Fund Raising, Gift and Acceptance Policies
The College of New Jersey (TCNJ) through the College of New Jersey Foundation (TCNJ Foundation) seeks to solicit, receive and maintain contributions of cash and real, intangible, and personal property. The income generated from these contributions and/or the principal comprising these contributions is issued and applied by the TCNJ Foundation exclusively for the benefit of TCNJ and its charitable mission of education.
These Official Fund Raising, Gift and Acceptance Policies are intended to enable The College of New Jersey and The College of New Jersey Foundation to protect the interests of both The College and the donor, to adhere to the intent for which funds are donated, and to ensure sound financial management and stewardship of donated funds.
Consistent with good communication policy, the Office of Development & Alumni Affairs will keep TCNJ Foundation leaders informed of any and all noteworthy occurrences.
For the purposes of these policies, the term “gift” refers to private contributions, either outright or deferred, from individuals or organizations, and for which no return services or goods are expected, implied, or forthcoming to the donor.
For the purposes of these policies, the term “quid pro quo contribution” shall be defined as a payment made partly as a contribution and partly in consideration for goods or services furnished to the donor.
For the purposes of these policies, the terms “TCNJ” and “The College” refer to The College of New Jersey and its affiliated schools, departments and programs.
For the purposes of these policies, the term “Foundation” refers to the TCNJ Foundation, which was established in 1971 to increase philanthropic support to The College of New Jersey.
For the purposes of these policies, the term “ODAA” refers to the Office of Development and Alumni Affairs at The College of New Jersey.
III. General Guidelines
A. The College of New Jersey recognizes that successful fund raising matches the hopes, wishes and dreams of donors with the needs of TCNJ.
B. All proposed gifts must in some way further the mission of The College of New Jersey and comply with all federal and New Jersey laws relating to charitable contributions.
C. The President of TCNJ, in consultation with the Vice President of Development and Alumni Affairs, establishes and approves all development and fund raising goals and spending priorities based on realistic projections, fund raising management expertise and historical knowledge. These are then presented to the Board of the TCNJ Foundation at the beginning of each fiscal year for its approval.
D. The Office of Development and Alumni Affairs is the department of The College responsible for all fundraising on behalf of TCNJ.
E. The ODAA is authorized to pursue all avenues of fund raising on behalf of TCNJ and TCNJ Foundation that comply with State and Federal regulations and law.
F. The TCNJ Foundation will not accept donations that violate any Federal or State of New Jersey law.
G. All donations made for the benefit of TCNJ for current or deferred use as well as general or special purpose endowment funds, should be made payable to the TCNJ Foundation.
H. All gifts from individuals, foundations and corporations intended to support The College of New Jersey must be deposited with the TCNJ Foundation.
I. The Office of Development and Alumni Affairs is solely authorized to issue an official tax receipt for philanthropic support on behalf of The College of New Jersey and The College of New Jersey Foundation.
J. All fund raising activities (including, but not limited to foundation/corporate grant requests, individual solicitations, special event fund raisers, direct mail, personal contacts, telephone campaigns, etc.) and projects, regardless of size, must first receive approval from and be coordinated with ODAA. This is meant to ensure coordination and efficient use of resources to maximize the benefits derived from every gift.
K. The ODAA shall maintain complete auditable records of philanthropic support for the TCNJ Foundation. It is Board policy to conduct an annual audit.
IV. Use of Gifts
The College of New Jersey encourages unrestricted gifts to provide it with flexibility to meet its most pressing needs. While unrestricted gifts are especially beneficial, contributions that are designated for a specific purpose also provide invaluable support. Donors may specify a wide range of uses for gifts, such as capital projects, scholarship support, equipment, specific programs or projects, redevelopment funds or approved building funds.
Gifts will be accepted for a specific use as long as the gift advances the charitable mission of TCNJ, the President/Vice President of Development and Alumni Affairs have approved its purpose, and the proposed gift purpose complies with federal and/or New Jersey laws relating to charitable contributions.
Gifts may be accepted for any of The College of New Jersey schools, departments and programs, particularly when they have been solicited or received as part of a planned fundraising process.
