THE ADMINISTRATION OF GIFT SOLICITATION

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THE ADMINISTRATION OF GIFT SOLICITATION

  1. 1. SECTION 5 THE ADMINISTRATION OF GIFT SOLICITATION 5.1 Introduction The following policies and procedures, endorsed by the University Advancement Council, describe the process for implementing a fund-raising initiative. The policies and procedures provide for the coordination of fund-raising activities among the colleges to maximize success and avoid simultaneous multiple solicitation of donors. The solicitation of funds implies all fund-raising activities, including the solicitation of sponsorships. Gifts to the institutional take many forms, including, but not limited to, cash, stocks, in-kind donations, trusts and estates. In the broadest sense, the purpose of the Office of Development is to (1) create an awareness within the private sector of the financial needs of The University of Toledo which are not met by state or federal support, and (2) to implement a plan by which the financial needs can be met through private gift support. The Office of Development is responsible for the promotion, support, coordination and implementation of University fund-raising programs and priorities. 5.2 University Policies University Gift Policy The Board of Trustees, for and on behalf of the university, may accept all gifts and shall administer such gifts according to the terms agreed upon with the donor. The University of Toledo Foundation is recognized by the Board of Trustees as the official gift-receiving entity of the university. This policy provides for the request for, acceptance, and administration of gifts in support of the university. All gifts, including in-kind gifts, in support of the university, whether for the benefit of the entire university or any of its departments, shall be reported to the office of institutional advancement which bears responsibility for reporting such gifts to the President and the Board of Trustees for acceptance and acknowledgment. There shall be no request for philanthropic gifts by any individual, department, or organization for any purpose connected with the university without the prior approval of the office of institutional advancement. No gift shall be accepted, without express authority and prior approval of the board, if the maintenance of the gift will add to the ordinary operating budget of the university. Policy Number: 3364-55-02 Effective: 1 May 2008
  2. 2. Philanthropic Fund Raising Activities and Requests for Gifts The Vice President for Institutional Advancement shall review and authorize, for approval of the President, any philanthropic fundraising activities and request for gifts by external or internal organizations. Furthermore, the Vice President for Institutional Advancement shall review and authorize, for approval of the President, capital campaigns by internal units and organizations designed to solicit large groups of alumni and supporters. The President shall provide rules for the request for gifts and/or funds by any individual, organization, department or academic unit for any purpose connected with the university. This policy provides the guidelines philanthropic fundraising activities and request for gifts by external and internal organizations and identifies the responsible parties for authorization and approval of such activities. The university will permit a single joint fund raising campaign (the United Way Campaign) where United Way, Community Health Charities of Ohio, Northwest Ohio Community Shares and Earth Shares of Ohio, using the existing United Way structure, will solicit gifts in support of the charities they represent using the process outlined below. United Way will serve as the “lead” organization. The campaign will use the time period, process, structure and organization established by United Way. The structure will include United Way’s e-pledge process to incorporate all participating organizations. The participating organizations are charged to develop the processes necessary to expand the e-pledge system. Policy Number: 3364-55-04 Effective: 1 May 2008 5.3 Annual Giving 1. All direct mail, telemarketing, electronic and personal solicitation for Annual Fund programs shall be coordinated by the Office of Development through the Annual Fund Office in cooperation with University-wide specific college/program plans. 2. The University-wide annual fund plan will be developed each year by the Annual Fund Program Office in cooperation with the Office of Development. The plan will identify overall annual giving goals, objectives and strategies for the next fiscal year, consistent with the University’s strategic plans. 3. The plan will be submitted to the Vice President for Institutional Advancement 60 days prior to the end of each fiscal year for inclusion in the University-wide comprehensive fund-raising plans.
  3. 3. 4. The major cost of the general direct mail and telemarketing programs, excluding specialized brochures and other materials, will be covered by the Office of Development with the assistance from The University of Toledo Foundation. 5.4 Auctions and Drawings Gift officers and student groups involved in special events and fund raising should exercise special caution with regard to fund-raising drawings for prizes. State and local laws should be consulted regarding raffles. Donors of items for auction purposes and buyers of those items should refer to current IRS rulings on tax deductibility of gifts and purchases. 5.5 Basic Components of the Fundraising Process 1. Through the University Advancement Council, the priorities for University fund raising are established and the strategies for such fundraising are set. 2. The identification of potential donors (prospects): This is done in many ways, but thorough and formal prospect research is often required. The Office of Development has the capacity to perform this function. The process is an attempt to identify a prospect’s linkage, ability and interest in order to develop the most effective strategic plan to turn the prospect into a donor. 3. Gift officers serve as Relationship Managers for identified prospects. Their job is to cultivate the prospect towards a target gift utilizing a strategic plan tailored to the individual prospect. This process can have short-term or long-term implications. 4. The Office of Development follows a donor-centered philosophy of fundraising. Stated simply, the donor will give to an area of his or her primary interest or passion. It is Development’s job to identify that interest and passion and cultivate it towards the target gift. Sometimes a very great need of the University will garner little or no interest among prospects. 5. Effective stewardship of the gift and the donor after the philanthropic support has been given. Continuous cultivation to the next gift. 5.6 Budget Formulation for Fund Raising The formulation of budgets for private fund-raising projects is the consultative responsibility of the Office of Development and the Vice President for Institutional Advancement.
