The University of Minnesota Foundation (UMF) and the Arboretum Foundation (the “Foundations”) are the Board of Regents designated receiving points for gifts made to the University of Minnesota (the “University”).
The designated Foundations are authorized to accept and record gifts utilizing development officers in departments, colleges and foundations. All gifts must be forwarded to the appropriate Foundation for processing.
Acceptance and Approval of Gifts
The appropriate Foundation must approve all gifts. The Board of Regents may require further approval.
The University and the Foundations will NOT accept:
- Gifts that obligate them to break the law or other University policies.
- Gifts that conflict with federal and state tax regulations.
- Gifts that are directed to a specific faculty member, staff member, or student.
- Gifts with terms, which inhibit the Foundations or University from seeking other gifts.
- Gifts that expose the University to potential liabilities (e.g. environmental).
- Real estate subject to debt exceeding 50% of its value.
To ensure the most effective use of resources in seeking private support for the University, fund-raising efforts must be coordinated through one of the recognized Foundations or a University development office in collaboration with University leadership. This will avoid duplication of effort, over-solicitation, and ensure compliance with University policies.
See the Contacts section of this policy for Foundation phone numbers.
Expending Gift Funds
The Foundations and University departments are responsible, during their period of stewardship and transfer, for ensuring that gifts are spent in accordance with donor intent.
Once gift funds have been transferred to the University and recorded in the related University Enterprise Financial System (EFS) Chatfield String, the University assumes the responsibility for the following:
- using the gift in accordance with donor intent;
- complying with associated University policies and procedures; and
- providing sufficient detail and reference on authorizing documents to permit a compliance review (e.g., the University, the Foundations, the donor.)
All expenditures from University EFS Chartfield Strings must comply with donor intent and University policies and procedures. The individual initiating such charges is responsible for compliance, using the appropriate University EFS Chartfield String established for the gift, and providing sufficient detail and reference on authorizing documents to permit a review of compliance.
Monitoring Gift Funds
Consistent with good stewardship, chancellors, deans, department heads, and center directors must plan and account for Foundation funds transferred into their campus, college, departments or programs, expend those funds in accordance with donor intent and provide the Foundations with necessary documents regarding fund use as requested.
University of Minnesota Office of Internal Audit also monitor the use of gift funds in compliance with the Memorandum of Understanding in effect. The scope of the reviews and extent of testing is mutually agreed upon in advance by the appropriate Foundations and is reported to the Board of Regents’ Audit Committee as part of its annual audit plan.
The Foundations monitor and ensure good stewardship and fund utilization consistent with donor intent.
Reason for Policy
To implement Board of Regents Policy: Gift Solicitation and Acceptance.
To provide the University and Foundations with the tools necessary to ensure:
- the gifts accepted are consistent with University policies and mission
- the University complies with federal and state tax laws
- the highest levels of stewardship are maintained regarding the recording, approval, acknowledgment, and distribution of gifts to the University
Donative intent must be the primary motive for gift giving with the intention to give something of value for the betterment of the University. Coordinating fund-raising efforts helps ensure the most effective use of resources in seeking private support for the University.