4. Endowment Fund Distribution Policy
WHEREAS In October 2007 the Board of Governors decided that the funds generated by the debt repayments from the kibbutz debt arrangement be placed in an endowment fund together with all investment income and capital gains earned thereon (herein: "the Endowment Fund"); and
WHEREAS The Board of Governors stipulated in the above-mentioned decision that 2.5% of the closing balance of the Endowment Fund on May 31st and November 30th of each year, beginning May 31, 2008, shall be made available for operating use within thirty days of the date on which the amount is calculated; and
WHEREAS The investment of the Endowment Fund, other than in bank deposits, was delayed due to market conditions, with the result that the payments as aforesaid resulted in encroachment on the capital of the Endowment Fund; and
WHEREAS The Budget and Finance Committee wishes to allow the replenishment of the Endowment Fund;
THEREFORE, BE IT RESOLVED:
That 1.75% of the closing balance of the Endowment Fund on March 31st and September 30th of each year, beginning March 31, 2011, shall be made available for operating use within thirty days of the date on which the amount is calculated. Be it further resolved that the Board of Governors directs the Budget and Finance Committee to consider on an annual basis the appropriate distribution policy for the subsequent year.