The community foundation has multiple roles and responsibilities - for fund development, grantmaking and community leadership. To be effective, we need to ensure that adequate financial and human resources are committed to carry out our responsibilities in each area. This policy recognizes the need to assess existing and new opportunities in our community with regard to foundation resources and strategic priorities. When the foundation is invited to participate in a community initiative, the Board of Directors must consider the following when making its decision:

•  Is the initiative consistent with the foundation's mission, vision and strategic priorities?
• Does this initiative advance an opportunity for fund development or granting?
• What is the impact on the foundation's resources if the foundation participates in the initiative?
• If the initiative requires the use of discretionary (unrestricted) funds, would such use have a detrimental effect on the foundation's discretionary grants programs?
• What are the potential risks and benefits (ex. public relations, credibility)?
•  Will the initiative eventually be weaned from the foundation's participation, and if so, what is the plan?
• How will the success of the initiative be evaluated?
• How urgent is the initiative and what is the timeline?

Canadian Law and Regulatory Compliance

A special initiative requires written approval identifying its connection to the Foundation's stated charitable purposes, budget, authority, beneficiaries, risks, fundraising and receipting treatment, privacy requirements, reporting and end date. The initiative will be suspended or revised if it ceases to further a charitable purpose or creates unacceptable legal or operational risk.

Any transfer of resources will be structured as the Foundation's own activity under direction and control, a gift to a qualified donee, or a grant to a non-qualified donee meeting the Income Tax Act requirements. The chosen structure and supporting records will be approved before funds are committed.

Application note: This template must be read with the Foundation's articles, bylaws, gift terms and the federal, provincial or territorial laws that apply to its incorporation, activities and operating jurisdictions. Organization-specific facts and provincial requirements require lawyer confirmation before adoption.

Monitoring: This policy will be reviewed every three years or when there is a significant change in the foundation's unrestricted endowed and/or flow-through funds.

Board Acceptance: This policy was approved/reaffirmed at the ______________Board meeting.