  4. 4. 5.7 Capital and Endowment Campaigns All capital and/or endowment campaign activity, whether for the University, a college or department, will be managed and coordinated by the Office of Development with the full approval and sanction by the University Advancement Council, the Vice President for Institutional Advancement and the Office of the President. 5.8 Commitment to the Community The University of Toledo receives many requests from non-profit organizations to conduct fund- raising campaigns on our campus. These campaigns are designed to solicit our faculty, staff and students for financial support. These groups, citing the United Way Campaign as precedent, wish to provide our faculty and staff with the opportunity to support the charitable organizations they represent. Recognizing that donors deserve a choice in their philanthropic interests, the University also recognizes that a series of fund-raising campaigns is disruptive to the campus and costly from an administrative and human resources standpoint. The following procedure outlines the process for a unified fund-raising campaign, The Community Charitable Campaign. Any external group seeking to solicit funds on campus must submit a formal request to the Vice President for Institutional Advancement. The request will be taken to the President’s cabinet for review, and a recommendation will be submitted to the President for appropriate action. The University of Toledo views its commitment to the community as a significant segment of its mission. Part of that commitment is the participation of the faculty, staff and students in the annual Community Charitable Campaign. This long-term relationship with United Way and a desire by the Institution to be mindful of other needs within the community forms the basis for this statement of position. The University of Toledo will permit a single joint fund-raising campaign (The Community Charitable Campaign) where United Way, and approved federations, using the existing United Way structure, will solicit gifts in support of the charities they represent using the process outlined below. • The campaign will use the time period, process, structure and organization established by United Way.
  5. 5. • The structure will include United Way’s e-pledge process to incorporate all participating organizations. The participating organizations are charged to develop the process necessary to expand the e-pledge system. • The University reserves the right to review and approve as appropriate all campaign literature. • United Way, in cooperation with approved federations, will share expenses for executing the campaign, including technology and literature development. • As lead organization, United Way, in cooperation with approved federations, will develop a campaign plan outlining process, timetable, and printed and electronic communications. This plan will be presented to the University for approval. 5.9 Compliance with local, state and federal law The Office of Development, in conjunction with the UT Foundation, will assure that all fund- raising events it sponsors and/or plans comply with local, state and federal law. 5.10 Corporations and Foundations The Office of Corporate and Foundation Relations will be responsible for increasing private giving in support of the academic mission of The University of Toledo. The Office of Corporate and Foundation Relations will identify and secure new sources of financial support by renewing and upgrading current corporate and foundation donors to the University. The Office of Corporate and Foundation Relations will coordinate, with the Office of Development, fund- raising activities with the deans and/or college directors, the staff of The University of Toledo Foundation, and the Office of Research. 1. Requests for specialized capital or endowment gifts from corporations and foundations will be coordinated by the Office of Corporate and Foundation Relations. 2. All proposals will be reviewed by the Office of Corporate and Foundation Relations based on the University’s strategic academic plan and the needs assessment as recommended by the University Advancement Council and approved by the President. 5.11 Documentation of a gift Gifts that are solicited on behalf of The University of Toledo must be accompanied by the appropriate documentation. It is the responsibility of the gift officer and the dean and/or appropriate administrator to complete this paperwork. Fund Agreements
  6. 6. A fund agreement is drawn up to establish a new endowed fund. The gift officer may draft the document, however it is the responsibility of the Executive Secretary to the President of the UT Foundation or the Executive Secretary to the Vice President for Institutional Advancement to prepare the final documents for all authorized signatures. The Office of Advancement Relations needs to be notified of all new fund agreements to assure proper recognition. Send a copy of the executed agreement to Advancement Relations. Fund agreements must be reviewed by the appropriate parties prior to final execution. It is expected that a draft fund agreement will receive priority attention. Levels of review of fund agreements: Fund Agreements up to $99,999 1. Gift Officer 2. Vice President for Institutional Advancement 3. President of UT Foundation 4. Dean Fund Agreements between $100,000 1. Gift Officer - $999,999 2. Vice President for Institutional Advancement 3. President of UT Foundation 4. Dean 5. Provost (for academic agreements) or Sr. Vice President for Finance and Administration (for non-academic agreements) Fund Agreements of $1Million or 1. Gift Officer more 2. Vice President for Institutional Advancement 3. President of UT Foundation 4. Dean 5. Provost (for academic agreements) or Sr. Vice President for Finance and Administration (for non-academic agreements) 6. President  Include the Director of Advancement Relations in the Fund Agreement Review process if any portion of the agreement includes stewardship and/or recognition components. Draft agreements will be signed by the gift officer, reviewed by the appropriate reviewer as listed above, signed by the donor and then executed by the President of the UT Foundation. Samples of fund agreements are found in Appendix 6 (Endowed Fund Agreement template); Appendix 6a (Amended Endowed Agreement; and Appendix 7 (Non-Endowed Fund Agreement template). A check list of scholarship considerations is found in Appendix 19. This is helpful when setting up a scholarship endowed fund.
