Chapter Specific Funds - Flexible Funds (“B” Funds)
Chapters that desire immediate use of donations for educational purposes may prefer the Flexible 21st Century Funds (“B” Funds). Donations to “B” Funds are not permanently-restricted and also earn an investment rate of return. This is an ideal option for chapters planning major fundraising campaigns for educational purposes or chapters that desire more aggressive fund growth.
To establish a “B” Fund, the ACB President must sign the Letter of Agreement that governs the management of “B” Funds.
The features of “B” Funds:
- All donations are temporarily-restricted, unless the donor requires the gift to be permanently-restricted.
- Funds earn an investment rate of return, less a 2% annual administrative fee. If investment return is negative, then the fund will suffer a loss of capital.
- Investment return is posted on the first day of each quarter, based upon the results of the prior quarter.
- The total fund balance can be borrowed by the ACB for housing purposes.
- The ACB can apply for grants and scholarships after the fund receives donations of at least $5000.