Solicitation and Acceptance of Gifts

University Policy 602.2, Solicitation and Acceptance of Gifts

Executive Summary: 

To achieve its vision of excellence and augment state appropriations, The University of North Carolina at Charlotte actively seeks contributions, including gifts and loans of real and personal property and gifts-in-kind, from individuals, foundations, corporations, and other entities. Such benefactions enable the University to further and fulfill its mission and vision.  The University intends to carry out the donors' intentions respecting all gifts in a manner that provides the greatest benefit to the University and enhances the University's reputation and attractiveness as a recipient of such gifts. To this end, all members of the University community must coordinate their efforts effectively.

I. Policy
To achieve its vision of excellence and augment state appropriations, The University of North Carolina at Charlotte actively seeks contributions, including gifts and loans of real and personal property and gifts-in-kind, from individuals, foundations, corporations, and other entities. Such benefactions enable the University to further and fulfill its mission and vision.
 
The University intends to carry out the donors' intentions respecting all gifts in a manner that provides the greatest benefit to the University and enhances the University's reputation and attractiveness as a recipient of such gifts. To this end, all members of the University community must coordinate their efforts effectively.
 
All gifts to the University must be coordinated through the Division of University Advancement and in accordance with this Policy and the UNC Charlotte Standards for Gift Acceptance.
II. General Provisions
1. Administrative responsibility for gift acceptance policy
Overall responsibility for coordinating the efforts of all members of the University community and for assuring compliance with the requirements of this policy is assigned to the Vice Chancellor for University Advancement.  That Vice Chancellor shall inform the Chancellor and appropriate Vice Chancellors in advance of proposed fundraising efforts.
2. Authority to solicit gifts
Although advance approval for gift solicitation is required from the Division of University Advancement, all administrative units and all members of the University community are encouraged to identify and to assist in soliciting gifts from prospective donors.  In order to ensure that solicitations are made in a manner that will best serve the interests of the University as a whole and will not conflict with other solicitations being conducted or planned by the University, the Division of University Advancement must review all plans for gift solicitations prior to implementation and acceptance.
3. Ownership of gifts
The Foundation of The University of North Carolina at Charlotte, Inc., (the “UNC Charlotte Foundation”) and The Athletic Foundation of The University of North Carolina at Charlotte are the two chartered bodies specifically established and authorized to accept gifts from private sources for the benefit of the University.
 
Although the preference is that all gifts other than real property shall be directed to the UNC Charlotte Foundation, gifts may also be made directly to the University of North Carolina at Charlotte. State law requires that title to gifts donated to the University vests in the Board of Trustees of the Endowment Fund of The University of North Carolina at Charlotte unless special provision is made to confer the gift upon The University of North Carolina at Charlotte.  In either event, the gift donated is not held by a single department, college, or other administrative unit, but by the University or the Endowment Board.
4. Appraisals
Donors seeking to claim a charitable contribution deduction for a gift of real or personal property are responsible for obtaining any appraisals required by applicable tax laws. Such appraisals are to be conducted by appraisers independent from the University and selected by the donor. As required by the Internal Revenue Service, donors must bear the cost of such appraisals.  The University is not precluded from hiring its own appraiser with respect to any proposed or realized gift of real or personal property for its own accounting purposes.
5. Evaluation of costs and liabilities associated with acceptance of certain gifts
Proposed non-cash gifts must be evaluated to determine whether the costs associated with accepting the gift can prudently be accommodated using other University resources. For example, accepting real property may require payment of closing costs, payoff of debt secured by the property, and physical changes to the property necessary to assure safety or control environmental hazards.  Likewise, the cost to retrofit space on campus and provide necessary utilities to make a proposed gift of equipment usable for University purposes may exceed the University's capacity to respond. In addition, proposed gifts of real property must be evaluated to determine any liabilities that may be associated with the gift. Occasionally, such associated costs or liabilities may diminish the University’s ability to accept the gift.
 
The Vice Chancellor for Business Affairs has the authority and the responsibility for prompt, careful evaluation of such costs and liabilities, and shall consult with other Vice Chancellors as appropriate in making such an evaluation.

