Arkansas Community Foundation

Meridith Armstrong, an 8th grade history teacher at Goza Middle School in Arkadelphia, was awarded $5,000 from The AHEAD Fund on January 27 at the Arkansas Department of Education building in Little Rock.

January 27 marks International Holocaust Remembrance Day, commemorating the victims of the Holocaust. In 2021, thanks to the efforts of former Governor Asa Hutchinson, Arkansas passed a state law requiring Holocaust education be taught in all public schools for grades 5-12. In 2023, Governor Sarah Sanders signed legislation into law that designates the last week in January as Holocaust Education Week in Arkansas.

The AHEAD Fund (Arkansas Holocaust Education Award Donation) is held at Arkansas Community Foundation. The fund recognizes Arkansas educators who go above and beyond in teaching the powerful lessons of the Holocaust.

Click here to learn more about The AHEAD Fund.

David Ronnel, Founder of The AHEAD Fund and Meridith Armstrong, 2025 Winner

“We are thrilled to celebrate one of Arkansas’s finest educators, Meridith Armstrong. Her passion for teaching the Holocaust is inspiring,” said David Ronnel, Founder of The AHEAD Fund. “Her grandfather, a World War II veteran, instilled in her the importance of Holocaust education and remembrance. In her Arkadelphia classroom, Meridith brings creativity and energy. Holocaust survivors have spoken to her students and she assigns research projects and Ted Talks on the Holocaust. She incorporates Holocaust-specific art, music and food into her lesson plans while also helping her students gain empathy, understanding and appreciation for the things that makes us different, unique and most of all, human.

“On this day, 80 years ago, Allied troops march into the concentration camp known as Auschwitz. They witnessed unimaginable scenes of horror surrounding the systemic murder of more than 11 million people,” said Ronnel. “These liberators were heroes, freeing innocent men, women and children who somehow survived these atrocities.

“Today, the AHEAD Fund serves to honor the memories of the victims, survivors and liberators of the Holocaust. At the beginning of Arkansas’ second annual Holocaust education week, we are encouraged, knowing that more schools across Arkansas are teaching students about humanity’s darkest hours, so that it is never forgotten and never repeated.”

David Ronnel, Meridith Armstrong, Jacob Oliva, Arkansas Secretary of Education and Keith Brooks, State Representative

“Holocaust education is important because it can teach students to speak up against injustice, and act as allies to those who are unjustly targeted and marginalized,” Ronnel said. “It can create a more tolerant outlook by helping students become more open to viewpoints that might be different from there own. And, with the flood of misinformation online, including a growing number of claims denying that the Holocaust ever even happened, its important now more than ever, that students learn from the horrible mistakes of the past.”

A quasi-endowed fund was designed for people and organizations that want to enjoy the excitement of giving larger grants now along with the benefit of investing for future growth. These funds are invested in the markets to keep them growing, but there’s no limit on the amount that can be granted from your fund to the organizations you choose. A quasi-endowment requires a $100,000 minimum to start and the balance must remain above $50,000 for the first three years.

Download this one-pager to learn more about about how a quasi-endowment works.

A recent example of a quasi-endowment in action is held by Habitat for Humanity of Central Arkansas. Like many other nonprofits, Habitat relies heavily on annual giving and donations of all sizes year-round from their donors, but the use of a quasi-endowment allows them to access funds for emergency use and for special initiatives to boost their impact. The pandemic proved a prime example of this. It showed Habitat (and many nonprofits) the importance of growing and maintaining a strong reserve.

“Just like our homeowners must save for the closing costs of their new home, we must save for when a once-in-a lifetime opportunity presents itself to us as well,” said Kelly Fleming, executive director of Habitat for Humanity of Central Arkansas.

Because of a quasi-endowment, Habitat is able to have an impact now, and preserve funds for future use.

In addition to quasi-endowments, the Community Foundation helps donors manage three types of funds depending on the amount they want to donate, desired impact and time horizon. Learn more about the multiple ways to give here.

Arkansas Community Foundation is honored to receive the 2022 Advancing Equity Award from the Clinton School of Public Service and their Center on Community Philanthropy.

Watch the announcement here.