  7. 7. Presidents Club Pledge Form The appropriate Presidents Club pledge form must be completed in order to enroll a donor as a member. If the new Presidents Club member is giving 100 percent of their donation to a specific college that has a college-centered Presidents Club Society, the appropriate college giving society pledge form is required. These pledge forms are found on the Outlook Public Page. All original documentation to enroll a donor into the Presidents Club must be submitted to the Office of Advancement Relations. This would include any donation that may accompany the pledge form. Gift Transmittal Form This form is required by the UT Foundation for all checks, cash or credit card payments that are brought in by a gift officer or an individual responsible for accepting the gift. A copy shall be submitted to the Office of Advancement Relations. See Appendix 8 for an example of this form. UT Foundation Account Control Sheet This form is required by the UT Foundation when a new fund is being established. A copy shall be submitted to the Office of Advancement Relations. See Appendix 9 for an example of t his form. Heritage Oak Society In order for a donor to be recognized as a member of the Heritage Oak Society, the appropriate membership application form is to be completed. Return the original form to the Office of Advancement Relations with a copy to the Director of Planned Giving. Additional Documentation If donations are received by the Foundation directly from the donor (e.g., through the mail), the Foundation staff will determine if additional documentation is required to properly account for the gift. In such cases, a gift officer will be advised so that he/she may work with the donor to complete any necessary paperwork.
  8. 8. 5.12 Donor Recognition The Office of Advancement Relations has primary responsibility for the creation, oversight and maintenance of donor recognition societies; stewardship programs and recognition activities. The Office of Advancement Relations will work closely with the colleges and their respective gift officers in the formation of any new donor recognition societies and the subsequent activities of these societies. 5.13 Endowment Fund An endowment is a gift of money or other assets received for a purpose where the donor, grantor or source has specified that the principal shall be preserved in perpetuity, utilizing only the interest and earnings for a stated purpose. 1. The University of Toledo Foundation manages endowment funds placed in its care. Accounts for the endowment fund are invested, allowing the income and principal to grow over time. All new endowment funds require a formal written agreement between the donor and The University of Toledo Foundation. 2. A formal fund agreement will be prepared for the signature of the donor or donor representative and The University of Toledo Foundation. All fund agreements are to be reviewed and signed by the appropriate gift officer and the Vice President for Institutional Advancement (in consultation with legal counsel, if necessary) to assure the Foundation that the University can abide by the terms of the agreement. 5.14 Fund Raising Literature Any literature, including brochures and newsletters, used to attract private funds, should be coordinated through the Office of Development, in consultation of the Office of Marketing and Communication to ensure that the materials are accurate and appropriate and that the University graphic identity is maintained. 5.15 Gift Acceptance The University Advancement Council will review gifts to the University to assure that accepting a gift is in the best interest of the University. 1. All gifts considered to be of low or moderate risk shall be reviewed and recommended for approval to the UT Board of Trustees and the UT Foundation Board of Trustees for acceptance at the monthly meeting following the receipt of the gift.
  9. 9. 2. All gifts considered to be of significant risk shall be documented with a written understanding between the donor, the Foundation and the University and shall be reviewed by the University Advancement Council before the gift(s) may be accepted by the UT Board of Trustees and the UT Foundation Board of Trustees. 3. Gifts with risk factors may include such things as real estate or equipment requiring maintenance, or large gifts that involve considerable legal counsel or are subject to donor restrictions. 4. The time from submission to recommendation by the University Advancement Council shall not exceed one month. 5.16 Gift or Grant? The following procedures are applicable to the solicitation and management of gifts to The University of Toledo, its colleges and spending units and are intended to complement the institutional policies on budgeting and sponsored research programs. Definitions: GIFT: A gift or donation is a voluntary and irrevocable transfer of money, services or property (e.g., equipment, personnel time and skills, etc.) from a donor without any expectation of a receipt of direct economic benefit or provision of goods or services from the recipient. GRANT or CONTRACT: A grant or contract is an agreement formalizing the transfer of money or property from a sponsor in exchange for specified services (e.g., research and development), sometimes including proprietary rights to and products derived from the services, and including financial and/or technical reporting by the recipient as to the actual use of the money or results. The agreement is enforceable by law and performance is usually to be accomplished within a specific time frame, with payment being subject to revocation for cause. Questions about whether a transfer of money or property is a gift rather than a grant or contract shall be determined according to standards developed by the University Advancement Council. 5.17 Gifts in Support of the University 1. All solicitations of gifts and pledges shall be coordinated through the Office of Development
