B.4. Gifts of Cash/Checks January 1989 Development Policy and Administration Manual Chapter IV. Gift Administration Procedures Section B. Documenting Gifts ************************************************************* GIFTS OF CASH/CHECKS Cash includes currency, coin, checks, money orders, and bank drafts. Donors should be advised to make checks payable either to The Regents of the University of California or to the Campus Foundation, as appropriate. Special precautions must be taken to safeguard cash. For Univer- sity regulations on handling cash, see Business and Finance Bulletin BUS-49 Cashiering Responsibilities and Guidelines, and the applicable section of the campus Policy and Procedures Manual or Accounting Manual. Cash, including checks, must be deposited at a campus cashiering station on the day it is received, and the miscellaneous receipt number entered in the appropriate box on the Gift/Private Grant Acceptance Report Form (UDEV 100). The UDEV 100 should be completed as soon as possible, but do not hold cash if there is a delay in completing the form. Misdirected Checks Endorsement and direct deposit to Campus Foundation or Support Group accounts of checks erroneously made payable to The Regents or to any other University entity (e.g., "College of Engineer- ing") is contrary to the Bylaws of The Regents. The pertinent Bylaws read as follows: 21.4 Treasurer. (a) The Treasurer, in the name of the Corporation, shall receive, either directly or from the President of the University all moneys of the Corporation subject to the control and direction of the Board. All moneys received by the University, whether by the Treasurer or by the President, shall be deposited forthwith to the credit of the Corporation in depository bank accounts by the Committee on Finance. * * * (1) The Treasurer is authorized to endorse checks and warrants received by the Treasurer in the name of the Corporation, but only for deposit in depositary bank accounts of the Corporation. In order to prevent misdirected checks, solicitation literature should state clearly whether the payee should be The Regents, the Campus Foundation, or an officially recognized Support Group with an approved bank account. If it can be documented that checks have been erroneously made payable to the wrong entity, an exchange check may be issued by the University. The legal basis a transfer by exchange check is that the funds have been received in response to a specific solicitation and that the donors have misdirected their checks to The Regents rather than as requested in the gift solicitation. In such limited circumstances, return of the funds is considered by the University's legal counsel to be legally appropriate. Because these are considered as gifts for which the checks have been misdirected by donors, they should be reported as gifts to the Campus Foundation or Support Group. The same procedures and principles would apply for checks misdirected to a Campus Founda- tion in response to a solicitation for gifts to The Regents.