A. Donors may direct their gifts for:
1. any charitable project approved by the President/Vice President of Development and Alumni Affairs;
2. a specific project or program at TCNJ;
3. the establishment of a restricted or unrestricted fund, subject to policy restrictions;
4. the general support of TCNJ programs;
5. the creation of or as an addition to an endowment to provide support long into the future; or
6. any of TCNJ’s schools (School of Art, Media and Music; School of Business; School of Culture and Society; School of Education; School of Engineering; School of Nursing; and School of Science), TCNJ Athletics, the TCNJ library, or any others that may exist.
B. Gifts may be used to support the charitable mission of TCNJ in a variety of ways, including but not limited to the following:
2. purchase of equipment (capital, educational, etc.);
3. start-up funds for new or improved services or projects;
4. special projects as determined by the President/Vice President of Development and Alumni Affairs;
5. capital improvements, buildings, and renovations;
6. operating support; and
7. to support strengthening the development effort.
C. The use of all gifts must receive approval from the TCNJ President in consultation with the Vice President of Development and Alumni Affairs and must further the charitable mission of The College of New Jersey.
D. TCNJ Foundation disbursements to the College of $50,000 or more that have not received prior Foundation Board approval or that are not donor designated must be brought to the Board for approval. If time is a concern, the Board Chair and the Chair of the Budget Committee are authorized to approve the expenditure.
V. Gift Contingency Clause
It is important for donors to recognize that the needs, policies and circumstances of TCNJ can change over time for unforeseen reasons. In the event that a gift can no longer be used exactly for the purpose for which it was originally donated, the President and Vice President of Development and Alumni Affairs shall have the authority to use their discretion to make the best use of the contribution. This can be accomplished by including the following statement in all gift agreements:
…for so long as The College determines that the need exists. Should the need no longer exist, the President/Vice President of Development and Alumni Affairs may direct the use of my gift for a purpose related as closely as possible to the stated above.
Every effort will be made to determine a use for the gift that, as nearly as possible, reflects the donor’s interests and concerns. Whenever possible, the donor will be contacted.
VI. Solicitation, Donations and Acceptance Policies
All fund raising of any kind within or for the benefit of any TCNJ entity must be coordinated and approved by the Vice President of Development and Alumni Affairs. The TCNJ Foundation is authorized to accept donated monetary, real property, or investment portfolio gifts on behalf of TCNJ.
To ensure that solicitation and acceptance of donations is made in a manner which best serves the interest of TCNJ:
A. Specific information about fund raising alternatives and protocols is available from the Office of Development and Alumni Affairs. The ODAA reports decisions regarding the initiation of a fund raising effort to the President in a timely manner prior to the commencement of the fund raising activity.
B. Anyone wishing to undertake any type of solicitation, fund raising program, or request for support in the name of TCNJ or any of its programs must present a plan for approval by the Office of Development and Alumni Affairs. This requirement applies to all fund raising activities to ensure a coordinated fund raising program and the maintenance of accurate records. It will also maximize philanthropic support for all programs and projects at TCNJ.
C. No solicitation for philanthropic support of any kind may use the name of The College of New Jersey or the TCNJ Foundation or any variation of said name, unless it is conducted by an employee of TCNJ, an approved and authorized volunteer, or performed by independent development consultants through contractual agreement approved by authorized personnel of TCNJ, in full coordination with the ODAA.
D. No one will be paid to conduct solicitation activities based on a percentage of funds raised. Any payments or reimbursement of solicitation-related expenses must be based on contractual agreements or employment policies.
E. Any fund raising activity, item sale or other promotion conducted on TCNJ property must have signage clearly stating the purpose and recipient of the proceeds. [The intent here is not to create the mistaken impression that proceeds go to The College of New Jersey Foundation.]
F. The ODAA, on behalf of The College through the Foundation, accepts both restricted and unrestricted donations. Restricted donations are used as the donor stipulates, assuming the gift is accepted.
1. The ODAA will consider the extent to which the restricted purpose furthers the charitable mission of TCNJ and the extent to which the donor realizes a benefit other than the intangible benefit normally associated with philanthropic giving.