  10. 10. 2. The Office of Development has primary responsibility for the design and implementation of the prospect and donor management system. 3. The office of Annual Fund Programs has primary responsibility for the coordinating and implementation of college and unit-based direct mail and/or telemarketing. 4. Gifts in Kind: All gifts in kind (e.g., equipment, books, software and the like) that can be put to immediate use shall be reviewed by the Office of Development in conjunction with the unit designated to receive the gift and the University Advancement Council. 5. Real Estate: Gifts of real and personal property (e.g., land, houses, jewelry, paintings, antiques, rare books, etc.) exceeding $5,000 in value should be reported at the fair market value placed on them by an independent, qualified appraiser prior to the time the donor relinquishes control in favor of the UT Foundation. The arrangements with and the cost of the independent appraiser must be borne by the donor. Gifts of $5,000 and under may be reported at the value declared by the donor or a qualified on-campus expert. No gift of real estate (residential or commercial) shall be accepted without prior approval of the Board of Trustees, the President, the Vice President for Institutional Advancement and a current appraisal by a qualified appraiser. Consultation with University legal counsel may be required. In addition, appropriate departments on campus will be consulted prior to the acceptance of such real estate. 6. Restricted Gifts: Acceptance of a gift imposes a legal obligation to comply with the terms established by the donor(s). Therefore, the nature and extent of this obligation must be clearly understood. For this reason, the terms of each restricted gift will be reviewed by the Vice President for Institutional Advancement, the University Advancement Council, the President of the UT Foundation and the unit involved to ensure that the donor’s terms do not hamper the usefulness and desirability of the gift. 7. Membership Dues: Membership dues to various University organizations, including student clubs, are not considered gifts to the University for tax purposes. 8. Planned Gifts: Planned giving includes any form of a gift that the benefit does not accrue to the University until a future time, including but not limited to, the death of the donor or other income beneficiary or the expiration of a predetermined period of time, or the University receives immediate benefits then followed by the interests of noncharitable beneficiaries. Planned gifts may include charitable gift annuity, charitable remainder annuity trust or unitrust, charitable lead trust, retirement plan
  11. 11. assets, life insurance, savings bonds, remainder interest in real estate and bequests through a will or trust. 5.18 Legal Arrangements and Fees 1. Review of Legal Arrangements. Legal counsel retained by the University and/or the UT Foundation shall, as required, review legal documents and donor agreements. 2. Donor Legal Representation. The Office of Development advises donors to secure independent tax and legal counsel prior to making a capital gift (defined as any gift other than a gift from cash flow). The donor will employ and compensate independent legal and tax counsel on all capital asset transactions. 3. Finder’s Fees or Commissions. The University of Toledo will pay no fees to any person in consideration of directing a gift to the University. No commission or finder’s fee of any type will be paid in connection with the completion of a gift to the University. 4. Professional Fees. a. The payment of professional fees should be limited to situations where the University will reap significant benefit from a gift, and the donor believes it proper for the University to bear all or part of the attending fees for completion of the gift. b. Such fees will be paid only with the prior written approval of the Vice President for Institutional Advancement in consultation with appropriate University personnel, and prior notification to the donor of the amount of the recipient(s) of the fees. c. Such fees will be paid only with the approval of the donor. d. Fees should be reasonable and related to the completion of the gift. e. Fees should be limited to: (1) appraisal fees by competent and qualified persons and who have no conflict of interest; (2) legal fees for the preparation of documents; (3) accounting fees related to the transaction; and (4) fees of “fee for service” financial planners. f. In the case of financial planners, such persons must attest in writing that they are compensated only for services rendered, and not for the sale of products to clients. (Payment of commissions could be construed as triggering securities regulations.) g. In the case of legal, accounting, and other professional fees, the Vice President for Institutional Advancement in consultation with University general counsel, and
  12. 12. the Sr. Vice president for Finance and Administration, shall attempt to determine the reasonableness of these fees prior to payment. h. In cases where the persons receiving the fees were initially employed by the donor and the donor requests that the University pay the fees involved, the University will notify the donor that its payment of such fees will result in taxable income to the donor for the fees paid. i. In situations were advisors or consultants retained by the University prepare documents or render advice in any form to the University and/or the donor, the Vice President of Institutional Advancement will inform the donor that these documents or advice should be reviewed by the donor’s counsel prior to completion. 5.19 Matching Gifts Matching gifts may or may not be restricted, depending on the wishes of the employee and/or the matching corporation. The University of Toledo Foundation is responsible for ensuring that all matching gift records are accurate and correspond with donor records. The Foundation is also responsible for making sure the matching gift is used according to the University’s matching gift guidelines. Matching gift reminders are sent to companies on an as-needed basis. Donor participation in the matching gift process is reinforced by thank-you letters. Matching gift reports of companies and donors by college, school, or program may be generated for the respective director. 5.20 Naming Policy and Procedures Institutions possess many valuable assets, both tangible and intangible, lasting many years and perhaps even in perpetuity. Examples of tangible assets include buildings, classrooms, laboratories, and other physical spaces. Intangible assets represent academic colleges or centers, departments, programs, and other non-physical assets. The University of Toledo board of trustees, upon recommendation of the president, is the full and final authority for naming the tangible and intangible assets of The University of Toledo. Generally, primary consideration for naming any of the above will be given in recognition of a substantial gift to the university. No university property or activity shall be named in honor of any current officer or employee of the university of the state of Ohio, but may be named in honor of a person who has been deceased for at least one year or has retired or otherwise left such service for at least three years. This provision can be waived with the unanimous consent of the voting members of the board of trustees. The board of trustees and the president will be guided in their decision-making concerning naming opportunities by the procedures for naming physical facilities and academic programs. Board of trustee approval is required for all naming requests in excess of $100,000. No commitment for naming shall be made prior to board of trustee approval of the proposed name.
