The Ccwa Foundation

“The foundation has a policy of appropriating for distribution each year 5% of its endowment fund's average fair value of the prior 3 years preceding the calendar year in which the distribution is planned. In establishing this policy, the foundation considered the long-term expected return on its investment assets, the nature and duration of the individual endowment funds, many of which must be maintained in perpetuity because of donor-restrictions, and the possible effects of inflation. The foundation expects the current spending policy to allow its endowment funds to grow at a nominal average rate of 3% annually. This is consistent with the foundations objective to preserve the fair value of the endowment assets as well as to provide additional real growth through new gifts and investment return.”

“The foundation is exempt from federal income tax under section 501(c)(3) and is classified as an organization that is not a "private foundation" as defined in section 509(a) of the internal revenue code. The foundation is no longer subject to tax examinations for years before its inception of september 1, 2013 by taxing authorities in jurisdictions where the foundation has filed returns. The foundation did not identify any material unrecognized tax benefits upon evaluation of tax positions taken and therefore, there was no material effect on the foundation's financial condition or results of operations. The foundation evaluates at each balance sheet date uncertain tax positions taken, if any, to determine the need to record liabilities for taxes, penalties, and interest. The foundations' policy is to record interest and penalties on uncertain tax provisions as income tax expense. As of june 30, 2014, the foundation has no accrued taxes, interest or penalties related to uncertain tax positions. The foundation estimates the unrecognized tax benefit will not change significantly within the next twelve months.”