Page 17 – Arkansas Community Foundation

Deborah Knox has a long history of community leadership and service to Mountain Home. As a founding member of the Twin Lakes Area affiliate twenty years ago, she has supported dozens of local causes by being a do-er, donor and door-opener.

“Growing up, I always had a sense that I wanted to make the world a better place,” Knox said. “Being on the board for the local affiliate has shown me the breadth of need here locally. Most people don’t know how deep the needs of people run in the Twin Lakes area—for example, the percentage of people suffering from food insecurity in Baxter County is almost 16%.

“But one benefit of living in a small community — you can see impact easier.”

The number of causes she’s worked with in 39 years as a resident of Mountain Home is vast. A former practicing attorney, she helped start the Baxter County Library Foundation and served as a justice of the peace. She currently sits on several boards including the Arkansas State Library Board, is a Rotarian, active in her church and now serves as a member of the newly formed homelessness taskforce.

“There are so many great organizations in this area working hard to make a difference,” she said. “Tom [her husband] and I have an endowment in memory of his three brothers that supports hospice. We have a Charitable Remainder Trust to be administered by Arkansas Community Foundation which will benefit our church and the Baxter County Library Foundation.”

Helping improve early childhood literacy is one of her passions — seen in her work to support the library in Baxter County.

“I helped start the Baxter County Library Foundation. We sought a grant from the Donald W. Reynolds Foundation for the purpose of building a new library facility. We received $10 million from Reynolds, but we also had to raise $2 million locally. I chaired the campaign to help raise those funds,” Knox recalled. “I had never raised money before like that. It pushed me out of my comfort zone and challenged me, but we got it.”

When asked what “community leadership” means, she said, “When you see a need, you can’t unsee it. You have to put your efforts into meeting that need. It can be alone, or with others, but you must find a way to help. The Community Foundation makes this easy. It is a great vehicle to connect those that want to help, with those who need it.

“Tom and I have two grandkids, Wally and Graeme,” she said. “I want to show them that it’s as fulfilling to give as it is to receive.”

Philanthropy Club is a group of individuals who gather each month to learn about the needs in the community and how various local nonprofits are uniquely equipped to address those needs. Unlike a “giving circle” which pools financial resources and makes contributions together, members of Philanthropy Club individually decide if and how they might support the organizations they visit.

Danyelle Musselman poses near the student section in Bud Walton Arena.

Since Danyelle Musselman moved to Arkansas, she’s found herself in a new position. Not only as the first lady of Arkansas Razorback basketball but now in a position to give.

“I had a new problem all of a sudden, in that for the first time I really needed to get my charitable giving organized,” the head coach’s wife said. “I was introduced to the Foundation by attending Philanthropy Club where I met (Community Foundation VP) Jody (Dilday) and she broke it all down for me.”

Soon after, she and her husband Eric started the Muss Bus Charitable Fund through Arkansas Community Foundation. “The Foundation is my easy button! Nothing is too big or small. Through the Philanthropy Club, I have been exposed to so many good causes in this area,” Musselman said. “It is easy to stay caught up in one’s own bubble, but the Club has shown me new people, challenges and solutions that are happening here. For example, the work being done with the Marshallese community, the Samaritan Community Center and the Cancer Support Home — to name a few. We’ve seen dozens of organizations doing good work.”

When asked “What hits home?’’ She is quick to answer. “Organizations that support cancer patients and their families. My mother is a breast cancer survivor and both of her parents died of cancer when she was young. Many offshoots of the American Cancer Society are doing amazing work. One organization provides wigs for patients that have brown and black skin which are hard to find, so I loved supporting that.”

Musselman is spreading her philanthropic influence in other states, as well. “An unintended outcome of the Muss Bus Charitable Fund is that other coaches’ wives across the nation have seen what we’ve done and are starting to do it, too. We’ve connected these coaches’ families to their own local community foundation,” she said. “My instructions to Eric: win games! That keeps people drawn to what I’m doing and keeps the energy going. We also involve his players in local service projects.

“I hope we can continue to grow our giving here and keep learning about more causes,” Musselman remarked. “I’m not a native Arkansan, but it is amazing to see how people here rally around one another to help.”

