Wilson Area School District looks at building a foundation

Monday, September 27, 2004 • By EDWARD SIEGER • The Express-Times

WILSON BOROUGH -- Wilson Area School District officials are considering whether to join the growing ranks of school districts forming nonprofit foundations.

An attorney from district Solicitor Donald Spry's office will attend the school board finance committee's Oct. 18 meeting and present options for establishing a foundation, Superintendent Doug Wagner said.

Wagner said he'll wait to hear from the attorney before he makes any recommendation to the full school board.

School board President Robert Fehnel said informal discussions about forming a foundation began about three years ago, but the board never followed through on the idea.

No one has formally approached the board about making donations to the district, but alumni in the past have given gifts on their own in the form of scholarships, Fehnel said.

A foundation could assure donations are allocated for a specific use, such as a local business donating money for an equipment purchase or alumni for a scholarship fund, Fehnel said.

The Bangor Area School District formed the Bangor Area School District Education Foundation around 1996 as a result of graduate course work of then-Assistant Superintendent John Reinhart.

The foundation was created independent of the school board with its own nine-member board of directors and a liaison to the school board. Reinhart, now the district superintendent, said the foundation's goal is only to enhance the district's educational programs.

"It does not become a substitute for funding necessary and fundamental programs," he said. "No one on the foundation board thinks donations should be used to cut funding from the general fund."

Bangor's first donation came from Roseto native Edythe Trigiani, a retired teacher who donated $250,000 in honor of her father and former Roseto mayor, Antonio Trigiani. The district uses the donation to award 11 $1,000 annual scholarships at graduation.

Another donation from Dr. Stuart and Barbara Wolf funds a $20,000 scholarship to a graduating senior, and a $50,000 gift from the Clarence Horn Trust funded renovations to the high school and middle school technology classrooms.

Other foundation directives include gathering and maintaining any historical documents or memorabilia from the school district's 100-year history, and sponsoring community educational and cultural events, Reinhart said. The foundation was on the cusp of organizing its first community events when the economy suffered as a result of the Sept. 11 terrorist attacks, he said.

Reinhart has served as the foundation's executive director, and the board has discussed whether it should hire a part-time director to handle fund-raising, an important component of other foundations, he said.

"I could not possibly do it with my responsibilities as superintendent," Reinhart said.

Bruce Applegate, executive director of the Nazareth Area Blue Eagle Education Foundation, echoed Reinhart's sentiments on the role of foundations.

"It's not created to replace or fill stopgaps in the (school) board's budget. It's not just for school, but for adult learning in the community," Applegate said. "We don't want someone to submit a budget to the board have it cut and ask the foundation to fund it."

The foundation began a program this year allowing teachers to supplement classes or programs the district already offers, Applegate said. A teacher, for instance, could apply for funding to bring a speaker to the classroom, he said.

"We're trying to plant the seed money out there to show this is a very valuable tool," Applegate said.

When the foundation formed in 2002, organizers created a 15-member board of trustees independent from the school board, applied for tax-exempt status, wrote bylaws and a mission statement and hired Applegate on a three-year contract.

The foundation has since published the district's first-ever alumni directory and instituted an alumni wall of fame, Applegate said. Nazareth alumni and employees this fall will put on a play, proceeds from which will fund scholarships and teacher grant programs, he said.

The play also serves to advertise the foundation, Applegate said. Board members are working on a program that would allow businesses to receive tax credits for multi-year donations, and the foundation hoped the alumni directory would reactivate the alumni base to make donations to their alma mater, he said.

"Once people see we're doing what we said we'd do, people will start coming forward," Applegate said.

Saucon Valley School Board President Karen Beyer, however, sounded a cautionary tone about foundations, following the disbandment in March of the Saucon Valley Education Foundation.

"Fundamentally, a foundation is a good idea," Beyer said. "But I'd have cold feet about doing it again at Saucon Valley."

The Saucon Valley Education Foundation was formed in 2001 to move the 175-year-old Lutz-Franklin Schoolhouse from its current location near Applebutter Road to the district's Lower Saucon Township campus and use it as an educational tool.

Hellertown's historical society, however, opposed the move and eventually won a contentious battle to keep the school in place.

The foundation was to help pay for moving and refurbishing the school and eventually educational programs, Beyer said. But very little of the nearly $100,000 raised by the foundation remained when the foundation disbanded, she said.

Beyer -- who was not on the board when the foundation formed -- said the bulk of donations went toward public relations. The district was repaid a roughly $16,000 loan when the foundation disbanded and attorneys agreed to lesser fees, but most donors received very little of their donations.

Beyer cautions that any foundation should be well-monitored with clearly outlined goals and objectives and is "not just another way to get money from public and spent wherever."

"I can't see the community setting up a foundation with clear objectives and embracing it because of the bitter taste left in their mouths from the previous foundation," Beyer said.

Lines seemed to blur between the foundation and the school district, she said. The foundation used the district's mailing address and letterhead, and it was discovered district employees were selling foundation fund-raising items out of the administration office, Beyer said.

"I would caution any school board, be very careful about your role in a separate foundation," she said.


Reporter Edward Sieger can be reached at 610-258-7171 or by e-mail at esieger@express-times.com.

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