Youse Trust Endowment
"
CLARK, MIZE & LINVILLE
CHARTERED
PETER L. PETERSON
JOHN W. MIZE
GREG A. BENGTSON
MICKEY W. MOSIER
PAULA 1. WRIGHT
ERIC N. ANDERSON
DUSTIN J. DENNING
MICHAEL P. ALLEY
PETER S. JOHNSTON
NICHOLE MOHNING ROTHS
JARED B. JOHNSON
ATTORNEYS AT LAW
C.L. CLARK (1908 - 2004)
JAMES P. MIZE (1910 - 1988)
129 S. EIGHTH, P.O. BOX 380
SALINA, KANSAS 67402-0380
TELEPHONE: (785) 823-6325
FAX: (785) 823- I 868
128 N. MAIN
LINDSBORG, KANSAS 67456
TELEPHONE: (785) 227-2010
AUBREY G. LINVILLE
L.O. BENGTSON
RETIRED
January 11, 2007
William McMos1ey
2113 Fairda1e Court
Salina, KS 67401
Dear William:
As I told you during our recent office conference, I represent Robert A. Stinson in his capacity as
trustee of the Laura Ellen Youse Trust dated May 16, 1996. Laura passed away in January of
1999. Her trust provided for half of her trust assets to be distributed outright, which was done at
that time. The other half was to be retained in trust, with income payable for life to a local Salina
couple, followed by distributions for the benefit of ten different charities, in equal shares. The
survivor of the Salina couple has now passed away, so the trust assets will soon be ready for
distribution to the ten charities, one of which is the Salina Municipal Band.
At the time of Laura's death, the retained half share was worth about $348,000. Even with
interim income payments to the Salina couple totaling nearly $200,000, and even with interim
trustees' fees and other expenses, the remainder of the half share has grown to about $500,000.
This means, in turn, that the share of each of the ten charities will be about $50,000. Needless to
say, the trustee (Mr. Stinson) has done a wonderful job of asset management, investment, and
stewardship.
Under the terms of Laura's trust, as written in 1996, the gifts for the charities are to be made
outright. Near the end of her life, Laura indicated to me that she wanted to permanently endow
these gifts, in order to enhance the likelihood that each charity's portion would continue to
generate annual payments to that charity, in perpetuity. I had told Laura about the pending
formation ofthe Greater Salina Community Foundation ("GSCF"), which would hold permanent
endowment funds "ear-marked" for specific charities like the Salina Municipal Band. Laura was
very interested in pursuing that notion; unfortunately, however, she passed away before any
changes could be made to her trust.
Mr. Stinson and I are now looking for input from your board as to how to provide for the
payment of the Band's approximate $50,000 bequest. One possibility would be for the Band to
direct Mr. Stinson to make the check made payable to the GSCF, which would then deposit the
check in an endowment fund for the Band at the GSCF. The Band could then receive annual
distributions from the fund (typically up to 5% of the fund balance), if it so desired, for
unrestricted uses as it saw fit.
"
William McMosley
January 11,2007
Page 2
By the way, I have also discussed this matter with Rod Franz, the Director of Finance for the
City of Salina, and he was most receptive to this endowment fund approach with the GSCF. In
fact, he said that he preferred that Mr. Stinson and I deal directly with you and the other Band
officials and not run this money through the City of Salina's accounts.
And now for some required formalities. I am enclosing a complete copy of Laura's trust
agreement (see, in particular, page 3). Under Kansas law, you have a certain amount of time
within which to contest the validity of her trust, and Mr. Stinson and I have a legal obligation to
inform you of that right. Accordingly, please consider this letter as the statutory notice required
under K.S.A. 58a-604(a)(2). In particular:
(1) As noted above, I am enclosing a complete copy of Laura's trust for your
review and use.
(2) Laura's trust is in full force and effect at this time, and the trustee's name
and address are as follows: Robert A. Stinson, 849-A Fairdale Road, Salina, KS 67401.
(3) The time allowed for commencing a proceeding to contest the validity of
Laura's trust is four (4) months after the sending of this notice - i.e., May 11, 2007.
Thank you in advance for your prompt attention to this matter. I can tell you that Laura was very
fond of the Salina Municipal Band. It held a very special place in her heart, and we will look
forward to working with you in carrying out Laura's gift for the Band's benefit.
Very truly yours,
CLARK, MIZE & LINVILLE, CHARTERED
Peter L. Peterson
PLP:pp
coe};)' YOUR
HECORDS
Enc!.
cc: Robert A. Stinson, 849-A Fairdale Road, Salina, KS 67401
Thomas K. Arpke, 512 W. Iron Avenue, Salina, KS 67401
Rod Franz, Director of Finance, 300 W. Ash Street, Salina, KS 67401
Greg A. Bengtson, 129 S. 8th Street, Salina, KS 67401