W. Va. Code R. § 133-48-7

Current through Register Vol. XLI, No. 50, December 13, 2024

Section 133-48-7 - Criteria for Qualified Donations and Pledges

7.1. Matching Requirements. The trust fund is conceived as a way to bring new money from external sources into the State's system of postsecondary education. In order to receive state funds, participating institutions shall provide dollar-for-dollar matching funds that satisfy the following requirements:

7.1.a. Donations and pledges shall be newly generated to be eligible for state match. Newly-generated contributions are those pledged and received by the participating institution on or after March 8, 2008.

7.1.b. Donations and pledges shall be from external sources to be eligible for state match. External source contributions are those that originate outside the participating institution and its affiliated foundation or research corporation. Eligible sources of external funding include, but are not limited to, businesses, non-governmental foundations, corporations and alumni or other individuals. Funds received from federal, state and local government sources are not eligible for state match.

7.1.c. State appropriations and allocations (e.g., West Virginia Research Challenge Fund) and student-derived revenues (e.g., tuition and fees revenue) are not eligible for state match.

7.1.d. An undirected qualified donation may be directed by the institution toward an endowment under this rule; however, current institutional foundation funds are not eligible for state match.

7.1.e. The minimum institutional request is $50,000. A participating institution may combine smaller donations to meet the $50,000 minimum.

7.1.f. All funds, both state and private, shall be permanently endowed. "Endowed" means that only the investment earnings, and not the principal, are eligible for expenditure.

7.1.g. Requests for state matching funds shall identify the donor funds received in cash and those that are pledges.

7.1.h. Pledges, or promises of future payment, are eligible for state match provided they are based on a written contract or agreement and include a payment schedule that does not exceed the reallocation date of July 1, 2015. Pledge payment schedules showing receipts to date and scheduled future payments shall be included in the audited financial statements of the institution, research corporation and/or the foundation and included in the annual report specified in section 14 of this rule.

7.1.i. Participating institutions shall notify the Vice Chancellor in writing immediately when a gift has been revoked, when a pledge payment is more than 12 months past due, or if there are unpaid pledges remaining six months before the reallocation date of July 1, 2015.

7.1.j. If pledged funds are not received by the due date, the participating institution shall replace the portion of private funds not received with another eligible cash gift. If pledged funds are not received by the reallocation date, the unmatched portion of the state funds, plus an allowance for accrued interest, shall revert to the trust fund for reallocation. In such cases, the time frame for the replacement or return of state funds shall be determined by the Vice Chancellor in negotiation with institutional representatives, but may not be longer than six months.

W. Va. Code R. § 133-48-7