Chapter Endowment Funds (CEF)
What is the most effective tool that a chapter can utilize to strengthen its financial position both today and tomorrow? Easy answer – it’s the Chapter Endowment Fund (CEF).
The CEF Program was developed so that alumni and undergraduate brothers can make tax deductible gifts that support the long-term strength and improvement of their chapter. Many brothers capable of providing significant gifts to the fraternity have been reluctant to do so due to the uncertainty of whether or not the gift would be tax deductible for federal income tax purposes. The CEF Program may provide the solution to this dilemma.
A chapter can establish its own Chapter Endowment Fund with the Sigma Pi Educational Foundation. All gifts to the Chapter Endowment Fund will be held by the Educational Foundation as restricted gifts for the benefit of that chapter only. These gifts may be deployed for the following educational purposes:
- Scholarship awards to members of the chapter.
- Educational grants to cover portions of travel and accommodation expenses for chapter members to attend nationwide events such as the Mid-Year Leadership Conference, Convocation, and Sigma Pi University.
- Grants for educational resources in the chapter house including desks, bookcases, books, computers, and software. CEF funds may also be used for the construction, renovation, and outfitting of educational areas of in the chapter house.
- Loans to the chapter for housing which are required to bear interest at the prevailing rates charged by commercial lenders (or similar investments at the time the loans are made).
Assets held by a Chapter Endowment Fund will be managed and invested in a professional manner by the Sigma Pi Educational Foundation. Gifts designated for a specific chapter will be used exclusively for educational purposes which are both in line with federal regulations, yet benefit the members of that chapter.
Once a CEF reaches a principal balance of $25,000, both scholarships and grants may be advanced from the chapter’s fund. Upon establishing the CEF, an initial fundraising timeline will be created in consultation with the Educational Foundation staff and trustees. Typically, a fundraising timeline will range over a three to four year period. During this initial fundraising period the Sigma Pi Educational Foundation will work directly with a locally-established five member CEF board. The working relationship between the local CEF board and the Educational Foundation may include monthly conference calls, in-person visits, and consultation on fundraising events and marketing mailers to the membership of each chapter.
Who can donate to a CEF? Anyone can donate to a Chapter Endowment Fund including alumni, undergraduates, friends, and members’ parents. In addition, many employers offer a matching program for employees making charitable donations.
Think about it. All chapters go through cycles of increased and diminished membership levels and cash flow. How does your current chapter weather the storm when they need a new roof, a new heating/cooling system, or even want to proactively plan construction of a new house or facilities? Does your chapter or alumni group have the time and resources to plan, collect, market, and administer these funds when time is of the essence? The Sigma Pi Educational Foundation has the financial advisory services, legal, and marketing team to help streamline your chapter’s cycle through consultation. The quicker your chapter starts its CEF, the faster the Sigma Pi Educational Foundation can work with the chapter to become more successful in strengthening the chapter. To start the ball rolling simply place a phone call or send an e-mail and we will personally consult with you to help your chapter achieve success.
Click here to download the CEF Agreement
Current Chapter Endowment Funds
University of California, Los Angeles
Upsilon Chapter
Started in
Monmouth University
Delta-Beta Chapter
Started in December 2006
The New Jersey Province
The New Jersey Province Fund
Started in February 2007
Arkansas State University
Alpha-Pi Chapter
Started in 2008
University of Georgia
Alpha-Phi Chapter
Started in 2008
Murray State University
Gamma-Upsilon Chapter
Started in 2008
University of Arizona
Theta-Pi Chapter
Started in