The Advancing Equity Award is presented to organizations using innovative solutions to address racial inequalities in their communities and advance progress toward inclusion. The award recipients will receive support to continue and enhance their efforts. The National Day of Racial Healing (NDORH) is an opportunity for people, organizations and communities across the United States to call for racial healing, bring people together in their common humanity and take collective action to create a more just and equitable world. NDORH is a part of the W.K. Kellogg Foundation’s Truth, Racial Healing & Transformation (TRHT) effort – a national and community-based process to plan for and bring about transformational and sustainable change and to address the historic and contemporary effects of racism.

The largest grantmaker in the state, Arkansas Community Foundation is a statewide nonprofit organization that offers tools to help Arkansans protect, grow, and direct charitable dollars while learning more about community needs. The Community Foundation engages people, connects resources, and inspires solutions to build community. You understand your clients’ charitable goals. We understand smart giving. Partnering with the Community Foundation, you stay in control of your client relationships while we provide the tools and resources to make the philanthropic process simple, flexible, and efficient.

Here is what is going on and how the proposed changes might affect charitable giving strategies.

Under President Joe Biden’s proposed tax plan, taxpayers making more than $400,000 per year would be taxed at a top income tax rate of 39.6%, an increase from 37% under current law. That would mean charitable giving would become more advantageous under the new law for some taxpayers.

A separate provision in the proposed plan, however, would impose a 28% limit on charitable deductions for taxpayers who make more than $400,000 per year. This would mean that instead of avoiding income tax on charitable gifts at the rate of 39.6% as described above, these taxpayers would escape income tax only at a rate of 28%. (A similar provision was proposed, but never enacted, during the Obama Administration.)

The tax proposal also calls for increasing—from a maximum rate of 20% to 39.6%—the capital gains and dividend tax rates for taxpayers whose annual earnings exceed $1 million. For affected taxpayers, this change would create opportunities to avoid significantly more tax than is possible under current law for gifts of appreciated assets. An increase like this would create a huge incentive for philanthropists to support charitable organizations.

Next, the tax proposal calls for a 3% reduction of itemized deductions for taxpayers making more than $400,000 per year. This is reminiscent of the so-called “Pease Amendment” that was repealed in 2018. Although the reinstatement of this rule could have some negative effects on charitable giving, the rule’s impact would be blunted for taxpayers for whom the reduction is absorbed by other types of itemized deductions (mortgage interest payments, for instance).

Perhaps the component of President Biden’s proposal with the biggest potential impact on ultra-wealthy philanthropists is his intention to raise estate taxes and change the way capital assets are taxed after death.

Currently, the gift and estate tax exemption per person is $11.58 million and $23.16 million for a married couple. These amounts are effectively double what they were before the Tax Cuts and Jobs Act of 2017 (TCJA). The TCJA calls for an automatic sunset of these increases on December 31, 2025, at which point the exemption will drop back down to $5 million per person, as adjusted for inflation. Under Biden’s proposed tax plan, though, the estate and gift tax exemption and rates would be restored to the lower levels of more than a decade ago.

In addition, Biden’s proposal calls for substantial elimination of the step up in basis from the taxpayer’s cost to fair market value at the time of death, further complicating existing estate plans for many families. Some philanthropists have deferred charitable gifts to 2021 under the assumption that tax laws will change dramatically.

Despite the uncertainty about exactly what might happen with the tax laws in 2021 and beyond, there are still opportunities for you to advise your charitable clients with conviction that they are doing the right thing for themselves and for the causes they care about. To that end, keep in mind the changes to the charitable contribution deduction for 2021:

Extends until 2021 the above-the-line temporary charitable deduction that was included in the CARES Act. Non-itemizer individuals in tax year 2021 can deduct $300 for cash contributions to qualifying public charities, and non-itemizer couples filing jointly qualify for $600. Donations to donor advised funds and supporting organizations are not eligible for this deduction; however, we can create designated funds that qualify for the deduction.
Extends for one year the increased limit from the CARES Act on deductible charitable contributions for corporations and taxpayers who itemize. The limits for 2021 will be 100 percent of AGI for individuals and 25 percent of taxable income for corporations

As always, Arkansas Community Foundation can help you develop your clients’ charitable giving plans to maximize impact and tax savings. Contact us at 501-372-1116.

