Policy Statement

The Altamont Free Library (AFL) board recognizes the importance of financial prudence and planned gifts in enhancing the library’s programs, facilities and collections and has established this policy on long term holdings.

 Regulations on Acceptance of Gifts

I.            The Altamont Free Library Board of Trustees makes the final decision on acceptance, use or disposition of all materials, donations or gifts and retains unconditional ownership of same, as permitted by law.

II.            Checks shall be made payable to the Altamont Free Library. In no event shall a check be made payable to an individual who represents the library in any capacity.

III.            Appraisal of non-cash donations are the responsibility of the donor.

IV.            Gifts to AFL (a registered tax-exempt entity) may qualify as a tax deduction; the donor should consult with their tax advisor.

V.            The library board’s Finance committee shall govern and be responsible for the supervision of all activities of the Long-Term Holdings Fund. The Long-Term Holdings Fund is part of the AFL’s assets. Investments shall be made in accordance with the library’s Investment policy.

VI.            The library may accept a wide variety of Long-Term Holdings Fund gifts, such as marketable securities or personal property. Planned giving may also include bequests or other deferred giving (such as charitable or deferred gift annuities or trusts) that are transferred to the AFL directly by the donor or by the donor’s agent upon the death of the donor. These assets may be in any form (such as cash, securities, personal property, or real property) and should identify the AFL as the beneficiary.

VII.            The library or its agent shall not act as a personal representative or executor for a donor’s estate or as a trustee of a charitable remainder trust.

VIII.            Long-Term Holdings Fund gifts may be of two general types:

A.    Unrestricted:  These are gifts with no specific donor requirements or restrictions as to how they are to be used. Expenditures of these funds are made at the discretion of the Board of Trustees for purposes consistent with the mission of the library.

B.      Restricted:  These are gifts for specific objectives or interests of the donor and acceptable to the AFL. These gifts may be in response to a specific request or unsolicited. They may be directed toward and used for special purposes, such as programs, building and grounds, equipment or library materials.  The Library reserves the right to decline Restricted gifts that it deems to be inconsistent with the needs or long-term plans of the library.

IX.            Long-Term Holdings Fund gifts may also express the following:

A.    Designated as currently expendable: In the absence of specific donor or finance and audit committee instructions to the contrary, all gifts are considered to be available for current expenditures.

B.      Designated as a Long Term Holding: Gifts of $5,000 or more may be directed to a named, long-term holdings fund at the request of a donor and with the agreement of the Board of Trustees. Such gifts will be treated as a permanent fund except that the Board of Trustees, by special deliberation or in response to donor instructions, may direct the withdrawal and expenditure of some or all of the corpus at some future time.

Regulations on Spending

I.            The earnings generated by the Long Term Holdings Fund are an unrestricted revenue source which should be included in the budgeting and fiscal process.

II.            Use of the principal of the Long Term Holdings Fund will be limited to particular funding opportunities (i.e. special equipment needs, new buildings, unique recruitment opportunities) or in accordance with a multi-year spending plan.  Withdrawals from the fund corpus are limited to one withdrawal per fiscal year and should not exceed 8% of the current historic book value in any given year.  A 30-day written notice and approval of the Board majority is required prior to withdrawal of corpus funds, except in the case of an emergency, such as an uninsured loss or other unanticipated emergency.

Investment Policy Adoption

AFL’s Donations and Long Term Holdings Policy shall be adopted by resolution of AFL’s Board of Trustees.  The Policy shall be reviewed at least every two years by a Committee of the Board and any modifications made thereto must be approved by AFL’s Board of Trustees.

Approved:  December 21, 2020
Reviewed: November 15, 2021
Reviewed: November 18, 2025