2. Restricted contributions will under no circumstances be accepted if the stated purpose is inconsistent with TCNJ’s charitable mission or if the donor realizes a benefit other than benefits normally associated with philanthropic giving.
G. Donors will be recognized in accordance with their wishes, consistent with established recognition policies and as long as requests for recognition are considered reasonable.
H. Under no circumstances should any member of TCNJ community or staff accept or receive donations or bequests unless authorized to do so by the ODAA.
I. The decision to name buildings, wings, rooms and landscape improvements is the responsibility of the President and The College’s Board of Trustees, acting upon the recommendation of the Foundation and/or the Office of Development and Alumni Affairs, with consent from the donor and any other interested parties, as determined by the President.
J. It is inappropriate for any TCNJ community member to solicit or receive capital funds with the promise of naming a structure or improvement without prior approval as detailed in TCNJ Board of Trustees policy.
K. In general, a donor must fund a substantial part of the cost of the new building, wing, and room or of a renovation or landscape improvement in order to be considered in the naming opportunity. Such naming is guided by the policy of the Board of Trustees of The College. Exceptions can be made with consent from the President and the Board of Trustees.
L. Gift acceptance policies for Gifts-In Kind such as real estate and tangible personal property are outlined in Section X.
VII. Policies for Gift Transfer and Deposit
Any gift received from an individual, foundation or corporation must be made payable to the TCNJ Foundation and deposited into a duly established fund before the Office of Development and Alumni Affairs will provide any documentation regarding deductibility of the gift.
A. All gifts shall be deposited in a TCNJ Foundation account maintained by the TCNJ Treasurer or Treasurer’s designee, and the ODAA must be authorized to receive and disburse funds for the benefit of TCNJ. Under no condition shall any department other than the TCNJ Treasurer, acting on behalf of the Foundation and ODAA, deposit or disburse money received for philanthropic support.
B. Transfer Procedures for Donations of Publicly Traded Securities and Other Assets.
1. All prospective gifts of publicly traded securities (i.e. common stock, preferred stock, and bonds) should be referred to the Office of Development and Alumni Affairs. The Office of Development and Alumni Affairs will coordinate the transfer of the securities with the donor or the donor’s securities broker and TCNJ Foundation’s Account Representative.
2. All donated publicly traded securities shall be transferred to the Foundation’s securities account. Prior to the actual transfer, the ODAA will provide the donor or the donor’s securities broker with the following information:
a. Name, address, telephone and fax number of the brokerage firm to which the securities are to be transferred;
b. Name of the TCNJ Foundation account representative;
c. Name and number of the account to which the securities will be transferred; and
d. The tax identification number of the Foundation.
3. It is the standing policy that upon acceptance and transfer of the securities, the Office of Development and Alumni Affairs will instruct the broker to sell the securities. The proceeds of the sale will be sent (preferably via wire or electronic transfer) to the Foundation and deposited into the appropriate Foundation account
4. On occasion, contributors will request that their broker act as TCNJ’s agent and sell securities on the Foundation’s behalf. These requests will be considered on a case-by-case basis. Decisions will be based on factors including competitive commission rates and ease of transfer.
5. Gift transfer policies for gifts-in-kind such as real estate and tangible personal property are outlined in Section X.
C. Depositing Funds.
1. Anyone receiving or being offered a gift of any kind, at any time must contact the ODAA immediately for instructions regarding deposit into an appropriate fund.
2. The TCNJ Treasurer’s Office in coordination with ODAA shall be solely authorized and responsible for depositing monetary gifts received through fund raising activities in accordance with procedures approved by the College Treasurer.
3. The ODAA is responsible for identifying the proper account for all TCNJ charitable gifts prior to deposit in accordance with approved procedures.
VIII. Signature Authority and Written Acknowledgments
A. Signature Authority for Documents relating to Bequests and other Gifts.
1. The estate settlement process can be complex and varies greatly by state and even by county. It is crucial that estates in which TCNJ has an interest be monitored to ensure that TCNJ receives all that is due it in a timely manner.
2. All documents relating to estates will be prepared for the signature of the President of The College or his/her designee, such as the Vice President of Development and Alumni Affairs. TCNJ can be put at risk if a legal document is executed by someone who does not have the authority to do so since others, particularly heirs of the donor, may rely on the signature to contest the document’s validity.
