UMF’s advancement office seeks to establish, develop and enhance long-term philanthropic relationships with its alumni, parents and friends. A primary goal of these valued relationships is to communicate the University’s key priorities and to find avenues that align these initiatives to the passion and interests of our donors. Leadership gifts are commonly in the form of endowed gifts.
Endowed gifts may be made in support of financial aid, academic programs, the renovation and construction of campus facilities, programmatic needs in student life, athletics, and other aspects of the College’s operation. Endowed gifts may be funded through a combination of outright gifts of cash and securities, limited partnerships, real estate, other forms of tangible personal property, and may include a planned gift component including bequests, trusts and annuities, or similar vehicles.
Endowed gifts are gifts or pledges of $25,000 or more that may be paid over five years. Endowed gifts contribute to the long range plans of the University by building and preserving our purchasing power.
The importance of building a healthy endowment is significant and critical to UMF. As of September 30, 2013, UMF’s endowment was approximately $12,500,000. The current annual spending rate, established by the University of Maine System board of trustees, is 4.5 percent which will produce approximately $550,000.* This amount is applied towards UMF’s current operational budget of around $32,000,000. That represents only about a 2 percent slice of the entire budget. Schools with much larger endowments actually rely on a much larger percentage, in many cases 30-50 percent.
Endowment gifts and UMF Fund contributions are the vital signs of the University’s fiscal health, and directly impact the quality of the education and experience that UMF can offer its students – today and in the generations ahead.
* The actual amount varies as it is actually calculated based upon a three year market value rolling average.