Allamakee County Community Foundation Endowments: Supporting Sustainable Futures for Area Nonprofits
Lisa Fruechte, library board president of the New Albin Public Library knows the impact an endowment fund with the Allamakee County Community Foundation can have.
Each year, the library uses earnings from an endowment fund with the Community Foundation of Allamakee County to support local continuing education classes.
“We were gifted a large sum of money from a former resident of New Albin and her stipulation was that it be used for continuing education,” said Fruechte. “Our goal is to work with the children and get some classes for them.”
Those classes have varied from cupcake decorating, cooking classes, or summer reading for youth; to painting, computer, and quilting classes for adults.
“We try to hit a lot of different areas,” said Fruechte.
New Albin Public library is one of more than 20 Allamakee County nonprofits that relies on earnings from an endowment fund at the Allamakee County Community Foundation for a reliable and sustainable source of income.
“The money will go a long way to support this library and keep these programs going,” said Fruechte.
This year, nonprofits received more than $66,000 from Allamakee County Community Foundation funds.
These funds are invested and pay out 5% annually to the designated nonprofits, providing a reliable source of income to sustain organizations' operations forever. Any earnings beyond the 5% are reinvested.
Donors who give to endowments through a community foundation also benefit from the Endow Iowa 25% State Tax Credit in addition to federal charitable income tax deductions.
"These funds help to preserve our area nonprofits forever," said Betty Steege, ACCF foundation coordinator. "Each fund is unique and the payouts fund everything from special projects to facility repairs and general operations."
"We wanted to provide a vehicle for families to give back to their home towns," says Rachelle Howe, chair of the ACCF Board of Directors. "It is because of the generosity of donors and the commitment of area organizations that we are able to continue to provide the support needed for the future of Allamakee County."
To learn more about the Allamakee County Community Foundation, visit www.allamakeefoundation.org.