710.1 Gifts, Grants and Non-Gifts Defined
A gift is a contribution received by Cal Poly for either unrestricted or restricted use in the furtherance of the University. The contribution must be a nonreciprocal transfer in that there is no implicit or explicit statement of exchange, purchase of services, or provision of exclusive information. If the donor receives benefits in return for the contribution, the amount of the gift recorded and reported must be reduced by the fair market value of all benefits given. The purpose and use of a gift as specified by the donor must be appropriate to the functions and character of Cal Poly, as determined by the University, and not require Cal Poly to act contrary to the law or public policy.
IRS regulations provide that there can be no donor influence on selection of scholarship recipients, appointments to endowed professorships, or other endowments providing individual benefit.
A grant is a contribution received by Cal Poly from a firm, corporation, foundation, or other organization, rather than from an individual personally, to be used for either unrestricted or restricted use in the furtherance of the institution. Cal Poly may determine that what a donor calls a grant may be, for University recordkeeping, a gift. More complex philanthropic gifts may require approval and monitoring by other areas of the University such as the Sponsored Programs Office or the Gift Acceptance Committee. Cal Poly Development may count them in fundraising and campaign totals and record them as gifts.
Transfers such as contracts, which provide economic benefit for compensation, do not constitute gifts. Cal Poly will not record or credit the value of the following transfers:
Any payment that involves a contractual obligation of the University, to perform services or deliver products to the grantor;
A transfer for the benefit of a specific individual (e.g., money to pay the tuition, salary, expenses, etc. of a specific individual);
Contributions from local, state or federal governments;
Income on previous gifts to the University (e.g., dividends, royalties, rents);
Interest income earned on gift fund;
Appraisal fees paid by donors in relation to their gifts;
Contributions from University employees credited to a budget over which the employee has authorization;
Payment for goods and services;
A contribution to an entity that is not legally part of Cal Poly; and
The right to use an individual’s property, such as a vacation home, rent-free office space, or equipment.
710.3 Campuswide Private Support Solicitation and Coordination
All fundraising activities must be coordinated through the appropriate department within University Advancement. Gifts may be sought from individuals, corporations, foundations and other organizations, and only for the purposes and programs that have appropriate academic or administrative approval and support the mission of the University.
710.3 Standards: Ethical and Philanthropic
The California State University has adopted the CASE guidelines for educational fundraising as the minimum standard for all CSU campuses.
University Advancement follows philanthropic and ethical standards adopted bythe following fundraising organizations: A Donor Bill of Rights as adopted by theAssociation of Fundraising Professionals (AFP); Principles of Practice forFundraising Professionals at Educational Institutions as adopted by the Councilfor Advancement and Support of Education (CASE); Model Standards of Practicefor the Charitable Gift Planner, adopted by the Partnership for PhilanthropicPlanning (PPP); and The Ethics of Prospect Research, adopted by the Associationof Professional Researchers for Advancement (APRA).
710.4 Fundraising Events
CSU ICSUAM 15701 policy requires University Advancement review and approval for all fundraising events with anticipated revenue of $5,000 or more.
711 Gift Acceptance
University Advancement is responsible for the coordination and effectiveness of the various gift generation, receipt, and management programs of the University and its Auxiliary Organizations.
These policies provide a set of standards by which gifts are reviewed, accepted, processed and receipted by Cal Poly and its related Auxiliary Organizations, i.e., the Cal Poly Foundation (Foundation), the Cal Poly Corporation (Corporation), or Associated Students, Inc. (ASI), collectively “Auxiliaries.”
Except for those gifts that are required to be authorized for acceptance by the Gift Acceptance Committee, the Vice President for University Advancement or designee, has the authority to authorize the acceptance of gifts or related funds and instruments, and can authorize whether the University or an Auxiliary will manage the gift.
