Thursday, March 1, 2012
Endowment - We're Getting One!
An endowment is a fund that is set up to benefit an entity. Monies are donated and placed in the fund and the fund is administered by a financial institution. The interest earned by the investment of the funds is then distributed, usually annually, back to the entity that the fund was created to benefit.
In our case, a fund is being set up to benefit Derby, in particular its schools and its beautification. The Valley Community Foundation will administer the fund. Derby already has an endowment set up with the Valley Community Foundation for the Sterling Opera House and the Derby Community Endowment will work in much the same way.
Mark Nichols, former Tax Board member, came up with the idea, early in 2011, to set up a community endowment like many of our neighoring towns are doing. Mark is working with an endowment committee made up of city officials (the Mayor, the president of the Board of Aldermen, the chairman of the Tax Board and the Board of Education, the Superintendent of Schools) and active citizens such as Beth Colette, Nelson Cummings, Rob Novak, Dr. Anita Dugatto, and of course, Clearly Derby! As you can "Clearly" see - this is a non-partisan endeavor!
In a future blog I will share some of our plans!