The next round of the Rural Relief Small Business Grants Program is now open. As part of their continuing commitment to elevate their impact in rural America, OneLISC is inviting small business owners in rural locations across the country to apply for the LISC-Lowe’s Rural Relief Small Business Grants program. Applications are open 1/26/21 through 2/2/21.

To find who is eligible, how the application process works and to apply, visit the LISC website. Rural LISC is committed to the integrity of the grant application process and to the security of applicants’ information. A couple of things to keep in mind:

Valid grant applications are only accepted through the links posted on the LISC website.
We will never request copies of personal documentation such as driver’s licenses, passports, and/or green cards.
The application is easy to fill out, requiring basic business information – professional grant writing assistance will not increase the chances of selection.
Rural LISC works with 92 partner organizations creating sustainable rural communities across 45 states. Visit our website here and if you would like to sign up to receive the Rural eNews each month, click here.

By Lesley Roberts, Philanthropic Advisor

As 2025 unfolds with uncertainty, philanthropy remains a powerful strategy for your clients—especially during economic shifts. Here are three key trends to watch as you help clients stay focused on long-term impact.

1. Clients Still Want to Give

While overall giving may dip in tough times, committed donors typically continue supporting the causes they care about. In fact, giving often rebounds as the economy recovers. Donor advised funds (DAFs), in particular, have proven resilient during downturns, offering flexible, stable support for nonprofits. This matters because economic hardship often increases demand for services. Through the Community Foundation, your clients can see their giving make a local difference—right when it’s needed most.

2. Legislation Is in Motion

The pending expiration of the Tax Cuts and Jobs Act at the end of 2025 could reshape charitable planning. Meanwhile, new proposals are gaining traction:

The Death Tax Repeal Act of 2025 aims to eliminate the federal estate and GST taxes.
Proposed legislationwould allow Qualified Charitable Distributions (QCDs) to be made to donor advised funds for individuals over 70½—an expansion of current rules.

These developments could significantly impact giving strategies.

3. Long-Term Giving Is Gaining Momentum

Some clients may question the long-term effectiveness of their giving. The answer? It matters—especially now. “Big bet” philanthropy is growing: donors are pooling resources to fund solutions to deep-rooted challenges. These long-haul efforts take time, trust, and collaboration. The Community Foundation is uniquely positioned to help your clients turn ambitious goals into sustained impact.

By Jody Dilday, Philanthropic Advisor

There are nearly 150,000 private foundations in the U.S., holding over $1 trillion in assets. So, it’s common for people to consider starting one when planning their charitable giving. You probably have clients who already have a private foundation.

But donor advised funds (DAFs) are growing fast—there are almost 2 million of them now, and they give out around $50 billion in grants each year. More and more, people are using both private foundations and DAFs. Some clients are even thinking about moving their private foundation’s assets to a DAF at the Community Foundation to make things easier while keeping the family’s mission alive.

If you’re working with clients considering this, here’s a quick guide:

1. Think About the Work Involved

Running a private foundation takes a lot of time. As future generations take over, managing it can become a burden. Many families find it takes focus away from helping nonprofits.

2. Understand the Tax Issues

Private foundations must follow strict IRS rules. Things like investments, payouts, and avoiding conflicts of interest (“self-dealing”) can get complicated. If a client wants to donate a family business, it’s usually better to use a DAF—doing it through a private foundation could lead to tax problems.

3. Get Help from the Community Foundation

We can guide you and your client through closing a private foundation and moving the assets to a DAF. First, the foundation’s board needs to approve the move and record it in meeting notes.

4. Start the Donor Advised Fund

The client can create a DAF with a name like “Smith Family Foundation Fund.” The people who advise on grants can stay the same, just like the private foundation’s board.

5. Transfer the Money

The private foundation will give most of its assets to the new DAF. Make sure enough money stays behind to pay any final bills before officially closing the foundation.

6. Finish the Process

As long as the foundation is in good standing with the state, closing it for tax reasons is simple when assets go to the Community Foundation. The foundation just needs to file a final tax return and follow any steps required by the states it’s registered in.

