The Iowa Economic Development Authority has announced a proposal that includes eliminating the Endow Iowa tax credit program. If approved, money currently appropriated for the Endow Iowa program will be re-appropriated to increase the Workforce Housing tax credit in 2026.
Since the inception of the Endow Iowa tax credit program in 2004, Iowa community foundations have leveraged more than $435 million in permanent endowment fund gifts to support Iowa communities, nonprofits and charitable causes. The contributions were made through more than 53,000 donations benefiting each of Iowa’s 99 counties.
Iowa’s community foundations are joining together to celebrate the success of this program by sharing stories of local impact. The Community Foundations of Southwest Iowa serve to benefit Audubon, Cass, Crawford, Fremont, Harrison, Mills, Montgomery, Page and Shelby Counties.
ABOUT THE PROGRAM
For Sunni Kamp, Director of the Community Foundations of Southwest Iowa, it was hard to pick just one story that highlights the import work being done in Southwest Iowa thanks to Endow Iowa. Last year alone $1.4 million was distributed to support Iowa communities, making towns across the state feel more like home with funding for Little League programs, park improvements, veterans organizations, libraries, childcare services, community celebrations, genealogy projects, lifesaving equipment for fire departments, senior programming, and more have left a mark in our communities.
“The Endow Iowa program has been a game-changer for our communities in Southwest Iowa,” Kamp said. “Thanks to the generosity of local donors and the power of endowed funds, we’re seeing lasting impacts in our region—funding everything from education initiatives to historic preservation. These dollars stay local, ensuring our communities continue to thrive for generations to come.”
The Endow Iowa tax credit program is utilized by a wide range of donors, including individuals, businesses and financial institutions, with most donations being $1,000 or less. These dollars will continue to grow in endowment funds in perpetuity, improving lives for Iowans both now and for years to come. Last year alone, Endow Iowa funds at Iowa community foundations provided $32.2 million to nonprofit organizations and charitable causes across the state.
“Just over two decades ago, our state leaders had the foresight to recognize the potential of Endow Iowa as a tool to support our communities and to keep wealth from leaving our state. Endow Iowa tax credits have created a win-win-win for donors, communities and nonprofit organizations in Iowa. The impacts of this program can be seen in communities all across our state.” said Kari McCann Boutell, President of the Iowa Council of Foundations.
The credit is awarded on a first-come, first-served basis to donors who make a gift to a permanent endowment fund established for the benefit of Iowa charitable causes at a qualified community foundation in Iowa. Qualified community foundations are accredited through the National Standards for U.S. Community Foundations.
BROAD BENEFITS
Endow Iowa has several benefits, but the primary goal of the program is to keep charitable dollars in the state. When the program began, legislators were watching the early stages of a generational transfer of wealth across the state, looking for ways to keep the money in Iowa communities. Twenty years later, that transfer continues to present a tremendous opportunity for Iowans. “Transfer of Wealth Opportunity State of Iowa,” a recent study commissioned by the Iowa Council of Foundations (ICoF), estimates that more than $30.4 billion in Iowa assets will change hands in the next 10 years with the passing of older residents. Over 40 years, the figure swells to $128 billion. If heirs and successors live out of state, those assets—from agricultural land to stock dividends—may leave the community where they were generated. Endow Iowa incentivizes donors to invest those resources right here in Iowa.
The program is administered by the Iowa Economic Development Authority in collaboration with the Iowa Council of Foundations. The ICoF is a statewide membership association of foundations and grantmaking organizations across Iowa. The ICoF’s mission is to strengthen, guide and grow philanthropy in Iowa.
To learn more about Endow Iowa or connect with your local community foundation, please visit IowaCommunityFoundations.org.
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More about the Community Foundations of Southwest Iowa: The Community Foundations of Southwest Iowa serve to benefit the communities and residents of nine counties: Audubon, Cass, Crawford, Fremont, Harrison, Mills, Montgomery, Page and Shelby Counties. The Community Foundations of Southwest Iowa receive funds each year from the State of Iowa County Endowment Fund Program. These funds are distributed via grants to support the needs and opportunities in the areas of arts and culture, education, environment, health, human services, and historic preservation.