2006 Code of Virginia § 55-268.1 - Definitions

55-268.1. Definitions.

As used in this article:

(1) "Institution" means an incorporated or unincorporated organizationorganized and operated exclusively for educational, religious, charitable, orother eleemosynary purposes or a governmental organization to the extent thatit holds funds exclusively for any of these purposes;

(2) "Institutional fund" means a fund held by an institution for itsexclusive use, benefit or purposes, but does not include, (i) a fund held foran institution by a trustee which is not an institution, unless the fund isheld by the trustee as a component trust of a community trust or foundation,or (ii) a fund in which a beneficiary, which is not an institution, has aninterest other than possible rights which could arise upon violation orfailure of the purposes of this fund;

(3) "Endowment fund" means an institutional fund, or any part thereof,which is not wholly expendable by the institution on a current basis underthe terms of the applicable gift instrument;

(4) "Governing board" means the body responsible for the management of aninstitution or of an institutional fund;

(5) "Historic dollar value" means the fair value in dollars of an endowmentfund at the time it first became an endowment fund, plus the fair value indollars of each subsequent donation to the fund at the time it is made, plusthe fair value in dollars of each accumulation made pursuant to a directionin the applicable gift instrument at the time the accumulation is added tothe fund. In determining historic dollar value of individual endowment fundsmaintained in pooled or common institutional funds, institutions may use theaggregate historic dollar value of an institutional fund to determine thehistoric dollar value of an individual endowment included therein at anyparticular date based on the institutional fund's current allocation betweenappreciation and historic dollar value as determined on an aggregate basisfor the institutional fund. The determination of historic dollar value madein good faith by the institution is conclusive;

(6) "Gift instrument" means a will, deed, grant, conveyance, agreement,memorandum, writing, or other governing document (including the terms of anyinstitutional solicitations from which an institutional fund resulted) underwhich property is transferred to or held by an institution as aninstitutional fund.

(1973, c. 167; 1995, c. 199; 1997, c. 219.)