endowment’s power is preserved;
• Each year, a percentage of your endowment’s market value is used to benefit the area you designate in your gift use agreement;
• Your endowment will be used for the purpose that you designate, consistent with Foundation policies;

Endowments Support Diverse Purposes
The minimum amount to establish a named endowment fund is $25,000. Types of Endowments include:

Equipment Endowment This type of endowment provides for ongoing support and purchase of medical equipment necessary for treating patients and providing diagnostic services.

Program Endowment This type of endowment provides ongoing support for various program initiatives affiliated with the Foundation, such as Volunteer Services or Cumberland Health Care Careers Bursary program.

Operating Endowment This type of endowment provides ongoing support for the operations of the Foundation which seeks to fulfill its mission of providing quality healthcare.

Unrestricted Endowment This type of endowment permits the Foundation to direct revenue received to an area of interest and need.

Benefits of creating a named fund
There are a number of benefits of creating a named fund at the Cumberland Health Care Foundation:

• Simplicity
  An undesignated or field of interest fund is the best way to address a wide range of needs with one contribution.
• Longevity
  Your gift remains invested, while the annual income is used to support our healthcare facility forever.
• Flexibility
  You may designate your fund to a specific area of interest, or entrust the Foundation with the disbursement of your fund's income. Funds can be structured to meet your wishes.
• Effectiveness
  Funds entrusted to the Foundation are pooled and invested in order to achieve greater returns at lower cost.
• Accountability
  The Foundation is accountable to the public in its reporting practices, with respect to both investment and disbursement.
• Recognition
  A named fund provides an everlasting legacy. The Cumberland Health Care Foundation appreciates all gifts and provides appropriate recognition.

Naming of Endowments

• 1. $25,000
  Gifts at this level are the minimum to establish a named endowment.
• 2. $100,000
  Gifts at this level may establish a named program. The endowment income will be used to support a CHA program, provided CHA support and approval is provided.
• 3. $250,000
  Gifts at this level may establish a major program or endowment. The endowment income will be used to support the program at the direction of the Board of Directors.

The donor will have a maximum of five years to fully fund the endowment. Should the endowment not be fully funded at the minimum of $25,000 during the five year period, the endowment will be combined with other Foundation endowments and used at the discretion of the Board of Directors.

The Board of Directors will accept a gift of any size for the Cumberland Health Care Foundation endowment fund, provided proper CRA forms have been completed and it is the wish of the donor to direct the funds for endowment purposes.

For more information on establishing an endowment or on contributing to the Cumberland Health Care Foundation's endowed fund, please contact Joe Gauthier, Managing Director at 902-667-5400 ext 6126 or email info@chcfoundation.com.