CITY OF MENIFEE
City Council Policy
Policy Number: CC-21
Approving Authority:
City Council
Subject
DONATION AND SPONSORSHIP ACCEPTANCE POLICY
Effective Date: 6/17/2020
Last Modified: 1/20/2021
Donations of every type are offered to the City of Menifee (“City”) for general or specific purposes.
Uniform criteria and procedures guide the review and acceptance of such donations are necessary to: confirm that the City has relevant and adequate resources to administer such donations, ensure that the City appropriately acknowledges the generosity of the donor, and address any potential direct or apparent conflict of interests arising from such donations.
Community sponsorships can be an effective means of offsetting costs and expenses while building community partnerships. Private advertising and sponsors will provide an opportunity to develop partnerships with businesses and organizations that share the City’s commitment to providing high quality public services, while increasing funding to support and potentially enhance the delivery of service.
1. PURPOSE
The purpose of this policy is to establish a formal process for acceptance and documentation of donations made to the City in a responsible, transparent, and accountable manner that is consistent with the City’s strategic goals. This policy provides guida nce when individuals, community groups, and businesses wish to make donations to the City. This policy also establishes a standardized process to promote significant and special events and to be a guide for the City in pursuit of sponsorships for public pr ograms and events. Additionally, the policy establishes the standards for City employees and City officials regarding the acceptance of gifts during the performance of City business.
2. SPECIFIC OBJECTIVES
A. To establish and guide relationships with donors and sponsors who share the City’s commitment to provide a high quality civic environment;
B. To enrich our community by responsibly and efficiently managing donations and sponsorships;
C. To generate revenue to fund new and existing facilities, projects, programs, and activities for the benefit of the City and its residents; and
D. To work with non-profits and businesses whose missions support the City’s strategic goals.
3. DEFINITIONS
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6
City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
Beneficiary Department Head – the Director of the City department, agency, board, or commission, or his/her designee, for which a donation is designated or intended. The City Manager or designee shall act as the Beneficiary Department Head if no department , agency, board, or commission is designated or intended.
Donation or Gift – a monetary (cash) contribution, endowments, personal property, real property, financial securities, equipment, in-kind goods or services, or any other asset that the City has accepted and for which the donor has not received any goods or services in return, or corporate recognition (see sponsorship).
Donor – shall mean a person or other legal entity that proposes or provides a donation to the City.
Restricted Donation – a donation designated at donor request for a particular City department, location, or purpose.
Unrestricted Donation – a donation to the City without any limitations being placed upon its use.
Sponsor – a company, organization or individual who provides the City with support of an event or program that helps offset the costs of event operations.
Sponsorship – financial or in-kind gift from an entity or individual for a specific program, event, project or site in exchange for tangible and intangible benefits to the sponsor.
Sponsorship Agreement – a negotiated agreement between the City and a company, organization, or individual to pay a fee, provide services, share products or any combination thereof, including advertising and promotional opportunities between the City and a company, organization, or individual.
Events – one-time activities for the benefit of the public, organized by the City, or in partnership with the City, generally continuing less than one week.
Programs – City-led for the public; sponsor recognition may continue throughout and following the program’s duration (e.g., funding for summer concert program).
Projects – one-time City efforts, often with a product or defined end result.
Sites – specific places, varying in scale from individual features or areas to an entire park or facility.
4. GENERAL PRINCIPLES FOR DONATIONS
A. This Council Policy is intended to guide the manner in which City staff accepts donations on behalf of the City.
B. Donations do not become the property of the City until accepted by the City consistent with this Council Policy.
C. Only City officials authorized by this Council Policy may accept donations.
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
D. The City has no obligation to accept any donation proposed by a donor.
E. All donations will be evaluated by the City prior to acceptance to determine whether the donation is in the City’s best interest and is consistent with applicable City laws, policies, ordinances, and resolutions.
