Scarborough Public Library currently maintains two restricted endowment funds, and one unrestricted fund:
- the Lucien Libby Fund, permanently closed to new gifts;
- the Miriam Boothby Funds, permanently closed to new gifts;
- the Discretionary Investment Fund (DIF), a permanent unrestricted fund open to unrestricted gifts.
This policy governs the types of donations that may be accepted by the Library Director, how those donations may be used, the form and intent of the two open funds for ongoing investment, and how specified donations must be made if so desired.
Donations
All donations will be placed in the DIF or the Library’s operating fund, as approved by the Library Board. Donations to the DIF are immediately available for any use approved by the Library Board, including to supplement or fund operating activities. The Board policy is to not accept gifts that would require segregation of original principal, specified reinvestment of original principal, or return of principal to a donor if a specific purchase or project does not draw down all contributions (including associated income) or is not completed, except in the cases of Specified Gifts, described below.
Form of donations
Donations may be accepted by the Director when in the form of cash or readily marketable securities. The Director may also accept distributions from insurance policies or annuities, and shall work with the firm's investment advisor to track pre-distribution cash value and balances for the purpose of managing them within the Board's Investment Guidelines for the Endowments of the Scarborough Public Library Corporation (SPL Investment Guidelines).
Donations of unique or intrinsic value such as jewelry, artworks, real estate, or other unique assets require prior approval of the Board and generally will only be accepted if each donated item has an appraised value of $2,500 or greater. The Library will require donors to obtain a third-party estimate of value at their expense prior to recognizing the gift for tax purposes.
The Library also accepts donations of library materials and ephemera, at the sole discretion of the Library Director and with a value at donation subject to the Director's sole determination. If the Director determines that a gift of such library materials is worth more than $1,000, the director shall obtain board approval prior to accepting the gift.
Endowment Funds
The Discretionary Investment Fund
The Discretionary Investment Fund is that portion of the Library’s charitable contributions (including income on such contributions) which is not subject to any restriction on use. Donors in general should be encouraged to direct their gifts to the DIF, and undesignated gifts will be directed by the Director to the DIF. No specific restrictions exist on how the DIF may be spent, except for certain restrictions outlined in the Donated Funds Spending Policy. DIF funds are commingled with other endowment funds and invested according to the SPL Investment Guidelines.
The Centennial Endowment Fund - Closed
The Centennial Endowment Fund (CEF) was established to encourage long-term donations to the Library by 1899 Society members, in order to build an income base over time to support library operations and potential future capital investments. In 2025, the CEF achieved its goal of raising $1 million in total contributions and, in accordance with its original term, was merged into the DIF. Some contributors named the CEF in bequests for future contribution; all such bequests will be directed to the DIF as the successor fund to the CEF. With the exception of such bequests, no further contributions to the CEF may be accepted.
Specified Endowment Funds
The Lucien Libby and Miriam Boothby Endowment Funds were established in the 20th century to support specific collection acquisition efforts. These funds are closed to further gifts, in line with the Board's reluctance to administer ongoing, individualized funding efforts. Income from the Specified Endowment Funds are used at the Library Director's discretion to support each Funds' specific collection initiatives.
Future Specified Endowment Proposals
Donors seeking to support a specific collection via a segregated endowment are encouraged to make donations to the Discretionary Investment Fund so as to allow the Director to make the best use of that support as the needs of our patrons grow and change. The Director may not accept specified or restricted gifts on behalf of the Library; all such proposed gifts must be referred to the Board for discussion and, before acceptance, must receive a majority vote in favor from the Trustees.
Specified Gifts
The Board may, from time to time and in recognition of specific gifts, establish naming or similar honors on specific buildings, interior structures, collections, or other parts of the Library's assets, but donations will in all cases be treated for investment and attribution purposes as being unrestricted gifts to the DIF. The naming or memorialization of any part or asset of the library does not constitute a designation of gift and shall not establish any obligation on the part of the Library to maintain either the gift or its memorialization. Gifts that would require ongoing maintenance separate and apart from the general maintenance of the Library will generally not be accepted.
In addition, the Library Director may solicit for gifts to support specific purchases, capital repairs, or collections acquisition and technical support. If a gift is in cash or financial assets but designated towards the purchase of a specific item or items, the Director will effect the purchase within one year from acceptance. Donors shall be made aware that the Library cannot support a gift that includes spending restrictions beyond the following year, and that only cash and readily marketable securities can be accepted for such gifts. Such donations shall be held in the Operating Reserve until the purchase is complete, at which time any remaining principal donated will be moved to the DIF.
Investment Commingling
All funds made for long-term support of the Library shall be commingled and managed as a single pool, subject to the SPL Investment Guidelines.
The Treasurer will review this policy annually and recommend revisions as necessary.
Adopted January 2026
Replaced the Endowment Funds, Discretionary Funds, and Donations Policies