The late Edward L. and Esther B. Kohnle set up a charitable remainder trust in 1969 while they were still very active in the Dayton community.

Forty years later, The Dayton Foundation announced it has received $3.7 million from the trust - representing its largest realized, unrestricted legacy gift to date.

The gift creates the Edward L. and Esther B. Kohnle Fund, a permanent endowment that will address broad needs in the community.

Dayton Foundation President Michael M. Parks said Thursday, Nov. 19, the gift will generate approximately $150,000 annually, allowing "our grants committee and our board ultimate flexibility in addressing the highest and most critical needs in our community."

Edward Kohnle, who was 95 when he died in 1987, was the former chairman and president of Monarch Marking Systems, which later merged with Pitney Bowes, Inc. He had been chairman of the Dayton Metropolitan YMCA board from 1936-40 and served on The Dayton Foundation's Governing Board from 1957 to 1973.

Esther Kohnle died in 1982 at age 90. She had served in such roles as president of the League of Women Voters, Dayton Literacy Council and Dayton Women's Club.

It hasn't been determined exactly how the funds will be used, but Parks said they'll likely go toward discretionary grants to area nonprofits and identified community initiatives.

The current community initiatives are the neighborhood schools project, the Minority Economic Development Council, the Greater Dayton Conservation Collaborative and the nonprofit support program that assists organizations with partnerships, alliances and mergers.

Charitable remainder trusts are set up by the donors. The trusts have designated individuals as recipients while those people are alive, then a designated charitable remainder beneficiary after those individuals die.

The Dayton Foundation, created in 1921, helps donors find ways to achieve their charitable objectives, invests and manages donors' charitable funds and provides grants and leadership to grow philanthropy and help meet present and future community needs.

The Foundation said 14,000 grants totaling $39 million went to charity during the fiscal year ending June 30.