Procedure: 9-43

Effective: July 1, 2001

Owner: Investment and Tax Services, Office of the University Comptroller

Latest Revision:

Scope

This procedure applies to University departments receiving gift funds restricted by the donor as endowment. Quasi-endowments are not covered by this procedure.

System References [Top]

Form
Request for Establishment of True Endowment Project (Excel)

or go to UVA Forms Directory.

Policy [Top]

Establishment of Named Funds for Certain Purposes -- Policy IX.A.6
Sample Named Endowment and Bequest Language -- Policy IX.A.8
Presenting Professorships to the Board of Visitors for Establishment -- Policy IX.A.10

Responsibility [Top]

The project manager is responsible for completing the Request for Establishment of True Endowment Project, attaching the donor documents (including a copy of the executed endowment agreement), and forwarding them to the UVA Development Office.

Distribution [Top]

Ownership [Top]

The UVA Development Office and the Office of Investment and Tax Services is responsible for ensuring that this procedure is necessary, reflects actual practice, and supports University policy.

Procedure Steps [Top]

A new true endowment project is created when a donor restricts their gift for endowment purposes.
1.	Within 24 hours of receipt of endowment funds, the department/area forwards the funds, together with donor correspondence and Request for Establishment of University True Endowment Project to UVA Development Office. Ideally, the signed endowment agreement should be forwarded to UVA Development Office at the same time. UVA Development Office will deposit the funds in a University suspense project pending receipt of a signed endowment agreement, if applicable, and creation of project and award by Investment and Tax Services.
2.	After funds are received, UVA Development Office forwards the donor correspondence, signed endowment agreement and Request for Establishment of University True Endowment Project to Investment and Tax Services. Note:  Funds will not carry a return for the endowment until such time as the funding has been moved from the University suspense project.
3.	Investment and Tax Services creates a new project and award, prepares the Project Create Form and paper clips the Project Create Form to the new project.
4.	Investment and Tax Services funds the project and initially budgets the award and project with $0.01.
5.	Workflow forwards the project and award to Award Manager and Investment and Tax Services for final approval.
6.	Investment and Tax Services notifies the UVA Development Office, the departmental administrators, and the award manager of the approved project and award.
7.	UVA Development Office transfers the gift receipts to the true endowment project in the general ledger.

 

End of Activity