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POOLED INCOME FUNDScontributed” and of which no donor or income interest beneficiary is a trustee. 88This requirement of maintenance is satisfied when the public charity exercisescontrol, directly or indirectly, over the fund. 89 These requirements also providethat a national organization that carries out its purposes through local organizations(such as chapters) with which it has an identity of aims and purposes maymaintain a pooled income fund in which one or more local organizations that arepublic charities have been named as recipients of the remainder interests. 90 Forexample, a national church body may maintain a pooled income fund whendonors have transferred property to the fund and contributed an irrevocableremainder interest in it to, or for the use of, various local churches or educationalinstitutions of the body. All the facts and circumstances are to be examined todetermine whether a national organization and its local organizations meet thisstandard; the fact that the local organizations are incorporated is immaterial forthis purpose. 91 The IRS concluded that this maintenance requirement ensures“that the charitable organization [that maintains a pooled income fund] wouldlook out for its own best interests by not manipulating the investments and bypreserving the value of the remainder.” 92Reviewing these facts, the IRS ruled that the various provisions in the governinginstruments of the pooled income fund ensure that there will always bean identity of aims and interests between the national organization and any localorganization that actually receives a remainder interest in the fund. The IRS concludedthat the maintenance requirement would be achieved in these circumstancesbecause of the “close relationship” between the national organizationand its local organizations. 93 Thus, this pooled income fund was held to qualifyunder the federal tax law requirements.(b) Pooled Income Funds of Community TrustsThe IRS also reviewed the situation in which a pooled income fund is maintainedby a community trust 94 and either1. the donor permits the community trust to determine the charitable organizationsthat will benefit from the remainder interest, or88 IRC § 642(c)(5)(E).89 Reg. § 1.642(c)-5(b)(5).90 Id. See § 13.2(e), text accompanied by note 39.91 Reg. § 1.642(c)-5(b)(5).92 Rev. Rul. 92-107, 1992-2 C.B. 120.93 Id. at 121.94 A community trust (or community foundation) is a publicly supported charity that is described in Reg. § 1.170A-9(e)(10). See Private Foundations § 15.4(d). A group of funds is treated as a single community trust if the fundsoperate under a common name, have a common governing instrument, prepare common reports, and are underthe direction of a common governing board that has the power to modify any restriction on distributions fromany of the funds, if in the sole judgment of the governing body the restriction becomes unnecessary, incapableof fulfillment, or inconsistent with the charitable needs of the community or area served. Reg. § 1.170A-9(e)(11).A fund created by gift, bequest, or other transfer that is not subject to any material restriction or condition canbe treated as a component part of the single entity. Reg. § 1.170A-9(e)(11)(ii). A fund held by a community trustand designated by the donor to pay its income annually to a specific public charity is not subject to a materialrestriction and therefore may qualify as a component part of the community trust. Reg. § 1.507-1(a)(8)(v). 492