3. All correspondence or other documents relating to outright gifts, estates or trusts received by someone other than an ODAA staff member, should be immediately forwarded to the ODAA for review.
4. The ODAA will facilitate execution of gift, estate or trust documents requiring a legal signature.
5. No one other than designated ODAA staff should:
a. gives instructions to representatives of estates or trusts;
b. takes possession of anything from an estate or trust;
c. deposit checks;
d. sign any document or make any commitments on behalf of TCNJ regarding any estate or trust.
B. Written Acknowledgements.
1. The ODAA is the only office authorized to provide donors with an official written acknowledgment/receipt for each charitable contribution of $250 or more that it receives on behalf of The College of New Jersey through the TCNJ Foundation.
2. The written acknowledgment must contain the following information to appropriately substantiate a donor’s gift.
a. the amount of the cash contributed or the high, low and mean values for publicly traded securities as of the date of transfer;
b. a description (but not value) of any property contributed other than cash or publicly traded securities;
c. a statement indicating whether TCNJ or the TCNJ Foundation provided any goods or services in consideration, in whole or in part, for any property contributed;
d. a description and good faith estimate of the value of any goods or services provided by TCNJ, in whole or in part, for any property contributed; and
e. A reference to the fact that the gift will be deposited in the TCNJ Foundation.
3. Written acknowledgements, with the applicable information, shall be provided to the donor each time a contribution equal to or in excess of $250 is received.
4. The ODAA will provide a receipt documenting the mean value of gifts of publicly traded securities based on high and low values on the date of transfer as published in the Wall Street Journal. The donor will be recognized for the securities donated based on this mean value.
5. It is the responsibility of the donor, as prescribed by IRS regulations, to determine the value of all property donated other than publicly traded securities. The ODAA will provide the donor with a description of what it received and will recognize the donor for his/her contribution based on the donor’s qualified appraisal (as required for tax purposes) of the property or on the value of its own appraisal. The donor’s tax advisor can explain the various approved methods that can be employed for the valuation of publicly traded securities.
6. Under no circumstances should the ODAA or any other department of The College of New Jersey value gifts or property other than publicly traded securities for purposes of the donor’s reporting responsibility. In accordance with IRS regulations, valuation of gifts of such property shall be the sole responsibility of the donor. The College may value such gifts for its own internal purposes.
7. Additional gift acknowledgment policies for gifts-in-kind such as real estate and appreciated securities are outlined in Section X.
IX. Quid Pro Quo Contributions Disclosure
There are instances where an amount is received as a quid pro quo payment. That is a payment from a donor that is made partly as a charitable contribution and partly in consideration for the goods and service provided to the donor. In these cases, the contribution disclosure procedures as established by the IRS must be followed.
A. If a quid pro quo contribution exceeds $75, the ODAA must provide donors with a statement disclosing that their quid pro quo contribution is deductible to the extent that the contribution exceeds the value of the goods and services provided by TCNJ. The ODAA is responsible for ensuring that written disclosure is appropriately provided to donors requiring such disclosure. The written disclosure statement must:
1. Inform the donor that the amount of the contribution that is deductible for federal income tax purposes is limited to the excess of any money (and the value of any property other than money) contributed by the donor over and above the value of goods and services provided by the charity; and
2. Provide the donor with a good faith estimate of the value of goods or services that the donor received.
B. The ODAA must ensure that the written disclosure is furnished in connection with either the solicitation or the receipt of the contribution. The disclosure must be in writing and must be made in a manner that is reasonable and likely to come to the attention of the donor.
X. Policies for Gifts-in-Kind
Gifts of equipment or tangible personal property that would constitute useful additions to TCNJ are encouraged. Since proposed donations of equipment, goods or tangible personal property may place demands on TCNJ in terms of special requirements (e.g. electrical, space, maintenance, etc.), the President or his/her designee, such as the Treasurer of the College, must be notified in advance of all such potential donations.