Cal Poly delegates the authority to solicit, receipt, and manage gifts, bequests, endowments, trusts and similar funds to the Auxiliaries. Only gifts, bequests, devises, endowments, trusts, and similar funds or other assets that are designated for the use of (or in trust for) Cal Poly, or to one of the Auxiliaries, in support of the educational mission of the University may be considered for acceptance. Fundraising and constituent engagement activities will be conducted and coordinated with University Advancement. All philanthropic commitments to Cal Poly must be processed by, and credited to, the donor through University Advancement.
711.2 Gift Acceptance Committee
Cal Poly shall have a Gift Acceptance Committee consisting of the followingmembers:
- the vice president for University Advancement (chair);
- the vice president for Administration and Finance; and
- the provost.
The Committee is responsible for authorizing the acceptance of gifts such as giftsin-kind and gifts of real estate. The Committee also is responsible for approving gifts that, due to their nature, or the use of University resources, require further review prior to approval.
711.3 Use of Legal Counsel and Other Consultants
Cal Poly shall seek the advice of University and other retained legal counsel, the Cal Poly Foundation Board, and other consultants in matters relating to acceptance of gifts when appropriate. Auxiliary Organizations may seek the advice of other legal counsel in matters relating to gifts that will be managed by the Auxiliaries.
711.4 Use of Legal Counsel and Other Consultants
Cal Poly and its Auxiliaries may accept unrestricted gifts, and gifts for specific programs and purposes, provided that such gifts are not inconsistent with stated mission, purposes, and priorities of Cal Poly.
Cal Poly and its Auxiliaries will not accept gifts that are determined to be toorestrictive in purpose. Gifts that are too restrictive are those that violate the termsof an Auxiliary’s corporate charter, gifts that are too difficult or costly toadminister, gifts that are for purposes outside the mission of Cal Poly, or those that inhibit Cal Poly’s academic integrity. All final decisions on the restrictivenature of a gift, and its acceptance or refusal, shall be made by the GiftAcceptance Committee.
711.5 Conflict of Interest
Cal Poly and the Auxiliaries will urge all prospective donors to seek the assistance of personal legal and financial advisors in matters relating to their gifts and the resulting tax and estate planning consequences. Cal Poly and the Auxiliaries will comply with the Model Standards of Practice for the Charitable Gift Planner promulgated by the Partnership for Philanthropic Planning, shown as a reference to this policy.
711.6 Types of Gifts
Criteria for Acceptance of Each Gift Type
711.6.1 - Cash:
Funds in U.S. currency or funds readily convertible to U.S. currency are acceptable in any form. Checks shall be delivered to University Advancement for deposit on behalf of Cal Poly.
711.6.2 - Tangible Personal Property/Gifts-in-Kind:
Acceptance of all gifts of tangible personal property shall be governed by Cal Poly’s Gifts-in-Kind Acceptance Procedures. The final determination on the authorization to accept tangible property gifts shall be made by the Gift Acceptance Committee.
711.6.3 - Securities:
Securities are generally acceptable. The following guidelines are applicable to securities:
7184.108.40.206 - Publicly Traded Securities:
As a general rule, all marketable securities shall be sold upon receipt unless otherwise agreed by the Gift Acceptance Committee. In some cases applicable securities laws may restrict the sale of marketable securities; in such instances, the Gift Acceptance Committee shall make the final determination on the authorization to accept the restricted securities.
7220.127.116.11 - Closely Held Securities:
Closely held securities include not only debt and equity positions in non-publicly traded companies but also interests in LLPs and LLCs or other ownership forms. These gifts must be reviewed prior to acceptance to determine that:
- there are no restrictions on the security that would prevent ultimately converting these assets to cash;
- the security is or will be marketable; and
- the security will not generate any unacceptable tax or other consequences or liabilities for Cal Poly.
Upon consultation with investment advisors, efforts will be made to sell nonmarketable securities to maximize return on investment. The final determination on the authorization to accept closely held securities shall be made by the Gift Acceptance Committee.
711.6.4 - Real Estate:
Cal Poly and its Auxiliaries, upon authorization of the Gift Acceptance Committee and in consultation with external advisors, have authority to accept real estate gifts, either outright or in trust, and whether or not intended for prompt conversion to cash, subject to the following parameters:
The title is in a form satisfactory to the University and/or Auxiliary Organization.
