Stanford University relies upon gifts from alumni, parents of students, friends, corporations, associations, and foundations to meet a substantial portion of its operating costs. This Guide Memo outlines policies on procurement, classification, management, and use of gifts.
A gift is any item of value given to the University by a donor who expects nothing of value in return, other than recognition (for example, being listed on an honor roll or naming a building, fund, professorship, etc. in the donor's honor).
a. "Quid Pro Quo" Situations
If the University has given something of value in return for a gift, the donor's tax deduction is reduced by the fair market value of the benefit received. All "quid pro quo" gifts or gift solicitations must be reported to and cleared with the Office of Development. Contact Gift Processing, (650) 725-4360, or the Office of Planned Giving, (650) 725-4358, in the Office of Development for further information.
(1) Sponsored Projects
Consult the Research Policy Handbook 13.1 for the distinction between gifts and sponsored projects.
Payment received for goods or services must be handled as income. See Guide Memo 1.5.3: Unrelated Business Activities.
(3) Non-Gift Financial Aid for a Named Student
Support received from an outside individual or institution for the purpose of paying the tuition or other educational expenses of a specifically named student, where the University has no discretion in the assignment of the funds for any other student(s), is actually a gift to the specifically-named individual rather than to the University, and is accounted for by Stanford as Student Financial Aid. Such checks are to be sent, along with all accompanying documentation, to the Financial Aid Office, which will appropriately account for the payment.
a. Designation of Gifts to Stanford
All gifts, regardless of value, form, or designated use, should be made payable to, or title should be transferred in the name of, Stanford University or the Board of Trustees of the Leland Stanford Junior University. However, donors of securities can facilitate Stanford's gift processing effort by not re-registering the securities before giving them to the University.
b. Recording of Gifts
All gifts of cash, securities, real estate, and capital equipment are recorded at market value as of the date of the gift by the Gift Processing section of the Office of Development and/or the Controller's Office. (See Guide Memos 4.2.2: Acknowledgement of Gifts and 4.2.3: Records of Donated Equipment.) Gifts of tangible personal property (other than capital equipment covered under Guide Memo 4.2.3) are not recorded, however, any sales proceeds will be recorded as a gift of an amount equal to the net proceeds of the sale.
c. Information About Gifts
Questions about methods of giving, assignment, acknowledgment, recording, restrictions on, or purpose of a gift should be directed to the Office of Development. Questions about legal documentation, tax benefits, or requirements for gifts should be directed to a staff attorney in the Office of Planned Giving, Office of Development, 326 Galvez Street, (650) 725-4358.
a. Board of Trustees
The Board of Trustees is the legal entity to which all gifts to the University are made and has responsibility for ensuring that gifts are properly accepted (or refused), processed, acknowledged, and used according to their terms and restrictions and in accordance with applicable local, state, and federal laws.
b. University President and Provost
The President and Provost have ultimate administrative responsibility for determining the use of both unrestricted and restricted gifts, setting priorities for gift fundraising, and reviewing and setting policies concerning gifts, in consultation with the Board of Trustees.
c. Vice President for Development
The Vice President is responsible for managing the University's gift procurement and processing operations, for coordinating the fundraising operations of all Schools and Institutes, and for implementing policies set by the Board of Trustees, the Provost, and the President.
Certain groups affiliated with Stanford that raise funds for University purposes may derive tax-deductible status for donors' contributions if gifts are made to and processed through the University. Such groups are encouraged to contact and consult with a staff attorney at the Office of Planned Giving, (650) 725-4358, prior to conducting any fundraising effort or event to ensure compliance with local, state, and federal laws as well as with University policy.
a. Stanford Associates
This group of Stanford alumni and friends was formed in 1935 to encourage financial support of the University and recognize those donors who make important contributions, either in terms of money or time. For information please contact Stanford Associates at 326 Galvez, (650) 725-4340.
b. Student Organizations
Student organizations must apply to the ASSU Office of Student Activities at Stanford University as well as the Office of Development prior to soliciting potential donors, and work in conjunction with the Office of Development to plan and implement their fundraising efforts. Student organizations registered with the Office of Student Activities that receive gifts should contact the ASSU administrator to arrange for processing of those gifts through the University's gift processing system.
a. Gift Classification
(1) Cash and Checks (preferably made payable to Stanford University).
(2) Noncash Gifts
Besides cash and checks, Stanford receives noncash gifts described below. Donors should be aware that tax laws distinguish between certain types of gifts for purposes of determining their charitable contribution deduction (see Section 5).
b. Donor Designation of Gift Use
(1) Expendable and Endowment Gifts
A gift may be designated by the donor as expendable (i.e., immediately usable for current purposes), or as endowment (i.e., to be invested and held in perpetuity, with only the investment returns available to support University purposes). While donor intent is usually clear, certain types of gifts, such as bequests, may need additional research. Gifts will be recorded as expendable unless there is specific indication otherwise. Expendable gifts are invested in the Expendable Funds Pool; see Guide Memo 3.3.2: Expendable Funds Investment and Payout, for more information. Endowment gifts are invested in one of the University's Merged Pools depending on the donor's terms; contact Fund Accounting at (650) 723-3013 for more information. For further advice concerning donor designation of expendable and endowment gifts, contact the Office of Planned Giving in the Office of Development, (650) 725-4358.
Absent stipulations of purpose from the donor, gifts will be recorded as unrestricted expendable funds to support University purposes. If the donor designates a specific purpose for use of the gift (e.g., scholarships, student housing, a particular department, etc.) then the gift is considered to be restricted and the University is responsible for assuring that restrictions on use are honored unless (i) the donor specifically waives the restriction or (ii) court approval to changeor void the restriction is granted. Approval to seek changes in the purpose of a gift fund by the above means can only be granted by the Provost; contact Planned Giving for instructions.
