Charitable Donations to the University (II.B.2)

Volume II: Business and Finance
Chapter B: Gifts
Responsible Executive: President
Responsible Office: Office of the Chief Financial Officer
Date Issued: January 15, 2016
Date Last Revised: October 1, 2026

Contacts
Statement of Policy
Reason for this Policy
Individuals and Entities Affected
Exclusions
Responsibilities
Definitions (defined terms are capitalized throughout the document)
Related Documents, Forms and Tools
Website Address for This Policy
History and Updates
Appendix

Contacts

Policy Clarification

Chief Financial Officer
765-494-9705

Campus Specific Questions

Fort Wayne: Executive Director for Development
260-481-6962 | development@pfw.edu

Northwest: Vice Chancellor for Institutional Advancement
219-989-2323 | advance@pnw.edu

West Lafayette: Chief Executive Officer, Purdue for Life Foundation
765-496-2144 | gifts@prf.org

Statement of Policy

Charitable donations help ensure that Purdue University maintains its reputation for excellence in higher education and allow the University to fund programs, scholarships, fellowships, professorships, research and Facilities.

Three overriding principles govern all aspects of charitable donations to the University, including Gift acceptance, solicitation, naming and stewardship, whether received directly by Purdue University or indirectly through Purdue Research Foundation (PRF), Purdue for Life Foundation (PFL), or Purdue Fort Wayne Foundation.

Principle 1
A charitable Gift will not be accepted on behalf of the University if such acceptance would not be in the best interest of the donor and the University. A determination of the donor’s interest may include, but is not limited to, the donor’s financial situation, philanthropic interests and any tax or other legal matters revealed by the donor while planning for a Gift. A Gift associated with a private benefit (i.e., a restricted Gift in which the donor and a donor-designated beneficiary have less than an arms-length relationship) would jeopardize the charitable contribution deduction under IRC Section 170. Such a Gift will generally be deemed not to be in the best interest of the donor and the University and will not be accepted on behalf of the University.
Principle 2
There must be a distance between the donor and recipient such that the recipient does not receive benefits that are otherwise not available to colleagues of similar status and interest. For example, in the capacity of donor, employees of the University may not subsidize their own salary, travel funds or fringe benefits through a Gift.
Principle 3
A charitable Gift may be accepted on behalf of the University only when there is a reasonable expectation that acceptance of the Gift will support the University in its missions of learning, discovery and engagement.

Acknowledgment and recognition of donor generosity is a matter of common courtesy and good stewardship. All Gifts will be recognized in a timely manner and in a meaningful way, keeping in mind the stated wishes of the donor regarding anonymity or, if desired by the donor, the level of public disclosure to be accorded the Gift. Naming privileges granted in exchange for the receipt of charitable Gifts (whether associated with university Facilities or other naming opportunities, such as professorships, scholarships, etc.) must adhere to established thresholds and the review and approval procedures specified by the Board of Trustees and further delegated in the Responsibilities section of this policy.

Every effort will be made to ensure that all monies designated for restricted purposes are expended under the guidelines and within the timeframe requested by the donors. Good stewardship also dictates that an ongoing relationship with the donors be maintained through mutually beneficial engagement activities consistent with the mission and goals of the University.

All Gifts proposed or offered from sources located in a Foreign Adversary Nation and valued at $10,000 or more in a calendar year, alone or combined, must immediately be reported to (1) the Chief Financial Officer, (2) the CFO’s designee for the University, or (3) the CFO’s designee for PRF, PFL, or Purdue Fort Wayne Foundation, as the case may be. The CFO or designee will determine whether it is in the best interest of the University to accept, decline, or return the Gift. Gifts below the above amount must be declined if the donor is known to be located in a Foreign Adversary Nation. If the donor’s affiliation is not known until after the Gift is accepted, the Chief Financial Officer or designee will determine whether to retain or return the Gift.

While this policy is intended to provide guidance regarding acceptance of prospective Gifts, donors are ultimately responsible for ensuring that their proposed Gift furthers their charitable, financial and estate planning goals. Neither the University nor any entity accepting a Gift on behalf of the University provides legal, accounting, tax or other professional advice to donors or prospective donors. Therefore, each donor and prospective donor is urged to seek the advice of independent financial and legal counsel in the Gift planning process.

Reason for This Policy

This policy is intended to provide a framework for the administration of charitable Gifts made for the University’s benefit, thus ensuring that philanthropy to the University serves, supports and aligns with Purdue’s land-grant mission and complies with applicable laws and regulations.

This policy names and assigns responsibilities to affiliated organizations with which the University maintains services agreements for Gift acceptance and stewardship. Purdue Research Foundation (PRF), Purdue for Life Foundation (PFL),and Purdue Fort Wayne Foundation are separately organized, nonprofit entities that, among other things, promote the mission of the University and seek, acquire and hold Gifts for the needs of the University. PRF and Purdue Fort Wayne Foundation are exempt from federal tax liability by virtue of Internal Revenue Code (IRC) Section 501(c)(3) and qualify as “public charities” under IRC Section 509. As a single-member limited liability company whose tax-exempt status derives from PRF as its sole member, PFL engages in fundraising operations as part of its unified development, stewardship and alumni engagement functions for the University’s benefit.

Individuals and Entities Affected

President of the University and Chair of Purdue for Life Foundation Board of Managers
Provost
Chief Financial Officer and Treasurer
Chief Executive Officer, Purdue for Life Foundation
Chancellors, Vice Chancellors and Vice Provosts
Vice Presidents, Deans, Directors, Department Heads and Center Directors
Regional Campus advancement personnel
Purdue Research Foundation, Purdue for Life Foundation, and Purdue Fort Wayne Foundation employees accepting Gifts on behalf of the University
Faculty and staff
Physical Facilities and Planning
Business offices
Alumni and donors

Exclusions

None.