A current (within 60 days) qualified appraisal has been received from the donor.
The donor confirms that the donor is not under any legal obligation to sell or otherwise convey the property to a third party.
The donor confirms that the donor is not aware of any leases, easements, encumbrances, or other restrictions that would decrease the value of the property.
A review of the history of the property, known occupants and a site inspection conducted by Cal Poly Facilities (or designee), reveals no uses, conditions or circumstances that suggest the existence of environmental or other risks that warrant obtaining an external assessment of environmental or other risks (see ICSUAM Policy 9019).
If the review performed in the preceding paragraph notes the potential existence of environmental risks, a Phase I environmental impact study is conducted and the results of that study conclude the property does not present an unacceptable level of environmental risk.
Donor has acknowledged and concurred regarding any holding or other administration costs that may be deducted from the sale of the property before the net proceeds are distributed in accordance with donor restrictions.
Donated real property may be sold or otherwise conveyed at fair market value, consistent with any gift restrictions and upon concurrence by the University President’s designee. Generally, donated property will be sold at the first opportunity.
Gifts of real estate are limited to the following:
- donated real property that may be sold or otherwise conveyed at fair market value;
- donated real property that generates an income stream to support the educational mission;
- donated real property used for programmatic purposes; and
- donated real property used as an investment by an Auxiliary Organization as determined by the investment policy of the Auxiliary Organization.
711.6.5 - Remainder Interests in Property:
Cal Poly or an Auxiliary Organization may accept a remainder interest subject to the provisions herein. Where Cal Poly or an Auxiliary Organization receives a gift of a remainder interest, all expenses for maintenance, insurance, real estate taxes, other carrying costs, and any property indebtedness are to be paid by the donor or primary beneficiary.
711.6.6 - Mineral, Oil, and Gas, (MOG) Interests:
Cal Poly or an Auxiliary Organization may accept oil, gas and mineral property interests, when appropriate. Prior to acceptance of an oil, gas and mineral interest the gift shall be authorized by the Gift Acceptance Committee, and if necessary, by appropriate legal counsel and external advisors. Criteria for acceptance of the MOG interest shall include:
Gifts shall have specified minimum values and yearly income.
A review of the history of the property, known occupants and a site inspection conducted by Cal Poly Facilities (or designee), reveals no extended liabilities or other considerations that make receipt of the gift inappropriate.
A working interest is rarely accepted. A working interest may only be accepted where and when there is a plan to minimize potential liability and tax consequences.
The property must undergo an environmental review to ensure that neither the Auxiliary Organization nor Cal Poly has any current or potential exposure to environmental liability. The cost of this review may be paid by the donor(s) or the Auxiliary Organization, subject to negotiation at the time of gift review.
711.6.7 - Bargain Sales:
Cal Poly’s Auxiliaries may enter into bargain sale arrangements. All bargain sales, including the source of funds to complete the sale, must be reviewed and recommended by the Gift Acceptance Committee and approved by the Auxiliary’s board, as appropriate.
711.6.8 - Life Insurance:
Cal Poly or an Auxiliary must be named as both beneficiary and irrevocable owner of an insurance policy before a life insurance policy can be recorded as a gift. A gift of a life insurance policy will not be accepted unless there is a clear and enforceable plan for payment of future premiums.
711.6.9 - Charitable Gift Annuities
Any state licensed Auxiliary Organization may be the issuer of gift annuity contracts.
711.6.10 - Charitable Remainder Trusts (CRT):
Cal Poly or an Auxiliary may accept designation as Trustee of a CRT with the approval of the Gift Acceptance Committee if at least 50 percent of the trust remainder is designated irrevocably to Cal Poly or an Auxiliary Organization. Cal Poly or an Auxiliary Organization may accept a designation as a beneficiary for a CRT for amounts less than 50 percent.
711.6.11 - Charitable Lead Trusts (CLT):
Cal Poly or an Auxiliary Organization may accept a designation as income beneficiary of a CLT and may accept an appointment as Trustee of a CLT on a case-by-case basis as approved by the Gift Acceptance Committee.
