SCC Policy Number: SPR220.127.116.11
Approved SCC President/CEO: 9/25/2020
Reference KCTCS Policy: KCTCS Administrative Policy 7.6 Policy and Procedure for Private Fundraising and KCTCS Administrative Procedures 5.2.2-P Assets, Inventory, and Surplus Management and 5.3.11-P Gifts and Endowments
Before a gift-in-kind is accepted on behalf of Somerset Community College (SCC), the Office of Institutional Advancement must be contacted and documentation of the proposed gift-in-kind will be provided. Gifts that are deemed beneficial to SCC may be accepted. In evaluating the appropriateness of proposed gifts, all gifts-in-kind will be discussed with the academic dean and/or Vice President using the following criteria and the gift-in-kind form will be initialed by the academic dean or VP before getting final approval of the College President.
- How the gift will assist SCC in meeting its mission, vision, and goals.
- The costs involved in the acceptance or use of the gift and the budgetary impact of such costs upon the institution.
- Conditions on the acceptance of the gift and all ramifications of such conditions upon the College, program, its public image, and its philosophical bases.
- Any real or implied obligations derived from the acceptance of a gift and possible conflicts of interest that may result.
SCC will not furnish property appraisals or valuations of property to donors for tax purposes or knowingly participate in a transaction in which the value of a gift is inflated above its fair market value to obtain a tax advantage for the donor. The valuation of gifts-in-kind shall be the fair market value, as stated in writing by the donor for gifts of $5,000 or less or as stated by a qualified third-party appraiser for gifts of more than $5,000. “Fair market value” is defined by the Internal Revenue Service (IRS) as “the price at which property would change hands between a willing buyer and a willing seller, neither having to buy or sell, and both having reasonable knowledge of all the relevant facts.”
After all documentation is complete, the gift-in-kind may be received by SCC. The Office of Institutional Advancement will provide the receipt and acknowledgement to the donor for all gifts-in-kind.
Donated assets and inventory (gifts-in-kind) are defined using the same value criteria as purchased equipment. Gifts-in-kind will be tracked and recorded according to KCTCS Administrative Procedure 5.2.2-P Assets, Inventory, and Surplus Management.