Responsibilities

Board of Trustees of Purdue University

In accordance with the Bylaws of The Trustees of Purdue University, specifically Article IX thereof, the Board of Trustees makes all determinations regarding the naming of University buildings and additions to buildings, except that the President of the University has the authority to name rooms or other areas within buildings. The authority of others to make naming decisions, as delegated under this policy, remains subject to this ultimate authority (i) of the Board of Trustees with respect to naming University buildings and building additions, and (ii) of the President of the University with regard to naming rooms and other areas within university buildings.

President of the University and Chair of Purdue for Life Foundation Board of Managers

Subject to the ultimate approval of the Board of Trustees when required, review for approval all naming requests related to university buildings, building additions, rooms and other areas within buildings, except those explicitly allowed to be reviewed and approved by the Chancellors of the Regional Campuses.
Review for recommendation to the Board of Trustees, all naming requests related to new, renovated and existing Facilities that involve a contribution equal to or in excess of $1 million, as recommended by the Naming Committee.
As chair of the Purdue for Life Foundation Board of Managers, oversee, directly or through a designee, the administration of this policy and the establishment of guidelines for Gift naming opportunities; recommend the establishment and activation of named funds upon the receipt of Gifts on behalf of the University.
As chair of the PFL Foundation Board of Managers, designate an executive of PFL Foundation to review for approval all naming requests related to new, renovated and existing Facilities on the West Lafayette campus that involve a contribution of less than $500,000, subject to the ultimate approval of the Board of Trustees or the President when required.

Naming Committee

Is established under this policy and by designation of the President.
Oversees procedures and issues related to naming requests.
Subject to the ultimate approval of the Board of Trustees when required, reviews for recommendation to the President all naming requests related to new, renovated and existing Facilities that involve a contribution equal to or in excess of $1 million. This responsibility is systemwide; that is, it includes the University’s Regional Campuses.
Subject to the ultimate approval of the Board of Trustees or the President when required, reviews and approves all naming requests that involve a contribution of more than $500,000 but less than $1 million.
Is comprised of the following:
- Chief Executive Officer, Purdue for Life Foundation (Chair), or another executive of PFL named by the President
- Provost
- Chief Financial Officer and Treasurer

Chancellors of Regional Campuses

Subject to the ultimate approval of the Board of Trustees or the President when required, reviews and approves all naming requests related to new, renovated and existing Facilities on their campus that involve a contribution of less than $1 million. Situations that involve a new Facility or addition to a Facility require approval of the Board of Trustees or the President no matter the dollar amount.

Regional Campus Advancement Offices, PRF, PFL, and Purdue Fort Wayne Foundation

Solicit, receive, coordinate, receipt and administer all Gifts in accordance with this policy, the applicable services agreement with the University, and any guidance on Gift acceptance and naming opportunities directed by the President, the President’s designee, or established in support of this policy.
Maintain operating procedures as necessary to support this policy with regard to Gifts that the office or entity is permitted to solicit, receive, coordinate, receipt or administer without consultation or approval beyond the Chancellor or President.
Coordinate all private fundraising activity in consultation with each other, as necessary.

Chief Financial Officer

Put in place measures to ensure that all state and federal Gift reporting requirements are fulfilled.

Definitions

All defined terms are capitalized throughout the document. Refer to the central Policy Glossary for additional defined terms.

Facilities
New and renovated buildings, centers, laboratories, and the interior and exterior spaces associated with them, as well as new exterior areas that may or may not be associated with any particular building.

Gift
A contribution for which the donor receives no direct benefit and requires nothing in exchange beyond an assurance that the intent of the contribution will be honored. A Gift may also include a “quid pro quo contribution” within the meaning of IRC Section 6115 where goods or services may be provided to the donor in recognition of the consideration given by the donor. Where there is a “quid pro quo contribution,” the disclosure and substantiation requirements of the IRC will be complied with.

Gifts made to PRF and Gifts made directly to the University are both processed and reported by the University Development Office or the Regional Campus advancement office.

Guidelines regarding classification, administration, and reporting of non-government support can be found in the policy on Classification, Administration, and Reporting of Nongovernmental Support (II.B.6).

Generally, Gifts made for the University’s benefit take the form of outright Gifts, pledges, planned Gifts or endowments. These types of Gifts, and salient points regarding their receipt and handling, are more particularly described in procedures promulgated by the University Development Office from time to time. See the Related Documents, Forms and Tools section below.

Donor Bill of Rights

Classification, Administration, and Reporting of Nongovernmental Support (II.B.6)

Foreign Adversary Nations (III.B.7)

Repurposing and Renaming Named Spaces (S-21)

BOT Policy on Naming Facilities in Absence of Gift or Recognition of Service

Indiana Code § 21-30-7

Section 117 of the Higher Education Act of 1965 (HEA), 20 U.S.C. 1011

Website Address for This Policy

www.purdue.edu/vpec/policies/business-finance/iib2

History and Updates

October 1, 2026: Updates throughout policy focus on the University’s obligations, priorities, and principles related to Gift acceptance, solicitation, naming and stewardship. Added limitation on Gifts from sources located in Foreign Adversary Nations.

September 5, 2019: Contacts section updated.

January 15, 2016: This policy supersedes the earlier version of policy II.B.2, dated November 18, 2011, and consolidates and supersedes University policies II.B.3, II.B.4, and II.B.5 (Naming of New, Renovated and Existing University Facilities; Solicitation of Gifts; and Stewardship of Gifts, respectively). It also supersedes the Guidelines for Naming Opportunities and Endowed Funds for the West Lafayette Campus (WL-8).

Appendix

There are no appendices to this policy.