Gift Acceptance Policy

General Policy
Federal and state law requires that the Foundation satisfy various requirements regarding gifts made to the Foundation. The Foundation will act in accordance with all such requirements and this gift acceptance policy will be amended to reflect and changes in applicable law.

To qualify as a charitable contribution, a transfer of cash or assets to the Foundation must be made for the use of the Foundation. The Foundation must have legal authority over the distribution of the contributed funds, although the donor may request that the Foundation apply the funds to a particular need if such application of funds is consistent with the exempt purpose of the Foundation, the donor’s request to the Foundation does not interfere with the donor’s charitable contribution deduction unless the request becomes a material restriction or condition with respect to the transferred assets. A material restriction exists if any condition is imposed on the actions taken by the foundation which prevents it from exercising ultimate control over the assets received from the donor for purpose that are consistent with its exempt purpose. There is no material restriction if the following guidelines are observed:

1. The Foundation has the full ownership, benefit and control of the assets it receives.
2. The assets to be administered by the Foundation are consistent with its exempt purposes.
3. The fund to which the assets were contributed is independent of any donor.

Federal law denies contribution deductions when charities act as “conduits” - funneling gifts to particular individuals. However, the Foundation can legally establish discretionary distribution funds that are consistent with its exempt purpose. Donations to such funds will be credited as charitable contributions as long as they meet the following criteria:

1. The donor has no family relationship or legal obligation to support the recipient.
2. No other relationship exists by which the donor directly or indirectly benefits from the donation.
3. The donation is not made in lieu of an existing financial responsibility that may reasonably be required or expected of the donor.

Gift Acceptance and Conversion
The  Planned Giving Committee will be consulted by the Development Committee and the Foundation’s Development staff as opportunities for significant or unusual non-cash gifts arise. The Foundation and the College are legally obligated to adhere to the terms and condition of every gift. Therefore, the terms of each gift must be considered with the utmost care by the Committee to be sure they are feasible, do not unduly hamper usefulness or expose the Foundation or the college to undue risk, and conform to Foundation policies.

The Planned Giving Committee will review all aspects of the proposed gift and make a determination as to whether the Foundation should accept the gift and how the gift should be structured to maximize the benefit to both the donor and the Foundation. The Committee will also determine whether the Foundation should hold the gift in the form in which it is received or convert it to cash or another form of investment after receipt.

Gifts contributed to CBC may be transferred to the Foundation with donor permission or court order if the donor is deceased, upon a resolution of the CBC Board of Trustees. Donor intent to transfer the gift must be clearly established in compliance with the Attorney General’s Opinion (AGO 1993 No. 18).