Dearborn Campus Policy Related to Gifts and Donations Made to Student Organizations
The Dearborn campus will follow the guidance provided by Financial Operations in Ann Arbor as related to the accounting treatment for gifts made to Student Organizations. This guidance is as follows:
Gifts Related to Sponsored and Voluntary/Registered Student Organizations
When a gift is donated or solicited to benefit a student organization, below are guidelines specific to these two types of student organizations.
Sponsored Student Organization (SSO)
Expendable Gifts
Sponsored Student Organizations have University sponsors, the same tax id as the University and they support the mission of the University. If the organization receiving the gift is an SSO and the Office of Development receipts the gift, the gift may be deposited into the Agency fund. The Faculty Sponsor and the sponsoring department is responsible for ensuring donor intent is followed for the usage of the gift with consideration for what is in the
best interest of both the University and the SSO.
Further, per guidance from Financial Operations in March 2026, if the gift agreement is to the University for the benefit of the student organization then it will be treated as a direct gift to the university, which should be in the gift fund (30000). If the gift agreement or cash gifts are directed to the sponsored student organization, those gifts should be made directly to the agency fund PG (90000).
Endowments
True Endowments received to benefit an SSO are typically held by the sponsoring School/College/Unit (SCU). If an SSO requests to set‐up a quasi‐endowment, it may do so upon approval from the Sponsoring Unit, who will submit all relevant paperwork. Spending rate distributions will be placed into the related Gift fund (True or Quasi–Restricted with donor directed funds) under the Sponsoring Department. Transfers to the related SSO are made at the discretion of the sponsoring unit.
Voluntary or Registered Student Organization (VSO/RSO)
Expendable Gifts
Voluntary/Registered Student Organizations are not part of the University and may not use the University’s tax identification number. Gifts given to a VSO/RSO should generally be given directly to the student group and should be receipted by that student group (outside of University systems). It is important to note that the Office of University Development does not receipt gifts given to VSOs.
Occasionally gifts may be accepted by the University to support a VSO or its mission. Those gifts belong to the Regents of the University of Michigan and must be deposited and accounted for in the University’s gift or endowment fund. The VSO/RSO (an outside entity) cannot directly benefit from the gift received. These funds are not permitted to be transferred from the University’s Gift fund into the Agency fund without approval in advance as outlined below. The department responsible for administering the gift will ensure donor intent and the proper
usage of the gift with consideration for what is in the best interests of the University. This may include expending the funds in accordance with the donor’s intent. If the SCU decides it is in the best interest of the University to transfer funding to a VSO, an exceptions to transfer funds (make gifts of University assets) to an external third party (VSO) for an approved purpose, they must be approved in advance, on a case‐by‐case basis by the University Controller in accordance with SPG 507.01 (https://spg.umich.edu/policy/507.01) section VI. DONATIONS AND CONTRIBUTIONS.
Endowments
As VSO/RSOs are not part of the University and do not have the same tax id, they are not authorized to establish an endowment or quasi‐endowment in the university endowment pool directly.
For additional gift or endowment guidance, please refer to the Standard Practice Guide under the following items:
Gift and Endowment Guidance in the SPG
Gift Acceptance SPG 602.02 https://spg.umich.edu/policy/602.02
University Investments and Endowment Funds SPG 501.11 https://spg.umich.edu/policy/501.11
The guidance above can be located at the University of Michigan Finance website around "Gifts Related to Sponsored and Voluntary Student Organizations." This gives guidance on how gifts should be handled when they involve an SSO or VSO(RSO).
Policy owned by: Dearborn Financial Services
Last reviewed: 4/2026
Last updated: 4/2026
Next review: 6/2028