ENDOWMENTS AT THE LOS ANGELES REGIONAL FOOD BANK
A KEY TO SUSTAINABILITY
The Los Angeles Regional Food Bank’s endowment is key to ensuring that our vision that no one goes hungry in Los Angeles County is achieved. Since 1973, the Los Angeles Regional Food Bank has worked to mobilize resources in the community to alleviate hunger and our endowment supports a range of services and programs.
At present, endowments at the Los Angeles Regional Food Bank are established with gifts of at least $100,000 to provide annual funding for purposes and programs designated by the donor. The current Food Bank endowment spending rate policy stipulates that 5% of annual investment returns are distributed for the purpose or program designated by the donor. Investment returns earned in excess of the approved spending rate are added to the principle in the fund according to the donor’s stipulation growing the endowment over time.
If, for example, you established the “Donor Name Endowment” to support the Food Distribution, 5% of the annual investment returns would be directed for this purpose and the corpus of $100,000 (or amount of the endowment gift) would remain untouched.
What is an endowment?
An endowment is a dedicated source of long-term funding made up of donated gifts, that supports the mission and work of a philanthropic organization like the Food Bank. Each year, a portion of the endowment is paid out as an annual distribution to fund the organization’s work. Any appreciation in excess of this annual distribution is retained in the endowment so it can grow and support future generations.
Why are endowments important?
Many endowments, including the Los Angeles Regional Food Bank’s endowment, are structured to exist in perpetuity, meaning that the organization must continue to rely on the endowment’s earnings forever. Because of this, the Food Bank’s endowment is not only for today’s generation, but is for all the future generations of Los Angeles County individuals who face food insecurity.
What does the Food Bank’s endowment support?
The Food Bank’s endowment is crucial to ensuring that our vision is achieved. Grounded in our mission to serve the residents of our County, the endowment supports a range of services and programs, including
- Food Distribution (General Operating Support)
- Children’s Nutrition Program
- Senior Nutrition Program
- Mobile Food Pantry
- Partner Agency Network
- Nutrition Services Program
- CalFresh Outreach Program
Your generous, philanthropic investment in an endowment is essential to the Food Bank’s sustainability for generations to come. Thank you for your consideration and continued support of the Los Angeles Regional Food Bank.