Dear Foundation Members,

We hope you are staying safe and healthy during this difficult time. Our thoughts are with you as the Foundation Trustees and Staff work to support our members who are affected by COVID-19.

On April 17, Phi Mu Fraternity announced the cancellation of the 56^th National Convention originally scheduled for July 7-12, 2020. As a result, the Phi Mu Foundation Trustees have voted to cancel our Business Session scheduled July 9. We will proceed with essential Foundation business, including Trustee elections and changes to the Foundation’s Bylaws, via electronic voting this summer at a time to be determined.

This is your official notice of the Bylaws changes that have been approved by the Board of Trustees. Phi Mu Foundation’s Board of Trustees is committed to updating the Bylaws to reflect state law, and to provide clarity to members for Trustee responsibility, transparency and accountability throughout our guiding governing documents. Below is a summary of the proposed changes. You can request a ‘redline’ version of the complete Foundation Bylaws document from Executive Director Kristin Tofanelli.

ARTICLE III, Section 2; ARTICLE IV, Section 2.2 – ELECTIONS

• Allow electronic voting

ARTICLE IV, Section 2.1.b.iv – ELECTIONS

• No nominations from floor or write-in candidates

ARTICLE IV, Section 2.2 – ELECTIONS

• Allow ballot waiver if not needed

 

ARTICLE IV, Section 8 – TRUSTEE VOTING

• No proxies, voting at meetings is live only

 

ARTICLE VI, Section 2 – TRUSTEE VOTING

• Voting for officers is live (face to face, audio/video) only

 

ARTICLE IX, Section 2.5 – TITLES

• Chief Executive Officer to Executive Director

 

ARTICLE v, Section 3.2 – CHAIRMAN OF THE BOARD DUTIES

• Include ‘Board’ to Chairman of the Board liaison duties

 

ARTICLE XII – PARLIAMENTARY AUTHORITY

• Revise “Information and Procedures” to “Policy Manual”

 

ARTICLE IV, Section 8 – VOTING

• Include the word ‘present’

If you have questions about these revisions, you may contact Janeen Judah, Foundation Bylaws Chairman, at janeenj@gmail.com or Kristin Tofanelli, Phi Mu Foundation Executive Director, at ktofanelli@phimu.org.

Did you know that The CARES Act—the Coronavirus Aid, Relief, and Economic Security Act— also provides enhanced charitable giving incentives?

1. New Charitable Gift Deduction Available

The CARES Act provides a new charitable-giving deduction that is available to those who choose the standard deduction method of filing their taxes (estimated to be 90% of taxpayers). The Act provides a deduction up to $300 per taxpayer in charitable cash contributions as an “above the line” adjustment to income, thereby reducing one’s Adjusted Gross Income (AGI), and as a result, reducing overall taxable income. To qualify, you must give a donation between January 1 and December 31, 2020. Donations must be made to a qualifying public charity; donor-advised funds (DAF) and private foundations do not qualify for this new deduction.

2. Expanded Charitable Deduction Limits in 2020

The CARES Act also provides expanded charitable deduction limits for businesses and individuals who itemize deductions on their tax returns.

In 2020, individuals can deduct cash contributions to qualifying organizations for up to 100% of their adjusted gross income. This is expanded from the previous limit of 60% of AGI. Businesses may deduct up to 25% of taxable income, up from the previous limit of 10%.

It should be noted that this expanded deduction is for cash gifts that are provided to a public charity. If you choose to give cash to your private foundation or donor-advised fund, the old deduction rules still apply. In addition, the expanded charitable deduction limit does not apply to gifts of appreciated stock.

If your assets are substantial enough that you can give more than your adjusted gross income this year, you won’t lose that deduction for the excess amount. As it was under the previous deduction rules, you can still use the excess amount as a deduction when you file your taxes next year.

3. Suspension of Required Minimum Distributions in 2020

Giving directly from one’s IRA has been an attractive way to make a significant charitable gift. An IRA owner generally must take a required minimum distribution (RMD) from a retirement account when that owner reaches a certain age (either 70 ½ or 72 years of age). A gift given directly from an IRA, other than a SEP or SIMPLE IRA, to a qualified charity serves as a qualified charitable distribution (QCD). Amounts distributed as a QCD can be counted toward satisfying your RMD for the year, up to a maximum of $100,000.

With the passing of the CARES Act, RMDs have been waived for 2020 to help retirement accounts recover from potential stock market losses. This includes distributions from IRAs as well as 401(k), 403(b) and 457(b) plans.

Although this change may be seen by some as a disincentive to use one’s IRA to make a charitable gift, it should be noted that even with the waiving of RMDs for one year, donors directing a QCD to charity in 2020 (up to $100,000 per individual) will still be able to reduce their taxable IRA balance. This allows all taxpayers – itemizers and non-itemizers alike – to direct gifts from their IRA to charities of their choice in a tax-efficient manner.

Click here for a more in-depth look at the CARES Act enhanced charitable incentives.

 

Contact Foundation Major Gifts Director Mandi Young with any questions.

Before I ever toured Bellarmine University, I knew I wanted to be a Phi Mu. My dreams were further confirmed once I enrolled and went through recruitment—being a part of something much bigger than myself with such a storied history both locally and nationally spoke deeply to me. My cohesive experience, and especially my experience as part of the Foundation’s Collegiate Leadership Council, evoked similar feelings.

On a warm July day, I opened my email to receive the news of my appointment to the Foundation’s Collegiate Leadership Council. As an aspiring advancement officer and a highly involved Phi Mu collegian, this was a dream come true! I would get to work alongside Foundation staff and fellow philanthropically inclined sisters to advance the Foundation’s mission—that is, of supporting its women in their holistic endeavors, whether academic, professional or in leadership. My experiences this year accomplished just that.

The highlights of my CLC experience have definitely been sharing the Foundation mission with my collegiate and local alumnae chapters, as well as seeing what my fellow CLC sisters have been up to. Each of these actions enabled us to share what Phi Mu individually means to us. In doing so, I learned once again just how far the Phi Mu experience reaches and how it impacts each member in different yet unifying ways.

Ensuring that these individual experiences can occur is the heart of the Phi Mu Foundation. My experiences have shown me how people can use their gifts and talents to benefit a greater cause, and how different strengths, when utilized together, can enhance an entire group. As a new alumna, these lessons are ones that I will certainly carry for a lifetime. I am forever grateful to the Foundation for entrusting me to serve in this role, and to Phi Mu as a whole for teaching me these lessons.

Lilly Caudill served on the 2019-2020 Foundation Collegiate Leadership Council and is an alumna of the Rho Zeta Chapter at Bellarmine University.

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Click here to apply for the 2020-21 Collegiate Leadership Council!