1. It’s Only a Matter of Time: Why Your Organization Needs a Gift Acceptance Policy AFPWNC May 15, 2013 Myra Grant and Allan Burrows, Capital Development Services AFPWNC May 15, 2013 Myra Grant and Allan Burrows, Capital Development Services

2. Full-Service Fundraising Consulting and Executive Search Firm Campaign planning and implementation  Feasibility studies  Board development  Strategic Planning  Major gifts  Executive searches  Donor development  Planned giving  Grant writing  Development assessments  Prospect identification and research 2

3. Why Develop Gift Policies include board/staff related responsibilities: ◦ conflict of interest, ethics, etc. ◦ gift acceptance and recognition maintain consistency and standards methodology for attaining volunteer approval for certain gifts or reject frame overall marketing demonstrate relationship to 990, Form M ◦ FASB regulations for acceptance/recording of gifts

4. Steps to Developing Gift Policies Start inventory of current types of gifts the organization accepts; add gifts considering for short and long-term Research “best practices” policies of other organizations Create a staff/volunteer committee to review current gifts and develop policies Think for future of gifts (and not just for the present)

5. Scenario That Might Drive Gift Policy Implementation A well-intentioned board member calls the executive director and relays that a local business is “going out of business” and wants to donate their building and land to your foundation. The business is a former site of a gas station and auto garage. What policies do you need to accept the gift? Does the gift relate to your mission so you can consider accepting?

6. Scenarios (cont.) A donor calls and wants to give their entire estate (valued at $2 million) to your organization and is revising their will and estate documents. Your organization provides children’s services. The donor wants to restrict the gift to building a health center for low income on your property. What do you need to have in place to accept the gift? Should you accept the gift? Are there any tax implications for your organization?

7. Elements of Gift Policies Statement of the organization’s mission and purpose of gift policies Conflict of interest signed annually by board/staff Guidelines on when outside legal counsel is used List of the types of gifts that can be accepted by staff, executive director, and types that require approval from executive director, CFO and/or finance committee/board Description of the type of gift restrictions that are acceptable

8. Elements of Policies (continued) Description/examples of the forms needed for gift acceptance Statement regarding organization’s process for gift administration (recognition, valuation, tax forms) Statement regarding who is responsible (donor or organization) for legal and professional fees to complete/accept the gift Policy on investment of certain gifts (stock sale, other short and long-term gifts) Regular review and changes to the policy

9. Other Scenarios/ Questions? What scenarios have posed questions/concerns for your organization? Other questions?

10. Promotion of Policies and Use with Donors Have appropriate/accurate gift acceptance letters for donors Identify and maximize your chances for success by identifying and target-marketing your most likely prospect segments Recognize donors on your website and in annual report/other publications (with permission) Provide ways (information forms, web and office access, contact information to provide information about deferred and planned gifts

11. Promotion (cont.) Include your policies in the orientation for your board and staff Review policies with staff and board at least annually at regular board and staff meetings Highlight board and staff members that complete a gift; include in your recognition society Develop simple ways to give statement/sheet to provide to donors, staff, volunteers and include in marketing arenas (web, annual reports, newsletters)

12. Allan Burrows, President Capital Development Services Myra Grant, AFP member, mentor and retired Executive Director of Pardee Hospital Foundation

13. Sources Kathryn Miree and Associates, Inc. Kathryn Swank, J.D., Blackbaud Non-Profit Law blog: Donation Policy Brooklyn College Foundation Gift Acceptance Policies Summary of Gift Acceptance Policies, Pardee Foundation United Way of New York, Gift Policies Allan Burrows, Capital Development Services