Issuing Office: Vice Chancellor for University Advancement
Policy Number: FY14-UAO-001-00
Policy Name: All UMass Boston Charitable Donations/Gifts to University Advancement
Original Date Issued:
Tuesday, December 17, 2013
Revision #: N/A
Last Update: N/A
Purpose of Policy:
To ensure that donations/gifts (referred to as charitable donations in this document) are deposited, tracked and acknowledged in accordance with University Advancement (UA) policies. University Advancement is the reporting agent from the Chancellor’s Office to the President’s Office for all charitable donations.
All departments @ UMB
The University Advancement Office is the official office on campus to receive charitable donations. Therefore, all charitable donations, including gifts-in-kind, to UMass Boston are to be forwarded to University Advancement the same day they are received. UA will perform all official UMass Boston stewardship functions for receipting, depositing, tracking and proper tax acknowledgement for charitable donations from donors.
Note: Some entities must make charitable donations through a non-profit 501(c) (3). University Advancement will manage this process through the UMass Foundation.
Charitable donations to UMass Boston are in the form of cash, check, credit cards (Master Card, Visa, Discover and American Express), stocks and in some instances gifts-in-kind. Any type of fundraising appeals, whether direct mail, web based or other, must be coordinated with the Office of Annual Giving in University Advancement. Donors should be requested to make all checks payable to the University of Massachusetts Boston.
Mailings or solicitation letters should be written with this in mind. No additional designation should be made part of the payee name on the check. Information concerning the specific college or fund for which the charitable donation is intended should be included on the reply envelope, letter, or noted on another portion of the check. Arrangements should always be made for charitable donations to be sent by the donor directly to the University Advancement Office.
For all charitable donations, the proper mailing address is:
University Advancement Office
University of Massachusetts Boston,
100 Morrissey Boulevard, Boston, MA 02125-3393
The proper web address is alumni.umb.edu/give
When soliciting alumni, friends of the university, corporations or foundations for private philanthropy, it must be cleared through University Advancement prior to any solicitation. During major campaigns, such as capital or annual campaigns, multiple conversations shouldn't happen with the same donor. Such solicitations must be coordinated with University Advancement to avoid duplication of efforts which can negatively affect the outcome.
All types of charitable donations are accepted by UMass Boston: cash, checks, credit cards, stocks, gifts-in-kind (see definition below). When a donor indicates a desire to make a charitable donation in the form of stock, please contact the Assistant Vice Chancellor of Finance and Operations Management University Advancement to assist in the transfer of securities. Also, UMass Boston employees are eligible to make charitable donations to the University via payroll deductions: alumni.umb.edu/faculty
. The deductions occur every pay period for a pre-determined dollar amount. The amount can be changed, and the deductions can be stopped at any time by contacting the Annual Giving Officer
in University Advancement @ 617.287.5320.
Funds are distributed to UMass Boston departments on a regular schedule:
Annual Fund donations are distributed to department accounts on a monthly basis for gifts received in the prior month. Note: Some donations are deposited directly to designated department accounts when received. These are generally scholarship accounts.
Endowment Fund donations are managed by the UMass Foundation and the interest is distributed to department accounts on an annual basis for interest earned on a one year lag. The current list of endowment U accounts (53800) is available in the financial accounting system. The Foundation utilizes the pooled investment concept for its endowment funds whereby all invested funds are included in one investment pool. Distribution to each fund participating in the pool is based on its average pro rata unit ownership in the pool during the preceding fiscal years.
For all types of endowments it is the PI’s responsibility to ensure that the interest allocations for funds designated as “revert to principal” are spent during the fiscal year. Unspent balances in these types of accounts will be transferred to the principal endowment held at the UMass Foundation at the end of the fiscal year. For those funds which are designated “remain in interest” the balances in these chart fields will carry forward into the next fiscal year.
