Fundraising Policy

 Fund-Raising Policy
The purpose of this policy is to give guidance and counsel to individuals employed by and volunteers and donors associated with Rushford Center Inc. (Rushford) and the Rushford Foundation (Foundation). The Board of Directors of Rushford (Rushford Board) and the Rushford Foundation (Foundation Board), in the discharge of their legal and fiduciary obligation, shall periodically evaluate the operations of Rushford and the Foundation according to this policy.  All efforts to develop charitable financial support for Rushford or any of its subsidiaries or affiliates will be the responsibility of the Business Development and Community Relations (BDCR) Department of Rushford.

General Policy Statements
Conditions Regarding Acceptance of Gifts
Rushford and the Foundation will accept only those gifts which are consonant with the mission, goals, purpose and sustain the organization and  foundation mission and vision; are deemed consistent with public laws, regulations, and public policy of the State of Connecticut and the federal government. The BDCR department will properly and timely acknowledge all contributions.

Charitable Intent
All gifts to Rushford or the Foundation must be evidence of philanthropic intent.


Gift Appraisal
Rushford and the Foundation will not appraise or in any way establish value of any asset. Rushford and the Foundation are not "qualified appraisers" as defined by the Internal Revenue Service.
Ethical Fund Raising
All promotions and solicitations conducted by Rushford and the Foundation will be conducted in a manner that is both ethical and professional.

Gift Confidentiality
All confidential, financial and historical records of all contributions shall be kept secure by the BDCR department. Written credit and debit card information will be destroyed upon processing of the donation to protect the loss, corruption, or inappropriate disclosure of donor information. Online/electronic credit or debit card donations will be encrypted and appropriately destroyed upon processing of the donation to protect the loss, corruption, or inappropriate disclosure of donor information. The amount of any gift will not be disclosed unless authorized the donor.

Use of Gifts and Associated Income
All gifts received will be used for the stated purpose for which they were given and accepted. All unrestricted or non-designated gifts will be available for use by Rushford and the Foundation as determined by the Board of Directors. Income generated by a restricted or legally binding gift  will be considered as unrestricted or non-designated. The only exception to the definition of income as previously defined is the definition of income generated from an endowment. The income from an endowment is restricted and will be used for the purposes as stated in the endowment agreement.

Acceptance of Gifts
The Vice President of Business Development of Rushford or the designee of the Vice President shall approve and accept all philanthropy to Rushford and the Foundation subject to the policies and procedures contained herein or adopted by the Board. The BDCR department will make gift reports available to the Board of Directors in a listing that reflects each gift by type, i.e., cash; gifts-in-kind; bequests; deferred gifts; real estate; etc. It is the intent of Rushford and the Foundation that no donor makes a major gift, revocable or irrevocable, which could impair the economic sovereignty of the donor.

Independent Tax and Legal Counsel
Donors, before making a capital gift (defined as any gift not normally regarded as being made from the donor's cash flow) will be advised to seek independent tax and legal counsel.

Legal Documents
All written agreements, contracts, trusts, or other legal documents dealing with gifts to Rushford and the Foundation will be submitted to legal counsel for review as determined by the President and CEO of Rushford.

Trustee of Split Interest Trust
Each gift of a split interest requires the donor to select a Trustee to administer the trust and to invest the trust assets. It is the duty of the Trustee to represent all classes of beneficiaries. The financial compensation of the Trustee should be paid by the trust. The Foundation will function as Trustee of split interest trusts only when the Foundation or Rushford has no less than 51% interest in either the trust income or trust principle.

Quid Pro Quo Statutes
Disclosure of benefits and/or services associated with a fundraising solicitation will be furnished, on a timely basis, to the donor as required by federal and state law.

Finder's Fee
Rushford and the Foundation will not pay a commission or "finder's fee" for any gift.

Rejecting Gifts
Rushford and the Foundation reserves the right to decline any gift. Reasons a gift may be declined include, but are not limited to the following:
•      Restrictions associated with the gift may be such as to make compliance with the restrictive covenants impossible for the Foundation or Rushford to satisfy.
•      Restrictions associated with the gift may be against public policy or in contradiction to the mission of the Foundation or Rushford.
•      Gifts of real estate are subject to specific policy guidelines, and if the property fails to meet those guidelines the gift will be declined.

Endowments
Endowments are identified as restricted or legally binding gifts. Restricted or legally binding accounts must have an initial deposit or pledge of $10,000. Endowment principal will not be invaded. From the annual realized appreciation and income of each endowment a percentage, to be determined by the Foundation Board of Directors, will be added back to the endowment principal. The balance of the endowment income, as just defined, will be eligible for distribution.

Self-Dealing
Rushford and Foundation personnel will be circumspect in all dealings with donors in order to avoid even the appearance of any act of self-dealing. A conflict exists between a Rushford Foundation employee and a donor when the employee has a "material interest." In reviewing self-dealing transactions, the Board shall consider financial interests "material" if it is sufficient to create the appearance of a conflict of interest. This is a question of fact in each case.

