The Annual Report on External Support to the California State Univer-sity includes tables detailing philanthropic support. Using a reporting convention that is a variation of the accrual system, these tables present what is thought to be the best perspective on the level of c urrent philanthropic productivity. The methodology subtracts payments on prior year pledges from gift receipts, and includes new pledges up to five years in duration, plus new documented testamentary provisions. The philanthropic support total is presented to highlight the results of current year fundraising efforts.

The data presented under “charitable gift receipts” conforms to report-ing standards employed by the national Voluntary Support of Education (VSE) Survey conducted by the Council for Aid to Education. This survey is completed by over 80 percent of all colleges and universities for comparative purposes. The VSE survey uses a cash-based methodology that includes outright gifts and pledge payments (gift receipts), but does not include new pledges or revocable testamentary commitments. This reporting convention is thought to present the best cash flow perspective. The charitable gift source and purpose detail presented in this report utilizes data submitted through the VSE survey.

For the purposes of this report, deferred gifts, pledges and testamentary commitments are recorded at face value. This differs from accounting standards used to produce the annual audited financial statements. In audited financial statements, the gift asset is recorded at the discounted present value. Also based on an accrual method, financial statements record un-conditional pledges on the revenue side at the time they are promised and balance the asset with receivable accounts that are reduced as pledge payments are recorded. Due to the differ-ence in reporting conventions, data presented in the Annual Report on External Support will vary from the audited financial statements.

Grants and contract data represents figures submitted in the annual audited financial state-ments under “Grants and Contracts, non-capital.” These numbers are the consolidated total of university and auxiliary income categories as defined below:

• University Definition
  Grants and Contracts, non-capital — Includes all amounts for which eligibility require-ments were met on grants and contracts from federal, state or private agencies that will be used for non-capital purposes. Examples for the CSU include student financial assistance grants such as Pell, Supplemental Educational Opportunity Grants (SEOG) and Work Study.



• Auxiliary Organization Definition
  Grants and contracts, non-capital [federal, state or non-governmental] — Includes all unrestricted amounts received or made available by grants and contracts for current opera-tions and all amounts received or made available through restricted grants and contracts to the extent expended for current operations. The amount does not include gifts.