(3) Establishing a Fund
The department is responsible for instructing Gift Processing whether an existing fund should be credited with a gift (in which case, the fund number must be supplied), or whether a new fund should be established. Gifts with different restrictions may not be commingled in a common fund. If the donor designates a specific purpose and/or named fund,and no appropriate fund already exists, the department should forward the gift and all relevant original documentation to Gift Processing. Gift Processing will then coordinate with the Fund Accounting section of the Controller's Office, which establishes funds and records restrictions. Contact Fund Accounting for questions relating to a particular fund.
The Internal Revenue Service has several requirements that relate to donor tax deductions for cash and noncash gifts to charities.
It is Stanford's policy to issue receipts for all gifts (see Guide Memo 4.2.2: Acknowledgement of Gifts). The IRS requires a receipt to substantiate most charitable contribution deductions. The donor should retain the receipt in his/her records; it need not be filed with the tax return.
Gifts to Stanford University are usually deductible at their full fair market value as of the date of the gift for both state and federal tax purposes. One important exception to this rule is that for gifts of tangible personal property that are intended to be resold by the University, the donor is entitled to an income tax deduction that is the lesser of the item's fair market value or the donor's cost basis. Contact the Office of Planned Giving, (650) 725-4358 for more information. Tax laws governing charitable gifts are complex; the University encourages donors to seek professional advice on tax issues.
c. Noncash Charitable Contributions (IRS Form 8283)
(1) Noncash Gifts Over $500
If a donors wishes to claim an income tax deduction of $500 or more in any year for gifts to charity which are not cash, then the donor must file IRS Form 8283 (Noncash Charitable Contributions) with his or her federal income tax return. Form 8283 is available from Planned Giving.
(2) Noncash Gifts Over $5,000
In addition, if a donor wishes to claim charitable income tax deductions totaling $5,000 or more in any tax year for gifts that are not cash or publicly traded securities, then the donor needs to obtain qualified appraisals of the property donated and Stanford must acknowledge receipt by signing the IRS Form 8283, which the donor then files with his or her federal income taxes. Normally Stanford cannot provide or pay for an appraisal for a donor's tax purposes, nor will the University attempt to estimate the fair market value of any real or personal property gift.
Form 8283 is processed either through the Property Management Office (PMO) (for gifts of capital equipment) or the Office of Development (for all other noncash gifts) and signed by the Accounting Officer in the Controller's Office. The individual accepting the gift should make sure that the donor's name and Social Security number are on the Form 8283, and that the Accounting Officer is provided with the donor's address. It is the donor's responsibility to notify the University that they will require Stanford's acknowledgment on Form 8283.
(3) Gifts of Securities
d. Donee Information Return (IRS Form 8282)
Under certain circumstances described below, if Stanford sells, transfers, exchanges or otherwise disposes of donated property within two years of the date of receipt of the property, Stanford must file Form 8282 (Donee Information Return) with the IRS reporting such action. A department that becomes aware of such a disposition should immediately notify the Property Management Office (for capital equipment) or the Accounting Officer in theController's Office (for all other property). Among the information required is the name of the donor, their address and tax ID or Social Security number, and any amount received upon disposition. If the transfer is made to a successor donee (that is, another nonprofit entity), information concerning that donee must be included as well. Form 8282 must be filed with the IRS within 125 days of the date ofdisposition (except as noted in 5.d.(3) below), with a copy to the donor. The Accounting Officer is responsible for preparation of the Form 8282 and its transmittal to the IRS and to the donor. This filing requirement applies only to the following items of donated property or equipment:
(1) Property for which Stanford has completed the donee acknowledgment section of the donor's IRS Form 8283 (see above section 5.c.(2)).
(2) Property that is considered a restricted donation under Section 170 (e)(4) of the Internal Revenue Code. This consists of donated equipment where Stanford has committed 80 percent of its use for research, experimentation, or research training conducted in the United States, in the physical or biological sciences.
(3) Property for which Stanford has not completed the donee acknowledgment section of the donor's IRS Form 8283 but which the University later becomes aware should have been so substantiated, e.g. where such property had a fair market value of more than $5,000 as of the date of donation and the donor failed to submit Form 8283 to Stanford for acknowledgment. In this case Form 8282 must be filed within 60 days from the date that the University becomes aware of the omission.
Questions about deductibility of gifts, IRS Forms 8282 and 8283, and other tax questions should be referred to a staff attorney in the Office of Planned Giving, Office of Development, 326 Galvez, (650) 725-4358.
This Guide Memo describes the various types of gifts accepted by Stanford University and procedures for handling them.
a. Prompt Delivery of Gifts
All gifts arriving at or transferred to any part of the University should be initiated in the Gift Transmittal system by a trained user, and then be sent on the same day the gift is received to the Development Services department in the Office of Development, 326 Galvez Street, mail code 5018. Alternately, gifts may be sent to the local development offices in the schools and departments across campus. Gifts to the School of Medicine should always be sent directly to Medical Center Development. Gifts should never be sent to the Controller's Office, Fund Accounting, or the Cashier's Office.
For gifts of equipment, see Guide Memo 4.2.3: Records of Donated Equipment.
b. Required Documentation
In all cases, the University unit that has received the gift must follow these steps:
c. Donor Record Files
The Office of Development maintains complete donor records, including all University alumni and friends, as well as corporations and foundations that support the University. Original donor correspondence and copies of all University correspondence pertaining to gifts should be sent to the Office of Development, Development Services. The Office of Development will forward gift documents to the Fund Accounting section of the Controller's Office as appropriate.
Do not send cash through interdepartmental or other mail service. Call Development Services (650) 725-4360 for instructions.
Checks should be forwarded to Development Services (326 Galvez Street, mail code: 5018) immediately for prompt deposit after initiating the Gift Transmittal (see above). Holding checks results in lost interest earnings for the University and, if not cashed in a reasonable amount of time, may eventually result in invalidation.
Stock certificates received by a school or department should be forwarded to Development Services immediately for prompt processing. If stock certificates are received in the mail the postmarked envelope must be included so that Development Services can determine the correct date for valuing the shares and dating the gift receipt. If stock certificates are received via private courier (e.g., UPS, Federal Express, DHL), the department must include a memo stating when the envelope was received in the department. The University (via Stanford Management Company) will, in almost all cases, sell the securities through its brokers as soon as they are received.
