North East Education Foundation
Donor Information Form
for Awards, Grants and Endowments

Definitions & Contributions, Investment Income and Expense Guidelines:

Award or Grant
A gift which a donor chooses to expend all at once for a specified purpose (e.g. scholarship).

Endowment
A one-time or cumulative gift of at least $5,000 to establish a perpetual award. A gift of $5,000 might provide for an annual award of $50 to $300 depending on investment returns. The Board of Directors allows a donor three years to reach the $5,000 endowment level. The Directors will determine whether to provide allotment assistance to the fund or convert it to an Award if is not fully endowed after three years.

Fund
An award, grant or endowment which the Board of Directors has ratified and is therefore eligible to receive contributions and/or investment income or expense allocations.

Designated Contribution
A gift which a donor designates for an existing fund.

Undesignated Contribution
A gift which a donor does not designate for an existing fund.

Allotment Assistance
The Board of Directors may choose to help new funds obtain Endowment status by earmarking proceeds from undesignated contributions or from fundraising efforts.

Allocation Methodology
All undesignated contributions and net proceeds from fundraising efforts will be equally divided among all endowed funds unless otherwise earmarked for allotment assistance as determined by the Board of Directors.

Investment Income & Expense Allocation Guidelines
Investment income and earnings will be allocated on a percentage (prorated) basis among all funds whether endowed or not. Expenses associated with a particular fundraising event will be deducted from gross receipts before allocating net proceeds. General expenses such as audit or bank fees will be allocated on a percentage (prorated) basis to all endowed funds unless otherwise determined by the Board of Directors.