B.6. Noncash Gifts
     Spring 1992

Development Policy and Administration Manual 
Chapter IV. Gift Administration Procedures 
Section B. Documenting Gifts     
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                               NONCASH GIFTS


The noncash gift category applies to securities, real property,
and other nonmonetary gifts, such as personal or company
property.  It includes works of art, books, scientific and other
equipment, patents, and copyrights.


Legal Tranfer and Valuation

To consummate a fully effective legal transfer of a nonmonetary
gift for tax purposes, the property must be placed under control
or in the physical possession of a duly authorized representative
of the University other than the donor.

Noncash gifts are to be reported at their fair market value (see
Section IV: C.3, Appraisal Requirements to Substantiate
Deductions for Noncash Gifts).


Internal University Reporting

Nonmonetary gifts shall be documented on a UDEV 100 (Gift/Private
Grant Acceptance Report form), with the appraised or estimated
value shown in the appropriate box.  For internal administrative
purposes only, it is appropriate to have a qualified member of
the University staff estimate a gift's value.  Such an estimate
should approximate the market value, which is useful for inven-
tory control and determining appropriate reporting, handling,
custody, and insurance.

Campuses are responsible for establishing appropriate controls to
track the disposition of gifts of tangible property for two years
after the date of gift for purposes of meeting IRS reporting
requirements (see Section IV: C.4).

For specific information about tax considerations that applies to
all noncash gifts, see Section IV: C.1.