Permanent Endowment Fund (PEF)
The Permanent Endowment Fund (PEF) of Moody Memorial First United Methodist Church has a long history and rich history. PEF grants reach many in the Galveston area as well as the world beyond.
Grant guidelines can be accessed through one of the following links:
Policies for ministries of the Texas Annual Conference
Policies for all other grants
For more information, please contact Vivian Pinard, grant administrator, at (409) 744-4526.
Endowment History - A Legacy of Blessings
Libbie Shearn Moody, wife of W. L. Moody, Jr., was an active member of First Methodist Church. As she wrote her will, she asked the pastor to visit with her regarding what would be an appropriate gift to leave to the church. The pastor suggested that she consider a percentage of her estate instead of a specific dollar amount. She decided that 25% of her estate would be an appropriate and significant gift.
When she died in 1943, her estate was placed in Trust 57. Under the provisions of her will, the income of Trust 57 would be distributed in equal proportions to her four children during their lifetimes, and to her grandchildren following the death of their parent. Upon the death of a grandchild, or in the case of daughter Mary Moody Northen her own death as she was childless, that individual’s portion would be divided between the Moody Foundation (75%) and the church (25%.) Upon the death of the last grandchild, Trust 57 would be dissolved and the trust assets distributed to the Moody Foundation (75%) and the church (25%.)
In the 1960’s, the church was able to receive an advance payment of $2,500,000 from the estate to build the new church campus at 53rd and Avenue U. This advance will be deducted from the final settlement and distribution of Trust 57.
For many years, the church received very little from the trust as the Moody family beneficiaries were receiving its income. In 1980, leaders of the church realized that the income from Trust 57 which was to come to the church would soon be increasing substantially. Desiring to be good stewards of this income stream, they brought a plan to the Charge Conference to establish the Permanent Endowment Fund. The PEF was thus created as a trust to receive distributions from Trust 57 and other sources to be held and administered on behalf of the ministries of the church.
During the early years of the PEF, there was not a significant amount of money in the endowment fund. Income from Trust 57 rose dramatically in the late 1980’s upon the passing of Mary Moody Northen, inasmuch as she had received a full 25% of the dividends and the church was now receiving one quarter of that. With the subsequent passing of other Moody heirs, the annual distribution to the church has gradually increased to over $5.5 million per year.
The Permanent Endowment Fund reached assets of almost $45 million prior to the major stock market decline in 2008-2009. It has now resumed its growth and at year end 2010 had reached a market value of just over $50 million. In 2010, the PEF contributed $939,540 in matching funds to the church program budget and just over $1 million in underwriting of the trustee budget for building maintenance and operations as well as major repairs and new building projects. In addition, the PEF made new grants of $2,225,000 to ministries in Galveston, the Texas Conference, and around the world.
The impact of her generous gift to the church and its use as a blessing to the community and the world would have been difficult for Libbie to imagine during her lifetime. Her legacy has been multiplied to become a magnificent blessing to the church that bears her name and to all to whom it ministers.