An endowment is a permanent fund that the Development Foundation invests. TheBoard of Trusteesallocates a predetermined percentage of the fund each year based upon the approved spending rate (approx. 4 percent) to support the program or scholarship that a donor designates.
Unrestricted gifts do not have conditions or restrictions on how they may be used. This enables the university to use the funds for top priorities. Restricted gifts must be used in accordance with the conditions established by the donor.
The Foundation is an independent not-for-profit corporate entity governed by its ownBoard of Trusteesand is legally independent of the university. The By-laws of the Development Foundation specify that they operate for the sole benefit of the university. The Development Foundation works closely with Texas State University Office ofUniversity Advancement.
Foundation staff perform all accounting and bookkeeping operations internally. An independent Certified Public Accounting firm annually audits Foundation financial statements and management procedures. A copy of the most recent audit is available atAudit.