  13. 13. Policy No: 3364-55-01 Effective: 18 June 2007 Administrative Procedures The Procedures for Naming Physical Facilities and Academic Programs will be developed by the Vice President for Institutional Advancement, for review by The University of Toledo Foundation Board, The University of Toledo Board of Trustees and approved by the University President. The University Advancement Council shall advise and make recommendations on all naming opportunities. The committee will be guided in their deliberations by the Procedures for Naming Physical Facilities and Academic Programs. These procedures are as follows: a. Gift Negotiations 1. Institutions possess many valuable assets, both tangible and intangible, lasting many years and perhaps even in perpetuity. Examples of tangible assets include buildings, classrooms, laboratories, and other physical spaces. Intangible assets represent academic colleges or centers, departments, programs, and other non-physical assets. The University of Toledo Board of Trustees, upon recommendation of the President, is the full and final authority for naming the tangible and intangible assets of The University of Toledo. 2. A Named Gift Register outlining specific naming opportunities and appropriate gift levels will be developed by the University Advancement Council. 3. In establishing and approving gift ranges, the University Advancement Council will maintain consistency in gift levels required for naming while at the same time being aware that projects vary in regard to visibility and perceived prestige. 4. The Named Gift Register will be maintained and reviewed from time to time for possible adjustments. Flexibility will be maintained so that each situation may be judged on its own merits. 5. Any gift and gift recognition discussions with the donor should include an explanation of the approval process for the naming opportunity. 6. All artists’ renderings, construction models or other plans should be identified as conceptual and not a literal depiction of what the facility will be when complete. 7. Any conditions attached to a naming opportunity must conform to all University finance, academic, student and personnel policies.
  14. 14. 8. Following initial discussions with the donor and the determination of donor interest, the proposed naming will be submitted with appropriate justification to the Vice President for Institutional Advancement. He/she will meet with the University Advancement Council and forward their recommendation to the President. 9. Upon the approval of the naming by the President and the Board of Trustees, a gift agreement will be executed in compliance with University of Toledo Foundation guidelines. b. Method of Payment 1. Contributions associated with naming proposals may be made in cash or appreciated securities, through legally binding pledges not to exceed TEN years. Individual donors may gift a portion of their contribution through single-life irrevocable trust, provided the donor is 60 years of age or older. 2. The President reserves the right to remove a university naming opportunity when pledges remain unpaid beyond the agreed upon period. Should this occur, the President may, if he/she chooses, recommend another naming opportunity or seek another contribution of the magnitude that is deemed as substantial. 3. The University of Toledo Foundation is the repository for all gifts to the institution and all endowed and non-endowed funds held by the Foundation are subject to University of Toledo Foundation policies and procedures. 4. All new funds require a formal written agreement between the donor and The University of Toledo Foundation. The terms outlined in this agreement will constitute the disposition of all funds. The Office of Development and The University of Toledo Foundation manage this process. c. Annual Report to the donor Each holder of a chair or professorship shall annually submit a brief narrative to the donor and others as appropriate. These narratives should be retained by the chair, dean or administrator for use in preparing special reports on endowed chairs and professorships that may be needed from time to time. d. When a contribution is not involved 1. Honorary names may be conferred on a university naming opportunity to recognize individuals. This honor will be restricted to those who have achieved exceptional distinction in their service to the University and the
  15. 15. citizens of the State of Ohio, and to those who have served The University of Toledo in an academic or administrative capacity and who have achieved national or international reputation. 2. No University property or activity shall be named for any current officer or employee of the University or the State of Ohio, but may be named for a person who has been deceased for at least one year or has retired or otherwise left such service for at least three years. This provision may be waived with the unanimous consent of the voting members of the Board of Trustees. 3. The process for conferring an honorary name upon a University structure or program will follow the same procedure as outlined in this document. 4. While each campus area may develop its own process for identifying a non-gift candidate, the resulting proposal for conferring an honorary name shall be submitted directly or through the appropriate vice presidential office to the University Advancement Council in care of the Director of Advancement Relations. e. Committee Review and Process 1. The University Advancement Council, chaired by the Vice President for Institutional Advancement is responsible for reviewing all proposed names for assets, both tangible and intangible. 2. A commitment or promise to name a University asset may not be made prior to the review and approval process. 3. The appropriate academic Deans and the chair of Faculty Senate also should be consulted regarding naming buildings and academic programs and chairs. This consultation should take place as early as possible. 4. Proposals for a university naming opportunity shall include: a. A brief description of what is being named and the name proposed; b. A biographical summary of the individual whose name is being proposed, or in cases in which a name is proposed for an entity other than an individual, a brief profile of the organization, business, or entity; c. A statement of rationale articulating the distinctive contributions the individual, corporation, foundation, or other entity has made to the university that merits the naming opportunity. 5. The University Advancement Council will conduct a thorough review and, when deemed appropriate and necessary, solicit input from university
