In order to carry out the critical stewardship obligations Ausbon Sargent is held to, we have a Quasi-Endowment made up of two board designated funds.
- The Stewardship Fund – supports the non-legal costs for stewardship of our easements and fee owned properties, including (but not limited to) staff time, monitor training, supplies, record storage, and maintenance of our properties. Such a fund is a requirement of all accredited land trusts.
- The Enforcement Fund – supports the legal defense of any of our easements. It can be used either for mediation or court costs or for legal and professional services to resolve compliance issues. Such a fund is a requirement of all accredited land trusts.
Ausbon Sargent’s Quasi-Endowment also includes a General Reserve Fund to finance special opportunities as they arise or to address temporary funding shortfalls.
To meet its obligations, the Board of Trustees has determined that the endowment should provide 20% of Ausbon Sargent’s operating budget in the future–an amount sufficient to meet the costs of stewarding its current and future properties. The balance of the operating budget derives from membership dues, the Annual Fund, grants and gifts, and investment income.
The Investment Policy provides that up to 4% of the endowment funds may be used each year for this purpose–a prudent and conservative withdrawal rate based on a conservative average growth rate of 6% per year for invested capital.
Ausbon Sargent has a policy that the owner of each new conserved property must contribute to the endowment to support future obligations on that property.