Johnson County communities establish Community Fund Affiliates

Think decades ahead — think community fund

The Community Foundation of Johnson County provides staff support, technical help, and management expertise to help local community funds develop programs and begin fund-raising.

Currently, six Johnson County communities take advantage of a matching fund program to build their own philanthropic base by affiliating with the Community Foundation of Johnson County.

Coralville
Lone Tree
North Liberty
Swisher
Tiffin
University Heights

Coralville, Lone Tree and Swisher were the first to establish their own community funds. In 2007, North Liberty, Tiffin and University Heights also established community funds.

Communities benefit right away and for generations to come:

• Contributors receive tax benefits
• Endowed funds are professionally managed for long-term benefit
• Local trustees recommend annual grants from the fund
• Matching fund program provides up to $2,500 to start each community endowment program

Most affiliate community funds include at least two sub-funds: a charitable giving fund, the community’s checkbook; and an endowment fund, the community’s savings account. Donations to the charitable giving fund are tax deductible donations to a 501.c.3 and may be used to fund current charitable projects.

Community funds may choose to use charitable giving funds to receive contributions to build a new library, buy new playground equipment, sponsor a summer band concert, or for another immediate, charitable need.

Donations to a community endowment fund are also tax deductible, and may be eligible for additional tax credits from the State of Iowa. Endowed funds are managed to preserve the principal and grow throughout time. Part of the earnings each year is reinvested, and part may be used to make grants to qualified non-profit organizations in your community.

In addition to these two broad categories, individuals (families or businesses) may establish donor-advised funds that enable the donor to contribute funds and later make recommendations as to the distribution.

Communities might also establish scholarship funds, agency endowment funds, field of interest funds, designated funds, and administrative funds.