Shenandoah Community Foundation

How it makes and monitors grants (Schedule I, Part IV)

The foundation actively monitors its scholarship grants to ensure they are used appropriately and not diverted from their intended purpose. scholarship funds are typically disbursed by check, payable either to a public high school within the county or to the postsecondary institution the recipient is attending or will attend. in one specific scholarship program, where recipients are selected by their high schools, checks are issued directly to the students. in such cases, the foundation provides written guidance on the potential tax implications if the grants are not used for tax-exempt educational purposes. the foundation oversees grants to organizations and governmental entities to ensure they are used as intended: 1. all grants are issued by check, payable to the designated grantee. 2. if a grant is awarded for a specific purpose, the recipient organization agrees to inform the foundation once the funds have been expended accordingly. 3. if a grant recipient intends to use the funds for a different purpose, they must inform the foundation in advance. 4. through their community involvement and contact with the grantees, the directors and staff of the foundation, as well as the donors to the foundation's restricted funds, often have indirect knowledge regarding the expenditure of grants. 5. recipients of competitive grants are required to provide a report once they have expended the funds and prior to applying for the subsequent year's competitive grant process. through thes