II.13 UW-Madison and UW Foundation Policies (Gift Deposits and Expenditures):

Campus policy guidelines govern the gift deposit and expenditure of funds held for units of the University by the University of Wisconsin Foundation. Such funds vary widely in scope and purpose, from funds attached to a particular named professorship, to general or highly specific scholarship funds, to discretionary or donor-restricted funds for activities of a particular department or the College as a whole. The intent of the guidelines is to assure accountability to donors and the public for the appropriate expenditure of all University funds, including funds held by the UW Foundation (www.uwfound.wisc.edu). Departments can obtain information about their funds at the Foundation by using Campus Access (http://www.uwfoundation.wisc.edu/funds) through their authorized user. (Please note that only authorized users will be able to enter and use this site.) Wherever possible, Foundation funds should be transferred to the University and held in a gift account (Fund 133) for subsequent expenditure through the normal University purchasing / payrolling / accounting system. For business-related activities that cannot be funded through the University, it is permissible to request direct payment from the Foundation. All requests for direct payments by the UW Foundation need to be approved by the Dean. The Dean has delegated that authority to Mehdi Rezai, and you should send all direct payment requests to him (203 South Hall) for approval.Regardless of whether the payment is made from a University account or from a UW Foundation account, the same level of documentation is required and should accompany payment requests. In such cases, the person authorized to approve expenditures from the account in the Foundation must send a signed request to the Dean's Office for review and approval before the request is forwarded to the Foundation for payment. The request must be accompanied by documentation supporting the expenditure (receipts, invoices, etc.) similar to that required by UW Internal Audit for the expenditure of other University funds. If meals or receptions are involved, the materials should include a list of those participating. Such documentation will be retained by the Dean's Office.

All such direct payments by the Foundation must be validated by two signatures--one at the initiating level (department chair) and one at the higher review level--before transmittal to the Foundation for payment. Departments should be aware that the Tax Reform Act of 1986 requires the Foundation to report to the IRS as reimbursed income any reimbursements to University staff members for expenses incurred in performance of their official responsibilities.

More specific information on the purposes for which gifts will be accepted and the policies and procedures for expenditures may be found in the November 30, 2004 memo on " UW-Madison and UW Foundation Policies" from Chancellor John Wiley, which is posted online at http://www.rsp.wisc.edu/html/uwfoundation.html.  Also, as a companion to this memo, Business Services has developed a "how to" page, which can be accessed at http://www.bussvc.wisc.edu/howto/admin/gift_funds.html. For further information about this memo, or for advice about establishing a 133 (gift) account, please contact Mehdi Rezai (2-1556).

Section created 8/16/06 per MR