Acceptable Gift Types
The following are approved by the Board as acceptable agents for making gifts to Rushford or the Foundation:
•      Gifts Of Cash Or Checks
•      Certificates Of Deposit
•      Listed And Unlisted Securities
•      Restricted Securities
•      Closely Held Securities
•      Mutual Fund Securities
•      Personal Property
•      Life Insurance Policies
•      Real Estate
•      Mortgaged Property
•      Gifts-in-kind
•      Inventory
•      Services such as advertising space, time or legal services, while not tax deductible are acceptable gift types.
•      Deferred Or Split Interest Gifts (a.k.a. Planned Gifts).
•      Tangible personal property

Restricted or designated gifts of tangible personal property should be accompanied by an endowment sufficient to pay for insurance, storage, maintenance, handling, and other costs associated with the gift. Tangible personal property gifts must also be accompanied by a notarized statement authorizing Rushford and the Foundation to convert, sell, or exchange the property, at its discretion. All gifts-in-kind, going to or for the benefit of Rushford, must have the Vice President of Business Development or designee’s prior approval before the gift can be accepted by Rushford or the Foundation.

Planned Gifts
This very special type of method for charitable giving results from a planning process that considers the effects of each gift upon the donor, the donor's estate, and family. The donor's tax and legal counsel should be part of the "team" that considers every gift of this type, in as much as planned gifts historically are very large and are gifts of capital assets. Types of planned gifts will include:

•      Bequests:
Every bequest is a testamentary gift. The gift may be a gift of a specific item, a percentage of the donor's estate, the residuary of the donor's estate, or a specific dollar amount.
 
•      Life Insurance:
Life insurance is an ideal way to memorialize your interests in supporting Rushford’s mission. Many individuals reach the point in life where their life insurance no longer has the financial significance that it once had. It may be time to seek new significance for those old life insurance policies -- as a thoughtful gift to the Rushford Foundation.

o      Purchase of a new policy as a gift to the Rushford Foundation can provide a meaningful gift. Premiums can be paid over the donor's lifetime, as a single lump sum, or be paid up after several years (seven, for example).

o      You can designate the Foundation as beneficiary of an existing insurance policy. The donor retains the right to change the beneficiary or surrender the policy for its cash value at any time, thus retaining financial security from the policy.

o      A donor can name the Foundation as co-beneficiary or contingent beneficiary. As contingent beneficiary the Foundation is the policy beneficiary only if the primary beneficiary is not living at the time the policy matures.

•      Charitable Remainder Trusts:
Charitable Remainder Trusts -- Split Interest Trusts are a special type of trust created by the US. Congress to promote charitable giving.

•      Charitable Gift Annuity:
Charitable gift annuity is not an annuity trust. The gift is made in exchange for an annuity that is payable to the donor or someone the donor designates. The charitable gift annuity can be for the life of the beneficiary and/or for a specific period of time. Charitable gift annuity payments are paid by the Foundation and are a direct liability of the Foundation. The annuity is a fixed sum agreed upon at the time of the annuity contract is signed by both the donor and the Foundation. The charitable gift annuity can be either a deferred annuity, in which case the annuity payments do not start until a specific date, or an immediate annuity, in which case the payments commence during the year the annuity contract is signed.

•      Gift With A Retained Life Estate:
Gift of residence or farm with a retained life estate is a way the donor can make a current gift, retain the benefits of living on the property for life, receive a charitable deduction, and eliminate the property from the donor's taxable estate.

•      Bargain Sale:
A bargain sale is a combination gift and sale. The property owner agrees to sell the property to the Foundation for a value less than the current fair market value, usually the donor's cost basis.

Gift Credit
Businesses, corporations, foundations, individuals and other organizations will receive gift credit for their philanthropy as set forth below:
Matching Gift Credit. The Foundation will recognize and give credit to all donors that make matching gifts. Recognition and credit will be given for gifts up to the dollar amount of the philanthropy. Recognition will be given to those individuals for whom a matching gift was made.
Gifts-In-Kind. The Foundation will give gift credit for gifts-in-kind for the greater of either the current market value or the discounted present value as indicated by a qualified appraiser. Gift credit will be postponed for gifts of hard-to-value assets until the asset is converted into cash or some other form of marketable security.
Gifts of Services. Gifts of services will be recognized at the level the gift reduces the actual expenses that would have been incurred by Rushford or the Foundation.
Deferred Gifts. Donors utilizing one or more deferred giving techniques will receive gift credit for the present value of the gift (the value used for determination of the charitable deduction). Every five (5) years the gift will be re-valued.

Donor Recognition
Rushford and/or the Foundation will recognize all donors. This recognition will include listing the donors in certain organizational publications. Donors may be recognized in other mediums including donor walls, building naming, etc. An individual donor recognition piece will not exceed 3% of the value of the gift.