F. The City does not provide legal, accounting, tax or other such advice to donors. Each donor is ultimately responsible for ensuring the donor’s proposed donation meets and furthers the donor’s charitable, financial, and estate planning goals. As such, each donor is encouraged to meet with a professional advisor before making any donation to the City.
G. The City must determine whether an expenditure of City funds, either a direct outlay of City funds or the use of City forces and materials, is associated with or required by acceptance of the donation prior to acceptance.
H. The donation must be used for official City business, and not for political activities or other personal business.
I. A donor may restrict a donation for a particular City department, location or purpose, but not designate the City official who may use the donation.
J. If required, the City will report a donation made to the City to the Fair Political Practices Commission (FPPC) in accordance with the timelines and directives described in title 2, section 18944 of the California Code of Regulations.
K. If a donation to the City is made at an elected City official’s behest from a single source in a calendar year, and the donation meets or exceeds the amount established by the FPPC, the elected City official must file a FPPC Form 803 wi th the City Clerk disclosing this information.
L. The Beneficiary Department Head is responsible for acknowledging receipt of and thanking, on behalf of the City, the donors of donations.
M. The City shall comply with all applicable laws and regulations of t he Internal Revenue Service regarding the acceptance of donations.
N. The Beneficiary Department Head shall work with the City Manager or designee to determine the appropriate accounting for the donation.
5. PROCEDURE FOR ACCEPTING UNRESTRICTED DONATIONS OF CASH AND REAL GOODS
All unrestricted donations to the City, including offers to employees related to the City, shall immediately be submitted for consideration of acceptance. Based on the value of the donation offered as outlined below, appropriate City staff shall review every donation and determine if the benefits to be derived warrant acceptance of the donation. The following points list the threshold amounts for donation acceptance:
A. Donations of Cash and Real Goods: Donations of cash and real goods may be accepted upon completion of the following process:
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
i. The Beneficiary Department Head shall evaluate whether the donation:
a. Is in the City’s best interest and consistent with applicable City laws, policies, ordinances, and resolutions;
b. Has any special restrictions and if so, if those restrictions are acceptable to the City;
c. Obligates the City to make an immediate or initial City expenditure which has not been included in the approved City budget; and
d. Creates a new, one-time, or on-going general maintenance obligation for the City.
ii. For donations with an aggregate value of less than $ 25,000, or as amended periodically to align with the City Manager’s contract authority with respect to Professional Services, the Beneficiary Department Hea d shall seek approval from the City Manager or designee to accept the donation and , if not budgeted in current fiscal year, recognize by City Council ratification within thirty (30) calendar days corresponding revenues and expenditures associated with specific donation.
iii. For donations with an aggregate value that exceeds $24,999, or as amended periodically to align with the City Manager’s contract authority with respect to Professional Services, the Beneficiary Department Head shall seek approval, by resolution, from the City Council to accept, appropriate and expend the donation.
iv. The Beneficiary Department Head shall give notice of the City Manager’s or City Council’s decision to the donor within ten (10) business days following the City’s determination to accept or reject the proposed donation.
B. Donations for gratuitous purposes ( e.g., holiday gift baskets, etc.) to any employee, department, or the City shall be made ava ilable to benefit all employees and does not require City Manager approval unless the value is over $499.
6. PROCEDURE FOR ACCEPTANCE OF RESTRICTED DONATIONS OF CASH OR
TANGIBLE ITEMS
Based on the value of the restricted donation offer as outlined in Section V above, appropriate City staff will review the conditions of any designated donation and determine if the benefits to be derived warrant acceptance of the donation. Criteria for the evaluation include but are not limited to:
A. Consideration of an immediate or initial expenditure is required in order to accept the donation;
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
B. The potential and extent of the City’s obligation to maintain, match, or supplement the donation.
7. CONSISTENCY WITH CITY INTERESTS
A. Restricted donations may only be accepted when they have a purpose consistent with the City’s goals and objectives and are in the best interest of Menifee.