Whether your client is ready to make the move now or just exploring options, we’re here to help!

by Ashley Coldiron, Chief Development Officer

If you’ve represented charitable families over the years, you’ve certainly heard the term “charitable remainder trust,” sometimes called a “CRT.” You might have even helped clients set them up.

For most attorneys, CPAs, and financial advisors, CRTs don’t come along every day. Because a CRT can be such an effective planning tool in certain situations, it’s useful to have at least a basic level of knowledge about how they work.

Here are six important points to keep in mind.

What is it? Your client establishes a CRT as a standalone trust. The trust pays an income stream to the client (and potentially other beneficiaries such as a spouse or children) for life or for a period of years. According to the trust’s terms, whatever assets are left when the income stream ends will pass to a charity, or to your client’s fund at the Community Foundation.

Where does the charitable deduction figure in? Because the transfer of assets to the CRT is irrevocable, your client is eligible for an up-front charitable income tax deduction in the amount of the present value of the charity’s future interest, calculated according to IRS-prescribed rules and interest rates. Remember that assets held in a CRT are excluded from your client’s estate for estate tax purposes.

Who is it for? The ideal client to establish a CRT is typically someone who owns highly appreciated assets, including marketable securities, real estate, or closely-held business interests. That’s because a CRT allows these assets to be sold within the trust without triggering immediate capital gains taxes, enabling the proceeds to be reinvested.

Why are some trusts called CRATs and CRUTs? A “charitable remainder annuity trust” (“CRAT”) is a type of CRT that distributes a fixed dollar amount each year to the income beneficiary. Your client cannot make additional contributions to a CRAT. A “charitable remainder unitrust” (“CRUT”), on the other hand, is a type of CRT that distributes a fixed percentage (at least 5%) annually based on the balance of the trust assets (revalued every year). Your client can make additional contributions to a CRUT during lifetime.

When is a CGA a better fit? The tax laws permit a client over the age of 70 ½ to make a once-per-lifetime transfer from an IRA of up to $54,000 (2025 limit) to a CRT or other split-interest vehicle, such as a charitable gift annuity (CGA). This is sometimes called a “Legacy IRA.” Because the cost of setting up a CRT usually means that a $54,000 CRT is impractical, a client who wants to leverage the Legacy IRA opportunity may lean toward a CGA instead.

How can I learn more? As is the case with any question you encounter from a client about charitable giving techniques, consider the Community Foundation your first call. We can help you navigate the options and identify strategies that are likely to best meet a client’s needs, and we are always happy to assist.

We look forward to working with you!

Pine Bluff, Ark. (Apr. 9, 2025) – Arkansas United Methodist, in partnership with Arkansas Community Foundation will be hosting a disaster case management training over the coming weekends. The two-part training will take place at Lakeside United Methodist Church on Saturdays April 26 and May 3. The training will offer a unique opportunity for volunteers that want to help out following disasters.

After a major disaster event like a flood, tornado or fire, many nonprofit organizations are often there to help with immediate needs—making sure that those affected have shelter, food, clothing and other necessities.. After those organizations leave and the media cycle passes, communities still have many needs to continue rebuilding. That is often a long and sometimes lonely road. Disaster case managers work with families and households to fully recover. Having trained disaster case managers is especially important as for spring in Arkansas, and the severe weather and heavy rains that can come along with it.

In especially widespread events, disaster case managers may even be paid positions. This training may be valuable for those interested in supporting communities across the state.

Training participants will learn how to help victims of disasters to get connected with resources, work with local disaster committees, navigate through insurance and FEMA appeals, and connect with experts that have disaster case management experience. Training is $10 per person.

Anyone wanting to make a real difference in helping communities get back on their feet after a disaster can register by contacting Lauren Morris at lmorris@arcf.org or at 501-372-1116.

