Sec. 05.14.02.03. Eligibility Standards for Approved Qualified Permanent Endowment Funds

A. Qualified permanent endowment funds shall be submitted for approval by an eligible community foundation.

B. In order to be eligible for approval, a qualified permanent endowment fund shall satisfy the following requirements:

(1) The qualified permanent endowment fund shall be held in perpetuity by an eligible community foundation;

(2) The qualified permanent endowment fund shall be used for the benefit of charitable causes in the State, including:

(a) Community services, such as child care, recreational services, and economic development services;

(b) Redevelopment assistance;

(c) Job training for individuals of limited income and related job placement services;

(d) Education;

(e) Crime prevention; or

(f) Other services approved by the Act and the Department; and

(3) The qualified permanent endowment fund shall have an annual spending rate of 5 percent or less calculated using at least a 12-quarter trailing average of the total amount of the fund.