The Named Endowed Fund

Statement of Understanding
Purpose
The Fund for the support and recognition of teaching excellence (the "Fund") is a true endowment
designed to support top performing faculty at Holderness School. Income from endowment is used to
secure the future and growth of the School by providing support for a designated faculty member, on a
rotational basis, in perpetuity. Private support designated for endowment is a critical investment in
Holderness School’s strategic initiative to support Faculty Well-Being. It is inspirational to recognize the
philanthropy of Holderness’ donors and those who are honored and memorialized and to know the impact
that is made through this enduring commitment to the School and its mission.
Only if, at some time in the future, it is the decision of the Trustees that all or part of the income
from this fund can no longer be usefully applied to the objectives as stated above, then the Trustees of the
School may use the income for another purpose which, in their opinion, most nearly approximates the
Donors’ original intentions.

Administration
Expenditures of income from Named Faculty Chair Fund will be administered by Head of School in
consultation with the Senior Academic staff. As with other endowment funds, the Business Manager, in
consultation with the Finance Committee of the Board of Trustees, will oversee this fund in accordance with
the endowment management, distribution, and utilization policies established by the Trustees. These policies
govern the investment of endowment funds and the distribution and utilization of endowment earnings for
the purposes designated by donors, including direct and associated costs incurred pursuant to those purposes.
It is understood that the Academy recovers reasonable and necessary costs of administration by assessing a
reasonable charge against its endowment earnings. These policies may be revised by the Trustees.

Funding
For the establishment of the scholarship, Holderness will accept all appropriate receipts and gifts
properly designated for this fund, which, together with any additional contributions, memorials or bequests of
cash, securities, or other personal or real property, shall be administered by the School as a part of its
endowment pursuant to the Holderness’ management and investment policies. No awards from this fund
may be made, and the earnings shall be accumulated, unless or until the endowed fund’s balance is $1.5
million or greater. If the balance does not reach $1.5 million within 5 years from the date hereof, or if at
least $5,000 in contributions in each year are not added to the balance within the 5-year period before
reaching a $1.5 million balance, then this fund shall become a part of the Holderness School Board
Designated endowment and be subject to its terms and conditions as set forth by the School’s Board of
Trustees.

Donor’s Intent
The donor intends to fund The Named Faculty Chair Fund in the amount of $1.5 million to be paid
in full, or by installment, by no later than month/year.

Holderness School’s Acceptance

Holderness School gratefully accepts the Donors’ intention to establish The Named Faculty Chair
Fund.
Guidelines reviewed and accepted by

Holderness School Donor(s)

R. Phillip Peck, Head of School xx/xx/xxxx Donor xx/xx/xxxx