The future of the Muss Bus Charitable Fund is bright — not only for Danyelle and her philanthropic interests, but the next generation of Musselmans, too. “My daughter, Mariah, is 12. She often goes with me to events and can see the needs that local nonprofits are working to fix,” Musselman said. “Hopefully by exposing her to these causes and modeling how one can give back, she will be inspired to do the same.”

The recent one-year anniversary of the start of the Ukraine conflict and the earthquake that has devastated Turkey and Syria are causing many to explore ways they can help. In an era of abundant giving methods and unfortunately potential fraud, the Community Foundation is a source of reliability and expediency to help your clients act on their charitable instincts.

While there are many viable options for your clients to activate their generosity toward relief efforts, there are also caveats. Although global disaster giving is important, it is also important for clients to stay tuned to the most critical needs right here in our community. Community needs may not result from a disaster, but the impact of ongoing crises including lack of health care and poverty can be damaging over the long term.

How the Community Foundation can help

The Community Foundation can help your clients fulfill their giving instincts by acting as a secure, knowledgeable, and trustworthy facilitator. Our team personally knows, and regularly vets, hundreds of charities each year. We can help you and your clients navigate the options for both local and international giving.

Frequently, a donor-advised fund at the Community Foundation will be a suitable giving vehicle for your clients. Our team can help connect your clients to the causes they care about by identifying the most effective organizations addressing the critical needs both locally and globally in your clients’ areas of interest. Working with the Community Foundation also helps your clients secure robust tax planning benefits that can be missed when a client gives to charity on impulse.

Finally, the Community Foundation can help your clients steer clear of scams perpetuated by familiar-looking but sham websites and QR codes, both of which proliferate during highly emotional or threatening times surrounding a disaster. While your clients may be tempted to make a gift online or by phone out of compassion in response to a verbal solicitation or a news story, remind them that the Community Foundation has much to offer—safely, securely and advantageously—when it’s time to make impactful humanitarian gifts both here and abroad.

Most attorneys, accountants and financial advisors are well-aware of donor advised funds and the reasons behind their popularity. Especially when established at the Community Foundation, a donor advised fund is an excellent way for your clients to organize their charitable giving and get even more connected to the causes they care about.

Enter the Qualified Charitable Distribution

Your clients can give nearly any type of asset to a donor advised fund at the Community Foundation. A notable exception, though, is the Qualified Charitable Distribution (QCD.) A QCD allows a taxpayer 70 ½ or older to make a direct transfer of up to $100,000 annually from an IRA to a qualifying charity. A donor advised fund is not considered to be a qualifying charity. Although donor advised funds cannot accept QCDs, the Community Foundation offers other types of funds that can accept QCDs. For example, designated funds and field-of-interest funds held at the Community Foundation are ideal recipients of QCD transfers. These fund types are often overlooked, despite the high value they can deliver to your client and to the community.

What is a field-of-interest fund?

The Council on Foundations defines a “field of interest fund” as “A fund held by a community foundation that is used for a specific charitable purpose such as education or health research.” Perhaps your client is passionate about rare-disease solutions, food insecurity or access to art. Your client decides on a name for the fund (can be the family name, cause-related or even nondescript) and then the knowledgeable team at the Community Foundation distributes grants from the field-of-interest fund in a way that is aligned with your client’s values and charitable wishes outlined in the fund agreement.

What is a designated fund?

Designated funds are defined as, “A type of restricted fund in which the fund beneficiaries are specified by the grantors.” These are a good choice for a client who knows they want to support a particular charity or charities for multiple years. The client names the fund and the Community Foundation fulfills the distributions. Made over time, these funds can help the charity or charities’ cash flow planning. Distributions are aligned with your client’s wishes set forth in the original fund document.

QCD reminders

For the client aged 70 ½ through 72, a QCD removes funds from an IRA before the client reaches the age-73 threshold for Required Minimum Distributions (RMDs.) This can lessen the eventual income tax hit that accompanies RMDs. And for RMD-applicable clients, the QCD counts toward their RMD. In both cases, the QCD transfers do not fall into the client’s taxable income. QCDs are even more popular now that the $100,000 cap will be indexed for inflation under the new laws. Also, under the new laws, a one-time, $50,000 distribution to a charitable remainder trust or charitable gift annuity is now permitted.