(1) Delivery of Securities
The transfer of securities to Stanford may be accomplished in several ways:
(i) Broker-to-Broker Transfer: Donors should instruct their broker to transfer securities intended for Stanford to the University by contacting the Gifts and Distributions Administrator at the Stanford Management Company (650) 926-0244, fax (650) 854-9267), who will then issue instructions to the broker for handling and processing. A copy of any gift transmittal letter or other related correspondence should be sent immediately to the Administrator.
(ii) Mail: Endorsed certificates naming Stanford University (or the Board of Trustees of the Leland Stanford Junior University) as transferee may be sent by regular mail (certified mail recommended) to the Office of Development, 326 Galvez Street, Stanford University, Stanford, CA 94305-6105.
(iii) Hand Delivery: Endorsed certificates naming Stanford University (or the Board...) as transferee may be delivered by hand to any of the following locations:
Office of Development
Frances C. Arrillaga Alumni Center
326 Galvez Street
Stanford, California 94305-6105
Stanford Management Company
Gifts and Distributions Administrator
635 Knight Way
Stanford, California 94305-7297
(2) Certificate in Excess of Gift
If a donor's stock certificate is for a greater number of shares than he or she plans to give the University, the certificate may be endorsed to Stanford with instructions to keep a specified number of shares as a gift and to have a new certificate for the balance issued to the donor. The donor or the University office forwarding the certificate should include clear written instructions in this regard.
d. Credit Cards
Donors may charge gifts to their Mastercard, Visa, DiscoverCard or American Express credit cards by indicating in writing the amount of the gift, their credit card number, the date of its expiration, and their signature (as the name appears on the credit card). This written information should be forwarded to Development Services, 326 Galvez Street, 94305-6105, or secure fax (650) 723-0020. Donors may also call Development Services at (650) 725-4360 to make a credit card gift. If a Stanford employee receives credit card information intended for a gift, they should send it to Development Services via the Office of Development courier service, fax it via the secure fax number, put the information in the one of the two gift drop boxes on campus (located at the Alumni Center and the Edwards building) or hand-carry it to the Development Services office. DO NOT email credit card information or send it via campus mail as both of these options have serious potential for security risks.
e. Electronic Transfers
Donors may make gifts to the University through three types of electronic transfer.
(1) Wire Transfer
A donor who wishes to make a gift via wire transfer into a Stanford account must contact Development Services to obtain current instructions and to make sure the appropriate University personnel are alerted to the transaction.
(2) Payroll Deduction
Stanford employees may authorize a set amount to be deducted from their paychecks as a gift to Stanford. To arrange for payroll deduction gifts Stanford employees should contact Development Services, which will make arrangements with the Payroll Department. Employees wishing to change, renew, or cancel payroll deduction gifts should send a written request to Development Services.
(3) Electronic Funds Transfer (EFT) or Direct Deposit
Donors may authorize a set amount to be automatically withdrawn from their checking or savings accounts as a gift to Stanford. To arrange for EFT gifts donors should contact Development Services.
f. Memorial and Honorarium Gifts
In most cases, the University uses memorial gifts (i.e., contributions made in memory of someone who has passed away) to purchase and maintain books for its library system; honorarium gifts made in honor of a special event or living person are handled in the same way. If an alternative purpose is preferred, a separate memorial or named fund may be established through the Office of Development.
g. Gifts of Real or Personal Property
If a gift of real estate or an item of personal property is offered to Stanford it is important that the proper University department or official determine whether the University is able to accept it. Such decisions are made according to established University policies and guidelines according to the type of gift.
(1) Real Estate Gifts
The staff counsel in the Office of Planned Giving, (650) 725-4358, and the Manager of Gift Real Estate at the Stanford Management Company should be notified of a donor's intent to make a gift of real property to the University. The Manager of Gift Real Estate must first inspect the property and determine that the property may be accepted by the University. The staff counsel will then obtain any necessary Board of Trustees approval, draft requisite documents, make arrangements for title to be transferred to the University and for the gift to be credited in Development Services, and provide the donor with IRS Form 8283. The staff counsel is available to respond to donors' tax and other related questions.
(2) Gifts in Kind (Tangible Personal Property)
(ii) Prior Consultation
The staff counsel in the Office of Planned Giving should be contacted prior to accepting gifts in kind to make sure that the donor has been apprised of tax deductibility and IRS substantiation requirements, and to assist in drafting any agreements with the donor relating to the gift. Development Services must then be notified in order for the donor to obtain a gift receipt, unless previously arranged procedures have been established for the unit (e.g., University Libraries, Treasure Market) to issue its own receipt.
(iii) Delivery Arrangements
Gifts in kind that Stanford plans to keep and use are usually delivered directly to the relevant school, department, laboratory, library, or museum that has previously approved the item's acceptance and is where the item will be housed. Preliminary arrangements may also include agreements regarding costs of packing and freight charges, which are usually the responsibility of the donor.
Except for donated capital equipment, gifts in kind are not normally recorded in the donor's gift record nor in the University's accounting system; contact Planned Giving, (650) 725-4358, for information about exceptions for crediting gifts in kind to a donor's record.
h. Special Types of Gifts
(1) Life Income Gifts
Donors may arrange to make a gift to Stanford that will pay them and/or a designated beneficiary an income for life or for a term of years. After the death of the last beneficiary or expiration of the term of years, the gift remainder is used by the University as specified by the donor. Contact the Office of Planned Giving for further information and/or to arrange for consultation with a donor and their advisor(s).
(2) Bargain Sales
Under some circumstances, the University may provide some cash consideration below market value to a donor in exchange for a gift of real or personal property. Offers to sell art objects, equipment, securities, real estate, etc. to Stanford at a substantially discounted price should be referred to the staff counsel in the Office of Planned Giving. The amount of the gift recorded by Development Services will be the difference between the fair market value and the discounted price.
