P RESBYTERIAN C HURCH IN A MERICA F OUNDATION, I NC N ORTH B ROWN R OAD, S UITE 103 L AWRENCEVILLE, G EORGIA 30043

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1 P RESBYTERIAN C HURCH IN A MERICA F OUNDATION, I NC N ORTH B ROWN R OAD, S UITE 103 L AWRENCEVILLE, G EORGIA How to Establish a Recommended Endowment Fund The PCAF s Recommended Endowment Fund is a donor-advised fund that can be actively invested in the market. It is subject to fees, subject to market gains and losses and is customized to fit your unique needs. For review purposes, a sample agreement follows these instructions. To receive a customized Recommended Endowment Fund agreement, contact us with input for the following considerations: 1. Consider a name. Many donors choose to name the fund after their family as in the Sample Family Recommended Endowment Fund. Oftentimes, husbands and wives choose to use their first and last names to name the fund as in the John & Mary Sample Recommended Endowment Fund. The fund s name will appear in all correspondence mailed to grant recipients as a result of grant distributions recommended by the authorized individuals unless anonymity is requested. 2. Consider a purpose. The purpose of a Recommended Endowment Fund can be generic, as in to financially support Christian ministry, or tailored to support a specific named ministry, as in to financially support Sample Presbyterian Church. 3. If a specific ministry is named, a distribution schedule can be specified within the agreement if desired. Regardless of whether a generic purpose or specific ministry is named, Donors, as defined in the agreement, have the ability to make recommendations as to grant distributions to any Christian ministry at their convenience. 4. Consider investment options. The PCAF offers four asset allocation options with its trust company. Other investment options, such as the PCAF using your own financial advisor, are available and can be discussed by contacting the PCAF. 5. Once you have reviewed the sample agreement and considered the above items, call or us to request a customized agreement. 6. Upon receipt of the agreement, complete the Donor Information section (page 3) of the agreement. Each individual authorized to make recommendations regarding grant distributions of the amount donated must sign the agreement. 7. Complete Exhibit A of the agreement (page 4). Exhibit A is simply a list of the property transferred as the initial contribution to the fund. For example, if you plan to establish the fund by check, list Check #123 for $1,000. Or, if the fund is established by transferring appreciated assets like stock, bonds, or mutual funds, list 100 shares of XYZ. 8. Mail, fax, or the completed Recommended Endowment Fund agreement to the PCAF. PCA Foundation, Inc. Toll Free: North Brown Road, Suite 103 Fax: Lawrenceville, GA pcaf@pcanet.org 9. If the initial contribution is by check, it can be mailed along with the signed agreement. Checks should be made payable to the PCA Foundation, Inc. Refer to the Gifting Instructions page of our website for instructions on initiating contributions from your bank/savings account via ACH North Brown Rd. Suite 103 Lawrenceville, GA Facilitating Generosity To Advance God s Kingdom

2 How to Establish a Recommended Endowment Fund (continued) 10. If you plan to gift appreciated assets as the initial contribution, please call us to obtain transfer instructions for your broker. 11. Once the Recommended Endowment Fund is established and the account number known, visit the PCAF s website and follow the link at the top of the homepage to register for a PCAF Donor Portal user account. Note: Upon receipt of the initial contribution, we will execute the Recommended Endowment Fund agreement and mail you a copy for your records. A gift receipt will be provided for your charitable contribution North Brown Rd. Suite 103 Lawrenceville, GA Facilitating Generosity To Advance God s Kingdom