Little Rock, Ark. (Feb. 6, 2023) – Arkansas Black Hall of Fame Foundation, in partnership with Arkansas Community Foundation, is awarding grants to programs that benefit African American or underserved populations in Arkansas. Nonprofits with programs focusing on education, health and wellness, youth development, strengthening families and economic development are eligible to apply. Proposals will be accepted online now through April 1.

“We are especially grateful to our donors whose consistent support allows us to make grants to grassroots organizations throughout Arkansas. It is critically important that we continue to support organizations facing new challenges created by the pandemic,” said Charles Stewart, ABHOF Chair. “Typically, our grants range from $1,000 to $2,500, but may approach $5,000 in special circumstances. There are many nonprofits working tirelessly in communities throughout Arkansas to improve the quality of life for its citizens.”

Since 2004, ABHOF has granted more than $717,000 to nonprofits across the state. Projects funded through this grant program range from support for temporary emergency shelter for families temporarily displaced to support for the first Arkansas Racial Equity Summit at UCA.

“Our long-standing partnership with Arkansas Black Hall of Fame Foundation empowers local people working to find solutions to the needs of their underserved communities,” said Heather Larkin, president and CEO of the Community Foundation. “We’re honored to work with Arkansas Black Hall of Fame Foundation to provide a support system for Arkansas.”

Funds from Arkansas Black Hall of Fame Foundation cannot be allocated for salary support or to support general operating budgets outside the specific proposal or project.

Priority consideration for grants:

Requests that show multiple sponsoring agencies/organizations.
Requests that include evidence of local financial support (including, but not limited to, in-kind support.)
Requests that demonstrate collaborative ventures among organizations within the community.
Requests that have promise for sustainability beyond the period of the grant.
Requests that show an innovative approach to community challenges.

All geographic sections of the state are eligible. Scholarship requests will not be considered. Only 501(c)(3) nonprofit organizations, hospitals, public schools and government agencies are eligible to apply now through April 1 atwww.arcf.org/ABHOF. Organizations that do not qualify for tax-exempt status are not eligible.

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Arkansas Black Hall of Fame Foundation aims to provide an environment in which a future generation of African American achievers with Arkansas roots will thrive and succeed. The Foundation honors the contributions of African Americans through its annual Black Hall of Fame induction ceremony and awards grants to support charitable endeavors in Black and other under-served communities throughout Arkansas. Learn more at www.arblackhalloffame.org.

Arkansas Community Foundation, a statewide nonprofit organization, provides resources, insight and inspiration to build better 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 provided more than $393 million to nonprofits. 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 out of more than 800 community foundations in the United States. Serving statewide and local initiatives, the Community Foundation helps connect those who want to give to causes they care about. Contributions to Arkansas Community Foundation, its funds and any of its 29 affiliates are fully tax deductible.

Little Rock, Ark. (Feb. 1, 2023) – Scholarships are now available for eligible Arkansas students through Arkansas Community Foundation.

The Community Foundation’s scholarships are for Arkansas students pursuing education at two- or four-year colleges or universities, vocational schools or technical training programs. Each scholarship has its own eligibility criteria. Some scholarships are designated for graduates of a particular high school or those who plan to attend a particular college. Others are based on extracurricular activities or intended college majors.

“Since 1976, the Community Foundation has partnered with individuals and organizations who want to support students in their pursuit of higher education,” said Heather Larkin, Community Foundation president and CEO. “These generous people provide the funding and determine the size and eligibility criteria of each scholarship, while we oversee the application and awarding process on their behalf.”