(3) Life Insurance
Donors may make life insurance gifts in a number of ways:
(i) by naming the University as the beneficiary of the policy;
(ii) by transferring ownership of a paid-up policy to the University; or
(iii) by transferring ownership of a policy to the University and making periodic gifts to the University to cover payment of the policy premiums. Stanford does not make premium payments from sources other than gifts intended for such purposes. The tax ramifications of life insurance gifts are complicated; questions should be referred to the staff counsel in the Office of Planned Giving.
Since its founding, Stanford has derived significant and ongoing support from bequest gifts. Names of donors who have confirmed that a bequest for Stanford is included in their will or trust should be forwarded to the Office of Planned Giving along with any known details of the gift. The Office of Planned Giving operates The Founding Grant Society, which recognizes and honors those who have made life income gifts or who have indicated that a bequest to the University is included in their estate plans. Staff counsel in the Office of Planned Giving are available to consult with donors and their advisors in the drafting of bequests to the University. Information about or questions concerning any bequest gift that has matured should be immediately referred to the Manager of Trusts and Bequests in the Office of Planned Giving (650) 725-4358.
(5) Corporate Matching Gifts
Donors or their spouses may work for, serve on the board of, or be retired from, a company that will match their gifts to Stanford. Donors should follow their company's procedures, which usually involve filling out a form and sending it to Stanford with their gift. Departments or other units that receive any corporate matching forms MUST forward the forms to Development Services in the Office of Development, 326 Galvez Street, mail code 5018, and should NOT sign the forms themselves or return them to the company. Only Development Services is authorized to verify to a company that a gift qualifies for matching funds.
a. Tax-Year End
During the month of December the volume of gifts to be processed increases sharply. Departments or other units receiving gifts during this very busy time of year should expedite delivery of gifts to Development Services and should take steps (described below) to verify the date of the gift so that the receipt issued by Development Services to the donor will reflect the proper date for the donor's tax purposes. The gift receipt will bear a December date even when the gift is processed in January if the gift is received in Development Services on or before December 31 or if the date is verified in one of the following ways:
(1) Hand Delivery
Gifts may be delivered to any Stanford representative on or before December 31 in order to be treated as a gift made during that tax year. The Stanford representative should provide the donor with a signed and dated memo acknowledging receipt for securities or cash, keeping a copy to send to Development Services, 326 Galvez Street, mail code 5018, with the gift. In addition, the Stanford representative should sign or initial a notation of the date the gift was delivered directly on the check, or on the remit or any correspondence accompanying the gift.
The date of receipt for gifts received by mail is the postmark date that appears on the envelope. Therefore during December and early January it is especially important to include the postmarked envelope along with the gift when forwarding it to Develpment Services.
Broker to broker transfers of securities and wire transfers of cash must be completed and the transferred property must be in Stanford's account by December 31 to count as a gift for that tax year.
b. Fiscal Year-End
The University fiscal year ends August 31. To be reflected in the University's record for a given fiscal year, gifts must be received in Development Services by 2:00 p.m. on the last working day of the fiscal year. Gifts processed later, even if dated before August 31, will be entered in the University's records in the following fiscal year. After the end of the fiscal year, requests for corrections to gift records should be made to Development Services at firstname.lastname@example.org, who will in turn coordinate the necessary journal entries with Fund Accounting.
This Guide Memo states responsibilities and procedures for acknowledging gifts to the University.
All gifts to Stanford of cash, checks, and securities, as well as most other types of gifts, are officially acknowledged by the University through the Office of Development. It is the Office of Development's goal to issue a receipt to the donor within 10 working days after Development Services has been notified and received relevant documentation for each gift. Receipts issued by Development Servicesg conform to certain government mandated format requirements, including a statement as to whether the donor has received anything of value in return for the gift and, where applicable, a reference to the University's charge on restricted funds (see Guide Memo 3.3.1: Infrastructure Charges). Under Federal law donors must possess a conforming gift receipt in order to claim a tax deduction for most charitable contributions.
a. Monetary Gifts
Receipts state the dollar value of the gift.
b. Securities Gifts
Receipts describe the number and type of securities donated, and as a courtesy to the donor will generally state the value of any publicly-traded securities credited to the donor's gift record. The value claimed by the donor for tax purposes is the donor's responsibility.
c. Other Nonmonetary Gifts
Receipts describe the gift in reasonably specific terms, including number and type of property involved, but do not include a valuation. The value claimed by the donor for tax purposes is the donor's responsibility. For equipment gifts, see Guide Memo 4.2.3: Records of Donated Equipment. Receipts for gifts of real estate are issued by the Office of Development in coordination with the Gift Real Estate section of the Stanford Management Company.
d. "Quid Pro Quo" Gifts
Under federal law, receipts for gifts made to Stanford where the University has given the donor something of value in return must state this fact on the University's gift receipt and must include a valuation of the benefit received by the donor. The donor's tax deduction is reduced by this amount. These requirements do not apply to certain narrowly defined nominal items given in return for a gift (contact Development Services, (650) 725-4360, or Planned Giving, (650) 725-4358, for information).
e. Life Income Gifts
Planned Giving in the Office of Development is responsible for preparing and issuing receipts for life income gifts.
In addition to the University's official gift receipt, certain gifts are acknowledged by a letter signed by the President of the University and/or the Vice President for Development, a School Dean, a Director of a Center, or the Chair of the Board of Trustees. Stewardship Officers throughout the University have the responsibility for tracking gifts that meet certain criteria (which vary slightly from area to area and by signer) and drafting letters for the appropriate signature.
This Guide Memo covers policy on recording and processing donations of equipment. Detailed procedures may be found in the Stanford University Property Management Manual, available from the Property Management Office.
This policy applies to all Stanford faculty and staff who are involved with the receipt of gifts of equipment and related material.
The purpose of this policy is to ensure that Stanford complies with all of its contractual and legal obligations with regard to recording donations of equipment.
