A general observation, which probably applies to Perpetual Care/ Bequest reserve funds.  You should have the governing board adopt, with advice from a trust officer, a policy on capital conservation.  Because inflation reduces the purchasing power of funds over time by [in recent years] 1 - 3% annually, you should arrange to retain from the interest or proceeds enough to replenish the effect of inflation.  Our church had a bequest in 1911 of $200, the interest of which was to be used to buy flowers.  If that had been kept inflation-protected, the current value of those 1911 $ would be over $5,000.   So what used to keep the church decorated with flowers all summer came to buy a couple of rose-buds for one Sunday.
  ----- Original Message ----- 
  From: Braintree Treasurer 
  To: [log in to unmask] 
  Sent: Monday, February 08, 2010 3:45 PM
  Subject: cemetery bequest clarification

  OK who is the expert on cemeteries because I am a little puzzled on how to invest the bequest money. 

  I have a 18 month CD maturing which is all bequest money, I understand that I can withdraw and use the

  interest earned and reinvest the original benefit? The interest earned can be use for mowing/maintence on the cemeteries -correct?

  What and when can the bequest money be used?  




  . Thank you in advance


   K Russo

  Town of Braintree