3 P R E S B Y T E R I A N C H U R C H I N A M E R I C A F O U N D A T I O N, I N C N O R T H B R O W N R O A D, S U I T E L AWRENCEVILLE, G EORGIA ENDOWMENT FUND AGREEMENT THIS ENDOWMENT FUND AGREEMENT (the Agreement ) is made and entered into by and between Presbyterian Church in America Foundation, Inc., a Georgia nonprofit corporation (the Foundation ) and and, (collectively, the Donors ), effective as of the day of, 20. WHEREAS, the Donors desire to contribute certain funds to the Foundation pursuant to the terms and conditions of this Agreement for the purpose of establishing an endowment fund designed to. NOW, THEREFORE, for and in consideration of the premises, the mutual covenants contained herein, and all other good and valuable consideration, the receipt and legal sufficiency of which are hereby acknowledged by the parties, the parties hereto agree as follows: 1. Contribution by Donors. The Donors hereby irrevocably donate, contribute and transfer to the Foundation the property described on Exhibit A attached hereto and made a part hereof by this reference, the receipt of which is hereby acknowledged by the Foundation. The property hereby contributed (and its proceeds) will be maintained by the Foundation as a separate fund within the Foundation (the Endowment Fund ). The Foundation may receive additional irrevocable gifts from time to time from the Donors and from any other source to be added to the Endowment Fund, all subject to the provisions hereof. 2. Purpose of the Endowment Fund. The purpose of the Endowment Fund is to, which purpose furthers and carries out the exempt purposes of the Foundation. The Foundation shall have the power to commingle the assets of the Endowment Fund with those of other funds for investment purposes, and no person dealing with the Foundation shall be required to inquire into its authority to so act. PCAF Recommended Endowment Agreement v. 12/06 Page 1 of 4

4 3. Distributions from the Endowment Fund. The principal and income of the Endowment Fund shall be distributed only to organizations of the type to which an individual taxpayer may make deductible charitable contributions, gifts and bequests under the income, gift and estate tax provisions of the Internal Revenue Code of 1986, as amended (the Code ), and such distributions shall be made primarily to. It is intended by the foregoing that at the time a distribution is made from the Endowment Fund, each organization which is a distributee must be an organization (a) which is described in Sections 170(c), 2055 and 2522 of the Code, and classified as an organization under Sections 509(a)(1), 509(a)(2) or 509(a)(3) of the Code other than (i) a private foundation or (ii) an impermissible distributee in accordance with the policies of the Foundation, as they may be modified from time to time, and (b) which holds to, or whose purposes further doctrines and beliefs which further the exempt purposes of the Foundation as described in the Articles of Incorporation and Bylaws of the Foundation, as amended from time to time. If at the time of any such distribution, does not qualify as such an organization, then the Foundation shall determine which qualified organizations shall receive such distribution. Distributions from the Endowment Fund are only permitted to benefit the organizations receiving the distributions, not the donors to the Endowment Fund, advisors, or members of any donor s or advisor s family, in accordance with the policies of the Foundation, as they may be modified from time to time. 4. Participation by Donors in Distributions: Nature of Fund. Except as described above, distributions from the Endowment Fund of principal and/or income shall be made at such time or times and in such amount or amounts as may be determined by the Foundation, and shall be made to those organizations described in Section 3 above; provided, however, that the Donors may from time to time submit to the Foundation the names of other organizations to which it is recommended by the Donors that distributions be made, which recommendations shall be solely advisory, and the Foundation may accept or reject such recommendations applying reasonable standards and guidelines with regard thereto. The Foundation shall independently investigate such recommended distributees to the extent necessary or desirable in the Foundation s sole discretion prior to its decision to accept or reject such recommendations. 5. Ownership of the Endowment Fund. The Donors acknowledge that all contributions to the Foundation are irrevocable and nonrefundable, and are the property of the Foundation and that the Foundation retains full and unlimited control over whether or not to follow requests given by the Donors. 6. Administrative Fees. For its services rendered, the Foundation shall be entitled to charge its various customary administrative fees to, and withdraw such fees from, the Endowment Fund. PCAF Recommended Endowment Agreement v. 12/06 Page 2 of 4

5 IN WITNESS WHEREOF, the parties hereto have signed this Agreement effective as of the date first above written. PRESBYTERIAN CHURCH IN AMERICA FOUNDATION, INC. Attest: By: By: Randel N. Stair, President Quincy M. Bailey, Assistant Secretary Donors: Signature Signature Name Name Street Address Street Address City, State, Zip City, State, Zip Date of Birth Date of Birth Telephone Number Telephone Number Address Address PCAF Recommended Endowment Agreement v. 12/06 Page 3 of 4

6 EXHIBIT A PROPERTY TRANSFERRED On this page, list your contribution(s) (i.e. Check # 555 for $xxxxx.xx, or 150 Shares of XYZ Stock ) PCAF Recommended Endowment Agreement v. 12/06 Page 4 of 4