You decide! There are five options to which you can direct your legacy.
The Operating Reserve Fund provides a cushion against unexpected events, losses of income, or large unbudgeted expenses.
The Operating Reserve Fund is an unrestricted fund set aside to stabilize our finances by providing a cushion against unexpected events, losses of income, and large unbudgeted expenses. The most common trigger for use of operating reserves is on the income side, such as when a previously reliable source is reduced or withdrawn. Operating reserves should not be used to cover a long-term or permanent income shortfall. Reserves allow us to weather serious bumps in the road by buying time to implement new strategies. To be prudent, reserves should be used to solve temporary problems, not structural financial problems.
Our Operating Reserve Fund is being built to cover operating expenses for a period of 6 months. As undesignated planned gifts are received, the Board will allocate them to the operating reserve until that objective is attained. The operating reserve is funded by undesignated planned gifts and by operating surpluses. Operating reserves can be accessed with Board authority.
The Capital Reserve Fund supports future capital purchases, ongoing costs associated with fixed assets or additional payments against mortgage capital. For example it could fund building renovations such as a new roof or other major renovations. Undesignated planned gifts will normally be allocated to this fund once the Operating Reserve Fund has accumulated a 6-month reserve. The Capital Reserve Fund can be used only with 75% approval at a congregational meeting.
The Endowment Fund provides a cushion against a calamity that threatens the survival of the congregation. Earnings can be added to the fund’s capital or used at the discretion of the Board of Trustees.
Funds in the Endowment Fund are held in perpetuity subject to a withdrawal in exceptional circumstances based on a 75% congregational vote. Under Board policy the Endowment Fund capital will not be used for capital expenses when there are funds available in the Capital Reserve Fund and a base threshold below which funds will not be withdrawn has been set at $100,000.
The purpose of the Foundation is to promote UU principles and values, within our denomination and the wider community on Vancouver Island, by funding activities and projects related to:
- Art and music
- Campus ministry
- Elimination of discrimination and poverty
- Environmental protection
- Fellowship and retreats
- Peace promotion
- Religious education
All members of First Unitarian are members of the Foundation. The Foundation Board, made up of Church Members, screens applications for grants which are then voted on by the membership. All monies donated to the Foundation are managed and invested by the Victoria Foundation, which charges an annual fee of 0.75% for its services. Only earnings can be used. The capital cannot be touched. In the past this has included bursaries to First Nations students, support for wild salmon enhancement and enhanced music at our summer services.
Only gifts identifying the Foundation as the intended recipient go to the Foundation. The Foundation accepts donor direction consistent with its purposes for the use of income on gifts exceeding $20,000.
You can also name First Unitarian Church of Victoria, and funds will be used at the discretion of the Board of Trustees.