Epsilon Nu House Campaign

To sustain and advance the Sigma Chi Fraternity at Texas Tech, the Board of Directors of the Epsilon Nu Housing Corporation of Sigma Chi Fraternity (the House Corp Board) has undertaken a project (the Project) to construct a new lodge facility. The plan is to tear down the existing facility and rebuild on the current site, 16 Greek Circle in Lubbock. The House Corp Board has retained SHM Architects of Dallas to design the replacement facility. SHM has worked from a set of draft requirements created by the House Corp Board and with a committee of the House Corp Board, the Chapter Advisor, and representatives of the undergraduate chapter to develop a concept plan. To fund the Project, the House Corp Board has set about fundraising and is actively seeking donations. 

Due to rulings about fraternity housing fundraising campaigns, most of the needed donations will not be tax deductible by the Donor and should be given to the Epsilon Nu Housing Corporation and noted “For New Lodge Project”. Recognition opportunities will exist, however, for those making contributions to the Project of $25,000 or more. 

The House Corp Board has agreed all funds donated to the Project will be used solely for new construction, furnishings, and related planning and fundraising expenses. Further, the House Corp Board will make every reasonable effort to complete the Project. If the House Corp Board decides to terminate the Project for any reason, Donors will be refunded their pro rata share of the donations minus expenses approved by the House Corp Board. Should you decide to donate, the House Corp Board will have the power to do all things necessary, desirable, or expedient to carry out the Project. To ensure transparency, the House Corp Board has agreed all project expenses will be approved by an independent third-party member of the House Corp at large. Financial statements related to the project will be provided to Donors in a reasonable timeframe on written request. 

Should tax deductibility of the gift be a necessity of the Donor, a dedicated account has been established at the Sigma Chi Foundation. These donations will support the construction and ongoing maintenance of portions of the new facility designated as Educational Space. Donations to that account will be governed by Foundation policies and those policies will be provided to the Donor by a representative of the House Corp Board. Please consult your professional tax advisor prior to making your donation. Donations to this account should be made payable to the Sigma Chi Foundation and noted “For the EN Ed Area Program”. The same recognition opportunities will apply as discussed above for non-deductible donations.

Estimated Construction Cost: $6M

The Housing Corporation has retained the services of the below Brothers to assist in the organization of this effort.

• Architect: Former Consul Mark Hoesterey co-owner of SHM Architects.

• Construction Cost Estimate: Former Consul Trey Strong owner of Trey Strong Custom Homes and co-owner of West Texas Land Guys .

• Third-Party Investment/Expenses Auditor: Brother Dick Weisheit, CPA co-owner of Weisheit & Anson, LLP.

Covenant with Donors to the New Lodge Project

Procedures for Processing and Disbursing Donations to the New Lodge Project

All Donations for which the donor is not seeking an individual tax deduction are to be deposited to Account 9450955 at Prosperity Bank USA (the Money Market Account to which Glen Sirles and Brandon Bingham have power, individually). Only funds for the New Lodge Project are to be deposited in that account. 

There is to be a separate accounting of the deposits and expenses related to the New Lodge Project, so they are not mingled with other deposits and expenses of the corporation. 

While the primary use of the funds is the actual construction expense of the New Lodge, there are related legitimate expenses of the Project which should not be borne by the Operating Account of the Corporation. Those expenses include, but are not limited to:

o The Fundraiser’s contract fees.

o Fundraising meeting & travel expenses.

o Legal & Consulting fees.

o Architect’s fees.

o Bidding & contracting fees.

o Permits, surveys, appraisals, and document fees.

o Loan origination fees.

The Board of Directors of the Corporation shall review and approve every expense. However, no funds will be disbursed upon:

 o Board approval.

 o The invoice or receipts and notes supporting the approval are to be emailed to Brother

o Richard Weisheit for independent review and final approval.

 o Brother Weisheit will review all documentation, ask the Board clarifying questions he may have, and either reject or approval the expense. Brother Weisheit’s determination

will be final and will be communicated to the Board via email.

 o If rejected, the expense will either be paid from the Corporation’s Operating Account or pushed to the originator for payment or disposal.

 o If approved, either Brandon or Glen will pay the invoice, or reimburse the expense by disbursing funds directly from the Money Market Account or by moving money from the

Money Market Account to the Operating Account and disbursing from there.

 o All documentation is to be retained.

 o Transactions related to the Money Market Account are to have a memo explanation input and tagged in the QuickBooks accounting system.