Frequently Asked Questions

What is a Legacy?

A legacy is a gift or bequest, usually money or other personal property, given through a will. For many people, their children are also a legacy that is passed to the future.

What is Philanthropy?

Philanthropy is the act of donating or giving to support a beneficial cause, with a defined objective and with no financial or material reward to the donor.  Philanthropy may encompass any activity intended to promote good or improve human quality of life.  Philanthropy is usually the act of giving while one is still alive while a legacy or bequest is giving through ones will.

The Pinawa Foundation– What Is It?

A registered public charity that is non-political, non-religious and is self-governed.  There is a volunteer Board of Directors.

The Pinawa Foundation is a collection of endowed funds established by individuals and corporations – a community of donors – to enhance the quality of life in Pinawa. The income from the portfolio is granted for charitable activities locally. The Pinawa Foundation became a reality in 2010 when it was legally incorporated and charitable status with Revenue Canada was obtained.

What is the role of the Pinawa Foundation?

  • To offer a wide range of giving options, professional management of the donated funds and protection of the integrity of the donors’ gifts forever.
  • To make grants to community and other organizations for the good of Pinawa.  
  • Offer a variety of donor directed options for specific grant making.
  • Be a catalyst for leadership to the community on philanthropy.
  • Help both current and past Pinawa citizens who want to give something back to the community both during and after their lifetime.

How Does the Pinawa Foundation Work?

The Foundation is governed by a volunteer Board. Directors will typically serve a three-year term to a maximum of two terms. The Board governs the Foundation within By-Laws of the Foundation, regulations of the Community Foundation Act and regulations of Canada Revenue Agency relating to public foundations. Investment management services will be professionally provided by the Winnipeg Foundation. 

What is a Fund in the Pinawa Foundation?

A fund is a donor’s contribution. That donation will be held in a permanent endowment fund. This means that the capital can not be spent; it is held permanently and only the interest income will be made available for distribution. All funds are accounted for separately and invested together (pooled investment). Funds can be created with tax-exempt donations made in any appropriate form, including cash, securities, real estate or life insurance.

How is a Fund Established?

This is quite simple. The process is initiated by advising the Pinawa Foundation of your wish to establish a fund. The information required includes the name of the proposed fund, its purpose, and whether it is to be open to other donors, or closed.

We discuss the many options available and then assist with the preparation of a fund agreement. This agreement is tailored to your interests and needs, and after Board approval, it is signed by all parties. The fund can be added to at any time.

The Board of Directors has the authority to change the purpose of a fund so as to carry on the donor’s intent if, through a change in circumstances, the donor’s original instructions cannot be carried out.

Can donors combine their gifts?

Gifts may be combined into a single fund. Donations are welcomed for the Community Fund (the general endowment fund), as well as for some existing Field of Interest Funds and Designated Funds.

What Fees are Charged?

There is no charge to set up a fund in the Pinawa Foundation.  The Foundation will have its own Administrative Endowment Fund.  The income from this fund will help to offset administration costs.
A small administration fee to cover investment and fund management (< 2% of interest income) is charged on our funds by the Winnipeg Foundation. This fee, along with our own Administrative Endowment Fund and grants we receive from other Foundations, cover the administration costs of the Pinawa Foundation.

How are Grants Made?

The Foundation may have up to two granting cycles each year. All potential applicants complete a standard application form. The grants committee reviews all the applications and submit recommendations to the board for consideration. All grants are accompanied by an agreement that details the conditions under which the funds are being awarded. All grant recipients are required to provide details of their evaluation process, present final reports and to include impact statements. This allows the Foundation to have some sense of the overall effect these grants are making for the entire community.

What are the Advantages of using a Community Foundation?

  • Simplicity: A gift to the Pinawa Foundation simplifies charitable giving. Several charitable causes important to you can be provided for with a single gift. For example, a life insurance policy could establish a permanent capital fund in the name of the donors and the annual earnings divided between a school, a hospital and disadvantaged children.
  • Flexibility: The range of charitable possibilities is very broad, encompassing: arts, culture, heritage, community festivals, social services, healthcare, education, nature, recreation and sports.
  • Permanence and Continuity: The donor is assured that the fund will remain intact in perpetuity. The Foundation has a Preservation of Capital Policy, which ensures that the original gift is protected. Only the annual earnings can be spent.
  • Recognition: All donors receive recognition in our Annual Report and other publications. In addition, all grants from a designated fund are by the name given to the fund. Of course, if a donor requests anonymity, the Foundation will give assurance that such wishes are respected.
  • Investment Expertise: The Foundation sets a conservative investment guideline and contracts with the professional investment management service at the Winnipeg Foundation.
  • Tax Benefits: The Pinawa Foundation qualifies as a registered charity under the Income Tax Act. Thus, gifts made at any time will result in important income tax advantages. Gifts of capital property qualify for a reduced capital gains inclusion rate.  Your financial advisor can provide you with information on this aspect of charitable giving.
  • Cost Effective: With an overall low administrative fee, the Pinawa Foundation provides an attractive alternative to those considering the establishment of a private foundation.
  • Community Effectiveness: Foundations through their active role in their communities, and through their rigorous grant process, have proven to make significant differences in their communities.