February 18, 1998 NEWS RELEASE

QUESTIONS ABOUT THE CITIZENS SCHOLARSHIP FOUNDATION OF BGM

WHAT IS THE CSF of BGM?

The Citizens Scholarship Foundation of BGM a (Dollars for Scholars Chapter) is an endowment scholarship program. We have a 501 C (3) exemption from the I.R.S. Contributions are tax-deductible and only the earnings (interest) from the principal is used to award scholarships.

DOES CSF OF BGM BELONG TO A NATIONAL ORGANIZATION?

Yes. We are a chapter of the Citizens Scholarship Foundation of America, a national organization which is an exempt organization under the I.R.S. Codes. There are currently over 750 chapters in the United States with more being added weekly.

WHO MAKES UP THE BOARD?

All board members are volunteers. Some are appointed by various organizations from the three communities.

CAN THE DONOR DEFINE THE USE OF THESE CONTRIBUTED FUNDS?

Yes. The local chapter accepts restricted contributions for any purpose fitting within the mission of the chapter. In fact, the board prefers to work with the donor on establishing his or her scholarship program and necessary guidelines.

Also within the foundation you can pick the Fund or Funds where you want your contribution to go.

CAN ENDOWED SCHOLARSHIP PROGRAMS BE ESTABLISHED THROUGH A WILL?

Yes. There are many methods used for the establishment of endowed scholarship programs: a will is only one of them. The local chapter has the flexibility to work with the financial needs of all donors in the establishment of an endowed scholarship program on a current or deferred basis.

CAN THE DONOR EVER RECEIVE THEIR CONTRIBUTION BACK?

No. By law, any endowed contribution to a Dollars for Scholars chapter is irrevocable. This law allows all contributions to the local chapter to be tax-deductible.

CAN ADDITIONAL CONTRIBUTIONS TO THE ENDOWMENT BE MADE?

Yes. Any future contribution to the endowment (or funds) will be tax-deductible by the donor and the earnings legally restricted according the to the terms of the endowment or fund agreement.

HOW DOES THE LOCAL CHAPTER INVEST THE FUNDS?

ARE THE FUNDS PROTECTED FROM A CHAPTER'S CREDITORS?

Yes. By establishing an endowment with a Dollars for Scholars chapter, all funds are protected from creditors.