Endowment
Many of you have asked questions about Art Center’s endowment. Wayne Herron, Senior Director of Development, offers some insight on the College’s endowment below: An endowment program allocates certain gifts to an investment fund. This fund is invested to earn income each year, and as the principal grows, so does the interest on that income—a portion of which is paid out each year to fund key areas vital to Art Center’s mission. These areas vary according to the wishes of donors in agreement with the College. Art Center’s endowment funds scholarships, professorships, endowed chairs and academic programs like Designmatters. As of 12/31/07, Art Center’s endowment value was $42.9 million. The Board-approved spending policy is 5% of the net assets, which are applied to the purposes of the endowment as defined by the donor in agreement with the College. Any overage on the returns is reinvested back into the endowment’s principal.Under Richard’s leadership, the endowment has almost tripled. Art Center’s total endowment was $16.9m when Richard arrived in 1999. In less than a decade, the endowment has grown to $42.9m. In 2005, the College received the largest endowment gift in its history – a $13m endowed gift for scholarships.My team is working very hard to increase the current endowment of $42.9 million by nearly 50 percent over the next five years in order to strengthen the number of student scholarships; provide a permanent source of funding for academic programs; and retain the best art and design faculty through chairs and professorships.
Friday, June 27th, 2008 at 12:39 pm. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.
Jason:
June 30th, 2008 at 4:17 pmFirst of all I would like to say kudos to the fund raising team for having grown the endowment over the years.
Can you list the donations given from 2000 to2007 in precise amounts which are a direct result of fund raising campaign that began in 2000?
It appears there was a large donation to the endowment in what looks like 05′ possibly 06 on the 990 tax forms.
Can you inform us the exact size of this large donation as well as that was earmarked for the endowment? Also when was it originally promised to the school?
And lastly could you list from 2000 to 2007 how was the endowment invested and what was the return on the investments for each of these seven years.
Thank you,
Jason Hill
Sarah:
July 1st, 2008 at 11:33 amHow many “endowment” accounts exist at Art Center? And are all endowment accounts being utilized in the manner for which they were intended?
Rich Haluschak:
July 1st, 2008 at 11:36 amThere are about 150 individual named endowment funds and most of them support scholarships. The rest support educational projects such as speaker’s series and faculty grants. All endowment accounts are utilized in the manner for which they were intended, and they are audited by Price Waterhouse Coopers.