1. Gift Accounting and Acknowledgment Providing High Quality Professional Service to Your Organization: A Large Shop Perspective Presented by Michael Seymour Senior Director, Development Operations Keck School of Medicine University of Southern California mseymour@usc.edu

2. Presentation Goals  Gift Acceptance Policies  Best Gift Accounting Practices for Larger Shops  Checks / Cash gifts  Credit Card gifts  Electronic Fund Transfers (EFTs)  Acknowledgements and Receipts  New(er) Technologies: barcoding and scanning  Work Flow and Forms  Resources

3. Gift Acceptance Policies  3 ways to take gifts: - for granted - with guilt - with gratitude  Need to establish a written policy for the types of gifts your institution will and will not accept  Who can accept gifts on behalf of the institution ? President ? VP’s ? Financial Officers ? Development Officers ?  Policy is often tied to your institution’s mission and/or goals  Legal / Tax ramifications

4. Best Gift Accounting Practices for Larger Shops We adopt and implement best practices in order to achieve: Overall cost savings for the organization Reduce complexity Improve operational efficiency Improve communication Continued availability of service

5. Checks / Cash gifts  USC KSOM prepares batches for gifts of $1 - $1,500 to be sent to Bank of America processing center. A courier comes 3 times a week. (Monday / Wednesday / Friday)  Checks over $1,500, any cash deposits and all credit card gifts get batched daily and are deposited at the Cashier’s Office via “G” receipts. Larger gifts ($25,000 / $50,000 / $100,000 +) are put onto a single G-receipt to facilitate processing of the batch.

6. Credit Card gifts  Credit cards are swiped daily, copied for file documentation and batched. They are sent to the Cashier’s Office for G-receipts.  Batches are then entered onto the gift system through Restricted Fund Accounting (RFA).

7. Electronic Fund Transfers  Electronic Fund Transfer gifts (EFTs) are made through the on-line giving websites. Notification of donations are made via e-mail to Sr. Director of Development Operations and he accesses the secured server for the data / transactions. 99% of these gifts are memorial donations.

8. Acknowledgements and Receipts Memorial gifts get entered into a separate MS Access database (dating back to FY94). Acknowledgements get printed in batches after entry (daily / every couple of days, etc…) Donor gets an acknowledgement and the surviving family / relative gets an acknowledgement Once the gift is entered into the gift system, official IRS tax receipts are generated in batch sequence (usually weekly).

16. New(er) Technologies: barcoding and scanning  Some institutions are using barcoding and scanning of gifts which greatly speeds up processing time. (example: University of Illinois Foundation contact: Christy Devocelle, Director of Gift Operations devocelle@uifuillinois.edu)

17. Reporting

20. Resources  Fundsnet -- www.fundsnetservices.com/fundrais.htmwww.fundsnetservices.com/fundrais.htm  CASE -- www.CASE.org Advancement Services sectionwww.CASE.org  Bentz Whaley Flessner bibliography “Gift Regulation Resources” tab