This policy applies to all Stanford faculty and staff who are involved with the receipt of gifts of equipment and related material.
a. Gifts for University Purposes
A donation of capital equipment such as a computer, laboratory equipment, vehicle, or machine tool that is to be used for University purposes must be recorded as a donation in the University accounting system at the Controller's Office and in the University's Sunflower Assets system (SFA) and in Oracle Fixed Assets. The items are recorded at fair market value as of the date of donation.
b. Gifts for Resale
A donation of equipment that is given with the understanding that the University intends to resell it upon receipt should not be entered into the University's accounting system or in Sunflower Assets. However any sale proceeds should be recorded as a gift of cash in the Controller's Office and reported to the Office of Development for inclusion in its gift records. If sale action is not initiated within 60 days of receipt, the donated item must be recorded in the Sunflower Assets system and in Oracle Fixed Assets.
a. Capital Equipment is equipment that individually at the time of donation has (i) a minimum market value of $5,000 or more and (ii) a useful life of more than one year.
b. Fair Market Value for various circumstances:
(1) Educational Discount
If an educational discount is normally available to Stanford for purchase of the equipment, its recorded value should be net of the applicable educational discount; i.e., the fair market value is the price at which the vendor (donor) will sell the equipment to Stanford.
(2) New Equipment From Private Individuals
Equipment purchased for the purpose of a donation is valued at the invoice price to the donor. Donation must occur within 60 days of purchase.
(3) Used Equipment
Fair market value is obtained from backup paperwork or appraisal (at the donor's expense) verifying the value at the time of the donation. At the discretion of the University Property Management Office (PMO) and at the cost of the receiving fund (school/department), an independent or a second appraisal may be requested.
(4) Additional Costs
Any third party installation or modification costs, attachments, accessories or auxiliary apparatus that are paid for by the department to make the donation usable for the purpose that it was given are not included in the equipment valuation. However, they are included in the acquisition cost when the item is entered into Sunflower Assets and Oracle Fixed Assets.
a. The donor is responsible for:
b. The School/Department receiving or benefiting from the donation is responsible for:
c. The faculty member or department official receiving notice that a donation was received is responsible for:
d. The Department Property Administrator (DPA) is responsible for:
e. University Property Management Office (PMO) is responsible for:
f. Accounts Payable is responsible for:
g. Accounting Officer (Controller's Office) is responsible for:
h. Fund Accounting (Controller's Office) is responsible for:
i. The Office of Development (OOD) is responsible for:
a. PMO Involvement
Disposal requests must be cleared through the PMO office before disposal of equipment occurs.
b. IRS Filing Requirements
See Guide Memo 4.1.1: Gifts to the University, for circumstances under which the IRS requires submittal of IRS Form 8282.
c. Sale of Equipment Claimed as a Tax Deduction
(1) Unrestricted Donations
Resale or cannibalization, within two years of the date of receipt, of equipment that is donated with no utilization restrictions may reduce the donor's tax deduction, and should be done only by mutual written agreement between Stanford and the donor.
(2) Restricted Donations
Equipment donated to Stanford and claimed as a tax deduction under Internal Revenue Code Sec. 170(e)(4) (which restricts its use to research experimentation, or research training in the United States, in physical or biological sciences) must be held in Stanford's possession for at least two years from the date of receipt, after which disposition must be cleared through PMO. Restricted donations may not be sold.
d. Successor Donees
If property is transferred to another organization, external to Stanford, within two years of receipt, an IRS Form 8282 must be filed. Contact the University Property Management Office (PMO) for more information.
e. Sale Proceeds
All proceeds from the sale of unrestricted donated equipment are credited in accordance with the terms stated by the donor or as defined in the donation agreement. If no terms are specified then all proceeds are credited to the fund that originally recorded the gift.
f. Source for More Information
Policy on sale of surplus property may be found in Guide Memo 5.2.4: Surplus Property Sales. Detailed information on disposal procedures may be found in the Stanford University Property Administration Manual available from the PMO office.
Over the years, many Stanford departments have acquired valuable special collections of artifacts, specimens, and historical objects. These departmental acquisitions have reflected the interests of a particular faculty member, concerns growing out of a specific research project or departmental initiative, or the sense that an available collection could enhance the pursuit of an academic discipline. However, such acquisitions carry with them institutional obligations. This Guide Memo provides administrative guidelines to assist departmental managers with such collections.
a. Cost-Benefit Considerations
When deciding whether to acquire or deaccession1 collections, departments should consider the short- and long-term benefits of the items for research, teaching, and historical significance in relation to the short- and long-term costs of maintaining the collection. Obligations to the donor must be considered and any written restrictions placed on the donated collection by the donor must also be honored in deaccession decisions.
Costs for personnel; space, security, and environmental needs; preservation; insurance; and use of the collection (for display, loan, research, or teaching aids) should be estimated in relation to departmental priorities for teaching and research as well as the current and prospective availability of funding. These funding estimates should take into account:
b. Administrative Structure
To facilitate ongoing management, departments should:
1"Deaccession" is a technical term used by librarians and museum curators. It means to remove an object permanently from a collection.
When a school or department makes a decision to accept as a gift or loan or otherwise develop or acquire a collection of artifacts or other materials, it takes on the responsibility to fund, house, manage, preserve, and, if appropriate, dispose of these items. Before entering into a written agreement with a prospective donor that carries restrictions on the use, care, or disposition of a collection, the school or department may wish to consult with the Office of Planned Giving in the Office of Development and/or the Cantor Arts Center, Libraries and Archives.
b. Inventory and Control
Departments should have an inventory system for current and new acquisitions of collections and on-going record-keeping practices for controlling their use and protection. See also Guide Memo 4.2.3: Records of Donated Equipment, for policies on recording gifts of capital equipment.
To facilitate the use of a departmental collection, departments may want to prepare a catalog, either manual (such as a card catalog) or computerized (such as a data base file).
Guide Memo 2.4.5: Protection of Property, outlines departmental responsibilities for safeguarding precious and high value items.
(4) Control of Access/Facilitation of Use
Departments should develop access and lending policies (where applicable), information about the availability and display of the collection, and a system for tracking the collection over time which will serve to increase and facilitate the use of the collection, and at the same time provide appropriate protection and security for the contents. Departments have the discretionary authority to restrict the use of a collection; any such restrictions should be noted in the publicity.
c. Care of Collections
Collections should be stored, used, lent out, and displayed in a manner that will minimize the risk of loss, theft and damage (see Guide Memo 2.4.5: Protection of Property. All policies for preservation should be developed to maximize the enhancement of the collections for their present and future use. Policies developed for the preservation of collections in the Cantor Arts Center, the Libraries and Archives can be referred to as useful models in the development of departmental policies.
