SECTION ONE: GIFTS
1.01 All bequests of property for the benefit of the College District shall vest the property in the Board of Trustees. When not specified by the grantor, funds or other property donated, or the income thereby generated, may be expended in any manner authorized by statute. The College President shall have the authority to accept gifts and donations on behalf of the Board.
1.02 Final authority for the acceptance of gifts of real property rests with the Board of Trustees.
1.03 The College District shall not accept gifts that discriminate against any person on the grounds of sex, race, color, religion, national origin, or disability.
1.04 All gifts and grants accepted must contribute to the College District’s basic mission and purpose and enhance overall College District resources without undue budgetary expenditures or constraints.
SECTION TWO: SOLICITATION
2.01 The College President must give prior approval for the solicitation or acceptance of all grants or gifts, and must approve all external fund raising activities.
2.02 Solicitations involving only the campus community must be approved by the Dean of Student Affairs.
SECTION ONE: PURPOSE
1.01 The purpose of the endowment is to create a corpus from which the earnings are to be distributed to support the mission and goals of the College District including scholarships consistent with donor intentions.
1.02 An endowment may be established for any purpose which may be reasonably construed to support the mission and goals of the College District.
SECTION TWO: ESTABLISHING AN ENDOWMENT
2.01 Minimum Funding Level
A donor(s) may establish an endowment with a minimum initial donation of $10,000. The donor(s) may accumulate the endowment gift over a one-year period with earnings during the accumulation period to be added to the corpus. Earnings during the accumulation period may not be used to reduce the donors’ commitment to fund the endowment at the minimum level. Once funded, earnings will be distributed both to make awards under terms of the Donor Agreement and to increase the corpus of the endowment as allowed by economic conditions and existing Board policies.
2.02 Establishing of Endowment
Upon receiving a minimum of $10,000, the College District will permanently endow a scholarship for the donor(s). Guidelines for the use of the endowment will be agreed upon and an Angelina College Summary of Donor’s Intentions will be completed in the Office of Student Financial Aid.
2.03 Failure to Meet the Minimum Funding Level
Donors will be contacted at the end of one year if the minimum funding level is not achieved. If, at that time, the donor is unable to fully endow the scholarship, monies already donated will be transferred to the general permanent endowment fund and the intent to endow the scholarship will be voided. A donor wishing to contribute less than $10,000 should be encouraged to make his/her contribution to the Angelina College Alumni and Friends Endowment Fund.
2.04 Memorial Contributions
An endowment to be funded by the receipt of memorial contributions will be restricted by the individual who establishes it initially.
SECTION THREE: RECIPIENT RESTRICTIONS
3.01 The donor has the following options in specifying certain criteria for selection of an award recipient. A donor may specify:
• A preference among equally qualified applicants be given for recipient selection. However, College District policies prohibit discrimination against recipients being considered for an award on the basis of race, color, national origin, gender, religion, age, veteran status, or disability.
• Selection of a recipient be tied to the recipient’s academic performance, financial need, or geographic area of residence.
• Applicant eligibility be limited to an employer’s employees and their spouses or dependents provided that final selection of recipient is made in accordance with policies of the College District.
• A recipient be a student in a particular Angelina College department or area of study.
• A recipient has completed a specified number of semester hours of college work.
• A recipient have a minimum required grade point average.
• Eligibility be limited to U.S. citizens and permanent residents.
3.02 If a donation is received without restriction, the Board may designate that the donation be established in the form of a quasi-endowment. Donations of this nature will be treated as permanent capital, but principal as well as income may be expended upon approval of the Board.
SECTION FOUR: RECIPIENT SELECTION
4.01 Donors may recommend or suggest scholarship recipients. However, the Internal Revenue Service will not recognize a contribution for charitable tax deduction if the donor retains control over the gift funds or how they are used. Therefore, a donor may not participate in the selection of scholarship or award recipients, name a non-Angelina College employee to the scholarship committee, or structure the criteria so narrowly as to limit selection to a small population comprised solely or primarily of individuals related to the donor or that the donor would choose without this restriction.
4.02 Angelina College will make the final recipient selection. Recipient selection will be based upon the requirements listed on the Angelina College Summary of Donor’s Intentions.
SECTION FIVE: INVESTMENTS
5.01 All endowed funds will be invested in accordance with the College District’s Investment Policy. The Angelina College Investment Policy is approved by the Board of Trustees, regulated by the State of Texas, and is designed to preserve the endowment.
5.02 The endowment is to be managed by professional investment managers, professional endowment managers, bank trust departments or a combination thereof, as designated by the Board.
5.03 Endowment managers shall be provided with a copy of the Board approved endowment scholarship policy and endowment investment policy, and shall sign the appropriate certification before managing College District funds.
SECTION SIX: DISTRIBUTION POLICY
6.01 The distribution policy of the Endowment Fund and Restricted Funds (Fund 41, 45 and 60) shall be as follows:
• Restricted funds must be awarded or spent according to the written intentions of the original donor who established the account or in accordance with subsequent written modifications made by the donor’s assignee or executor.
• The Endowment Investment policy references the Endowment Spending Policy.
• Funds not awarded or spent will accumulate in the account’s corresponding restricted account. Only funds associated with an endowment or from a previously approved restricted account will receive applicable interest earnings. Any earning on other restricted funds will be available for student scholarships.
SECTION SEVEN: TERMINATION OF ENDOWMENT
7.01 In the event that distributions from an endowment’s interest earnings can no longer be awarded for the original purpose (for example, the endowment was intended to provide scholarships for a major which no longer exists), an alternative use for the endowment to further the objective of the College District may be established, in the spirit of the donor’s original intent.
7.02 In the event that Angelina College closes or otherwise ceases to exist, all endowed funds will be either returned to the donor, their heirs, or transferred to a non-profit entity whose objective and mission is consistent with the mission of the College District.
7.03 The College may disburse any remaining funds from non-endowed scholarship, club, and other third party accounts that have been inactive for three or more years with no future distributions anticipated in a manner similar to the original intent of the account or for general scholarships, unless otherwise instructed by donor.