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Arkansas Community Foundation, a statewide nonprofit organization, provides resources, insight and inspiration to build stronger Arkansas communities – communities where our kids will want to raise their kids. The Community Foundation is the largest grantmaker in the state in the number of grants made each year. Since 1976, the Foundation has awarded more than half a billion in grants to nonprofits. Serving local communities through a 29-affiliate network along with statewide initiatives, the Foundation staff works directly with donors, professional advisors and nonprofits to help strengthen Arkansas communities through strategic philanthropy and focusing on local needs. Its assets rank among the top 60 of community foundations in the United States with more than $800 million in charitable assets under management.

By Lesley Roberts, Philanthropic Advisor

Incorporating philanthropy into your child’s birthday celebration can be both fun and meaningful. Instead of gifts, kids can collect donations for a favorite cause, such as books for a children’s hospital or pet supplies for an animal shelter. Beyond the party, teaching kids about giving fosters lifelong generosity.

Here are some additional ways to instill charitable values:

Be Intentional: Make giving a family tradition to help children see wealth as a tool for positive impact.
Make It Tangible: Show kids how their contributions help. Explain how $100 can feed a family for a week or $1,000 can provide classroom supplies.
Let Them Choose: Kids engage more when they get to choose the causes they care about. Our Arkansas Nonprofit Directory offers insights into local nonprofits and AspireArkansas.org offers information on community needs.
Get Hands-On: Volunteering as a family reinforces the value of giving. Whether it’s a food bank visit or a neighborhood drive, these experiences help make philanthropy real.

The Community Foundation is here to help families cultivate a spirit of giving. We’re honored to support all generations in building a stronger community.

By Jody Dilday, Philanthropic Advisor

When disaster strikes, the urge to help is natural. Yet, effective crisis giving requires thoughtful planning. Here’s how to ensure your donation makes the greatest impact:

Verify the Charity: Give to reputable organizations with a proven track record. Check our nonprofit directory to find and verify organizations you’re considering.
Cash is Best: While supplies like food and medical aid are essential, cash donations allow charities to purchase exactly what’s needed and support local economies.
Beware of Pressure Tactics: Avoid high-pressure appeals that lack transparency. Predatory fundraising behavior often emerges following disasters when emotions and needs are high.

The Community Foundation is here to help. We can guide you in making informed decisions, protecting your gift from fraud, maximizing tax benefits, and ensuring your donation supports both immediate relief and long-term recovery.

Whether you have an established fund or are considering one, we are honored to assist you in making a meaningful impact when it matters most.

By Ashley Coldiron, Chief Development Officer

Planning for the future is important, and that includes making a will, setting up a trust, and creating financial plans for retirement. But have you considered including charitable giving in your estate plan? The Community Foundation is here to help you align your giving with your values while maximizing financial benefits.

Formalizing your charitable intentions can bring purpose and extend your impact beyond your lifetime. Thoughtful giving strategies can also offer tax benefits, such as reducing taxable income through charitable deductions or minimizing estate taxes by directing funds to charity. Donating appreciated assets, like publicly traded stock, can help you avoid capital gains taxes while supporting causes you care about.

The Community Foundation team is ready to guide you in creating a philanthropy plan that incorporates both lifetime giving and legacy gifts. Here are three key considerations:

Give to What You Know: Supporting causes you are personally connected to brings the greatest fulfillment. If you need guidance, our team can provide insights on charities that align with your values.
Give Where You Live: Local organizations often address the most pressing needs in your community. We can help identify opportunities to make a meaningful difference close to home.
Give to the Causes You Love: When you donate to organizations that align with your passions, you are more likely to stay engaged and make a lasting impact.

Whether you already have a donor advised fund or are just beginning your charitable giving journey, the Community Foundation is honored to support your philanthropy. We look forward to helping you create a plan that reflects your generosity and vision.

Carroll County Community Foundation Board of Directors are working to continue the charitable legacy of the late Wayne and Janet Clark. Supporters of the Community Foundation since its inception in 2001, the Clarks created their own named endowment in 2002 which endures today – lending financial assistance to many projects throughout the county in their memory.

In the past 12 months, the Wayne and Janet Clark Charitable Endowment has provided two significant donations to the Berryville community. In the summer of 2024, a Clark Endowment grant built a safety fence around the Janet Clark Memorial Playground next to the Berryville Community Center.

