Apraxia Kids Gift Acceptance Policy
Apraxia Kids solicits and accepts gifts for purposes that will help the organization further and fulfill its mission.
Apraxia Kids is a 501 (C)(3) publicly funded charity whose mission is to strengthen the support systems in the lives of children with apraxia so that each child is afforded their best opportunity to develop speech and communication.
Apraxia Kids urges all prospective donors to seek the assistance of personal legal and financial advisors in matters relating to their gifts, including the resulting tax and estate planning consequences. The following policies and guidelines govern acceptance of gifts made to Apraxia Kids for the benefit of any of its operations, programs or services.
Apraxia Kids adheres to the Donor Bill of Rights. The bill was 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).
The Donor Bill of Rights:
Philanthropy is based on voluntary action for the common good. It is a tradition of giving and sharing that is primary to the quality of life. To ensure that philanthropy merits the respect and trust of the general public, and that donors and prospective donors can have full confidence in the nonprofit organizations and causes they are asked to support, we declare that all donors have these rights:
- To be informed of the organization’s mission, of the way the organization intends to use donated resources, and of its capacity to use donations effectively for their intended purposes.
- To be informed of the identity of those serving on the organization’s governing board, and to expect the board to exercise prudent judgment in its stewardship responsibilities.
- To have access to the organizations most recent audited financial statements.
- To be assured their gifts will be used for the purposes for which they were given.
- To receive appropriate acknowledgement and recognition.
- To be assured that information about their donation is handled with respect and with confidentiality to the extent provided by law.
- To expect that all relationships with individuals representing organizations of interest to the donor will be professional in nature.
- To be informed whether those seeking donations are volunteers, employees of the organization or hired solicitors.
- To have the opportunity for their names to be deleted from mailing lists that an organization may intend to share.
- To feel free to ask questions when making a donation and to receive prompt, truthful and forthright answers.
Apraxia Kids is committed to highly responsible and ethical organizational standards in conducting our fundraising efforts.
- We prepare and manage comprehensive annual development plans that meet our financial goals.
- To ensure that our fundraising programs promote and support one seamless organization, all entities coordinate and conduct fundraising efforts with full cooperation and disclosure.
- We work to ensure that annual fundraising and administration costs do not exceed 25 percent of total annual expenses.
- We communicate accurately and truthfully about the Organization, our mission and the intended use of solicited funds.
- We respect the rights and wishes of donors, including the intended use of contributions and requests for donor anonymity.
- We have written policies governing the acceptance and disposition of charitable gifts.
- We have policies to govern staff, volunteers, consultants, contractors, businesses, and other organizations that solicit contributions on behalf of the Association.
Use of Legal Counsel
Apraxia Kids will seek the advice of legal counsel in matters relating to acceptance of gifts when appropriate. Review by counsel is recommended for:
- Gifts of securities that are subject to restrictions or buy-sell agreements.
- Documents naming Apraxia Kids as trustee or requiring Apraxia Kids to act in any fiduciary capacity.
- Gifts requiring Apraxia Kids to assume financial or other obligations.
- Transactions with potential conflicts of interest.
- Gifts of property which may be subject to environmental or other regulatory restrictions.
Restrictions on Gifts
Apraxia Kids will not accept gifts that (a) would result in Apraxia Kids violating its corporate charter, (b) would result in Apraxia Kids losing its status as an IRS 501(c)(3) not-for-profit organization, (c) are too difficult or too expensive to administer in relation to their value, (d) would result in any unacceptable consequences for Apraxia Kids, or (e) are for purposes outside Apraxia Kids’s mission. Decisions on the restrictive nature of a gift, and its acceptance or refusal, shall be made by the Executive Committee, in consultation with the Executive Director.
Gifts Generally Accepted Without Review
- Cash. Cash gifts are acceptable in any form, including by check, money order, credit card, or on-line. Donors wishing to make a gift by credit card must provide the card type (e.g., Visa, MasterCard, American Express), card number, expiration date, and name of the card holder as it appears on the credit card.
- Marketable Securities. Marketable securities may be transferred electronically to an account maintained at one or more brokerage firms or delivered physically with the transferor’s endorsement or signed stock power (with appropriate signature guarantees) attached. All marketable securities will be sold promptly upon receipt unless otherwise directed by Apraxia Kids’s Finance Committee. In some cases marketable securities may be restricted, for example, by applicable securities laws or the terms of the proposed gift; in such instances the decision whether to accept the restricted securities shall be made by the Executive Committee.
