GRACE LUTHERAN CHURCH FOUNDATION NEWS Caring for the Ministry of Grace: "Ecclesia Perpetua" September 2009
Board of Directors Carolyn Warloe President Tom Kiersky Treasurer Hal Dick Secretary Shelly Lundahl Director Kris Saathoff Director Jack Davis Director Neil Christensen Director Anne Orwick Ex-Officio Pastor Netsie Griffith Pastor Wendell Hendershott Co-Ex-Officios Joy Linn Administrative Asst. The Grace Lutheran Church Foundation is a professionally managed corporate nonprofit foundation established by Grace Lutheran Church, Corvallis, Oregon.
	Foundation Update
	If you read the council minutes, you may have noticed comments several times that the Foundation has no money. Or you may have heard a board member muttering the same sentiment. But that really isn't true! While the Foundation has no earnings from its endowed funds to disperse this year, its funds invested with the ELCA Foundation are valued at $386,200. The Foundation's Citizen's bank accounts have $26,300 to provide quick and easy access to funds. The Foundation isn't without funds! However, the Foundation, like virtually all foundations with endowed funds, and many private investments saw the value of their funds fall by 30 to 40% in the 2008 economic downturn. While the Foundation has recovered some of this value, our funds are still approximately 20% below our endowed level. When the Foundation accepts an endowed gift, we agree to invest (maintain) the gift and spend only the interest or earnings. We have invested the money with the ELCA Foundation in an effort to balance growth and safety. But with the sharp drop in the stock market, we no longer have those original gifts intact. However this was not the first time in our history that this has happened. In 2001, we fell below our endowed value when the stock market took a downturn. The Foundation waited and when the market recovered we were once again able to grant funding requests with money from the endowed gifts. The Board believes that the market will recover, allowing us once again to fund projects from the earnings of endowed gifts. In the meantime, thanks to unendowed bequests, we have some money that is available to fund projects. Gifts specified as unendowed are available to be spent in their entirety. The Brian Smith Medical Fund is one of those unendowed funds. Members of Grace who contributed to this fund expected the money contributed to be used as needed, even if all of it was dispersed. Recently the Foundation received a generous gift from Olaf Paasche through his estate. This was not a gift to an endowed fund, so it is available to be used for requests at the Board's discretion. This and other unendowed funds give the Foundation some money that is available now. The Board intends to carefully distribute these funds to worthy projects while waiting for the endowed funds to regain their previous value. Christ directs us to be good stewards. The Foundation Board continues to follow this principle. We will strive to conservatively manage the Foundation funds so that endowed funds will again produce earnings to support the mission of Grace. In the meantime, we will carefully distribute available funds to allow the mission of Grace to move forward. The Board is always glad to consider requests for funds. Guidelines are available on the Foundation web site.

January 1 - June 30, 2009 Contributions Foundation Total Assets * Expenses       Includes projects funded Donation returned to GLC $32,012.72 $412,546.67 $24,271.41 $12,747.79 Projects Approved Baptism 'donations' for Kids under 16,     $50 each; "Future4Kiz" $250.00 Memorial Funds Software and computer upgrades;     sound and video projection system     improvements     (Don and Dorothy Skwark) Parish Nurse: AED training     (Agnes Adix)       Total Projects $8963.40 space space space $950.00 $10,163.40 * The Foundation's total assets on January 1, 2009 were $381,164.65. The Board of Directors acknowledges the generosity of the following people for donations: April 2009 In Memory of Glenn Sykes Lew and Dona Williams, Corvallis, OR In Memory of Fred Decker Herb and Donna Hansen, Corvallis, OR In Memory of Fred and Charlotte Decker Sally and Stan Takalo, Damascus, OR

Many Ways to Make a Gift and Qualify for a Tax Deduction     Consider giving property to the church now, but keeping the annual income until your death. You may even give your home or farm and keep the use of the property until your death. A current federal income tax deduction is available for the value of such gifts to the church.     A gift can be made to the church by selling the church an asset at less than current value. The difference between the sales price and the current market value is a gift to the church when it buys the asset.     Appreciated securities and real estate may be deductible for federal income tax purposes at their present fair market value. In most cases, the appreciation is not taxed to you at all. Consider using such an outright gift to pay your pledge, for special gifts, or toward the endowment.     Consider naming the church as a beneficiary of your life insurance or retirement plan. If you have named other beneficiaries, consider naming the church as a secondary or contingent beneficiary in case the first beneficiary is deceased at the time of your death. Retirement plans are especially good gifts to charity as they cause great tax consequences to your family.     Consider naming the church as a beneficiary in your will or trust. The gift could be a set dollar amount, a percentage of your estate, the remainder after other gifts are made, or a contingency - a gift of part of the estate left if designated heirs are deceased.     As you think about these possibilities, consult with a Board member for additional information.     As a registered non-profit organization, donations and gifts to the Grace Lutheran Church Foundation are tax deductible to the extent allowed by law.