(2) Space Allocation and Use
The space used to store and display collections should be environmentally appropriate and secure.
Departmental collections must be supervised by an assigned individual. When the advice of curators is needed, departments should utilize the expertise of curators in Green Library, the Hoover Archives and the Cantor Arts Center.
Funding for personnel and other costs of the care, display, and use of the collections is a departmental responsibility.
d. Disposition of Deaccessioned Collections
Deaccessioned collections must be disposed of in a manner that respects the intentions of the donor and does not diminish the assets of the institution. If there are written restrictions pertaining to the gift they must be honored unless waived by the donor.
If necessary, departments should seek legal counsel, including staff counsel in the Office of Development, and independent expert opinion. If possible, they should also inform the donors and/or their heirs of the proposed action. If the collection was a gift, the Office of Development should be notified of the department's plans.
(3) Means of Disposal
The department should develop policies on appropriate means of disposal, such as sale, transfer to another institution, or destruction. Policies developed for the deaccessioning of collections in the Cantor Arts Center, the Libraries and Archives can be referred to as useful models.
(4) Further Information
Departments considering selling a collection should consult Guide Memo 5.2.4: Surplus Property Sales.
This Guide Memo covers approval procedures and policies for naming Stanford University facilities and land features.
a. New Facilities and Land Features
Names proposed for Stanford University facilities and land features require the review of the Office of Development and Land, Buildings and Real Estate (LBRE)/ University Architect/Campus Planning and Design (UA/CPD) for possible conflicts and other University-wide implications before submission to the President for approval. Facilities and land features covered by this requirement include: buildings and the components of buildings (classrooms, laboratories, auditoria, conference and seminar rooms); ornamental structures; streets; fountains; courts; plazas; gardens; etc.
b. Renamed Facilities and Land Features
In cases of renaming, the senior line officer(s) in whose jurisdiction the facility or land feature is located should have the sponsorship of the Provost in submitting the recommended name change for the approval procedure described in paragraph
c. Plaques, Trees, and Other Similar Memorials
While Stanford gratefully accepts gifts in memory of someone, the University is not able to accommodate requests for plaques, trees, benches, or other similar memorials. Donors who wish to make a gift and receive the appropriate recognition should consult with the Office of Development.
a. Names of Faculty and Staff
Names of Stanford faculty and staff bestowed on Stanford University facilities and land features should be selected from individuals who have been emeritus or retired for at least 10 years.
Street names should be historically or geographically significant to the campus. Streets may be named for living individuals, but the use of individuals' names should be minimized.
c. Donor Names
Donor names proposed for buildings or portions of buildings are reviewed on a case-by-case basis. The "name" gift will normally cover between 35 and 70 percent of total project costs.
(2) Other Features
Donor names proposed for fountains, ornamental buildings, landscaping, and similar features will normally require a gift to cover the full cost of the project and a maintenance fund.
The Stanford University Archives receives and preserves the official record of all Stanford University names. In addition, notification of the appropriate information and long-term maintenance of the gift goes to LBRE/Buildings and Grounds Maintenance (BGM) and/or the appropriate Stanford department or auxiliary organization.
The Vice President for Development is entrusted with the overall management of Stanford's fundraising programs in order to maximize gift support from alumni, parents, friends, corporations, associations, and foundations. This Guide Memo outlines principles, policies, and procedures that will help assure the wise deployment of University resources, consistency in written communications, and coordination of access to volunteers and prospects.
For more than five decades, the Office of Development has represented all of Stanford, conveying to alumni, parents, friends and institutions the needs and aspirations of the entire University. Our volunteers, in particular, have responded by working enthusiastically for the University as a whole although they may individually affiliate with and support one or more schools or units. This cooperative and collegial relationship has set Stanford apart from most of its peers.
During the 1990s, we encouraged intensified fundraising programs within the schools/units, many of which conducted individual campaigns. These successful specific initiatives culminated in the Campaign for Undergraduate Education —the largest capital campaign ever launched specifically for undergraduate education. While these individual efforts have been quite successful in developing new and more engaged donors, it is imperative that we continue to nurture a broad understanding and commitment to Stanford University.
Because the majority of the University's most generous donors have multiple interests, the advent of unit based campaigns also has created more intense pressure on the prospect population. We need to reinforce the spirit of cooperation that has characterized Stanford's development activities for more than 50 years. That cooperation is based upon open and regular communication between the schools/units and the University development office, and among the schools/units.
The ultimate responsibility for securing new gifts for the University rests with the Board of Trustees. The trustees have delegated those responsibilities to the Office of the Development through the President of the University. The Vice President for Development is entrusted with the overall management of Stanford's fundraising programs. Obviously, while many of the fundraising activities may be delegated and carried out at the school/unit level, major development activities, decisions, and solicitations are ultimately managed and coordinated by the Office of the Vice President for Development.
a. Prospects with Multiple Affiliations
All activities with any Stanford prospect with multiple affiliations must be coordinated with all the interested parties. This is especially true for all major rated prospects—$250,000 or more. All prospects rated at this level or higher will be given a primary staff assignment. Any and all solicitation activity on these prospects must be coordinated through the primary staff person.
b. Prospects Rated at $1,000,000 and Above
All prospects with a rating of $1,000,000 and above are by definition University prospects. All solicitation activity on such prospects—even if the solicitation is significantly less than $1,000,000—must be specifically approved through the Office of the Vice President for Development.
c. Authority of the Vice President for Development
If an agreement cannot be reached on assigning or approaching multiple-interest or "University" prospects, then the Vice President for Development will determine prospect assignment and access by taking into account priorities set by the President and Provost. The dean or director of a school or unit may appeal the Vice President's decision to the Provost.
d. Sharing and Storage of Information
It is imperative that all pertinent information regarding major gift prospect activity be available across the development enterprise. This is particularly true for $1-million-plus rated prospects. University development staff and school/unit development officers share a responsibility to keep others informed of prospect activity, both formally (by updating the prospect tracking system and sending written communications to Post Grads) and informally (through regular communication). These updates should be entered in a timely fashion to ensure real-time quality to the prospect information.