- Bequests and Beneficiary Designations under Revocable Trusts, Life Insurance Policies, Commercial Annuities and Retirement Plans. Donors are encouraged to make bequests to Apraxia Kids under their wills, and to name Apraxia Kids as the beneficiary under trusts, life insurance policies, commercial annuities and retirement plans.
Sample Bequest Language:
Unrestricted Bequest: “I give and bequeath to Apraxia Kids Pittsburgh, Pennsylvania, (the sum of $____) or (____% of the residue and remainder of my estate) or (property described herein) to be used for general purposes, as determined by the Board of Directors.”
Upon the donor’s request, Apraxia Kids can provide language to assist in establishing a restricted estate gift: “This designation represents a preferred use for these funds and is not an absolute restriction. Should the exact designation cease to be effective or practicable before or after the gift is received by Apraxia Kids, the Board of Directors is authorized to use this gift in an alternative way consistent with the general intent of this designation.”
- Charitable Remainder Trusts. Apraxia Kids will accept designation as a remainder beneficiary of charitable remainder trusts.
- Charitable Lead Trusts. Apraxia Kids will accept designation as an income beneficiary of charitable lead trusts.
Gifts Accepted Subject to Prior Review
Certain forms of gifts or donated properties may be subject to review prior to acceptance. Examples of gifts subject to prior review include, but are not limited to:
- Tangible Personal Property. The Executive Committee shall review and determine whether to accept any gifts of tangible personal property in light of the following considerations: does the property further the organization’s mission? Is the property marketable? Are there any unacceptable restrictions imposed on the property? Are there any carrying costs for the property for which the organization may be responsible? Is the title/provenance of the property clear?
- Life Insurance. Apraxia Kids will accept gifts of life insurance where Apraxia Kids is named as both beneficiary and irrevocable owner of the insurance policy. The donor must agree to pay, before due, any future premium payments owing on the policy.
- Real Estate. All gifts of real estate are subject to review by the Executive Committee. Prior to acceptance of any gift of real estate other than a personal residence, Apraxia Kids shall require an initial environmental review by a qualified environmental firm. In the event that the initial review reveals a potential problem, the organization may retain a qualified environmental firm to conduct an environmental audit. Criteria for acceptance of gifts of real estate include: Is the property useful for the organization’s purposes? Is the property readily marketable? Are there covenants, conditions, restrictions, reservations, easements, encumbrances or other limitations associated with the property? Are there carrying costs (including insurance, property taxes, mortgages, notes, or the like) or maintenance expenses associated with the property? Does the environmental review or audit reflect that the property is damaged or otherwise requires remediation?
- Outright Gifts In-Kind. Apraxia Kids may consider accepting gifts-in-kind which might be also referred to as non-cash gifts or in-kind gifts. Gifts-in-kind include, but may not be limited to, the following: Equipment and furniture, software and software licenses, supplies, works of art, books or other matter intended for study or exhibition, food and beverages and intellectual property.
Gift Acknowledgement and Substantiation
All donors are furnished gift acknowledgement letters as soon as possible after the receipt of a gift but no later than 10 days after receipt of the gift. Overall responsibility for assuring compliance with the Internal Revenue Service (IRS) requirements and this policy’s guidelines regarding gift acknowledgement and substantiation belongs to Director of Fundraising/Director of Development.
Acknowledgement letters for gifts of all sizes and types are signed by the CEO. In the CEO’s absence, the Director of Fundraising/Director of Development may sign the letters. Gift receipts for in-kind donations may be signed by any member of the development staff.
The Development Department is responsible for keeping a record of gift receipt and date of acknowledgement.
General Gift Acceptance
- Gifts are recorded as of the date postmarked, if received via postal mail. Hand-delivered gifts are recorded as of the date of receipt.
- When a donation is received, copies of the check and remittance envelope and/or accompanying letter is made. Copies are placed with deposit and provided to appropriate department for record keeping.
If the donation is made using a credit card, the name of the donor is written on the credit card receipt and stapled to the original remittance envelope or letter when delivered to the business office for posting.
Donor Consideration and Recognition
All programs, trust agreements, contracts, or commitments benefit, first and foremost, the individual needs of the donor, and secondly, Apraxia Kids. A charitable gift that benefits Apraxia Kids at the expense of the donor’s interest should not be encouraged.
