|It is the purpose of these policies and guidelines to govern the acceptance of gifts by The Ann Arbor Public Schools Educational Foundation and to provide guidance to prospective donors and their advisors when making gifts. The provisions of these policies shall apply to all gifts received by The Ann Arbor Public Schools Educational Foundation for any of its programs or services. The Gift Acceptance Policy is designed to facilitate the acceptance of gifts. The following principles guide the acceptance and administration of gifts.|
1. To work to make all gifts possible, within the strictures of law and tax regulations
2. To make resources available over time for the mission of the AAPSEF
3. To honor the intent of the donor
4. To protect the assets entrusted to the AAPSEF
5. To accept only property free of liens and encumbrances
The types of gifts that AAPSEF accepts include:
· Unrestricted (funds go towards the General Fund)
· Restricted (funds go towards a specific program or purpose)
· Honor and Memorial
· Endowment Fund
· Planned Gifts
· In-Kind Gifts
· Matching Gifts
AAPSEF accepts unrestricted gifts and gifts for specific programs and purposes, provided such gifts are consistent with its stated mission, purposes and priorities. AAPSEF may not accept gifts that are too restrictive. All final decisions on the restrictive nature of a gift, and its acceptance or refusal shall be made by the Gift Acceptance Committee of the AAPSEF. Gifts intended as pass- throughs to the Ann Arbor Public School System must meet the guidelines of the Gift Acceptance Policy of the AAPS in addition to those of the AAPSEF.
The AAPSEF is established to provide a source of funding to support programs to Ann Arbor Public School students. Funds may be placed in the Endowment Fund by donor designation or Board of Directors designation.
The AAPSEF Planned Giving Program encompasses all types of gifts whose benefits do not fully accrue to the AAPSEF until some future time (such as the death of the donor or other income beneficiaries, or the expiration of a predetermined period of time). The types of planned giving opportunities offered by the AAPSEF include:
Bequests by Will or Trust
· Life Insurance Beneficiary Designations
· Retirement Plan Beneficiary Designations
· Charitable Remainder Unitrust (AAPSEF will not accept an appointment as Trustee)
· Charitable Remainder Annuity Trust (AAPSEF will not accept an appointment as Trustee)
· Charitable Lead Trust (AAPSEF will not accept an appointment as Trustee)
At the present time, AAPSEF does not issue charitable gift annuities. It reserves the right to review or change this policy at a future date.
Commitment to Donor Directions
It is the intention and commitment of AAPSEF to comply with the legal intent and directions of donors. If an accepted gift for a specific program or purpose can no longer be used as originally intended, due to a discontinued program or similar circumstance, the funds will be applied to a program with similar objectives or, if not possible, to the General Fund.
Gift Acceptance Committee
The Gift Acceptance Committee will be charged to ensure that gifts received are consistent with these policies and that they are in the best interests of AAPSEF. The Gift Acceptance Committee shall consist of:
· Executive Director
· Development Director
· President of the Board of Directors
· Other committee members
Gifts received in the following forms can be accepted by appropriate staff or Board of Directors member and will not need prior review and approval by the Gift Acceptance Committee:
· Cash or cash equivalents
· Marketable Securities
· In-kind gifts of personal property for the AAPSEF offices or programs
Gifts that require review or approval by the Gift Acceptance Committee include:
· Tangible property that is not readily marketable
· Real Estate
· Closely-held and S corporation stock
· Partnership Interests
· Life Insurance
· Accounts receivables (gifts of loans, notes, mortgages, etc.)
· Gifts whose structure fall outside the ordinary purposes, bylaws and procedures of the AAPSEF
AAPSEF reserves the right to refuse any gift that it believes is not in the best interest of the AAPSEF. If a gift is not accepted, AAPSEF staff will contact the prospective donor promptly.
Accepted gifts will be acknowledges by staff in accordance with federal regulations. All donors will be sent a “thank you” letter. In addition, “Honor” or “Memorial” gifts will be acknowledged with a second letter that will be sent to the person being honored, the family of the deceased or other donor designee.
Donors will be acknowledged in AAPSEF publications such as an Annual Report. In-kind gifts will be acknowledged in a separate section from cash gifts. If a donor indicates a desire for anonymity or confidentiality, such requests should be made in writing and AAPSEF will hold all gift and investment information in confidence.
It shall be the responsibility of the donor to secure an appraisal (where required) and independent legal, or other professional, counsel for all gifts made to AAPSEF at the donor’s expense.
AAPSEF shall record a gift received by AAPSEF at its valuation for gift purposes on the date of the gift.
Federal tax law generally allows individual donors who give in-kind (non-cash) gifts to claim a charitable contribution deduction for the fair market value of the gift. Numerous exceptions apply. The IRS Publication 5326 titled “Charitable Contributions” and Publication 561 titled “Determining the Value of Donated Property” are informative in determining whether to claim a tax deduction.
Use of Professional Advisors
AAPSEF may seek the advice of legal counsel in matters relating to acceptance of gifts where appropriate.
Conflict of Interest
All prospective donors shall be strongly urged to seek the assistance of personal legal and financial advisors in matters relating to their gifts and the resulting tax and estate planning consequences. AAPSEF will comply with the “Model Standards of Practice for the Charitable Gift Planner” and “Donor Bill of Rights” attached.
Changes to Policies
These policies and guidelines have been reviewed and accepted by the Board of Directors of The Ann Arbor Public Schools Educational Foundation. The Board of Directors must approve any material changes to or deviations from these policies.