B. The City must always consider the public trust and comply with all applicable laws when accepting donations.
8. ACKNOWLEDGEMENT OF DONATIONS
A. A Donation Acceptance Form is required to be completed by the receiving Department Director or the City Manager’s Office for all donations provided to the City.
B. Acknowledgement of the donation should be in writin g and be the responsibility of the Department Director who is the beneficiary of the donation. Undesignated donations shall be acknowledged by the City Manager. A copy o f the acknowledgement should be forwarded to donors.
C. The Donor Acceptance Form including the donor names and donation amounts are public information subject to disclosure pursuant to the California Public Records Act.
9. DECLINED DONATIONS
The City of Menifee reserves the right to decline any donation if, upon review, acceptance of the donation offer is determined in the sole discretion of the City to be not in the best interest of the City.
10. DISSEMINATION OF INFORMATION
A. A copy of each Donation Acceptance Form for accepted donations shall be forwarded for information to the City Council by the City Manager’s Office.
B. A copy of each Donation Acceptance Form for accepted donations shall be forwarded for information to the Finance Department and the designated department for which the donation was assigned.
C. Each original Donation Acceptance Form shall be maintained by the City Clerk’s Office.
11. SPONSORSHIPS TO CITY
A. For sponsorships with an aggregate value of less than $25,000, or as amended periodically to align with the City Manager’s contract authority with respect to Professional Services, the Beneficiary Department Head shall seek approval from the City Manager or designee to accept the sponsorship and, if not budgeted in current fiscal year, recognize by City Council ratification within thirty (30) calendar days corresponding revenues and expenditures associated with specific sponsorship.
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
B. For sponsorships with a fiscal year aggregate value that exceeds $24,999, or as amended periodically to align with the City Manager’s contract authority with respect to Professional Services, the Beneficiary Department Head shall seek a resolution from the City Council to ratify, accept, appropriate and expend the sponsorship.
12. SPONSORSHIP ELIGIBILITY CRITERIA
A. Event/program types shall include the following:
i. Events/programs providing a benefit to Menifee residents
ii. Events/programs that contribute positively to the recognition and image of the City of Menifee
iii. Events/programs that are open to the general public
iv. Events/programs and organizations that demonstrate that they can meet the necessary requirements of the Sponsorship Agreement
v. The organization’s goals must align with established City Council goals
B. Restrictions
i. In general, political organizations are not eligible for facility, event or program sponsorships with the City, nor are businesses, organizations or individuals whose primary products are firearms, tobacco, alcohol (unless the business is located in the City of Menifee), CBD products, and/or any other subject matter not deemed appropriate by the City Manager.
ii. The City reserves the right to decline any sponsor or sponsorship proposal that appears to be in direct competition with the City services/products.
iii. No advertising or sponsorship recognition will be allowed on a City uniform unless the clothing is designed specifically for the event or program and has a specified time frame.
iv. Other factors that might undermine the public confidence in the City’s impartiality or interfere with the efficient delivery of City services or operations.
v. In all cases, the City reserves the right to reject any and all sponsors and sponsorship proposals if the criteria as outlined is not followed or there is the existence of a potential conflict of interest or appearance of a conflict of interest.
13. SPONSORSHIPS PROCESS AND PROCEDURE
A. Sponsorship requests may be submitted to the appropriate Department and will be evaluated by the Department Head or designee on a case-by-case basis related to the eligibility requirements, purpose, and goals of each independent event and/or program.
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
B. Sponsorship agreements projected to generate or where the level of in-kind contributions is valued in excess of the City Manager’s contract authority shall be brought before the City Council.
C. Sponsorship opportunities with nominal cost of in-kind contributions (e.g., advertising, permit fees, etc.) may be approved at the Department Head level with written notification to the City Manager.
D. Evaluation of sponsorship opportunities shall be fair and impartial.
E. Sponsorship recognition messages may identify the sponsor but should not endorse the organizations’ products or services.
