National Capital Region Tree and Shrub Replacement Fund

Document for the Establishment of an Endowment
with the
National Park Foundation
11 Dupont Circle, Suite 600, Washington DC 20036


Name of Fund: National Capital Region Tree and Shrub Replacement Fund

Name and Address of Creator of Fund: Regional Director
National Capital Region
National Park Service
1100 Ohio Drive, SW
Washington, DC 20242


Type of Fund: Endowment Fund: the NPF reports the fund’s activities on its audited financial statements, manages the investment, and manages disbursements in consultation with the Regional Director, National Capital Region.

Purpose of Fund:

Endowment: the principal may not be spent. Funds will be expended annually based upon the income earned by the fund in the previous year.

The fund is intended to provide reliable, significant monies on an annual basis, in perpetuity, to supplement funds appropriated by Congress exclusively for the replacement of trees and shrubs on lands under the jurisdiction of the NPS National Capital Region

5. Contributions to the Fund: Contributions to the Fund are made payable to the National Capital Region Tree and Shrub Replacement Fund/National Park Foundation or to the NPF with the Fund specified on the check or in an accompanying letter.

6. Disbursements from the Fund: Disbursement authority is vested with the Regional Director, National Capital Region, 1100 Ohio Drive, SW, Room 336, Washington DC 20242. Funds are to be allocated by the Regional Director exclusively for the replacement of tree and shrub plantings on lands under the jurisdiction of the NPS National Capital Region. The Funds performance will be reviewed annually with the National Park Foundation to determine available income and a disbursement schedule.

All requests for disbursement shall be made in writing to the Foundation and signed by the Regional Director, National Capital Region.





7. Investment Portfolio:

1. Vanguard Balanced Index, a single fund comprised of:

60% domestic equity stocks based upon Wilshire 5000
40% domestic bonds based on the Lehman Aggregate


2. Vanguard Prime Money Market Fund: Income will be invested in the Vanguard Prime Money Market Fund and will be used for the replacement and maintenance of cherry trees and/or preserved as principle in the investment portfolio. All requests for preservation of income as principle, shall be made in writing to NPF and signed by the Regional Director, National Capital Region.


2. All income shall be reinvested in the Vanguard balanced Index fund. Requests for preservation of income as principle shall be made in writing to NPF and signed by the Regional Director, National Capital Region.

3. The NPF’s Board may, from time to time, recommend changes as it deems necessary or prudent to the asset allocation guidelines listed herein. Such changes, if they apply to the type of portfolio being chosen for this fund, shall be approved in writing and signed by the Regional Director, National Capital Region.



Management Fees: To cover its investment management costs, the National park Foundation will charge an annual management fee of 1%, assessed monthly, on the funds current market value. This fee is to cover the necessary accounting, reporting, audit, investment management, direct costs relating to Fund transactions [e.g. bank charge, second check charge], and all other administrative costs associated with this fund. If the market value of the fund exceeds $2 million, the fee will be re-negotiated to a lower percentage based upon the level of activity in the account.

This fee does not include the fee charged by the mutual fund provider, Vanguard, which averages approximately 0.38% annually by prospectus and is charged to the fund, not NPF.


Donor Authorization: I have read this form, have indicated on this form how the funds are to be managed, and understand the provisions of the form as they will apply to the management of the funds being transferred or donated to the National Park Foundation.


/signed/ Joe Lawler Terry Carlstrom March 1, 2008 March 13, 2003

Signature of Regional Director, Creator of Fund Date