  16. 16. units or groups. Given the sensitive nature of these proceedings, most naming proposal deliberations will be kept confidential. 6. For gifts less than $100,000, the completed review will be forwarded to the President for approval. Gifts in excess of $100,000 will be forwarded to the President for review and, if approved, the President will take the proposal forward to the Board of Trustees. f. Transfer of Names The function of structures on any university campus is fluid, depending on many factors. If the named structure has reached its life expectancy, as defined in the terms of the gift naming contract, the name will generally not be transferred. At the time of replacement, the original donor will have first right of refusal to provide a new gift to continue the naming opportunity. g. Name Withdrawal 1. The Board of Trustees may elect to remove a name or change a naming opportunity. The University Advancement Council will forward such a recommendation to the President for his review and submission to the Board of Trustees for final approval. 2. Actions by the donor that would have a negative impact on the University and its reputation will make the gift and naming subject to reconsideration by the University. 3. Donor failure to fulfill gift commitments as specified in the gift agreement will result in reconsideration by the University. h. Other Conditions No tangible or intangible asset shall be named after seated, elected or appointed officials where no gift is involved. i. Signage In approving the plan for naming a facility, the University Advancement Council, in conjunction with the Office of Facilities Management, will also ensure that the campus-wide standards for signage leading to the named facility are met. j. Placement of donor related plaques 1. The University Advancement Council, in cooperation with the Office of Facilities Management, is responsible for reviewing and approving all donor-related plaque projects. 2. The purpose of the review is to ensure that standards for donor recognition and campus graphics are met for any and all plaque placements.
  17. 17. 3. The appropriate college-based Director of Development, in cooperation with his/her Dean, should submit a plan for the plaque or plaque system for donor recognition to the Director of Advancement Relations who will forward it to the University Advancement Council. This plan should include: a. Reason for the plaque; b. Statement of permanency; c. Number of honorees and giving levels; d. Wording; e. Time-line of installation and events honoring donor; f. Site of installation of plaque; and g. Funding for installation and maintenance of plaque. 5.21 Public Statements Regarding Private Philanthropy The Office of Marketing and Communication in cooperation with the Vice President for Institutional Advancement will prepare all public statements concerning gifts to The University of Toledo or any units thereof. The unit designated in a restricted gift shall be consulted prior to the release of any information. The donor must also be consulted regarding the release of information. 5.22 Quid Pro Quo Care must be taken in determining what portions of the admission of proceeds of an event are gifts and what are quid-pro-quo contributions for goods and services received. Literature promoting an event and receipts or ticket stubs for an event must include statements concerning the tax deductibility of the amount(s) paid for attendance or participation in an event. This information should include the fair market value of the event and a statement that only the amount paid above that amount is a charitable contribution. Please refer to appropriate IRS guidelines. Non attendance at an event does not allow full deductibility of the admission price. Donors should be asked to return the tickets with their contribution if they wish to make their contribution fully deductible. 5.23 Records
  18. 18. Gift records and a donor information database are maintained by The University of Toledo Foundation. The University does not authorize the use of shadow databases designed to contain donor-related or gift information. 5.24 Sponsorships Sponsorships are defined as financial or other support given by an individual, business or organization for something, usually in return for some for of public recognition. Many times the funding of a sponsorship comes from a marketing budget vs. a philanthropic budget. Sponsorships are sought to help underwrite the cost of a project, program, or event. Sponsorships may be in the form of outright financial support or in-kind support. The sponsoring individual or agency will tender cash or an in-kind donation that results in recognition by the program, project or event, to include, but not limited to, advertising, tickets and/or their name associated with the project, program or event. Typically, the amount given is greater than the value received. Therefore, sponsorships involve a degree of donative intent and the portion above and beyond the value received in return should be treated as a gift to the University. The Office of Development will be happy to review sponsorship lists or prospect lists for special events, but the support generated from the list towards the event may not qualify as a gift to the University. Please refer to appropriate IRS guidelines. When the University is asked to be a sponsor: The University of Toledo takes pride in its role as a leading participant in the community life of Northwest Ohio. Our faculty, staff and students play a critical role in the vibrancy of the region and are significant drivers of the economy. A distinct part of our leadership role is the support of various organizations, which like the university are not-for-profit organizations. Our faculty and staff and students volunteer their time and talents as workers, board members and advisors. As important, the university community contributes to the United Way and many other organizations important to their lives. The University receives hundreds of requests each year to provide auction items, purchase tickets, and major sponsorships to a wide spectrum of nonprofits in Northwest Ohio. These requests range from souvenir items to tens of thousands of dollars. The University of Toledo is a nonprofit organization. As such, we are limited in the size and number of sponsorships and event oriented funds that we can contribute. The University wishes to strike a balance between our community obligations and our obligations to our donors and constituents.
