Council establishes Augusta Community Improvement Fund with Central Kansas Community Foundation

Augusta City Council voted to establish an Augusta Community Improvement Fund administered through the Central Kansas Community Foundation, approving a designated fund agreement and authorizing City Manager Josh Shaw to sign the agreement.

The proposal, explained by Joe Terek and city staff, would create a fund that community members and donors can use to make legacy gifts or targeted contributions for local projects such as seasonal plants, downtown awnings, benches, restrooms, park amenities and similar community improvements. Joe Terek described the fund’s origin in a Castle Park project and said the Central Kansas Community Foundation has been stewarding local endowments for Augusta when the local foundation lacked board capacity.

Terek said the suggested fund would allow donors to designate money "directly to Josh or city manager or city staff for the benefit of community improvements," so that, when donors give to the community improvement fund, money could be directed to city projects without having to route every disbursement through the foundation’s board. He explained that some arrangements at the Central Kansas Community Foundation are structured as expendable funds with a minimum corpus and routine distribution percentages; in this case staff described a minimum balance of $3,000 and an approximate annual distribution guideline (commonly about 5 percent) though exact spending policies are kept by the administering foundation.

Council members asked about governance, transparency, administrative fees and the city’s role. Staff and Terek said the Central Kansas Community Foundation handles back‑office financial management, credit card acceptance and reporting; administrative fees were discussed as tiered and typically a little above 1 percent on larger balances, with a reported flat fee option of $100 per month for funds under $10,000.

Council approved the designated fund agreement and authorized the city manager to sign. Council also directed staff to draft internal guidelines for handling city‑designated funds from the Augusta Community Improvement Fund so that the city’s decision‑making process and auditing expectations are clear before funds are expended. The motion to create the fund passed on a voice vote; council then made a separate motion (also approved) directing staff to return with a draft policy for the city’s internal process for requests and spending from the city portion of the fund.