Section: GENERAL ACCOUNTING
|Section 3000 Policies|
Policy Number: 3151.03
Policy Title: Recording Gifts of Property
Policy Effective Date: April 1, 2011
Last Revision Date: October 6, 2011
(see revision history)
It is the policy of the California State University (CSU) to value and record gifts of property in a timely and objective manner. Each campus must prepare written procedures that implement this policy.
The Chief Financial Officer (CFO) of each campus of the California State University is responsible for ensuring that a documented process is followed for the evaluation, acceptance, and recording of gifts of property to their respective campus. Executive Order No. 676 sets forth the responsibilities of the campus in accepting property gifts.
Title to the property gift to be held by the campus or an auxiliary organization must be reported according to the rules promulgated by the Governmental Accounting Standards Board (GASB) or by the Financial Accounting Standards Board (FASB) depending on which standards are used by the organization.
Generally, FASB and GASB accounting rules require gifts of property to be recorded at fair value. As such, campus are required to record such gifts in their property records (or those of the auxiliary organization) using objective criteria.
When property gifts are made between the campus and one of its auxiliaries or vice versa, the transaction must be recorded at historical cost as discussed in the CSU Capital Assets Guide.
Benjamin F. Quillian
Executive Vice-Chancellor/Chief Financial Officer
Approved: October 31, 2011
APPLICABILITY AND AREAS OF RESPONSIBILITY
RESOURCES AND REFERENCE MATERIALS
Executive Order No. 676 - Delegation of Gift Evaluation and Acceptance to Campuses
E.O. 731 – Designation of Chief Financial Officer
CSU Capital Assets Guide (included in the annual CSU GAAP Manual)
ICSUAM Section 9019 et seq. (see esp. Due Diligence requirements for suitability prior to acceptance of property interest)
GASB Statement No. 33, Accounting and Financial Reporting for Nonexchange Transactions, GASB Statement No. 34: Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments, and Chapter 5 of the American Institute of Certified Public Accountants’ Audit and Accounting Guide: Not-for-Profit Organizations.
Sound Business Practices:
Laws, State Codes, Regulations and Mandates:
- California Ed. Code Section 89720.
COGNIZANT OFFICE(S)CO Manager:
Ms. Kelly Cox
Associate Director, Financial Services – Accounting
CSU Office of the Chancellor
Mr. Chris Bronsdon
Mr. Stephen Scalley