B(2)

ROBINSON COLLEGE OF BUSINESS
GEORGIA STATE UNIVERSITY FOUNDATION, INC.
REVISED GENERAL POLICIES FOR INVESTMENT OF FUNDS AND
ALLOCATION OF INVESTMENT INCOME

Only funds with endowments of $500,000 or more will be separately invested and earn income according to this policy.

All endowments under $500,000, all non-endowed scholarship funds and all special purpose funds will be pooled for investment, and will share in the pro rata earnings based on an annual schedule of interest proposed by the Treasurer of the GSU Foundation, Inc., and reviewed and approved by the Board of Trustees at its annual meeting.

• All Deans Funds and Departmental Funds will not receive interest income.
  
  
• All endowments of $500,000 or more will be separately invested and separate accounting records will be maintained. A pre-set spending policy for each endowment will be established, based on an annual budget submitted to the GSU Foundation, Inc., through appropriate University channels. Any income earned in excess of budgeted fixed income may be added to the principal annually.
  
  Administrative charges for maintenance of such endowments will be administered on a schedule of charges based upon the size of the endowment and the annual income of the endowment. These charges will be approved by the Board of Trustees and will be competitive with the charges administered by local bank trust departments.
  
  
• All endowments under $500,000, including endowed scholarships, will be pooled for investment and will share in the pro rata earnings and administrative charges as approved by the Board of Trustees on an annual basis. Earnings will be paid only to those funds with an average monthly balance of $l,000 or more.
  
  In those situations where solicitations are being made for contributions to establish an endowment, but where these contributions are pledged on some pre-established timetable, cash received will be placed in the pooled funds until the pre-agreed principal (in cash) is received, whereupon the principal will become an endowment fund. Such funds will abide by the investment policies herein established concerning allocation of interest and administrative charges assessed.
  
  
• All endowed funds will have a written agreement between either major donor or the family of the memorial honoree and the GSU Foundation, Inc. and Georgia State University.
  
  
• All non-endowed scholarship funds with an average monthly balance of $l,000 or more will earn interest based on a schedule of interest approved annually by the Board of Trustees.
  
  
• Special Purpose Funds will be allocated interest based on a schedule of interest approved annually by the Board of Trustees. Only funds maintaining an average monthly balance of $50,000 or more will earn interest on the amount in excess of $50,000.
  
  
• Service organizations, e.g., honor societies, alumni clubs, related to Georgia State University, must deposit their member dues, etc., into the GSU Foundation, Inc.
  
  
• Memorial gifts made after the effective date of these policies will be pooled into a single fund called the GSU Memorial Fund. Separate funds will be established only for memorial funds whose principal exceeds $10,000. Interest will be allocated to the GSU Memorial Fund based on a Schedule of Interest approved by the Board of Trustees annually and whose average monthly balance is $1,000 or more.
  
  
• Dormant accounts -- those which have had little or no activity during the year, will be analyzed on an annual basis. The Dean who has recommending authority over these funds will be notified and urged to either spend the money or transfer the balance to an active fund at that time.