Schools and units may form volunteer organizations to support major fundraising initiatives with the approval of the Vice President for Development. Chairs of volunteer groups supporting major fundraising programs will be asked to coordinate their activities through the Board of Trustees' Committee on Development and to work together with University-wide volunteer groups. Enlistment of volunteers, whether for fundraising or for advisory boards, must be coordinated through the Office of the Vice President for Development.
f. Written Communications
To assure consistency and coordination among various fundraising efforts, final drafts of written communications describing major fundraising initiatives must be shared with the Vice President for Development or designee. Additionally, the Office of Planned Giving must review all agreements of $100,000 or more (and all agreements establishing new endowments) prior to submission to the donor and/or acceptance by the University.
School and unit staff and budget plans for fundraising must be reviewed and approved by the Provost. Decisions regarding classification and compensation of development staff rest with the dean/director and the Vice President for Development who share responsibility for assuring that fairness is maintained across the University. In addition, the Vice President for Development must review and approve any requests to hire external fundraising consultants.
h. Priority Setting Process
Development priorities will be established in accordance with Guide Memo 4.4.1: Fundraising Approval and Priority-Setting.
i. Annual Giving
The following policies govern annual giving at Stanford:
(1) Stanford Fund
The Stanford Fund exists to provide the President and Provost with sustained, discretionary gift support for undergraduate education and undergraduate student life. All undergraduate degree holders, including those with a Stanford graduate degree, professional school degree, or credits earned toward such degrees, are solicited by the fund. The Stanford Fund also solicits non-degree holders with credits earned toward a Stanford undergraduate degree and parents of current undergraduates and non-alumni ("friends") with a prior history of giving to the fund.
(2) School Funds
The school funds may solicit their graduate and professional degree holders, including those who also have an undergraduate degree from Stanford. The school funds are also able to solicit non-undergraduate degree holders with credits earned toward a Stanford graduate or professional degree. Departments and programs may not solicit their graduates. Other solicitable populations include non-alumni ("friends") with a prior history of giving to the school and parents of Stanford professional or graduate degree holders.
The Department of Athletics may solicit any current or former annual donors to athletics, former student-athletes, and Stanford season ticket holders.
Subject to any applicable restrictions imposed by law, alumni who are treated as patients at Stanford Medical Center may be solicited by medical development.
This Guide Memo sets forth University fundraising policy, outlines the procedure for requesting fundraising approval and priority, and describes the procedures by which fundraising requests are reviewed for academic merit, evaluated for fundraising potential, and, if approved, assigned priorities for fundraising. The aim of this Guide Memo is to establish a systematic and orderly approach to private funding sources, to maximize support from them, and to assure that support is directed toward University priorities.
Requests to raise gift funds are subject to review and approval under the procedures set forth in this Guide Memo. The procedure for obtaining clearance to approach and solicit specific prospective donors is set forth in Guide Memo 4.3.1: Operating Policies for Development.
The procedures detailed in this Guide Memo apply whenever approval is sought to raise gifts from individuals, foundations, associations or corporations to support a project. Projects are defined broadly to include any program or activity of the University and/or its schools and units. Gifts are defined in Guide Memo 4.1.1: Gifts to the University. These procedures do not apply to the following:
(1) Certain small projects
Projects for which the total fundraising requirement over the life of the project is less than $1,000,000 require only decanal or directorial approval if all of the fundraising will be handled within the school or unit by the faculty and/or school's or unit's development staff without assistance sought from the central Office of Development. However, clearance to approach each specific prospect is still required under Guide Memo 4.3.1: Operating Policies for Development.
Requests for approval to raise funds for facilities projects are handled as part of the Provost's Capital Plan process. Approval of a facilities project, including new construction and renovation projects, will include a careful consideration of potential funding sources. Facilities projects will be assigned a fundraising priority by the Provost after consultation with the Office of Development about those sources. Clearance to approach each specific prospect is still required under Guide Memo 4.3.1: Operating Policies for Development.
(3) Sponsored Projects
Policy and procedures with respect to the preparation, review, and submission of sponsored project proposals are set forth in the Research Policy Handbook 14.1. Consult Research Policy Handbook Document 13.1 for the distinction between gifts and sponsored projects.
(4) Industrial Affiliates Programs
Principles, guidelines, and procedures for the establishment and operation of industrial affiliates and related membership-supported programs are set forth in the Research Policy Handbook 13.4.
b. Specific Requirements for Certain Activities
Gift solicitations for activities involving human subjects, laboratory animals, radiological hazards, biologically infectious agents, or recombinant DNA techniques are also subject to review by the Sponsored Projects Office for compliance with University policies and external requirements.
The Requestor initiates the process by completing the on-line Request for Fundraising Approval and Priority Form. Once the Requestor has completed the Form, it is automatically routed to the cognizant Development Officer.
b. Development Officer Review
Based on the information provided by the Requestor, the cognizant Development Officer completes the next section of the Form, including an assessment of fundraising feasibility and a recommendation regarding fundraising priority. When the Development Officer has completed the Form, it is automatically routed to the Office of the Vice President for Development.
c. School Dean/Cognizant Cabinet Officer Review
Based on the information provided by the Requestor, cognizant Development Officer, and Office of the Vice President for Development, the School Dean or cognizant Cabinet officer completes the next section of the Form. At this point, the School Dean or cognizant Cabinet officer may (1) approve the Request and provide a recommendation regarding fundraising priority, (2) return the Request and ask for additional information, or (3) deny the Request. If the Request is approved, the Form will be automatically routed to the Office of the Provost. If the Request is denied or returned for additional information, the Form will be automatically routed back to the Requestor.
d. Office of the Vice President for Development Review
Based on the information provided by the Requestor and the cognizant Development Officer, the Vice President for Development (or his or her designee) completes the next section of the Form, including his or her own assessment of fundraising feasibility and recommendation regarding fundraising priority. When the Office of the Vice President for Development has completed the Form, it is automatically routed to the School Dean or cognizant Cabinet member.
e. Provostial Review
After a Request has been approved by the School Dean or cognizant Cabinet officer and forwarded to the Office of the Provost, the Provost or the Provost's designee, in consultation with such individuals and/or committees as the Provost may designate, will review the Request using the following criteria:
(1) Academic justification
How closely does the project relate to the academic plans of the department, the school, and the University?