Scholarships with statewide eligibility include:

Abigail Robertson Scholarship, provides a scholarship for female students pursuing a business degree at a college or university in Pulaski County
Advancing Women in Transportation Scholarship, provides a scholarship to female students who plan to pursue a career in a transportation related field in Arkansas
Anne Pressly Scholarship, to memorialize the legacy of Anne Pressly and support a graduating high school senior woman who plans to pursue a career in Journalism
Arkansas Service Memorial Scholarship, for students who are children of Arkansans who lost their life in service in the state, nation or community
Barbara Mashburn Memorial Scholarship, provides a scholarship for a graduate of an Arkansas high school pursuing an education as a vocalist
East Student Scholarship, provides a scholarship to a graduating senior who attends any high school with an EAST program
Elizabeth G. Redman Republican Party of Arkansas Scholarship, for students who are members of or active in the Republican Party of Arkansas
Herchel and Melba A. Fildes Scholarship, provides a scholarship to students studying nursing and attending Harding University in Searcy, Arkansas or Arkansas State University in Beebe
Lillian McGillicuddy Republican Party of Arkansas Scholarship, for students who are members of the Arkansas Federation of Young Republicans or are active in the Republican Party of Arkansas
Marie and Bob Marshall Republican Party of Arkansas Scholarship, for students who are members of or active in the Republican Party of Arkansas
Merwin T. and Agnes Bowman Nursing Scholarship, for students seeking a Bachelor of Science in Nursing or equivalent degree from a qualified institution
Poultry Federation Scholarship, provides scholarships to students pursuing a degree related to the poultry industry and attending a school in the University of Arkansas system, Arkansas State University system, Arkansas Tech University or Southern Arkansas University
Robert P. Atkinson Hospital Leadership and Scholarship, provides a scholarship to students pursuing an advanced degree with an emphasis in healthcare and/or hospital administration
Ryan Mondy D.A.S.H. Memorial Scholarship, provides scholarships to graduating seniors whose lives have been affected by cancer

To apply, and for more information about these and other scholarships, visit www.arcf.org/apply/scholarships/.

Deadlines for scholarship applications differ and can be found on the application portal.

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If you’ve been tracking federal legislation, you’re likely aware that on December 29, 2022, President Biden signed a $1.65 trillion-dollar omnibus spending bill known as the Consolidated Appropriations Act of 2023 (“CAA”).

A component of this legislation, known as “SECURE 2.0,” includes many provisions that make it easier for people to build retirement savings.

Three of the new law’s provisions are particularly interesting to people who give to charities, especially related to a planning tool called the Qualified Charitable Distribution (QCD). Many individuals who are 70½ or older have already been taking advantage of the QCD. This technique allows a taxpayer to make an annual transfer of up to $100,000 from an IRA to a qualifying public charity (such as a designated fund, field-of-interest fund, scholarship fund, or unrestricted fund at the Community Foundation.) The taxpayer does not need to pay income tax on the distribution and, for taxpayers who must take RMDs from their retirement plans, the QCD counts toward that year’s RMD.

Here’s what’s new, thanks to SECURE 2.0:

More time to accumulate retirement assets

Under the new law, the required minimum distribution (RMD) age (previously 72) increased to 73 on January 1, 2023. RMDs are the IRS-mandated distributions from qualified retirement plans. The RMD age will further increase to 75 beginning on January 1, 2033. This provision is a boost to retirees’ financial plans and may mean more dollars available for charitable giving, especially in the form of a tax-savvy beneficiary designation of retirement plans to charity.

Note that the age for QCD eligibility is still 70½, and, still, donor-advised funds are not eligible recipients of a QCD.

“Legacy IRA” opportunity

SECURE 2.0 makes QCDs even more attractive because taxpayers may now make a one-time $50,000 QCD transfer to a charitable remainder trust (CRT) or other split-interest gift such as a charitable gift annuity (CGA). These components of the new law are called the “Legacy IRA” provisions.

Bigger QCDs

The annual per-taxpayer $100,000 QCD cap is now slated to be indexed for inflation, which will allow taxpayers to give even more from their IRAs directly to charity.

The team at the Community Foundation would be happy to talk with you about how the new laws can enhance your charitable giving plans. Reach out anytime!

As economic times get tough, more and more people are asking how they can make the biggest difference right in their own backyard. Often, the greatest needs really are right here at home.