  19. 19. The University of Toledo has set aside a sponsorship fund to address some of the requests we receive throughout the year. Sponsorship funds are limited. The maximum contribution to any event or not for profit activity will be $3,000. The specific amount of the contribution, if any, will be determined by the University. 5.25 Steps in Seeking Philanthropic Support If a University individual, group, unit or department is contemplating the need for philanthropic support of a project, program or event, the following steps are relevant. Academic units are advised to consult their designated college or division offices first.
  20. 20. STEP - BY - STEP Note: The following steps are relevant for philanthropic support requests only. All other project funding activities are coordinated by the University Office of Research. Funding Need Unit meets with their Development Gift Officer for the development of a project description. If no Development Gift Officer is assigned to the Unit, contact Institutional Advancement. Complete the appropriate Clearance Request Form Secure appropriate clearance signatures Submit documentation of all requests over $25,000 to the Director of Advancement Relations Certain types of requests may necessitate review by the University Advancement Council to assure they are in the best interests of the University. These requests will be sent forward to that Council. Routine, or low risk requests will be reviewed by Institutional Advancement. Notification of the status of the request will be sent to the originator Approved projects will be assigned assistance from the Office of Development as appropriate Steps Explained: 1. A completed Solicitation/Sponsorship Clearance Request Form or Student Organization Donation Form should be prepared. See Appendix 10 and Appendix 11. The basic questions that need to be answered include: (a) What is the funding request for? (b) Why
  21. 21. is funding required? (c) Who has been identified to fulfill the need? and (d) How much funding is being sought? 2. When identifying who will be asked to fulfill the need, the individual(s) making the request should determine if the funding source is currently under management by the Development Office. The Development gift officer assigned as a Relationship Manager must be consulted on any funding sources that are so assigned prior to proceeding with the request. 3. Incomplete documentation and/or the absence of the appropriate clearance signatures will result in the request form being returned for completion. 4. The documentation submitted for requests of $25,000 or more will be reviewed by the Office of Development. Certain types of requests may necessitate review by the University Advancement Council and will be forwarded on to that Council for review. The originator of the request will receive written notification of the status of the request. Approved requests may be assigned directly to a gift officer for coordination of fundraising activity. 5. Any prospect research necessary for approved requests will be coordinated by the Director of Prospect Research. This may include direct research or consultation. 6. All philanthropic support must be directed to an appropriate UT Foundation account. In the case of sponsorships, an appropriate account within the UT Foundation must be established if one does not already exist, to accept all proceeds received. 7. Call Reports are to be completed after meeting or talking with suspects, prospects or donors. A call report provides documentation on any activity that leads to a solicitation of an individual, corporation, foundation or organization, or is a component of stewardship activity. This activity takes place at all levels of the process: identification, qualification, cultivation, solicitation, negotiation, closing and stewardship. It involves reporting on visits, correspondence, or telephone calls to donors or potential donors or to those related to a discussion of a fund or fundraising activities. Gift Officers responsible for direct contact with donors or potential donors are expected to complete call reports within two days of the contact. For non-development employees, a similar report is due within two days of the contact and submitted to UTDevelopment@utoledo.edu This report should include the following components: a. Date of the activity b. Who was involved
  22. 22. c. Discussion items; purpose of the meeting; wheat where they asked for (amount, type of support, etc.); other d. What were the results of the meeting e. Follow-up and next step(s) f. Who else needs to know. Clearance Signatures Required and Process: 1. Requests under $25,000 a. Dean of Students for University-wide student group initiatives. b. Supervisor for staff in non-academic units c. Department Chair and dean for faculty, staff or student groups in academic units Process: An approved project is monitored by the appropriate dean, chair or supervisor. A copy of the funding request should be sent to the Gift Officer assigned to the unit for information purposes. If not gift officer is assigned to the unit, send a copy to Advancement Relations. 2. Requests of $25,000 - $99,999 a. Dean of Students for University-wide student group initiatives. b. Supervisor for staff in non-academic units c. Department Chair and Dean for faculty, staff or students groups in academic units d. Associate Vice President for Development Process: Request is submitted to Advancement Relations for processing. The request is reviewed by the Office of Development and, if approved, is assigned to a gift officer as appropriate for either consultation or direct involvement. 3. Requests of $100,000 - $249,999 a. Dean of Students for University-wide student group initiatives. b. Supervisor for staff in non-academic units c. Department Chair and Dean for faculty, staff or students groups in academic units d. Associate Vice President for Development e. Vice President for Institutional Advancement Process: Request is submitted to Advancement Relations for processing. Possible review by University Advancement Council. An approved request is reviewed by the Development Office and assigned to a gift officer. 4. Requests of $250,000 + a. Dean of Students for University-wide student group initiatives. b. Supervisor for staff in non-academic units c. Department Chair and Dean for faculty, staff or students groups in academic units d. Associate Vice President for Development e. Vice President for Institutional Advancement
