Scholarships
Individuals or organizations who wish to provide support for students with financial need or academic talent may be interested in establishing a scholarship. A scholarship agreement is written between the donor(s) and the EIU Foundation to establish and manage the scholarship in perpetuity.
The minimum amount required to set up a scholarship is $10,000. (Temporary funds can be created with $2,500 as long as full funding is attained in no more than four years after the initial gift.) The gift may be cash, equities or some forms of property. It also is possible to have a scholarship funded through a donor's estate. In any case the first step is to have a scholarship agreement developed that is acceptable to the donor and to the Foundation. The donor should have a clear idea of the student who will benefit from the scholarship. What should the student's major be? Should the student be near graduation or just getting started at Eastern? Are there specific academic standards that should be met? Who will determine which student or students will receive the scholarship stipends? The Foundation Board of Directors must approve completed agreements.
Current Foundation policy provides for a 5 percent spending rate for scholarships. Of the fund balance, 4.25 percent is awarded to the student, and .75 percent is used for administrative fees. New scholarships are not awarded until the funds have been invested for at least one fiscal year. (A first year award may be given provided the donor makes an additional gift for that specific purpose.)
Initial and succeeding contributions to a scholarship will be deposited, invested and reinvested as directed by the Board of Directors of the Foundation. Excess income and net appreciation over the approved spending rate will be retained for future spending.
Special Project Funds
Support for faculty or student research, funding lecture series, or any number of worthwhile projects may be accomplished in much the same way that scholarships provide stipends for students. Endowment funds for purposes such as these can be set up with a minimum gift of $10,000. Earnings will fund the special project year after year while the endowment grows. Payout rates and other conditions are similar to those for scholarships.
Write or call the EIU Foundation for assistance in preparing the scholarship agreement or special fund. Sample agreements are available for your consideration, and Foundation staff are available to answer any questions you may have.
Confidentiality
All data existing in or originating from the EIU Foundation shall be considered confidential and shall be used only for Foundation approved purposes. Under no circumstances will such data be used for commercial or political purposes.Donors who have provided the necessary funding to establish scholarship funds, whether to benefit a specific college, department or unit, may be reassured that the Foundation will honor the original intent of all donors in perpetuity. In the event of future restructuring of the University which could potentially affect such designations, the Foundation will consider amendments acceptable to the donor (or his/her designated representatives if he/she is unable to respond) to ensure and to preserve the perpetuation of the fund.
