April 19, 2016 | 2:00 PM
Planning for Long-Term Charitable Impact in Uncertain Times
Bryan Kirk, Fiduciary Trust International of California
| In December 2015, the Congressional Research Service published a report examining college and university endowments and outlining how potential changes to their income tax treatment could achieve policy goals in education and proper use of tax-exempt status. Since then, both the Senate Finance Committee and the House Ways and Means Committee have held hearings to address concerns that large endowments are accumulating funds, tax-free, without providing the public benefit their tax-exempt status is based upon. These discussions are directed at higher-education. But it is easy to apply the arguments and underlying concerns to endowments of other exempt organizations, as well as private foundations (some of which essentially representing the stand-alone endowment funds of our country's wealthiest families and individuals) and donor-advised fund providers (which currently rank among the largest exempt organizations in the country). Whatever the short-term outcome of the current discussions, they nevertheless put a spotlight on the challenge for donors looking to have a charitable impact over the long-term. This presentation will review the different legal structures currently available for long-term charitable giving and the policy concerns that have and could be voiced in relation to each. We will discuss the tax rules around private foundations and donor advised funds, and how they coordinate with the spending policy guidelines under the Uniform Prudent Management of Institutional Funds Act and oversight of endowment funds. Attendees will leave with a solid understanding of:
-The different legal structures available for long
-term charitable gifting
-The tax treatment for each as they relate to delivery of the charitable funds
-Options to ensure a donor's charitable intentions are observed with appropriate flexibility
-Concerns that may arise over the long
-term as charitable funds are administered
This is intended to be a thought-provoking presentation urging advisors to think critically when they assist donors in directing funds for long-term charitable use.
Bryan D. Kirk, Managing Director and Trust Counsel, is a senior trusts and estates advisor for Fiduciary Trust, where he provides guidance on all aspects of estate planning and trust and estate administration. Mr. Kirk has broad experience in multi-generational asset management and transfer planning, including estate, gift, generation-skipping transfer and income tax planning, charitable giving, philanthropy, real property matters and complex assets, such as private equity and debt. He also serves as Chief Fiduciary Officer of Fiduciary Trust International of California. Mr. Kirk frequently speaks and writes about issues related to fiduciary law, including recent presentations to the Jerry A. Kasner Estate Planning Symposium and Hawaii Tax Institute. He is on the board of directors of Roots & Branches Conservancy, the finance committee of the Housing Endowment and Regional Trust (“HEART”) of San Mateo County and has been an officer, director, volunteer and advisor to many other exempt organizations. Before joining Fiduciary Trust, he was a partner with Botto Law Group LLP in San Francisco where he worked for nine years. Mr. Kirk earned his law degree from University of California, Berkeley, and graduated cum laude from Claremont McKenna College with a Bachelor of Arts degree in Literature and Government.