Community Scholarship Program

The Community Scholarship Program has been an important part of the Community Foundation of Western Massachusetts (CFWM) since its founding in 1991, helping to bring higher education within reach for residents in our region who might not otherwise be able to afford it. One of the largest community-based scholarship and loan programs in the country, it currently administers over 100 scholarships and interest-free loan programs and annually provides awards to over 800 students.

Scholarships are primarily awarded to residents of Western Massachusetts for full- and part-time undergraduate and graduate study at accredited institutions of higher education.

Acceptance Guidelines and Donor Options

Q.  How much money do I need to establish a named scholarship fund?

A.  Separately identified scholarship Funds can be established with gifts totaling $25,000 or more, allowing a minimum annual scholarship award of $1,000 or more.

A donor who establishes a separately named fund receives quarterly fund reports, providing a snapshot of recent activity (e.g. gifts added, awards made, investment performance).  In addition, the donor receives annual notification of the scholarship recipient/s for that year.  Scholarships may be named to honor or memorialize a loved one or colleague.

Donors may choose to utilize the Foundation’s endowed fund distribution policy (currently 4.5% of a thirteen-quarter rolling average of the principal), which attempts to preserve the principal of the fund in perpetuity, or donors may choose instead to establish an advised scholarship fund, allowing them to recommend the amount of money above the $25,000 minimum to be awarded annually (in amounts of at least $1,000).

Endowed scholarships will be awarded in the first available scholarship cycle after one year from the date the fund minimum is reached, unless otherwise approved. 

Q.  What if I want to make a scholarship gift of a lesser amount?

A. Donors contributing less than $25,000 may contribute to the Annual Community Scholarship Fund or the Future Scholars Fund, a permanently endowed fund.

These two funds pool contributions to allow the Foundation the greatest discretion to assist students with financial need. Awards made from these funds are not linked with specific donors. For a gift of $10,000 or more, the donor’s name or the name of the person for whom the gift is given in memory of will be listed specially in the Foundation's Annual Report, and the donor will receive a notification of the scholarship recipient/s in the year in which the gift is made.

 Annual Community Scholarship Fund – gifts are pooled for a year and then the entire balance is granted in awards of $1,000 or more in the next available scholarship cycle.

Future Scholars Fund – gifts are pooled and managed in perpetuity, utilizing the Foundation’s endowed fund distribution policy (currently 4.5% of a thirteen-quarter rolling average of the principal). Gifts to this fund extend their impact in perpetuity. 

Q.  What if I plan to raise the money to reach the fund minimum of $25,000?

A. The Foundation works with donors who are fundraising in order to establish a scholarship.

A funding plan must be submitted at the time the fund is established that includes a detailed, realistic approach to raising the $25,000 minimum by a specific date that is no more than two years from the date the fund is established.  This allows time to gather gifts that have been committed to a fund by family, friends, etc., without turning the process into a long-term fundraising effort.  If the $25,000 minimum is not reached by the specified date and special arrangements aren't made with the Foundation, the fund balance will be transferred to the Future Scholars Fund.

Selection Criteria

Q.  Can I choose criteria to define the students eligible for the scholarship?

A.  Donors may choose selection criteria for a separately named scholarship fund based on information already collected on the current application form:

Standard Scholarship Fund Criteria

• Residency:       counties of Franklin, Hampden, Hampshire or a combination or a city/town
• High School:    current graduating seniors or graduates of a specific high school
• Year of Study:   freshman, sophomore, junior, senior, or graduate student   
• Specific College or University
• Major
• Ethnicity

The above criteria may be combined except where such a combination creates the possibility that an award will not be made in every year because of a lack of qualified applicants.  In that case, donors may express a preference for such combined criteria with the right of the Foundation to award to applicants who do not meet such combined criteria.

Administration and Donor Participation

Q. As the donor, can I or my family participate in the selection of candidates? Can I ask another group to make the selections?

A. According to federal law, scholarships require special administration when donors participate in the selection process.

The Foundation does have a process that allows donors and families or other groups (companies, school employees, etc…) to participate in the selection of candidates; however, since this is bound by strict regulations, it must be discussed with Foundation staff.

Q.  What are the administrative fees?

A.  Scholarship funds that utilize the Foundation's highly efficient selection process incur a lower fee than funds using external volunteers or the participation of donors. 

Scholarship Fund Fee Schedule

Note 1:    Fee percentages applied on a stepped basis to current fund balance for advised funds or to 13 quarter rolling average on endowed funds.
Note 2:    Additional fee of 0.15% for any funds invested in specially created portfolios.
Note 3:    Fees are in addition to the fund’s investment expenses as outlined in the investment policies