F. Sponsorship opportunities include but are not limited to:
i. Advertising: Advertising provides the sponsor with the opportunity to advertise through a variety of City marketing materials, including print and digital advertising.
ii. Programs: Sponsorship of City programs provides the opportunity for the sponsor’s name and logo to appear in advertising and marketing material related to the program.
iii. Special Events: Event sponsorship is offered through various sponsorship packages, each package benefits varying in relation to the level of sponsorship.
14. PROFESSIONAL ORGANIZATIONS
A. Professional organizations or institutions, wishing to provide employees with training, workshops, meeting events, meeting space, and/or conference attendance at no cost, does not constitute as a sponsorship or donation, as these benefits are part of promoting a particular program, existing staff paid membership, or the like.
15. ACCEPTANCE OF GIFTS TO EMPLOYEES AND/OR ELECTED OFFICIALS OF THE CITY
A. Employees and officials of the City are required to be objective and fair in dealing with the public and persons or firms doing business in the City. Employees shall not solicit or accept gifts or gratuities for the performance of their City job responsibilities.
B. No City official or employee shall directly or indirectly solicit, accept, or attempt to accept any money, fee, credit, gift, gratuity, object of value, or compensation of any kind which the official or employee knows, or has reason to know is being offered:
i. For the purpose of improperly obtaining or rewarding favorable treatment;
ii. With interest to influence the official or employee in the discharge of official duties; or,
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
iii. In consideration of having exercised official powers or performed official duties.
C. Anonymous gifts shall be delivered to the City Manager for appropriate disposition.
D. This policy does not prohibit a City official from accepting anything of value by way of a gift when such a gift is made to and accepted on behalf of the City of Menifee. All such gifts to the City shall be forwarded to the City Manager if the value is over $499, as noted in Section 5.B. for compliance with this policy whenever possible; the City Manager, or designee, will ensure that all such gifts are shared by all City staff. An example of such gifts would be those received during holiday periods.
E. Under the Political Reform Act, public officials and employees are required to disclose certain personal financial holdings as outlined in California Government Code sections 81000-91014. The Fair Political Practices Commission requires all public officia ls and employees to file a ‘conflict-of-interest statement,’ known as Form 700. Schedule D of Form 700 details requirements in reporting gifts of a dollar value and shall be used.
F. All tickets and passes offered or provided to the City by a third party are distributed per City Council Ticket Policy, Number CC-03.
16. SOLICITING DONATIONS
A. Soliciting donations by the City creates certain practical and ethical difficulties. City employees and officials should use good judgment in dealing with potential donors to avoid the appearance of impropriety.
i. Unless assigned as part of a specific program, employees shall not solicit donations while on duty. Members shall not solicit donations in uniform.
ii. Employees may discuss Department needs with individuals or groups and are encouraged to work with community members and groups to form problem - solving partnerships. Discussion of partnership needs, and methods for the community to meet those needs is not a solicita tion unless the circumstances indicate that it is a ruse for a solicitation.
iii. The requirement to use good judgment in dealing with donors extends to solicitations or acceptance of donations for police -related activities or groups (e.g., Police Officers Ass ociation, Volunteer Program, Investigators Associations, Crime Watch, Crime Stoppers). Employees shall not solicit for these activities or groups while on duty and shall not make such solicitations while in uniform. Employees must make it clear to the donor(s) whether their donations are going to the Police Department or to another community benefit.
iv. Prior to soliciting large businesses, major community organizations, or recognized major donors, the City shall submit a request for approval to the City Manager. The reasons for this consultation are to ensure the donation is in the best interest of the Department, that major donors are not confronted with multiple or competing requests from different departments within the City, and to track donations.
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 City of Menifee Policy CC-21
DONATION ACCEPTANCE POLICY
Approved By: City Council
January 20, 2021
Revision History
Revision No. Date
Approved Approved By:
Comments
0 6/17/2020 City Council Original Policy
1 1/20/2021 City Council Revision
____________________________________ _______________________ Bill Zimmerman, Mayor Date
DocuSign Envelope ID: 13B6542A-414B-407D-AB62-AA7C591BC6F6 1/25/2021