Gem State Adventist Academy (GSAA), is a not for profit organization organized under the laws of the State of Idaho and qualified as a Section 501(c)(3) exempt organization under the Internal Revenue Code. GSAA encourages the solicitation and acceptance of gifts for purposes that will help GSAA to further and fulfill its mission. This policy shall provide direction for the acceptance of gifts made to GSAA.
Purpose –GSAA solicits current and deferred gifts from individuals, corporations, and foundations to secure the ongoing operations and future growth of the organization. It is the purpose of this policy to govern the acceptance of gifts and to provide guidance to prospective donors when making gifts.
Restrictions on Gifts – GSAA will accept unrestricted gifts and gifts for specific purposes provided that such gifts are not inconsistent with GSAA’s mission, purpose and priorities. GSAA will not accept gifts that it deems to be too restrictive in purpose. Gifts that are too restrictive are those that are too difficult or costly to administer or gifts that are for purposes outside the mission of GSAA. The Finance Committee will make the final decision regarding the restrictive nature of a gift in question and its acceptance or refusal. When gifts with restrictions are accepted, gifts must be used for the purpose for which they were given, unless otherwise advised by the donor or his/her surviving family members. Donors are encouraged to support areas reflecting their interests.
Types of Gifts – The following criteria shall be considered in the acceptance of a gift:
Cash: Cash is acceptable in any form.
Life Insurance: GSAA must be named as both beneficiary and irrevocable owner of an insurance policy before a life insurance policy can be recorded as a gift.
Real Estate: Prior to acceptance of real estate, GSAA shall require an initial environmental review of the property to insure that the property is not contaminated with environmental damage. Prior to acceptance of the real property the gift shall be approved by the Idaho Conference Board of Directors. Criteria for acceptance of the property may include:
- Is the property useful for the purposes of GSAA?
- Is the property marketable?
- Are there any restrictions, reservations, easements, or other limitations associated with the property?
- Are there any carrying costs associated with the property?
- Does the environmental audit reflect that property is free of contamination or hazardous substances?
Securities: GSAA may accept both publicly traded securities (stocks and bonds) and closely held securities.
- Publicly Traded Securities: Marketable securities may be transferred to an account maintained at one or more brokerage firms or delivered physically with the transferor’s signature of stock power attached. All marketable securities shall be sold upon receipt unless otherwise directed by the GSAA Operating Board.
- Closely Held Securities: Closely held securities can be accepted subject to review and recommendation by the Finance Committee and approval by the GSAA Operating Board. Every effort will be made to sell non-marketable securities as quickly as possible.
Tangible Personal Property: All gifts of tangible personal property (i.e. gifts-in-kind or tangible goods) shall be examined in light of the following:
- Does the property help to fulfill the mission of GSAA?
- Is the property marketable?
- Are there any undue restrictions on the use, display or sale of the property?
- Are there any carrying costs for the property?
- According to IRS guidelines, the donor and his/her tax advisor are responsible for valuing gifts of property. GSAA is not able to assign a value for tax purposes.
Bequests: Bequests from wills and trusts will not be recorded as gifts to GSAA until such time as the gift is irrevocable and GSAA has knowledge of such bequest. When the gift is irrevocable, but is not due until a future date, the present value of that gift may be recorded at the time the gift becomes irrevocable.
Charitable Remainder Trusts and Charitable Lead Trusts: GSAA may accept a designation of a remainder/income beneficiary of a trust with the approval of the Finance Committee. GSAA will not accept an appointment as trustee of a trust; however, the North Pacific Union Conference may be willing to serve as a trustee in certain situations.
Donor Advised Funds (DAF): Gifts made by donor‐advised funds are recorded on the record of the DAF, as it is the legal donor of the gift. The advising individual/s, if known, will receive soft credit for the gift. Payments from donor‐advised funds cannot be applied as payment on individual donor pledges, in accordance with IRS policy.
Retirement Plan Beneficiary Designations: Designations will not be recorded as gifts to GSAA until such time as the gift is irrevocable and GSAA has knowledge of such designation. When the gift is irrevocable, but is not due until a future date, the present value of that gift may be recorded at the time the gift becomes irrevocable.
Miscellaneous Provisions –
- It shall be the responsibility of the donor to secure an appraisal (where required) and independent legal counsel for all gifts made to GSAA.
- GSAA shall record a gift received at its valuation of the gift on the date of the gift.
- Multi-year pledges for major gifts are encouraged, but for not more than three to five years. Donors should complete and sign a pledge agreement detailing the purpose of the gift, the payment schedule and how the donor(s) wish their name(s) to appear in donor-recognition materials. Past giving cannot apply toward a pledge.
- A minimum of $50,000 is required to create a new endowment fund at GSAA, unless otherwise approved by the GSAA Operating Board. The naming of an endowment is subject to review by the GSAA Operating Board as well.
- Gifts over $100,000 require a signed gift agreement detailing the purpose of the gift and how the donor(s) wish their name(s) to appear in donor-recognition materials, as well as any agreed to naming opportunities.
- Gifts will be eligible for naming opportunities if the following criteria are met:
- New facilities and physical spaces may be named by a donor with a gift in an amount equaling 50 percent or more of the budgeted total project costs.
- Existing facilities and physical spaces may be named by a donor with a gift in an amount of 35 percent or more of the budgeted renovation project costs or replacement value.
- Prior to a name being placed on a building or physical space, the gift amount must be paid in full.
- All naming of facilities and physical spaces is subject to review by the GSAA Operating Board.
- GSAA reserves the right to rename facilities, spaces or programs that have undergone substantial change. It is understood that space naming is typically intended to provide long-lasting recognition to donors for their significant support. When a space undergoes significant change or there are changes to organizational programs, efforts will be made to notify the donor or family, and to develop an alternate method of recognition that honors historical persons in perpetuity.
- GSAA will make every effort to honor donor intent when a gift is made and to communicate with its donors, or their family members, whenever it is unable to do so (such as if the restrictions of the gift become impractical or the gift’s purpose no longer support the mission of GSAA), with the goal of finding a mutually agreeable solution.
- Donor information shall not be shared with third parties without the permission of the donor. GSAA does endeavor to recognize the generosity of a donor publicly when appropriate to honor the investment a person has made in the organization. Public recognition may include the printing of the donor’s name in a newsletter or annual report, sharing the donor’s story of giving for inspirational purposes in printed or online materials, or in the case of major gifts, having the donor’s name listed on a campus plaque or building. A donor reserves the right to not have their gift recognized publicly.
This policy was approved by the GSAA Operating Board on October 5, 2017.