Apraxia Kids accepts unrestricted gifts and gifts for specific programs and purposes, provided that such gifts are not inconsistent with its stated mission, purposes, and priorities. Apraxia Kids does not accept gifts that are excessively restrictive in purpose. Gifts that are restrictive include those too difficult to administer or those for purposes outside the mission of Apraxia Kids. All final decisions on the restrictive nature of the gift, and its acceptance or refusal, are made by the Executive Director.
A donor may not restrict how gift, bequest, or endowment funds are invested by Apraxia Kids. All donors of major gifts and endowment funds are notified prior to the gift being made that investment of their gift is in accordance with the investment policy adopted by the Board of Directors. Such notice informs the donor that his/her gift or endowment fund is not segregated but is commingled with Apraxia Kids’s other investments.
Where a donor desires to place a restriction upon the use of a gift or bequest for a specific program, the donor is required to sign a legal instrument empowering the Board of Directors, after a certain stated number of years, to re-evaluate the restriction.
- If the original program to which the gift was restricted is no longer relevant, such as the discontinuation or alternative funding of a program for which the gift was made, the document must empower the Board of Directors to re-designate the use to a similar program.
- In addition, this legal instrument should state that, with the written consent of the donor, the Board of Directors may release, in whole or part, any restriction imposed on the use of the gift. If written consent of the donor cannot be obtained by reason of his/her death, disability, unavailability, or impossibility of identification, the Board of Directors may petition the Orphan’s Court to release the restriction imposed by the donor or gift instrument on the use or investment of the funds. In no event, however, can a release allow a fund to be used for purposes outside the mission of Apraxia Kids.
Any gift may be made in honor of or in memory of the donor or anyone he/she may wish to designate. Notice of the person honored or memorialized must be provided in writing at the time the gift is made. Upon request, notification of the gift is mailed to a third party. The gift amount is not disclosed.
Gifts made by a donor on behalf of another individual are credited to the actual donor’s record. The individual on whose behalf the gift is made receives recognition credit only.
Recognition credit is the dollar value of a gift that can be applied toward a naming opportunity, endowment, or giving club membership.
All information concerning donors or prospective donors, including their names, the names of their beneficiaries, the exact amount of the gift, size of the estate, or any other information for which there is a reasonable expectation of privacy and/or confidentiality is kept strictly confidential by Apraxia Kids, its Board of Directors, volunteers, and staff, unless written permission is obtained from the donor to release such information.
Donors who wish to remain anonymous and not be included in published lists of donors must state so at the time of the gift. Completion of the donation remittance envelope or mention of name on any correspondence accompanying the donation is deemed written permission to be included in published lists of donors.
Donors are welcome to request and receive a complete copy of their records.
Only authorized Apraxia Kids staff and members of the Board of Directors are permitted to view donor files.
Donor files remain onsite at Apraxia Kids.
All recognition and reward accorded to donors by reason of their gift frequency, amounts, or cumulative total shall be in accordance with the honors and recognition guidelines contained herein.
Donors and prospective donors may opt out of fundraising mailings via telephone, letter, e-mail, or in person. A statement providing opt-out instructions is included in all annual campaign correspondence.
Apraxia Kids does not sell or share its donor and mailing lists with other organizations.
Public Solicitation Procedures
All charitable contributions, regardless of value, form, or designated use, are made only to this organization, using the proper legal name of this corporation.
Use of “Apraxia Kids” for any fundraising purpose by any other organization or entity requires prior approval of the Development Department and/or Executive Director/Board of Directors.
Calendar for Solicitation
Each 12-month period has limited time for fundraising activities. Coordination and cooperation are required in planning each solicitation. Each fundraising program requires time for its own fulfillment and must also respect the preferred periods when other fundraising programs are scheduled. The calendar for solicitation shall be reviewed and approved by the development department and Executive Director.
Special Project Campaigns
Any special project campaign requires approval of the development department/Executive Director prior to initiation, based on the following:
- Appropriate fit to the existing calendar of fundraising activities
- Recruitment of an adequate volunteer committee or sponsoring agency or organization
- Demonstrated potential for profit.
Separate solicitation programs may be developed to meet urgent priorities or to take advantage of unusual opportunities offered by donors that match well with current development objectives.
Overall responsibility for assuring compliance with the requirements of this policy is assigned to the development director.