Gift Acceptance Policy
Approved May 2016
The Rialto Theatre Foundation, (“The Rialto”), solicits and accepts gifts that are consistent with its mission and that support its core programs and special projects.
Donations and other forms of support will generally be accepted from individuals, partnerships, corporations, foundations, government agencies, or other entities, subject to certain restrictions.
Certain types of gifts must be reviewed prior to acceptance by The Rialto. Monetary contributions and gifts of unrestricted, marketable securities are encouraged, and in most circumstances, will be gratefully accepted. Other gifts will be subject to review including gifts of real property, personal property, services or intended donations, and gifts of securities or interests in entities, trusts or the like. These types of gifts may only be accepted upon approval of the The Rialto’s Executive Director, Treasurer and/or the Development Committee of the The Rialto Board of Directors.
It shall be the standing policy of The Rialto that accepted gifts of publicly traded stocks and securities shall be sold immediately for their present day value upon receipt.
When appropriate, The Rialto may seek the advice of legal counsel in matters relating to acceptance of gifts. Review by counsel may be sought for offered contributions, including for gifts of securities that are subject to restrictions or buy-sell agreements; documents naming The Rialto as trustee or requiring The Rialto to serve in a fiduciary capacity; gifts requiring The Rialto to assume financial or other obligations; transactions with potential conflicts of interest; or gifts of property potentially subject to environmental or regulatory restriction.
The Rialto Theatre Foundation
Acceptance of Donated Stock/Marketable Securities
Whereas neither the members of the Rialto Theatre Foundation Board of Directors nor its senior staff are the professional investment portfolio managers for The Rialto, it is the policy of this organization to liquidate publicly traded stock immediately upon receipt.
The possible transaction cost of this sale is considered small to the risk of loss that can be experienced with delay in the sale of the publicly traded stock.
The policy should be communicated to the potential donor of the publicly traded stock to ensure the donor will not be surprised or offended at the immediate liquidation of the gift.
An investment account will be maintained with a minimum balance of cash or public ally traded stock as required to facilitate the donation of publicly traded stock to The Rialto Theatre Foundation and liquidation of the publicly traded stock. The maintenance of this account to accommodate these transactions is thes responsibility of the Executive Director in conjunction with the Finance Committee of this organization.
The Finance Committee shall verify each transaction as needed to ensure compliance of publicly traded stock/investment account transactions in collaboration with the Treasurer to ensure accuracy of balances reported to the board. The committee will provide a brief summary report reflecting activities within the account and verifying the account balance.
Proceeds from the sale of the publicly stock are considered unrestricted contributed income unless the donor has imposed a restriction as a condition of the gift in which case procedures for accounting for restricted contributions will be followed.
The Rialto Theatre Foundation Board of Directors will review this gift acceptance policy annually.
Adopted by vote of the Rialto Theatre Foundation.