  23. 23. f. President Process: Request is submitted to Advancement Relations for processing. Possible review by University Advancement Council. An approved request is reviewed by the Development Office and assigned to a gift officer. 5.26 Volunteers Whenever volunteers are to be involved in fund-raising efforts, it is the responsibility of the Office of Development to provide consultation to the college and program units in the identification, selection, recruitment and training of the volunteers. 5.27 The University Advancement Council The University Advancement Council shall be composed of the following members: Vice President for Institutional Advancement, CHAIR Associate Vice President(s) for Development Associate Vice President for Alumni Relations President of the UT Foundation Chair, Faculty Senate Deans Provosts Vice President for Student Affairs Ex. Director of Intercollegiate Athletics Director of Advancement Relations Director of Information Systems (UT Foundation) The charge to the Council is as follows: 1. The Council shall recommend institutional needs and priorities, particularly as they relate to a capital campaign. The Council shall also review proposed University needs and make recommendations based on careful review. The Council shall oversee the gift policy and procedures of The University of Toledo. All recommendations shall be forwarded to the President who will review the Council’s recommendations and assist in the development of the final recommendations for presentation to the University’s Board of Trustees as necessary. 2. The Council shall also be responsible for the review and approval of Relationship Managers and their proposed cultivation strategies toward a target gift. 3. The Council shall be responsible for the review of incoming gifts to ensure that they are in the best interest of the University.
  24. 24. 4. The Council shall review all proposals for naming of all University assets, both tangible and intangible. Council recommendations shall be forwarded to the President for his review prior to being taken forward to the Board of Trustees as necessary. The University Advancement Council shall meet monthly during the duration of a capital campaign and as needed thereafter. The Council is designated to facilitate the gift process. Therefore, recommendations submitted to the Council will be acted upon no later than the next meeting following submission of the recommendation. Due to the nature of the Council’s work, substitutes may not attend. A representative of the Facilities Management Office might be invited to a Council meeting for an agenda item that involves a naming recommendation for a tangible asset. The gift officer submitting a recommendation for any tangible or intangible asset naming might also be invited to a Council meeting for the discussion of that recommendation. 5.28 The University of Toledo Foundation The UT Foundation, a public charity pursuant to 501-c-3 of the Internal Revenue Code, is the official gift-receiving and fund-management organization of The University of Toledo, and is recognized as such by The University of Toledo Board of Trustees. Its purpose is to support the University's broad educational mission by receiving, managing and distributing your generous gifts--to benefit students and enhance faculty and program efforts. The UT Foundation provides investment flexibility and a separation between public and private funding, so that each can be used appropriately. All Foundation records, as well as board meetings, are open to the public. The Foundation is responsible for: - Receiving, recording, receipting, acknowledging and reporting gifts - Investing funds - Providing stewardship for fund disbursement - Maintaining a data base of alumni, donors and friends - Assisting the alumni relations and development offices in their efforts
  25. 25. The UT Foundation is governed by a volunteer board of trustees, made up of alumni and community leaders. These individuals help oversee the Foundation's policies and procedures and monitor its finances. The Foundation's operating budget is provided through the assessment of an administrative fee, currently 1.35 percent of the endowment's three-year average market value. Donors decide how their gift is used. More than 90 percent of contributions to the Foundation are designated by the donor for a specific purpose or area of use. Criteria for the use of large gifts and endowments are generally outlined in a written agreement between the donor and representatives of the Foundation and the University. Unrestricted gifts are used for priority needs determined by the University. The investment committee of the Foundation's board of trustees works with several investment managers who manage specific asset classes geared toward their strengths. A master custodian holds and reports assets. The Foundation's spending policy, currently 5 percent of the endowment's three-year average market value, preserves the value of the Foundation's endowment, to provide a reliable source of funds for UT's current and future use. Foundation Reports • The UTF Annual Report is published in the late fall and covers the prior fiscal year (July 1-June 30). • The Endowment Report is published in February and reports on all funds which are fully funded as of June 30 of the prior fiscal year. Gift Flow Chart The chart on the following page illustrates the path taken from the point a donor makes a gift until he/she receives recognition for that gift.
  26. 26. DONOR Makes gift and provides information Bank UT Foundation Development RECORDS Ascend records UTF Fund Files Gift Processing REPORTS Annual Reports Endowment Reports Scholarship Reports Acknowledgement Acknowledgement Letters Letters prepared for deans, VP, prepared Fund President., etc. Managers to donors Alumni Advancement Copies of Gift Club Development Relations Pledge Forms and copies UTF Acknowledgement Letters from of Fund Agreements sent Dir. Advancement Relations to Advancement Relations to members of Presidents Club, Presidents Donors Club College Societies, Arlington- Bancroft Society, Lannon Society, Tower Society, University Society, Blue & Gold Society, Heritage Oak Society.

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