Introduction
This policy is intended to guide staff, volunteers and Board members working on behalf of the University Hospitals Kingston Foundation (UHKF) on matters of gift acceptance.

Authorization
The University Hospitals Kingston Foundation (UHKF) is a not for profit corporation owned by its General Members:  Kingston General Hospital Foundation, the Providence Continuing Care Centre Foundation and the Jeanne Mance Foundation (Hotel Dieu Hospital).  The corporation is a shared infrastructure to secure Health Care funds to help meet capital needs of the UHKF’s partners:  Kingston General Hospital (KGH) and its cancer care program, Hotel Dieu Hospital (HDH) and Providence Continuing Care (PCCC).  All funds raised by the UHKF will be disbursed to the three foundations. 

The UHKF encourages and solicits contributions of cash, and personal and real property as outright gifts that are acceptable to Canada Revenue Agency and the laws of the Province of Ontario.  Partner Foundation employees working with the UHKF are authorized by the Board to negotiate gifts and create and execute gift agreements with prospective donors.  The UHKF Board will annually confirm priority needs for fundraising support based on recommendations from the hospitals.

The UHKF accepts:
• Unrestricted gifts to be shared by all three General Members
• Unrestricted institution specific gifts
• Gifts designated to declared priorities
• Gifts for general use by specific existing programs at each institution.

All donors will be encouraged to make gifts to joint initiatives related to declared priorities, with a stated preference for unrestricted gifts. 

Gifts to new program areas or for highly restrictive uses require prior agreement of the institution that will ultimately receive the gift.  The recipient institution must agree to any conditions regarding the use and recognition of the gift as stipulated by the donor prior to acceptance.

Because the UHKF accepts gifts and disburses them to the three General Members, it can only accept non cash gifts that can be sold and the proceeds of the sale disbursed within the same fiscal year.  Before accepting non cash gifts, the UHKF assigned Development Officer must confirm saleability of the gift.  When a gift in kind is offered for use by one of the hospitals (e.g., bed, wheelchair, treadmill), the partner General Member must confirm that the gift can be used by the hospital.  UHKF will then issue an official receipt for income tax purposes from that General Member. 

Outright gifts of cash, paid-up life insurance policies or policies for which the donor pays the full premium and publicly traded securities do not require approval by the Board.  Gifts in kind for sale at a charity event being run by volunteers and staff of the UHKF do not require approval by the Board.  All other gifts in kind to the UHKF must be referred to the Board or its Executive Officers for approval prior to acceptance.

Any gifts that may be perceived as linked to causes that compromise health or the values of any of the general members will be subject to approval by the board prior to acceptance.

Documentation of Gifts
Gifts valued in excess of $10,000 must be accompanied by a written gift agreement drafted by the UHKF gift solicitor that documents conditions attached to the use of the gift and conditions regarding the recognition of the gift.  The donor or his/her designate must review and sign the gift agreement before a charitable donation receipt can be issued.

Gifts that are not readily valued need appropriate documentation prepared before acceptance.

Gift Valuation and Receipting 
The Finance and Resource Committee has authority to set policy regarding the issuance of receipts.  The Executive Director of the UHKF and the Manager of Finance and Administration interpret this policy for the UHKF staff.  Any issues related to gift valuation that are not clearly addressed in board policy will be referred to the Finance and Resource Committee.

Official receipts for income tax purposes will be issued for gifts of $20 or more, which comply with CRA guidelines.  Receipts for gifts of less than $20 will be issued upon request from the donor.  Receipts for cash will be based on the amount received.  Gifts received after the end of the year will be issued a receipt for that year if the gift was postmarked in the previous year or officially received at the UHKF or the offices of one of the partner foundations in the previous year.

Official receipts for income tax purposes are not routinely issued to charitable organizations and foundations, but may be issued if requested by the donor.  Official receipts for income tax purposes are not issued for sponsorships, auction purchases, golf registration fees and other financial transactions cited in the Canada Revenue Agency’s Bulletin IT-110R3.  These transactions may be acknowledged through issue of a non-official tax receipt. 

Official receipts for income tax purposes cannot be issued for gift certificates when the donor is the issuer of the gift certificate, for contributions of services, that is, of time, skill or effort, or to reimburse volunteers for expenses incurred on behalf of UHKF.  An official receipt for income tax purposes may be issued if the UHKF pays for the service and the individual then returns the payment as a gift. 

It will be the general practice of the UHKF to sell securities immediately upon receipt.  Receipts for gifts of publicly traded securities that are electronically transferred from a donor’s broker will be issued based on the closing value of the security on the day it is received in the brokerage account of the UHKF.  For share certificates, the receipt will be issued based on the day the certificate is signed by the donor and delivered to the UHKF.  If sent by mail, valuation will be based on the date the mail is officially received at the UHKF.

Non-cash gifts in kind donated for sale at charity events will be receipted based on the lesser of the actual price paid at the sale or the receipted value based on appraisals obtained by the donor.  For gifts greater than $1,000, an independent appraisal is required.  The donor will generally be responsible for the cost of obtaining an independent appraisal.  The Board Executive Committee or Finance and Resource Committee may authorize payment of valuation costs by exception.  When a gift in kind is offered as an auction item for a Signature or Third Party Event, and there is a clear link between the item offered and money received, UHKF will issue the receipt.  When a gift in kind is offered as an incentive (e.g., hand-out to attendees, part of “balloon bag”) and there is not a clear trail between the item offered and money received, the benefiting General Member will be asked to approve UHKF issuing a receipt from the General Member.

The UHKF will issue non-official tax receipts, not official charitable tax receipts, for corporate sponsorships.

Guiding Principles
While the primary interest of the UHKF is to seek donations, the organization and its employees and volunteers have an ethical responsibility to the donor. Accordingly, professional staff, volunteers and members of the Boards will adhere to the following principles:
- In all matters involving the donor, the interest and well being of the donor must take priority.
- Professional staff and members of the Boards shall encourage any donor considering a gift of $10,000 or more to discuss the proposed gift and the draft gift agreement with an independent financial planner, legal adviser and/or tax adviser of the donor’s choice and at the donor’s expense, to ensure that the donor receives a full and accurate explanation of all aspects of the proposed charitable gift.
- All staff, volunteers and members of the Boards will conduct themselves in accordance with accepted professional standards of accuracy, truth and integrity. They will inform, serve, guide and otherwise assist donors who wish to support the activities funded through the UHKF but not pressure or unduly persuade.
- All donors can choose to direct their gift to a specific project or program within the General Members priorities, or to one specific foundation partner for general use or for use by a specific project or program.
- The UHKF endorses the Donor Bill of Rights, as created by the American Association of Fund Raising Counsel (AAFRC), Association for Healthcare Philanthropy (AHP), the Association of Fundraising Professionals (AFP), and the Council for Advancement and Support of Education (CASE).

Approved: UHKF Board, April 4, 2007