A. The Vice President of Development and Alumni Affairs is authorized to accept gifts of equipment, goods or tangible personal property that do not exceed the value of $10,000 or those for which special requirements are known. Items in excess of $10,000 require review by the President of TCNJ before they can be accepted.
B. The valuation of the donation shall be based on a “qualified appraisal” by a “qualified appraiser” as defined under IRS regulations. The ODAA may maintain a list of qualified appraisers for its own use or to suggest to donors. However, the donor must obtain a qualified appraisal at his/her own cost in order for the gift to qualify for a charitable income tax deduction. TCNJ cannot bear the cost of the donor’s appraisal.
C. Donors who contribute property (other than money or publicly traded securities) with a fair market value in excess of $5,000 must complete IRS Form 8283 (Part B) Non-Cash Charitable Contributions to obtain a charitable income tax deduction for the gift. The TCNJ Foundation must also sign the completed Form 8283, acknowledging receipt of the non-cash property.
1. The President of TCNJ and the Vice President of Development and Alumni Affairs shall be the only individuals authorized to sign the donor’s completed Form 8283, acknowledging receipt on behalf of TCNJ Foundation. In all cases, it is the responsibility of the donor to obtain, complete, and file IRS Form 8283.
2. In all cases, it is the donor’s responsibility to obtain a qualified appraisal of the fair market value of property proposed for contribution.
D. If the non-cash property is sold within 2 years of the date of gift, the Office of Budget & Finance must file IRS Form 8282 B Donee Information Return no later than 125 days after the date of sale and must provide the donor with a copy of IRS Form 8282.
E. Offers to donate real estate to the ODAA for the benefit of TCNJ may be accepted only after review by legal counsel and other designated professionals and approval by the President, with recommendation by the ODAA.
1. A donor may retain a life estate for him/herself and others in the donation of property, only with a written agreement and the approval of the President of TCNJ in consultation with the Vice President of Development and Alumni Affairs.
2. All expenses for maintenance, real estate taxes, insurance and indebtedness related to the property will be borne by the donor except if another arrangement is approved by the President and The College’s Treasurer in consultation with the Vice President of Development and Alumni Affairs.
3. All donations of real property must be unencumbered when deeded to the TCNJ Foundation except when such encumbrances are declared and specifically accepted by TCNJ Foundation.
4. In general, the TCNJ Foundation will not hold title to real estate except with the intent to sell and convert the asset to cash as part of a planned gift agreement or for purposes at the College. If a decision is made by the President, in consultation with the College Treasurer and other appropriate individuals, to retain ownership of donated real estate, the TCNJ Foundation will immediately transfer ownership of the property to the College.
F. As with other types of non-cash property, in all cases, it is the donor’s responsibility to obtain a qualified appraisal of the fair market value of the real property proposed for contribution for his/her reporting purposes.
G. Responsibility must be determined for accessioning, deaccessioning, security and insurance (during and after transfer) and preservation of tangible personal property. Procedures for accepting gifts, obtaining appraisals, record keeping, safeguarding and disposing of property are outlined below.
1. Gifts of tangible personal property will be documented through a Deed of Gift or Memorandum of Agreement that outlines the terms of the gift including its purpose and the basis upon which the property can be sold.
2. The ODAA will be responsible for obtaining appropriate insurance during and after transfer and for identifying appropriate storage, taking into consideration physical security, accessibility and environmental controls where applicable.
3. The ODAA will be responsible for procedures relating to the deposit and removal of property from a storage site as well as the maintenance of records of items stored at various sites.
4. Decisions to dispose of tangible personal property will be made by the President in consultation with the College’s Treasurer, the General Counsel and the Vice President of Development and Alumni Affairs.
5. Sales of tangible personal property will be facilitated and coordinated by designated ODAA staff.
XI. Outright and Life Income Planned Gifts
Planned gifts (including complex outright gifts, bequests by will or trust, life insurance and life income gifts) are crucial to the long-term success of any philanthropic effort. The ODAA must approve all forms of planned gifts to TCNJ. Donors should seek their own legal counsel prior to finalizing bequests or other forms of planned gifts.