711.6.12 - Retirement Plan Beneficiary Designations:
Donors and supporters of Cal Poly may name Cal Poly as beneficiary of a retirement plan. Such designations will be recorded as pledges to Cal Poly at the present value.
711.6.13 - Retirement Plan Beneficiary Designations:
Donors and supporters of Cal Poly may make bequests to Cal Poly under wills and trusts. Such bequests, revocable or irrevocable, will be recorded as pledges to Cal Poly at the present value.
711.6.14 - Retirement Plan Beneficiary Designations:
Donors and supporters of Cal Poly may name Cal Poly as beneficiary or contingent beneficiary of life insurance policies. Designations as primary beneficiary shall be considered bequests and recorded as pledges accordingly.
718 NAMING FACILITIES, PROPERTIES, ACADEMIC ENTITIES AND RELATED AREAS
718.1 Policy Objective
This policy provides guidance to administrators, staff, volunteers and donors in support of Cal Poly in arranging for gift or honorific naming opportunities and recognition of major philanthropic commitments. Naming may honor individuals by recognizing exceptional contributions shaping the University, commemorate Cal Poly’s history and traditions, honor long-term and significant financial contributions to Cal Poly, or honor financial contributions to support the facility or program named.
The University President retains final authority for recommending naming opportunities to the California State University Board of Trustees (CSU Trustees) and for naming of endowments not requiring CSU approval (scholarships, endowed faculty positions, graduate fellowships, etc.). If CSU Trustees approval is required, the Academic Senate's Executive Committee must review the proposal as part of the approval process by the University President. The vice president of University Advancement (VPUA) or designee assists in determining values of campus naming opportunities, prepares naming proposals, and ensures the approval procedures are followed.
718.3 General Guidelines
The following policy guidelines are generally agreed upon and, in the interest of negotiating significant gifts, may be modified for specific situations at the direction of the University President and VPUA.
Each gift that occasions a naming opportunity must be accompanied by a written gift agreement signed by the donor or the donor’s designee and appropriate University officials.
The naming of any physical facility, campus grounds, or academic program is usually only appropriate when a significant gift is received.
Naming commitments are reflections on the ideals and reputation of Cal Poly, the CSU, and the State of California, and should be reviewed carefully for full compliance with applicable laws and ethical principles.
Named facilities are so named for the useful life of the facility and do not carry to a future replacement facility. Named endowments are so named in perpetuity. In rare cases a facility can be named for a period of years, the terms of which must be explicitly detailed in a gift agreement.
No permanent naming of a facility, program or endowment will be considered without an irrevocable gift or fully paid pledge. At the University President’s discretion, a naming may be reserved for a donor contingent on fulfillment of a pledge. If a pledge remains unpaid beyond the agreed upon period, the University President reserves the right to recommend another naming opportunity or other course of action.
718.4 Naming of Buildings and Interior Spaces
The following policy guidelines are generally agreed upon and, in the interest of negotiating significant gifts, may be modified for specific situations at the direction of the University President and VPUA.
718.4.1 - New Construction and Renovations
The cost to name a newly built or renovated facility, or a space within the facility, will be based on the projected philanthropic cost to build or renovate, and will be guided by factors such as the size and significance of the facility, use and location.
718.4.2 - Existing Buildings that Are Unnamed
The naming of existing and un-renovated facilities is rare; such cases will be treated individually and must be approved by the University President.
718.4.3 - Facilities Named to Honor Individuals or Organizations
For individuals or organizations that have made extraordinary contributions to Cal Poly or to society, naming of a facility can be proposed if there has been broad influence on Cal Poly, or exceptional contributions to the nation or world. For individuals, two years must have passed from the time the person has been separated from any compensated role with Cal Poly.
For donors who have provided exceptional financial support to Cal Poly in general, a donor (living or deceased) may be honored through a facility name if the donor has provided long-term, extraordinary financial support; and no major Cal Poly facility bears his or her name.