(2) Budgetary impact
Would funding the project by means of gifts offset existing demands on general funds budgets? Would the project require general funds support, cost sharing, or other immediate financial obligations? Would the project place future financial obligations on the University once the gift or grant funds have expired?
(3) Fundraising potential
How many prospective donors exist for the project and to what extent would it compete with other projects of interest to such donors?
f. Provostial Decision
After weighing these factors the Provost or the Provost's designee will (1) approve the Request with an assigned priority, (2) return the Request and ask for additional information, or (3) deny the Request. The designation of a priority determine the level of effort expected from the Development staff. Such priority designations will also assure that donors are presented with the University's most important projects.
(1) Approved with High Priority
Funds for projects awarded this priority will be actively sought, both by school and unit development staff and by the central Office of Development. The Office of Development will work with school and unit development staff to identify and solicit prospects for high priority projects and will enlist volunteers and faculty support as needed, taking into account other project(s) in which prospects may also be interested. Clearance to approach specific prospects is required under Guide Memo 4.3.1: Operating Policies for Development.
(2) Approved with Standard Priority
Fundraising for projects with this priority must be in the form of specific proposals to particular prospective donors or on a noncompetitive "target of opportunity" basis. Fundraising, including identification and solicitation of prospects, will primarily be handled within the school or unit, subject to clearance of prospect access under Guide Memo 4.3.1: Operating Policies for Development. The central Office of Development may, at the discretion of the Vice President for Development, initiate further activity and provide assistance in identifying additional prospective donors.
(3) Approved with Minimum Priority
Fundraising projects with this priority must not compete with fundraising for other projects. In most cases, this will mean that fundraising will be limited to corporations and foundations that have an identifiedprogrammatic interest in the project, and except in the most unusual cases must not include approaches to alumni, parents, and friends. Fundraising must be handled exclusively by the school or unit, without any assistance from the central Office of Development. As always, clearance to approach any specific prospect is required under Guide Memo 4.3.1: Operating Policies for Development.
No gifts may be solicited for projects for which fundraising approval has been denied. Requestors may wish to consider other funding sources as outlined in Guide Memo 4.5.1: Funding New Programs.
g. Development Action
After a project has been approved and assigned a priority, the Provost will send the Request for Fundraising Approval and Priority form describing the project to the Office of the Vice President for Development for distribution to the fundraising staff. At the discretion of the Vice President for Development, a fundraising coordinator for the project may be appointed. The Development Office will periodically review its list of approved and rated projects in order to recommend changes to the Provost based on fundraising results.
Proposals for new programs, projects, or activities should take into account the feasibility of obtaining required funding as well as the budgetary and other impacts the proposals may have on Stanford University. This Guide Memo is intended to provide a checklist that may be useful to faculty members and others in developing such proposals.
These policies apply to all new programs, projects or activities of the University and/or its schools and units for which external or internal funding is required.
There are a variety of funding sources and strategies that may be considered depending on the nature of the proposed new program, project, or activity.
a. External Funding — External funding sources include gifts, sponsored projects, and affiliate programs. All required approvals should be secured before seeking external funding.
(1) Gifts from Individuals, Foundations, Associations, or Corporations — Approval under Administrative Guide Memo 4.4.1: Fundraising Approval and Priority-Setting, is required before any gifts are solicited.
(2) Sponsored Project — Approval under Research Policy Handbook Document 14.1, Preparation, Review, and Submission of Sponsored Project Proposals, is required before submitting any sponsored project proposal.
(3) Affiliate Program — Approval under Research Policy Handbook Document 13.4, Establishment of Industrial Affiliates and Related Membership-Supported Programs, is required before submitting any sponsored project proposal.
b. Internal Funding — Internal funding may also be available, subject to the requirements and processes required by the funding sources(s).
(1) Department, school, or University resources — All requirements associated with obtaining funding from the applicable source must be fulfilled.
(2) Existing Gift Funds — Stanford must comply with the terms and conditions of the applicable gift agreement(s) with donor(s) for any existing gift funds proposed to be used to support a program, project, or activity. See Guide Memo 4.1.1: Gifts to the University, Section 5.b(2). Questions should be directed to a staff attorney in the Office of Planned Giving, Office of Development, 326 Galvez Street, (650) 725-4358.
Proposals should take into account not only the budget required for the project itself, but also its institutional impacts on Stanford University. Given budget, General Use Permit (GUP), and other constraints, Stanford cannot commit itself to support a project unless all such impacts have been considered and approved in advance.
a. Incremental Faculty Billets — New billets cannot be created and filled unless authorized by the President/Provost's Office.
b. Incremental Staff Positions — New billets cannot be created and filled unless authorized by Deans, Directors or Vice Presidents, or their designees.
c. Incremental Graduate Students and Post-docs — New billets cannot be created and filled unless authorized by a member of the Executive Cabinet.
d. Space and Facilities Needs — All requests for new space or reallocations of existing spaces at Stanford are required to be submitted on the Space Management and Planning - Online Space Request Form. If the project cannot be housed within pre-identified existing available departmental or laboratory space, approval to use other existing space must be sought and obtained under Research Policy Handbook, Document 14.3, Section 2. If the project requires new construction (including temporary structures), building or interior space demolitions, building renovations, and/or other infrastructure projects as described in the Form 1 Policy, approval must be sought and obtained via the electronic Facilities Initiation Form 1.
e. Other Impacts — Approvals may also be necessary in the following areas: