Gift in Kind Procedures
Departments of Texas A&M University at Galveston (TAMUG) receiving Gifts-In-Kind, ie, equipment, boats, vehicles, computer software, or any other item of value, excluding cash must follow these procedures before accepting the gift(s).
These are the basic steps for receiving Gifts-In-Kind:
1. TAMUG requires a “Letter of Intent” from the Donor stating the following:
a) Their desire to donate the gift to the University,
b) Their understanding that they will receive nothing in return for the gift, and
c) A description of the gift being donated.
(A sample of this type of letter can be found at the end of these procedures.)
2. The University Department to be receiving the gift must submit a “Letter of Acceptance” to the VP/CEO with the following elements:
a) A recommendation to accept or decline the gift,
b) Description of how the gift will be used,
c) Explanation of how the gift benefits TAMUG, and
d) Affirmation that the gift will be maintained and placed in inventory by the department in accordance with University policy.
(A sample of this type of letter can be found at the end of these procedures.)
3. Once a decision is made to accept a gift, the receiving Department must complete the following documents, and hand-carry them to the Development Office.
a) FDP-4 form with the asset information1,2
b) FDP-414 form signed by an authorized signer in the receiving department3
c) IRS form 8283 signed by the donor, the appraiser, and the department head at TAMUG.4,5 (This form is only necessary if the donor wants it.)
4. There are two types of boats that can be donated
a) Coast Guard (CG) documented boats.
a) Boats and motors titled or registered with Texas Parks and Wildlife Department (TPWD) or by other states.
5. In the case of Coast Guard (CG) documented boats, the following additional documents are required of the donor to legally convert ownership and insure the gift as TAMUG property.
a) An unexpired Certificate of Documentation, Coast Guard form CG-1270 free of any liens.
b) A signed Bill of Sale, CG-13406, transferring ownership to the university.
c) If applicable, an unexpired Certificate of Inspection, Coast Guard form CG-841 clear of any discrepancies noted on Coast Guard form CG-835.
d) A Condition and Appraisal Survey by a Certified Marine Surveyor dated within six months of TAMUG’s receipt of the boat is usually required. The donor may find http://www.marinesurvey.org to be helpful in their search for a Certified Marine Surveyor.
e) A signed Vessel/Boat Application form PWD 1437. (Vessels documented by the U.S. Coast Guard are no longer exempt from state registration requirements.)
i) Vessels that are exempt from this requirement are as follows:
Documented commercial vessels used in coastal shipping; and
Documented vessels exceeding 115’ in length.
6. In the case of Texas Parks and Wildlife Division (TPWD) registered boats and motors or those from other states, the following additional documents are required of the donor to legally convert ownership and insure the gift as TAMUG property.
a) For the hull and each motor an original Certificate of Title signed by the owner/door or Manufacturer’s Statement of Origin (if applicable).
b) A signed Vessel/Boat Application form PWD 1437 to transfer ownership to the university.
c) A signed Outboard Motor Application form PWD 1448 to transfer ownership to the university.
d) A Certificate of Number ID or Registration Card indicating when the current registration expires, and a valid TPWD registration sticker and TX number for the boat.
e) A Condition and Appraisal Survey by a Certified Marine Surveyor dated within six months of TAMUG’s receipt of the boat. Only if the donor requires a tax receipt with a specific value listed, otherwise, they only get the form 8283. The donor may find http://www.marinesurvey.org to be helpful in their search for a Certified Marine Surveyor.
7. In the case of automobiles or trailers, the following documents are required in addition to items 1, 2 & 3 to legally convert ownership and insure the gift as TAMUG property.
a) An original Certificate of Title signed by owner/donor.
b) A signed Application for Texas Certificate of Title, Texas Comptroller form 130-U9,10 to transfer ownership from the donor.\
8. The receiving Department must alert the Development Office via an email to maffaya@TAMUG.eduupon arrival of the gift to the campus.
9. The TAMUG VP and CEO will issue a thank you letter for the gift, facilitated by the Development Office, and the Texas A&M Foundation (TAMF) will issue a tax receipt. A tax receipt of a specific dollar amount will only be issued if the gift is accompanied by a six month old (or newer) appraisal or original sales invoice (on smaller items).
1 http://finance.tamu.edu/fmo/pm/forms/fdp4.pdf
2 http://finance.tamu.edu/fmo/pm/docs/procedures_manual.pdf specifically pages 81-84
3 http://finance.tamu.edu/fmo/pm/forms/fdp414.pdf
4 http://www.irs.gov/pub/irs-pdf/f8283.pdf
5 http://www.irs.gov/pub/irs-pdf/i8283.pdf Instructions for Form 8283
6 http://www.uscg.mil/forms/cg/CG_1340.pdf
7 http://www.tpwd.state.tx.us/publications/pwdforms/media/pwd_143_a0900_vessel_boat_application.pdf
8 http://www.tpwd.state.tx.us/publications/pwdforms/media/pwd_144_a0900_outboard_motor_application.pdf