A. All bequests, unless noted otherwise, will be deposited as Unrestricted Bequests. Unrestricted Bequests are intended for the general purposes of TCNJ and are of special benefit in allowing flexibility to meet TCNJ’s greatest needs.
B. Restricted Bequests are intended for specific purposes. The inclusion of the contingency clause, noted in Section V of this Policy document, is most desirable.
C. Suggested language for bequests as well as information outlining methods for making bequests are detailed by the Office of Development and Alumni Affairs.
D. When gifts of insurance are made, the TCNJ Foundation must be named as both beneficiary and owner of the policy.
E. Charitable remainder trusts are often complex and require the review of legal counsel prior to execution by the donor and approval of the President and the Vice President of Development and Alumni Affairs. The President has authorized the ODAA to engage specialized outside tax counsel on an as needed basis. Generally, the minimum charitable remainder trust gift should be $50,000; however the President or Vice President of ODAA can make exceptions.
F. Information concerning outright and life income planned gifts is available from TCNJ’s Office of Development and Alumni Affairs. Information about planned giving, including gifts by bequest, is also outlined on the ODAA web site.
G. To ensure that such donations comply with the general policies of TCNJ and that the donor receives tax benefits of the gift, designated ODAA staff should be consulted prior to the donation of the execution of a will or trust or the purchase of an insurance policy.
XII. Gift Investment and Administration Policies
A. An Investment Committee of the Board of the TCNJ Foundation will consult with the College’s Treasurer on matters relating to the Foundation’s financial assets.
B. The Vice President of Development and Alumni Affairs, in consultation with the Investment Committee of the Board, will formulate protocols for establishing and evaluating asset allocation, endowment payout rates, and investment policy for life income planned gifts and other issues relating to investment policy.
C. Endowed funds made available to TCNJ including proceeds from terminated trusts will conform to investment and administrative Policies of the TCNJ Foundation.
D. Investment policies, including guidelines, asset allocation, investment managers, and custodians will be reviewed periodically or at least every two years and modified as needed by the Treasurer, in consultation with the Investment Committee of the Board and the Vice President of Development and Alumni Affairs. Recommendations for changes will be submitted to the full TCNJ Foundation Board of Directors for its approval.
E. The Vice President of Development and Alumni Affairs, in consultation with the Investment Committee of the Board and designated ODAA staff, will formulate separate investment policies for life income gifts.
XIII. Administrator of Fund Account
Each philanthropic gift fund established in the TCNJ Foundation will have an authorized administrator identified. The administrator is the primary person responsible for ensuring that the expenditures from the funds are consistent with donor interest and with the needs of
the College. The Vice President of Development & Alumni Affairs must also approve expenditures from such accounts.
A. The administrator of a philanthropic support account should be a senior staff member at TCNJ (at a minimum, the person must be a direct report to a Dean, or the Vice President of Development and Alumni Affairs.) In cases where it is desirous to have a non-TCNJ employee as administrator, a senior staff member fitting the prior description must be a co-administrator of the fund.
B. The administrator is responsible for monitoring any approved users of the fund in accord with stated duties of the administrator per these policies. The fiscal signature for expenditures for all funds is the Vice President for Development and Alumni Affairs.
XIV. Types of Fund Accounts
The TCNJ support accounts consist of: unrestricted funds, fully expendable funds designated by donors for a defined purpose and endowment funds established by donors to generate income for long-term support.
A. Unrestricted Funds (General Purpose).
1. An account consisting of funds donated for the general support of TCNJ will be designated as the TCNJ Greatest Needs Fund. The President of TCNJ has authority to direct the use of these funds, consistent with the policy stated in IV.D.
2. Each TCNJ school may have a discretionary fund, which will consist of funds donated to support the general mission of that school. In general, the Dean of the respective school, with fiscal approval from the President or his/her designee (e.g. The Vice President of Development and Alumni Affairs), will have authority to expend these funds.
3. All funds deposited into a Greatest Need Fund account for a particular school will be available for use only as approved by that school’s administrator as defined above.
B. Named Fund accounts may be created with contributions of $25,000 or more. It is preferred that these funds must be fully paid within three years of establishing the account, and the corpus of the fund will be spent for purposes consistent with the fund’s mission.
