This policy, having been previously approved by the CFNEM Board of Trustees, was reviewed and ratified by the CFNEM Board of Trustees on June 14, 2005.
I. As a donor to the Community Foundation for Northeast Michigan, you are entitled to:
II. As a donor who has established a separate fund, you have the right to:
If the fund is established during your lifetime, you may request the community foundation to furnish you, periodically, with information concerning grants made from the fund. If the fund is created as part of your estate plan, your family members will beaccorded the same courtesy.
The same rights apply to field of interest funds as those cited for Unrestricted Funds. In cases in which an advisory committee is created to recommend distributions from the fund, you may be allowed to designate the nature of that committee and you may sit on it yourself, always being mindful to ensure that there is no conflict of interest inherent in the composition of the committee.
Both individuals and organizations who establish designated or agency endowments should be fully informed concerning the variance power of the community foundation. The language of the variance power is as follows:
“Notwithstanding any provisions in the Bylaws or in any instrument of transfer, creating or adding to a fund of the Corporation, the Community Foundation for Northeast Michigan Board shall have the power to modify any restriction or condition on the distribution of funds for any specified charitable purpose or purposes or to a specified charitable organization or organizations if in the sole judgment of the board (without the necessity of the approval of any participating trustee, custodian, or agent), such restriction or condition becomes, in effect, unnecessary, incapable of fulfillment, illegal, or inconsistent with the charitable needs of the community or area served.”
a. there can be no benefit accruing to you, directly or indirectly, as a result of a distribution;
b. the uses of the fund must be charitable;
c. you cannot suggest a distribution from a donor advised fund to fulfill financial pledges;
d. all the distributions you suggest must be approved by the board of the Community Foundation for Northeast Michigan.