Over the years, researchers have consistently validated the important emotional elements of giving to familiar and nearby organizations to foster the rewarding sense of connection that is such an important driver of repeat philanthropic behaviors. Today’s donors want to be able to actually see the results of charitable investments.

Here are three suggestions for anyone who wants to get started on a “give local” journey.

First, visit AspireArkansas.org to identify local needs in your community. Make a mental note of issues that raise your eyebrows or make you ask yourself “I hope someone is doing something about that.”

Second, with this issue in mind, run a few Google searches with the key words you’ve identified, along with the terms “nonprofit,” “charity,” and the name of your town or city. Sometimes these searches will illuminate organizations you might already be familiar with. Our online Arkansas Nonprofit Directory is another great tool and is free to use.

Third, reach out to the team at the Community Foundation. The Foundation’s mission is to improve the quality of life in our region, and that is possible through the work of nonprofit organizations and people like you who support them. The Community Foundation team will know which nonprofits are addressing the issues you’d like to learn more about and can provide advice about how your charitable dollar can make the greatest possible difference.

The Community Foundation is unparalleled in its ability to be flexible and responsive, providing outstanding, personal service designed around your needs while at the same time working closely with legal, tax, and wealth advisors to ensure that you are maximizing the financial elements of your charitable giving plan.

We look forward to working with you to make as big a difference as possible in the causes you love and make our community an even better place for everyone.

“I worked for three years in a classroom as a preschool teacher, and I was good. I could go in a classroom and run it like the back of my hand, but I didn’t have a degree,” said Elizabeth Coakley. Coakley, now the Better Beginnings Coordinator at C.B. King Memorial School in McGehee, is a former T.E.A.C.H. Scholar. “This program changed my life,” she said.

T.E.A.C.H. (Teacher Education and Compensation Helps) Early Childhood Scholarship Program is a licensed program of the Arkansas Early Childhood Association. A nationwide initiative, it creates access to higher education for teachers, directors and family child-care providers working in early childhood education.

“T.E.A.C.H. was designed to help those in the early childhood workforce to obtain a higher education degree,” said Paul Lazenby, executive director & T.E.A.C.H. state manager. “It’s unique because it provides more than just money for tuition and fees. The scholarship also includes a stipend for travel and books, along with a comprehensive counseling program.”

According to Lazenby, you can’t talk about education without talking about compensation.

“One of the most important aspects of the T.E.A.C.H. program is that it makes it possible for scholars to afford both the time and expense of going to school,” he said. “We work closely with employers so that scholarship recipients can remain employed fulltime and still earn a paycheck. And we provide a financial bonus once they meet their educational goals so that there is additional incentive to finish.”

As scholarship recipients, teachers must attend classes and successfully complete 9-15 semester hours toward a certificate, credential or degree in early childhood education during the contract year. Teachers are expected to contribute 5% of the cost of tuition and 5% of the cost of books each semester. At the end of the scholarship year, teachers must promise to continue to teach at their sponsoring center for another year in return for the bonus.

“Most people can complete an associate degree in about two years if they attend classes full time. Our students typically have to work full time, and 18 hours a week of classes in addition to their job isn’t possible. It usually takes them closer to three years to finish. But there is no time limit on when you have to complete the program,” said Lazenby. “If you can just take one class at a time, that’s what you do. We want this to be accessible to as many early childhood educators as possible”

The T.E.A.C.H. program is a stair-step process. For each hour of credit you earn, it counts toward the next level if you choose to go further. Teachers can earn a Child Development Associate [CDA] certificate through a 10-13 hour program, an associate degree that takes 60 hours, and some even complete a bachelor degree.

“I love being an early childhood teacher, and I love my job,” said Orlanda DeSaussure. She graduated with her CDA from ASU Beebe. “I am so thankful for the T.E.A.C.H scholarship and for their T.E.A.C.H team. I was so nervous about going back to college, but they were very patient and encouraging to me. They helped me with the financial support to finish my CDA, and it also gave me the confidence to know that I could do it.”

To learn more about the T.E.A.C.H. Program or to sponsor a student, visit arkansasearlychildhood.org/TEACH