This customizable template was created by the Collier County Community Foundation and slightly modified. Be sure to customize section two of the template according to the purpose of your gift contract. Other areas that need to be adjusted are in parentheses. As of May 14, 2019, Utah code 63G-12-402 states that undocumented students can only receive a privately funded scholarship if they graduated from high school in Utah and the scholarship is administered by a college. Undocumented students from other high schools are not eligible for privately funded scholarships. Donors cannot make conditions in their donation agreement that deviate from it. When accepting donations from donors, it is essential to consider the underlying laws and principles that govern these donation agreements. Donation contracts may exist orally, in writing, only implicitly depending on the form and content of a donor advertisement, or not at all. Many donations are given by donors who have no contact with the NFP, the only proof of their intention to contribute is manifested by receiving a single cheque, an online payment or a cash donation.
In some cases, typically when it comes to large and complex contributions and pledges, and in the case of fiduciary agreements or agencies, not-for-profit organizations and donors enter into written giving instruments to recall the terms of the donation and ensure mutual understanding. Here is an example of a real estate gift contract created by Tulsa County. “A donation agreement [or donation] can be used to ensure that one can rely on a donor`s promise, set the expectations of the donor and receiver, and avoid misunderstandings.” – ConservationTools.org, NPPs and donors of the Pennsylvania Land Trust Association can provide clarity by working together to create giving instruments that contain the important details, on which the parties have agreed. 6. Is the charity prepared to accept the proposed asset to fund the donation? Your gift acceptance document should be able to provide all the guidance they need to solve this problem. If a donor wishes to make one or two simple changes to their existing donation contract, a change will be made to the donation contract. If several changes are planned, an amended and reformulated gift agreement will be executed to ensure that the resulting agreement is self-sufficient and includes a complete fund history. A statement that the donor`s donation or pledge is unconditional and irrevocable and that the designation of the NDP as the recipient is also irrevocable (if the donation instrument is irrevocable, but the donor retains the right to change beneficiaries, the contribution would be conditional and not reservable by the PNR. Caltech`s institute development and relations team is responsible for the drafting and execution of 70 to 75 gift contracts per year. The Assistant Director of Advancement Information Services drafts all agreements and accompanies them as required with the appropriate approvals of development officers, the Dean, the Vice-President of the DIR, the General Counsel and others.
According to USU Policy 528: Contract Signing Authority and Delegation, gift agreements are contracts that bind the university to a legal obligation. The following table shows the signatures required for the three types of foundations: Philanthropy Works has published an article on how to start with a donation agreement focused on a departmental leadership perspective. Read it here. ConservationTools.org, which is administered by the Pennsylvania Land Trust Association, has been very thorough in creating a useful guide to donation agreements from the perspective of a conservation organization. You can check it here. In the absence of donor agreements, the University will rely on contemporary literature to provide clues as to donor intent when donors are no longer alive or available. As far as possible, the university should respect the original intention. If this is not possible, the release or modification of the object of a donation is subject to Utah Code 51-8-501 (Uniform Prudent Management of Institutional Funds Act). le.utah.gov/xcode/Title51/Chapter8/C51-8_1800010118000101.pdf and may need to be approved by the Attorney General in order to use the funds for other purposes.
Entities and/or departments wishing to make changes to a charitable donation should contact the Vice-President of Advancement or the Senior Director of Advancement Services for instructions on the process. The process includes identification and documentation: Check out a sample gift contract for the University of Alabama at Birmingham here, provided by the Association of Donor Relations Professionals. In cases where a group of donors decides to coordinate fundraising efforts to create a “real foundation” for a specific purpose, to be named after a professor, advisory board, deceased classmate, etc., a memorandum is signed for the foundation of several donors. The unit development officer should be the point of contact to facilitate the process. It is recommended that before establishing a foundation for a monument or to honor a person, permission has been granted to the family or honoree. The minimum amount of funding for a foundation is $25,000 and must be reached within five years, if not made, the donation is considered dispensable for the purposes indicated. Just as a not-for-profit organization must keep accurate records of donations received, a donor must keep records of the donations it makes, particularly with respect to tax season. Having an accurate donation agreement and other financial records on file will help keep the nonprofit and donor on the same page. A donation or donation agreement, not to be confused with a donation acceptance policy, is specifically designed to explain and document what the donor expects and what the nonprofit is committed to. .