When a proposed gift potentially influences the academic curriculum (i.e. if the gift contains any restrictions, conditions, implications, and/or suggestions with regard to academic content), the Division of University Advancement will inform the Chancellor or the Chancellor’s designee.  At the option of the Chancellor (or designee), an ad hoc faculty committee may be appointed to review the curricular implications of the gift and to make specific recommendations regarding the acceptability of such implications.  This ad hoc committee will act with consideration of the need for confidentiality and speed in the negotiation process, and will make recommendations to the Chancellor (or designee) concerning the implications of the gift on the curriculum as well as the need for any further review or modification of any proposed agreement.  Any new course offerings, specific course requirements, faculty appointments, or other material aspects of university curriculum proposed as a condition of a gift must undergo the normal and established procedures governing campus-level review, revision, and approval in accordance with the Standing Rules of the Faculty Council.  Additionally, any proposed gift to support the work of a single faculty member or faculty group must be reported to the Vice Chancellor for Research and Economic Development, the University’s Conflict of Interest Manager, and the appropriate dean and department chair in order to evaluate whether a conflict of interest exists before the gift is accepted.

Gifts that include proposals for naming university facilities and programs will be reviewed in accordance with University Policy 602.9, Naming Opportunities.

6. Acceptance of gifts and administration of restricted gifts
The University officials designated to accept gifts on behalf of the University are the Vice Chancellor for University Advancement and the Vice Chancellor for Business Affairs. The Vice Chancellors’ acceptance of any gift is subject to applicable policies and guidelines established by the University, the Board of Trustees of The University of North Carolina at Charlotte, the Board of Governors of The University of North Carolina, and the Board of Trustees of the Endowment Fund of The University of North Carolina at Charlotte. The Vice Chancellors shall consult with the Chancellor before accepting, on behalf of the University or any other affiliated entity, gifts exceeding $1 million. The authority to accept gifts on behalf of other affiliated organizations is determined by the respective organizations by action of their governing boards.
 
Donors may request that gifts be used by the University in particular ways. If a gift is accepted, the University intends to honor the express wishes of the donor with respect to gift restrictions, as long as the gift and any restrictions remain applicable, legal, consistent with University policy (including University Policy 501, Nondiscrimination and Procedures for Addressing Reports of Discrimination), and in the best interest of the University.  The Vice Chancellor for University Advancement, in consultation with other Vice Chancellors as appropriate, is responsible for assuring that arrangements are made to achieve compliance with such requests.

Donors are encouraged to be as broad as possible when specifying criteria for restricted gifts, particularly for restricted scholarship funds. Because the Internal Revenue Service will not recognize a contribution for charitable tax deduction if the donor retains control over gift funds or how they are used, donors may not participate in the final selection of a scholarship or award recipient, name an individual to any final selection committee, or structure the award criteria so narrowly as to limit selection to a small population comprised solely or primarily of individuals related to the donor or that the donor would choose. In unusual circumstances, such as whereby gift funds are contributed by a private foundation, an exception to this provision may be granted by the Vice Chancellor for University Advancement.

When the restrictions requested by a donor are reduced to writing and require agreement by a University official, as in the case of trust agreements, such agreements are to be signed on behalf of the University only by the Chancellor or an official designated in writing by the Chancellor (see University Policy 603.1, Authority to Sign Contracts and other Official Documents).  If the agreement is between the UNC Charlotte Foundation or Athletic Foundation and the donor, those organizations will designate the individual who may sign the agreement. 
 
