Endowment Gifts

Policy

Endowment named funds must have a pledge amount greater than or equal to $100,000. The Donors Relations/Development Services (DR/DS) office is responsible for obtaining all documentation related to the gift specifically the memorandum of agreement or any other documenation supporting the purpose of the gift.

The Controller's Office is responsible for setting up the fund in Workday with the proper accounting restrictions based upon information provided by the DR/DS office.

For restricted endowment funds, the department head in the area where the donor has restricted the spending is responsible for spending the income from this fund in accordance with the donor's intentions. If the department head is uncertain of the donor's intention, he/she should first review any documentation on Workday.  If no documentation is available, contact Donor Relations or Development Services to obtain further clarification or documentation of the donor's intentions.

Spending from the endowment fund may only be made up to the income received for a specific fiscal year and any prior unused funds. No advance spending may be made against the endowed spending fund without the approval of the Controller. Unused income from spendable fund is carried over at the end of each fiscal year.

Only endowment distributions may be recorded as revenue on an endowed spendable fund. No deposits may be posted to a revenue account on an endowed spendable fund.
 

Procedure

  1. When the endowment gift with all of the supporting documentation is ready for processing, the DR/DS office will request gift worktag numbers from the Controller's Office through Affiniquest.

  2. The request is reviewed by the Controller's Office for proper supporting documentation to ensure that the gift is set up with the proper accounting restrictions.

  3. If a new endowed fund is required, the Controller's Office will set up an 'EN' gift in Workday.

  4. If the spending is restricted, the Controller's Office will record the restrictions in Workday under the 'Restrictions' tab.

  5. If there is any uncertainty of the donor's intentions on spending, the department head should contact the DR/DS office.

  6. The income from this fund is credited to the fund on a monthly basis based upon the number of shares it had purchased upon receipt of the gift.

  7. The department should charge the gift worktag directly for any spending. Spending must follow the guidelines set forth for Accounts Payable and Travel.