Major Exterior Spaces Outside Facilities (plaza, fields, malls). Major exterior spaces that are accessible to all may receive donor or honorific naming under the same standards and processes provided for facilities as set forth above.
Small Exterior or Interior Spaces, Bricks, Plaques and Benches. Small exterior spaces (including courtyards) and small interior spaces, bricks, plaques and benches may carry honorific, memorial or donor names as determined by University Advancement in coordination with the Cal Poly Landscape Advisory Committee and Facility Services.
718.5 Naming of Endowments
718.6 Dual Naming, or Changing or Eliminating Named Facilities or Programs
In general, when a gift from an individual is involved, the naming lasts until a facility or program is replaced, substantially renovated or changed, or its purpose is permanently altered to such an extent as to be inconsistent with the original purpose.
If a facility or program is removed, or is substantially changed from its previous form, the University President reserves the right to pursue alternate methods of recognizing the donor whose name was on the previous facility or program.
Naming of a facility or program does not entitle the donor to continued naming of facilities or programs after a facility has been removed or substantially changed, or after a program has ceased to exist in its previous form. An exception could be granted if the University determines that a program is substantially the same, but with a revised focus or name. In cases where this determination is made, the University President may choose to retain the donor’s name on the program. In all instances, decisions to change a named facility or program lies with the University President or the CSU Trustees, depending on the level of naming involved.
If the use of a facility is changed, and the original donation was related to the previous use, the donor (if living) may be given the opportunity to have the name retained on some portion of the same facility or offered an alternative method of recognition. The donor’s name will not necessarily transfer to a new facility to be used for the original purpose. If the donor is deceased, the University will make a good faith effort to contact any immediate heirs of the donor to act on the donor’s behalf in determining what the donor would have preferred. If a facility use changes but the naming was not related to the previous use, the name will remain on the facility. If the facility is significantly changed from its previous form, the University President may recommend to the CSU Trustees recognition that a proportional percentage of the original facility be applied to the new facility. The exact type of recognition or signage may, however, not be the same as the original, depending on the facility design and layout.
A single facility or space may carry two honorific namings, or may be named in honor of two unrelated donors, or may be named under an honorific naming plus recognition of a donor. An existing naming may be converted to a dual naming if the dual naming does not violate a contractual commitment of Cal Poly to any donor, upon consultation and with sensitivity to the party whose name is currently applied to the facility or space, and with sensitivity to the history and traditions of Cal Poly. Dual namings may also be accomplished by assigning a new donordesignated name or an honorific name to either an interior or exterior space situated within a larger interior or exterior space or facility that is already named, or an interior or exterior space or facility encompassing a smaller interior or exterior space that is already named.
If at any time new information comes to light so that continued use of a name may compromise the reputation of the University or the public trust, the University may at its discretion seek to revoke a naming. Revoking a naming requires approval by the University President or CSU Trustees, as appropriate.
718.7 Limited-time Naming
Naming opportunities offered to a donor for a specified time period (as opposed to a permanent naming opportunity) may be available at the discretion of the University President, based on recommendations from University Advancement. They will be negotiated on a case-by-case basis, based on the benefit to the University.
References for CAP 718
- Date approved by the President: May 31, 2013
- Effective Date: May 31, 2013
- Responsible Department/Office(s): University Advancement
- Revision History: May 24, 2004
- Related University Policies, Procedures, Manuals and/or Documents:
- Policy and Procedure for Naming CSU Facilities and Properties, adopted by the CSU Trustees on July 8, 1999, http://www.calstate.edu/cpdc/executive/PolNameFac.pdf.
- Executive Order 713. CSU Policy and Procedure on Naming CSU Colleges, Schools and other Academic Entities, adopted by the CSU Trustees on November 1, 1999, http://www.calstate.edu/eo/eo-713.pdf.
- Academic Senate Resolution on the Naming of Buildings AS-10-76-EC.