“The addition of the fencing around our playground has been a huge safety benefit for our patrons and looks attractive as well. We cannot say enough how thankful and blessed we are for the contributions of our donors and the Clark Endowment through the Carroll County Community Foundation,” said Jamie Hussey, Berryville Parks and Recreation Director.

Last week, the Clark Endowment provided a significant grant to the Friends of the Berryville Library to bolster support of the new library building program.

“We are very thankful for the support of the Clark Endowment. Like an endowment, a new library in Berryville will be a gift that serves our community for generations to come,” said Julie Hall, Director, Berryville Library. “We have been raising money towards this goal for years and are breaking ground April 1. While this is a momentous achievement, we are not done yet. We need to raise additional funds to furnish the building.”

The Clark’s charitable legacy is a perfect example of the power of an endowment—it grows through investment and gives out grants forever. In 23 years, their endowment has provided 75 grants totaling over $215,000. It will never stop giving back in their memory. The Clarks understood that a charitable gift should be an investment in a cause you care about that will generate unending returns for the entire community.

First row: Joe Scott, Mavis Lehr, Kristy Noble Tesch (representing the Berryville Friends of the Library), Janell Robertson, Taylor Hudspeth Back Row: Mike Reed, Teddy Willing, Kathy McCormick (all CCCF Board members except for Kristy Noble Tesch who accepted the grant on behalf of the Friends of the Library)

“We are so thankful for donors like the Clarks,” said Janell Robertson, Carroll County Community Foundation Executive Director, “Their love and continued support for our county through their thoughtful and generous endowment reminds us that we can all make a difference, not just now, but forever.”

Working with the Carroll County Community Foundation provides charitable donors with the opportunity to give where it matters to them while maximizing their tax-deductible contributions.

by Jody Dilday, Philanthropic Advisor

Keeping up with tax law changes is a challenge, and 2025 is shaping up to be a landmark year. Many advisors turn to the Community Foundation for insights on legislative shifts that could impact charitable giving. Here’s what you need to know:

Tax Cuts and Jobs Act (TCJA) Sunset – When the TCJA expires at the end of 2025, key provisions will revert to pre-2017 levels. The top individual tax rate will increase from 37% to 39.6%, potentially enhancing the benefits of charitable deductions. The estate tax exemption will also drop significantly, making charitable bequests a valuable tool for reducing tax liabilities.
Potential Expansion of Charitable Deductions – Proposed legislation, such as the Charitable Act, could introduce a universal deduction for non-itemizers, encouraging broader charitable giving. This bill continues to gain traction.
Uncertain Impacts – The looming 2025 “cliff” may lead to a major tax code rewrite, influencing charitable giving trends. A past example: after the TCJA reduced tax incentives for donations, charitable giving declined by as much as $20 billion.

The bottom line? We’ve got you covered. The Community Foundation closely monitors tax law developments and their implications for you, your clients, and the nonprofits they support. We’re here to help you navigate the complexities and seize opportunities for strategic charitable planning.

by Lesley Roberts, Philanthropic Advisor

As the holiday glow fades, many clients face the annual stress of gathering tax documents and working with their CPAs, financial advisors, and tax attorneys. Preparing for last year’s filings and planning for the year ahead can feel overwhelming. This year, several factors make tax season particularly challenging:

Uncertainty in Legislation – With ongoing changes to tax laws, both advisors and clients struggle to plan with confidence. When so much is up in the air, it’s difficult to provide reassurance.
Emotional Strain – Confronting financial realities—income, debts, losses, and tax liabilities—can be draining. Clients who procrastinate may feel even more stressed.
Information Overload – The abundance of tax advice online can create confusion. Misinformation or conflicting strategies often make it harder for clients to trust professional guidance.

But there’s good news! Discussing charitable giving can be a bright spot during tax season. Philanthropy not only offers tax benefits but also brings positive emotions to the surface. Many of your clients have already established donor advised funds or other giving vehicles with the Community Foundation. Others may be ready to start their philanthropic journey now.

We’re here to support you. As you navigate tax season, don’t hesitate to reach out. The Community Foundation is honored to be your trusted partner in helping clients align their financial plans with their charitable goals—now and all year long.