University Advancement coordinates closely with the Office of Research and Sponsored Programs (ORSP). Because there can be a fine line between what constitutes private giving and sponsored grants and programs, A Note Concerning Grants and Gifts
, a joint publication of the Vice Provost for Research and the Vice Chancellor for University Advancement, provides clear definitions of terms and clarifies the roles and responsibilities of University Advancement and the Office of Research and Sponsored Programs in the processes of identification, coordination, solicitation, acceptance, and administration of funds from extramural sources. When in doubt about a charitable donation gift vs. grant, contact University Advancement.
It is the responsibility of the PI to ensure that funds are expended in accordance with the donor’s wishes. University Advancement, Director of Stewardship is available with guidance for PIs regarding account information and fund purpose.
All communications regarding fund distributions will be made via e-mail to Provost, Associate Provost, Deans and Directors of Independent Centers and Institutes.
Charitable donations received for current operations and financial aid.
A charitable donation is the irrevocable transfer of property or money to a qualified organization and has no donor-imposed conditions, or control. It must be voluntary, and made without receiving or expecting to receive, anything of equal value. In other words, a charitable donation is a gift of an asset owned by the donor. To qualify as a charitable donation to the University of Massachusetts Boston, the following conditions must be met:
- The transfer of cash or other assets must be unconditional;
- The transfer must be in furtherance of UMass Boston’s charitable mission; and,
Charitable donations are NOT:
- The transfer must be non-reciprocal, which means there must be no implicit or explicit statement of exchange, purchase of services, or provision of exclusive information to the donor in exchange for his or her gift.
- Payment for a raffle ticket
- Payment earmarked for an individual
- Gift conditional on a future event (i.e. give stock but retain voting rights for the rest of the year, or give artwork but retain control of its location)
- The use of property (office space, condo)
- Where the donor receives goods or services in exchange for the gift (“quid pro quo”) with a fair market value equal to, or exceeding that of the gift.
- In exchange for UMass Boston endorsing a product or service.
- Expenditures made for the purpose of influencing legislation.
The University of Massachusetts endowment is an accumulation of funds, primarily charitable donations with donor-designated purposes, set aside and invested to support the University's teaching and research missions in perpetuity. To date, thousands of donors from the University's five campuses who have wanted to provide enduring support for UMass have made charitable donations. Each year, a fixed percentage of the funds' market value flows to the University operating budget from interest and investment appreciation, providing an important source of support for each of the University's five campuses.
Gifts-in-kind are defined as non-cash donations of materials or long-lived assets (e.g. art, books, antiques, equipment, software, software licenses, printed materials, etc.) other than real and personal property. Gifts-in-kind will be counted if the gift is deemed useful to UMass Boston in fulfilling its purpose or mission and a campaign priority. Gifts-in-kind will be pre-approved and/or sanctioned by the University.
Proper oversight that assures donors that their charitable donations will be used for the purposes for which they are given, and that their charitable donation information is handled with respect and confidentiality.
The Foundation is a Massachusetts Chapter 180 private, not-for-profit corporation which is exempt from federal taxes under section 501(c) (3) of the Internal Revenue Code.
The mission of the University of Massachusetts Foundation, Inc. is to "foster and promote the growth, progress and general welfare of the University of Massachusetts" as stated in the original 1950 Articles of Organization.
Oversight Department: Vice Chancellor for University Advancement
Responsible Party within Department: Assistant Vice Chancellor of Finance and Operations Management, UA
Monitoring: Department Heads should review this policy annually to ensure that funds are forwarded to University Advancement the same day they are received by the department and that their websites and other solicitation communications identify University Advancement as the address for donations.
University of Advancement will review their operations to ensure that department funds are transferred to departments on a monthly schedule.
Authority: T11-069 Policy for Trustee Report on Fundraising Results
T92-031 Policy for Management of University Funds
University-wide Internal Control Plan
UMB Policy/Internal Controls
A Note Concerning Grants and Gifts
Employee Payroll Deduction: alumni.umb.edu/faculty