- Laws, Regulations and/or Codes of practice referred to herein or related to this policy: None cited
719 Physical Memorials
719.1 Physical Memorials Honoring Individuals
Proposals for physical memorials honoring deceased students, faculty, staff, or friends of the University shall be presented to the Vice President for University Advancement, who will refer them to the Landscape Advisory Committee. The Landscape Advisory Committee shall review each proposal for its fit into the context of the campus’ physical environment, both existing and proposed. The findings and recommendations of the committee shall be submitted to University Advancement for further development and implementation. Final review and approval shall be by the President.
The University requires that all persons honored through a physical memorial shall have been deceased a minimum time period of one year. Exceptions to this time limit may be considered in extraordinary circumstances by the Vice President for University Advancement in consultation with the Vice President for Administration and Finance.
Physical memorials shall be fully funded in advance whereby funding covers the gift and installation. University Advancement, in consultation with the Landscape Advisory Committee, shall annually provide an updated list specifying the funding amount required to establish a physical memorial.
The University generally limits physical memorials to benches and plaques. The University discourages and normally will not permit the solitary planting of trees as a physical representation due to the possibility of damage or death from disease or other environmental factors.
The location of all physical memorials shall be recorded on a campus map and made available through the University’s Facility Services department.
All physical memorials shall be kept in place as long as they remain serviceable. A memorial may no longer be serviceable due to safety issues, construction projects, other campus modifications, or being damaged beyond repair. In the event a physical memorial is to be removed, a letter shall be sent to the designated donor contact advising of the reason for removal. The donor shall have the option of placing a new physical memorial at the current fee and under the terms in effect.
The Vice President for University Advancement should be contacted for other opportunities to recognize deceased individuals. These opportunities include, among others: scholarships, endowments, and naming opportunities in compliance with the University’s policy on Naming Buildings and Related Areas.
719.2 Physical Memorials Honoring Groups
Proposals for physical memorials honoring groups of deceased students, faculty, staff, or friends of the University shall be presented to the Vice President for University Advancement, who will consult with the Vice President for Administration and Finance and the Provost and Vice President for Academic Affairs and refer to the Landscape Advisory Committee for consideration if appropriate. Final review and approval shall be by the President.
719.3 Mustang Statue at the University Union
The Mustang Statue at the University Union is a campus landmark serving as a place to honor those who have served Cal Poly or their country. Plaques placed upon the statue commemorate significant events in the history of Cal Poly and memorialize those who made the supreme sacrifice while in military service. Proposals to place additional plaques or other physical representations shall be presented to the Vice President for University Advancement, who will refer them to the LandscapeAdvisory Committee. This committee shall review each proposal for its fit into the context of the campus’ physical environment, both existing and proposed. The findings and recommendations of the committee shall be submitted to University Advancement for further development and implementation. Final review and approval shall be by the President.
719.4 The Wall of Honor
The Wall of Honor located at the University Union Mustang Statue commemorates Cal Poly students and alumni who made the supreme sacrifice for our country while in military service. Proposals to place a name at the Wall of Honor shall be presented to the Vice President for University Advancement who will convene a nomination committee for consideration. The committee will be comprised of the Vice President for University Advancement or designee, the Vice President for Administration and Finance or designee, the Military Science Department Chair or designee, and an alumni veteran representative appointed by the President of the Alumni Association. The findings and recommendations of the committee shall be submitted to University Advancement for further development and implementation. Final review and approval shall be by the President.
719.5 Mustang Memorial Plaza
Mustang Memorial Plaza, located in the southwest corner of campus next to the Alex G. Spanos Stadium (61), is a permanent memorial dedicated to the memory of those who lost their lives in the 1960 football team plane crash on October 29, 1960.
Dedicated: September 29, 2006
719.6 Mustang Memorial Field
Mustang Memorial Field is the playing field at the Alex G. Spanos Stadium (Building 61). It is a permanent memorial dedicated to the memory of those who lost their lives in the 1960 football team plane crash on October 29, 1960.
Dedicated: September 29, 2006
References for CAP 719
- Date approved by the President: April 26, 2007
- Responsible Department/Office(s): Vice President for University Advancement