Regulations Governing the Preservation Fund

I. Creation of the Preservation Fund

The Lakewood Historical Society ("LHS") has created a Preservation Fund (the "Fund".)

Money in the Fund will not be used in the ordinary operations of LHS but will be used to financially assist the preservation or rehabilitation of historically or architecturally significant buildings or structures (including fixtures) in the City of Lakewood, including residential, commercial, or industrial Properties of significance or that are located in a district or area which has historical or architectural significance as long as the Properties can or do contribute to the significance of the district.

The Fund will be credited with any contributions, gifts or grants made to LHS that are specifically made to the Fund. The Fund will be credited with any income from any investment of the assets of the Fund and with the proceeds received from any interest in Property owned or legally controlled by LHS obtained using the assets of the Fund.

II. Permitted Expenditures from the Fund

• By action of the LHS Board of Trustees (or any committee designated by the Board) money in the Fund can be used for any or all of the following expenditures:
• the purchase of Property or of an option to buy Property;
• the purchase of historic conservation or preservation easements on or to enhance Properties;
• loans to Property owners for any period of time at any interest rate (including no interest);
• loan alternatives such as credit enhancements, including cash collateral accounts to facilitate institutional loans on Property;
• the grant of monies to a Property owner;
• expenditures for taxes or insurance on, utilities for, and care or maintenance of any Property that LHS owns or maintains;
• expenditures for the acquisition, maintenance, preservation, repair, restoration, rehabilitation, or sale of any Property that LHS owns or maintains, including without limitation, the Stone House or the Nicholson House;
• expenditures for professional studies relating to the maintenance, preservation, repair, restoration, rehabilitation or marketing of Properties that are potential or existing projects of the Fund;
• expenditures to acquire, sell or market any Property or interest in a Property that LHS owns or maintains or proposes to acquire or upon which LHS has an option or other interest obtained for the account of the Fund;
• expenditures to stabilize a Property upon which LHS has an option or other interest obtained for the account of LHS, including amounts necessary to protect such Property from the elements or from vandals; or
• payments to any individual or organization, including LHS general accounts, for services rendered to the Fund, to Properties owned or maintained by LHS or for investment of money held in the fund, except that no amounts shall be paid to any member of the LHS Board of Trustees without the approval of the majority of disinterested members of the Board of Trustees.

III. Amendment and Termination

The LHS Board of Trustees may, at any time and in any manner permitted by law, amend these rules and regulations for the operation and use of the Fund by a vote of the majority of the members of the Board at a duly constituted meeting of the Trustees.

At such time the Fund has no further assets, the option of terminating the Fund shall be presented to the LHS Board of Trustees.