Charitable Donation Policy and Procedures – Hague Standard 96.33(f)
As a nonprofit, tax-exempt 501c3 organization, Family Resource Center (FRC) (dba Adoption Center of Illinois at Family Resource Center) accepts charitable gifts and donations from persons or organizations who wish to support our mission and adoption programs. Charitable gifts and donations may be outright or deferred, and may be directed towards different programs. Regardless of the nature, form, and amount of any such donation, FRC recognizes a fiduciary responsibility to donors, clients and children served. FRC avoids any appearance of or act of conflict of interest or preferential treatment to donors. In no circumstance shall donations influence child placement decisions.
To ensure that donations do not influence child placement decisions, FRC maintains the following:
- A copy of FRC’s donation policy is posted on the agency’s website: https://www.adoptioncenterofillinois.org/ways-to-give/.
- Refuse any donation when the donor expresses that he/she intends to influence FRC child placing decisions with that donation.
- Educate all staff about FRC’s donation policy to prevent decision-making which is influenced by a donation.
Accounting for Contributions
FRC shall recognize contribution income in the period in which the Organization receives restricted or unrestricted assets in nonreciprocal transfers, or unconditional promises of future nonreciprocal asset transfers, from donors. Contribution income shall be classified as increases in unrestricted, temporarily restricted, or permanently restricted net assets based on the existence or absence of such restrictions. Unconditional promises to give shall be recorded as assets and increases in temporarily restricted net assets (contribution income) of FRC in the period that FRC receives evidence that a promise to support the Organization has been made. Unconditional promises to give that are to be collected within one year shall be recorded at their face value, less any reserve for uncollectible promises, as estimated by management. Unconditional promises to give that are collectible over time periods in excess of one year shall be recorded at their discounted net present value. Accretion of discount on such promises to give shall be recorded as contribution income in each period leading up to the due date of the promise to give. The interest rate that shall be used in calculating net present values of unconditional promises to give is the risk-free rate of return available to FRC at the time the Organization receives a promise from a donor.