In all cases, expenditures related to gift acceptance are to be reviewed for approval in advance by appropriate University officials.  Records of expenditures will be kept and audited.
III. Procedures and Regulations
  1. Colleges, departments, and individuals are encouraged to identify and assist in soliciting prospective donors. Efforts to secure gifts from private sources must be brought to the attention of the Vice Chancellor for University Advancement in advance. The Division of University Advancement will assist in identifying potential donors and in making arrangements for solicitations. 
  2. Any private fundraising initiative by a faculty or staff member must be thoroughly reviewed and approved by the appropriate Dean or Academic Affairs administrator in consultation with the respective University Advancement Office representative, and prospect solicitation must be approved and coordinated through University Advancement.  The Chancellor’s Directive dated March 9, 2006 is available here.
  3. The Division of University Advancement is responsible for issuing the official gift receipt and donor acknowledgment, and for the proper deposit of gift funds.  Individuals, departments, and colleges are all encouraged to express appreciation to donors.
  4. The specific standards, accounting procedures, and reporting procedures applicable to all University fundraising activities are maintained and periodically updated by the Vice Chancellor for Advancement.
IV. Assignments of Specific Administrative Responsibilities
Vice Chancellor for University Advancement
  1. Assumes overall responsibility for proper implementation of this policy
  2. Coordinates and schedules fundraising efforts by the University's departments or foundations and obtains approval from the Chancellor or appropriate foundation board for these efforts. 
  3. Keeps colleges, departments, or other administrative units apprised of solicitation efforts for their benefit.
  4. Receives reports from the campus community identifying potential donors and provides support for solicitation; effects administrative coordination with all other units necessary for cultivation, solicitation, evaluation, acceptance, acknowledgement, stewardship, and treatment of gifts in response to donor's wishes.
  5. Develops specific terms of the gift or loan for presentation to the donor prior to acceptance of the gift.
  6. After acceptance, promptly prepares for signature by the appropriate official acknowledgements of gifts and notifies the department, college, or other campus units(s) that benefit from the gift as appropriate.
Vice Chancellor for Business Affairs
  1. Inventories and accounts for donated property in the same manner as is required for purchased property.
  2. Assures that federal, State and UNC General Administration laws, policies, and guidelines are followed.  Maintains appropriate inventory records and auditable expenditure records.  Maintains other records and prepare reports
  3. Manages corporate stocks, bonds, and negotiable instruments in accordance with the current guidelines of the Board of Trustees of the Endowment Fund.
  4. Evaluates costs and liabilities associated with proposed gifts promptly, with assistance from the appropriate functional specialist in the evaluation of special/limited purpose gifts (computer equipment and software, library materials, artwork, and other gifts in kind).
  5. In special circumstances, authorizes reimbursement of fees that may be necessary to facilitate receipt of a gift. 
  6. Makes arrangements for receipt and addition to physical inventory of tangible gifts, and for insurance and security measures as appropriate.
Recipient Department, College, or Other Unit
  1. It is the responsibility of the receiving department, college, or unit to coordinate the receipt of gifts with the Division of University Advancement.
  2. It is the responsibility of the Dean of University Libraries to coordinate all gifts of materials to the library’s collections with University Advancement. Such coordination shall include advising University Advancement on decisions regarding selection of all formats of materials.  If acceptance of a gift of materials involves the expenditure of additional University resources, the Dean of University Libraries shall coordinate acceptance of such gifts with both the Vice Chancellor of University Advancement and the Vice Chancellor for Business Affairs.
V. Positions with Primary Job Duties that Include Fundraising Responsibilities

In a donor-driven environment it is important to coordinate donor strategies.  Therefore, all professional staff positions with primary job duties that include fundraising responsibilities must report to the Vice Chancellor for University Advancement or designee. Fundraising responsibilities include: identifying, cultivating, and soliciting new sources of philanthropic support for the University or its affiliated entities; developing and maintaining relationships with current donors; and organizing and coordinating fundraising events. Exceptions to this Section V may be granted by the Vice Chancellor for University Advancement in unusual circumstances, and must be requested in writing by the hiring manager prior to posting any vacancy with primary job duties that include fundraising responsibilities. The Division of University Advancement encourages colleges and units to assist with identification and stewardship activities in coordination with University Advancement.

Questions or disputes as to whether a proposed or existing staff position has primary job duties that include fundraising responsibilities will be referred to the Vice Chancellor for University Advancement or designee for resolution.  Positions with primary job duties that include fundraising responsibilities that are filled in a manner inconsistent with this policy, or positions that acquire primary job duties that include fundraising responsibilities after being filled, will be modified or reassigned in order to comply with this Policy.

 

Revision History: 
  • Initially approved by the Chancellor, March 26, 2001
  • Revised August 31, 2006
  • Revised August 3, 2010
  • Updated January 28, 2011
  • Revised June 1, 2016

Authority: Chancellor

Responsible Office: University Advancement
 
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