Sample Board Resolution Authorizing a Program Related Investment
This template community foundation board resolution authorizes the foundation to make a loan as a program-related investment (PRI). These types of activities are generally permitted by state and federal law when they serve to advance the charitable purposes of the foundation.
The term "program-related investment" is a distinction that only has legal relevance to private foundations that can count PRIs towards their minimum distribution requirements. However, the term is at times used alongside others (mission-aligned investment, impact investment, etc.) to describe financial instruments that pursue some combination of social and financial returns.