REPORT TO THE BOARD OF GOVERNORS ENDOWMENT FUND: NAME CHANGE REQUEST FOR THE NORTHWOOD PULP AND TIMBER LTD SCHOLARSHIP ENDOWMENT FUND

Transcription

1 Agenda Item #4.3b REPORT TO THE BOARD OF GOVERNORS SUBJECT ENDOWMENT FUND: NAME CHANGE REQUEST FOR THE NORTHWOOD PULP AND TIMBER LTD SCHOLARSHIP ENDOWMENT FUND MEETING DATE September 30, 2014 Forwarded to the Board of Governors on the Recommendation of the President APPROVED FOR SUBMISSION Arvind Gupta, President and Vice-Chancellor Presented By Hubert Lai, Q.C., University Counsel Report Date September 2, 2014 DECISION REQUESTED IT IS HEREBY REQUESTED that the UBC Board of Governors approve the change of name of the Northwood Pulp and Timber Ltd Scholarship Endowment Fund and the amended and restated endowment documentation as recommended by the President and University Counsel. EXECUTIVE SUMMARY Canfor Corporation requests approval to change the name of the Northwood Pulp and Timber Ltd Scholarship Endowment Fund to the Canfor Corporation Scholarship Endowment Fund. Template revised: July 1, 2014

2 ENDOWMENT FUNDS: NAME CHANGE REQUEST Place and Promise COMMITMENT(s) Place and Promise ACTION(s) Description & Rationale This endowment request supports the Sustainability commitment to explore and exemplify all aspects of economic, environmental and social sustainability. This endowment request supports the following goal and action associated with the commitment above: to ensure UBC s economic sustainability by aligning resources with the University vision and deploying them in a sustainable and effective manner. Approval Requested: Canfor Corporation (the Company ) requests approval to change the name of the Northwood Pulp and Timber Ltd Scholarship Endowment Fund to the Canfor Corporation Scholarship Endowment Fund (the Fund ). It is recommended that the Board approve this resolution on the basis that the University recognizes the Company s interest in having its endowed award reflect its new corporate name. Background: In 1991, Northwood Pulp and Timber Ltd. ( Northwood ) made a donation to the University to create the Fund to support scholarships for students. In 1999, the Company acquired Northwood by way of share acquisition; and Northwood was renamed Canfor Corporation. As a result of the acquisition, the Company now wishes to rename the Fund to reflect its new corporate name. Legal Authority: The Board of Governors authority to approve the variation of the Endowment Deed is found in section 6 of the Endowment Deed, which provides that: If in the opinion of the University, the operation of the Endowment becomes impossible or impractical or is not achieving its purpose in a satisfactory manner, the University may vary the terms of this Deed of Endowment, but so that the name of Northwood Pulp and Timber Ltd. shall always be associated with it; provided that such a variation may be made only after consultation with Northwood Pulp and Timber Ltd. and upon the recommendation of the President to the Board of Governors and the approval of the Board. Additional Materials: A comparison of the original and amended Endowment Deed for the Fund is attached. Page 2

3 THE UNIVERSITY OF BRITISH COLUMBIA CANFOR CORPORATION SCHOLARSHIPNORTHWOOD PULP AND TIMBER LTD. SCHOLARSHIPS ENDOWMENT DEED Amended and Restated as of, 2014 (Varies the original Endowment Deed for the Northwood Pulp and Timber Ltd. Scholarships Endowment Deed approved May 23, 1991) Agenda Item #4.3b Northwood Pulp and Timber - Attachment 1 1. The Endowment Fund shall be known as the Northwood Pulp and Timber Ltd.Canfor Corporation Scholarship Endowment Fund. 2. (1) The capital of the Fund shall be held by the University of British Columbia and may be invested and reinvested by the University in such investments as the University shall decide; and in making such investments the University shall not be restricted to the investments for trustees set out in the Trustee Act of the Province of British Columbia, in similar legislation or in any amendments to the Act or similar legislation. (2) Without restricting the generality of the provisions of sub-clause (1) above, the University may invest the Fund as part of its pooled endowment investments. (3) In making investment decisions, the University shall have as its objective the maintenance of the real capital value of the Fund and the generation of a sufficient flow in income to fund the Scholarships properly. (4) The University may accept further contributions, from any other source, whether by gift, will or otherwise, or may itself add to the capital of the Fund, provided that the terms and conditions of any such donation or addition to the capital shall be in conformity with this deed of Endowment. 3. (1) The income of the Fund shall be used by the University to award Scholarships in accordance with the provisions of Schedule A and without restricting the generality of the authority of the University to use the income in any manner it sees fits in support of the object, the University may: (a) use income to grant Scholarships; (b) use income to pay the expenses associated with the administration of the Fund;

4 (c) where income is not for the time being used invest such income in accordance with the provisions of clauses 2(1) and (2), but so that the investments shall retain the status of income; (d) capitalize income in order to preserve the real capital value of the Fund. (2) If in the opinion of the University it is clearly necessary to do so in order to carry out the purposes of the Fund, the University may from time to time encroach upon the capital of the Endowment; provided however that such encroachment may take place only upon the recommendation of the President to the Board of Governors and the approval of the Board. 4. Decisions on the granting of Scholarships and on the continuing eligibility of the holder of a Scholarship to receive the Scholarship or to obtain a renewal of the Scholarship, and decisions on the administration, financial and otherwise, of the Fund shall be made in accordance with the policies of the University as they may be amended from time to time. 5. If in the opinion of the University the operation of the Endowment becomes impossible or impractical or is not achieving its purpose in a satisfactory manner the University may vary the terms of this Deed of Endowment, but so that the name of Northwood Pulp and Timber LtdCanfor Corporation. shall always be associated with it; provided that such a variation may be made only after consultation with Northwood Pulp and Timber Ltd.Canfor Corporation and upon the recommendation of the President to the Board of Governors and the approval of the Board. Signature of Authorized Signatory for Donor Date Print name and title: The University of British Columbia By its Authorized Signatory President and Vice-Chancellor Date

5 CANFOR CORPORATION NORTHWOOD PULP AND TIMBER SCHOLARSHIPS SCHEDULE A 1. In each year there will be two Scholarships awarded in each of the Faculties of Forestry, Applied Science (Engineering), and Commerce and Business Administration on the recommendations of those Faculties. 2. In each year there will be four Scholarships awarded to students entering any undergraduate program from a secondary or post-secondary institution. 3. Preference will be given to students who have attended a secondary or post-secondary institution in northern British Columbia. 4. Income permitting, the value of the Scholarships will approximate the cost of tuition in the Faculty in which the recipient is registered.