{"data":{"id":"us-dc/d.c.-code-44-1633","jurisdiction":"us-dc","citation":"D.C. Code § 44-1633","heading":"Appropriation for expenditure or accumulation of endowment fund; rules of construction.","body":"(a)\n(1)\nSubject to the intent of a donor expressed in the gift instrument, an institution may appropriate for expenditure or accumulate so much of an endowment fund as the institution determines is prudent for the uses, benefits, purposes, and duration for which the endowment fund is established.\n(2)\nUnless stated otherwise in the gift instrument, the assets in an endowment fund are donor-restricted assets until appropriated for expenditure by the institution.\n(3)\nIn making a determination to appropriate or accumulate, the institution shall act in good faith, with the care that an ordinarily prudent person in a like position would exercise under similar circumstances, and shall consider, if relevant, the following factors:\n(A)\nThe duration and preservation of the endowment fund;\n(B)\nThe purposes of the institution and the endowment fund;\n(C)\nGeneral economic conditions;\n(D)\nThe possible effect of inflation or deflation;\n(E)\nThe expected total return from income and the appreciation of investments;\n(F)\nOther resources of the institution; and\n(G)\nThe investment policy of the institution.\n\n(b)\nTo limit the authority to appropriate for expenditure or accumulate under subsection (a) of this section, a gift instrument shall specifically state the limitation.\n\n(c)\nTerms in a gift instrument designating a gift as an endowment, or a direction or authorization in the gift instrument to use only “income”, “interest”, “dividends”, or “rents, issues, or profits”, or “to preserve the principal intact”, or words of similar import:\n(1)\nCreate an endowment fund of permanent duration unless other language in the gift instrument limits the duration or purpose of the fund; and\n(2)\nDo not otherwise limit the authority to appropriate for expenditure or accumulate under subsection (a) of this section.","path":["Title 44. Charitable and Curative Institutions.","Chapter 16A. Uniform Prudent Management of Institutional Funds."],"source_url":"https://code.dccouncil.gov/us/dc/council/code/sections/44-1633","current_through":"2026-08-20 (D.C. Law 26-175)","vintage":"","retrieved_at":"2026-08-29T05:44:07Z","sha256":"2c9a6eb4cc9f9db2dd8cca394095f9ee28a39a55ba083b4d6e9229366f88ca68","source_id":"us-dc","stale":false,"prev":"us-dc/d.c.-code-44-1632","next":"us-dc/d.c.-code-44-1634"},"notice":"GroundRules: Original legal text. Not legal advice."}