C. Establishment of Designated Fund Accounts.
1. Designated contributions will not be accepted if the donor realizes a benefit other than the intangible benefit normally associated with philanthropic giving, unless specific disclosure of benefits received is made in accordance with IRS regulations.
2. To create a new designated fund, a minimum amount of gifts expected to be deposited in support of the mission of that fund should be $25,000. The Vice President of Development and Alumni Affairs or his/her designee must determine that it is reasonable to expect that this level of activity will be met through outright gifts and pledges within a 24-month period, before the fund can be established.
3. Should an established fund not meet the $25,000 level within the specified period, the Vice President has the option to extend the period up to an additional 12 months. Should the fund still not meet the required level of funding, those funds already deposited will be withdrawn and deposited in a similar purpose fund or deposited into the “TCNJ Greatest Needs” Fund (general fund) to benefit the entire college. Funds from the TCNJ Greatest Needs require the President or his/her designee’s approval, before these funds can be used. These funds will be immediately directed to support the effort originally intended by the donor.
4. Donated funds of less than $25,000, for which no thought of creating a new fund is established, must be deposited into an existing similar purpose fund.
D. Maintenance of Fund Balance.
1. Should an established fund fail to maintain a balance of $1,000 during a fiscal year, the Vice President of Development and Alumni Affairs will contact the fund’s administrator and inquire as to any plans to increase the balance of the account. If plans are approved, the fund will have 12 months to attain its required balance.
2. If, after the approved extension, the $1,000 balance is not attained or no plans are approved, the funds will either be transferred into a similar purpose fund which has a required balance or into an unrestricted fund.
E. Net Income Generated by Funds.
1. Net Income generated by designated funds will be deposited into that fund.
F. Endowment Funds.
1. Endowments are restricted funds established at the request of a specific donor, family, corporation, etc. to be used for a specified purpose detailed in a Memorandum of Agreement or other gift document.
2. At the present time, an amount not less than $25,000 must be contributed before an endowment fund can be established and named by a donor. Any gift amount can be contributed to an existing endowment fund as an addition to principal.
3. The TCNJ Foundation Investment/Finance Committee will set an endowment policy.
4. All unrestricted endowment funds can be pooled and their payout amounts made available to benefit TCNJ unless otherwise instructed by the donor. This expenditure is at the President’s discretion.
A. If the ODAA believes at any time that inappropriate expenditures have been made from a philanthropic account, it will review the transaction and take appropriate action to stop the transaction or require repayment.
B. The trustees of the gifts (TCNJ Foundation) will facilitate stewardship of life income gifts through the Office of Development and Alumni Affairs. Stewardship includes ensuring timely and accurate income remittances, tax reporting and periodic reports about the donor’s area of interest.
XVI. Compliance Requirements
Any funds established prior to approval of these policies will be “re-certified” and come into full compliance with these policies.
A. Sale, Exchange or Other Disposition of Donated Property.
1. If the disposition of a contribution of non-cash charitable deduction property occurs within two years from the date the ODAA received the property, the ODAA is required to complete Form 8282 – Donee Information Return
2. The ODAA shall work with the Department of Budget and Finance to complete and submit the completed Form to the IRS within 125 days from the date of the disposition.
3. Generally, the form must be filed for all property (other than money or certain publicly traded securities) for which TCNJ signed, or was presented with for signature an appraisal summary on Form 8283.
4. The TCNJ Treasurer shall coordinate with the TCNJ Foundation to ensure that information and resources necessary to comply with the disposition of donated property is appropriately identified.
B. In all matters of compliance, it is the Treasurer’s Office who will be the primary preparer of documents in consultation with the TCNJ Foundation.
C. TCNJ must include the names of individuals who contributed $5,000 or more and the amount of their contribution on its IRS Form 990 – Return of Organization Exempt from Income Tax. The ODAA shall maintain a list of contributors on a fiscal year basis. This list shall be made accessible to the Associate Treasurer for TCNJ annually for inclusion in Form 990.
These policies are not intended to be all-inclusive, and The College of New Jersey reserves the right to make changes or exceptions to these policies without notice.
Approved by the Board of Trustees: February 21, 2006