Policy Number: 121

 

GIFTS TO THE UNIVERSITY

 

Board Regulations provide that the President or designee may accept gifts to the University.  Board approval is required prior to acceptance of gifts in cases which involve a significant commitment of resources for the operation, maintenance or administration of the gift.

 

For purposes of this policy, gifts are defined as endowments, trusts, bequests, devises, and other donations made to the University.  Gifts made to the EIU Foundation are excluded from this policy.

 

Potential donors and their advisers shall be encouraged to discuss terms of proposed gifts and bequests with the designated development officer.

 

No agreements concerning gifts may be approved by any employee of the University without consultation and recommendation of the designated development officer.

 

The designated development officer shall review gift instruments in draft form to suggest any changes in terms or wording that will help the University comply with the wishes of the donor while remaining in compliance with the law.

 

Monetary Gifts

 

Gifts of money made to the University rather than to a Foundation fund shall be deposited in a gift clearing account.  This procedure enables the University to maintain proper accounting controls.

 

In the absence of any documentation that a gift is restricted to a stated purpose, it shall be defined as "unrestricted" and placed in The University Gift account for general institutional use.

 

Restricted gifts shall be used only for their designated purposes.

 

Individual gifts of $5,000 or more, including matching gifts, shall be reviewed by the designated development officer.  This policy shall not affect gifts or bequests made to an established restricted or endowment fund.

 

In the Academic Affairs area, deans (or designees) shall be designated as fiscal agents for their respective departmental gift accounts and shall receive all reports, receipts, and other information concerning these accounts.  Each departmental chair, or director, shall be co-signer for expenditures from the departmental account.  A separate gift account shall be established for each dean and for the Vice President for Academic Affairs.

 

In other divisions of the University, the vice presidents, or their designees, shall serve as fiscal agents for gift accounts assigned to their respective units and shall receive all reports, receipts, and information concerning the accounts.  Each director shall be a co-signer for expenditures from the unit account.  A separate gift account shall be established for each vice president.

 

Gifts In Kind

 

Gifts-in-kind are defined as donations of personal property and real estate.  The University may accept gifts-in-kind only after a review by the designated development officer.

 

The University may have the proposed gift evaluated by qualified and disinterested appraisers to establish a defensible value of the gift for internal record-keeping purposes.  Under some circumstances, the University may request the prospective donor to provide such an appraisal.

 

The University takes no official position on the value of in-kind contributions of individuals or companies for tax purposes.  Establishment and defense of the value of in-kind contributions for tax purposes is the responsibility of the individual or company making the contribution.

 

In accordance with state and federal regulations, no officer of the University shall give, or appear to give, legal or tax advice concerning the value of the gift.  The potential donor shall be urged to seek the advice of a legal counsel or tax adviser.  Gifts with a fair market value of $5,000 or more are subject to special rules of evaluation by the Internal Revenue Service.  The office of the designated development officer shall be consulted for specifics before any such gift is accepted.  If possible, donors shall be informed of actions planned by the University, such as ways in which the gift will be utilized, where it will be kept, or under what conditions it will be disposed.

 

If the donor has imposed any restrictions upon the use of the gift, the University, by accepting the gift, accepts responsibility for adhering to those restrictions.  Such restrictions shall be observed as long as the gift is held by the University and may be changed only by mutual agreement unless otherwise permitted by law.

 

Gifts of routine library materials may be accepted provided they fit into the collection development and acquisition policies of Booth Library and provided there are no restrictions.  The Library must be free to dispose of – by gift, exchange, or salvage – any publications which are not needed.  As a general rule, the Library cannot agree to maintain a gift collection as a separate entity.  Gifts offered with such restrictions may be accepted by the Dean, Library Services, on an individual basis.

 

Gifts of art may be accepted provided they fit into the collection development and acquisition policies of Tarble Arts Center and provided there are no restrictions.  The Tarble Arts Center must be free to dispose of – by gift, exchange, or salvage – any works of art which are not needed.  As a general rule, the Tarble Arts Center cannot agree to maintain a gift collection as a separate entity.  Gifts offered with such restrictions may be accepted by the Director, Tarble Arts Center, on an individual basis. 
 

Approved:
President
August 16, 2000

 

Monitor: President