Gift Acceptance Policy

Purpose

To assist the Board in meeting its fiduciary duty with respect to the acceptance of gifts and gifts-in-kind.

Scope

Donors, employees, Board and external stakeholders.

Policy Statement

Mercy Ships Canada intends to solicit gifts of cash and other property (“Gifts”), and may receive unsolicited Gifts from time to time.  This policy is intended to describe the types of Gifts that Mercy Ships Canada will accept, who is able to accept Gifts on behalf of Mercy Ships Canada and the terms upon which each type of Gift will be accepted.

1.Acceptable Gifts

The following types of Gifts may be accepted:

(a) cash;

(b) publicly traded securities (in kind);

(c) bequests;

(d) life insurance policies;

(e) charitable remainder trusts;

(f) gift annuities (re-insured or otherwise);

(g) gifts-in-kind;

(h) real property;

(i) privately held securities; and

(j) interests in a partnership.

2.Responsibility

2.1       The following types of Gifts may be accepted by the National Director of Mercy Ships Canada. The National Director may, in his or her discretion, delegate the acceptance of some or all of these types of Gifts:

(a) cash;

(b) publicly traded securities (in kind);

(c) bequests;

(d) life insurance policies;  and

(e) gift annuities (re-insured or otherwise).

2.2   The following types of Gifts must be approved and accepted by the Board:

(a) charitable remainder trusts;

(b) gifts-in-kind;

(c) real property;

(d) privately held securities; and

(e) interests in a partnership.

3.Specific Acceptance Procedures

3.1       The National Director will develop procedures for the acceptance and processing of the types of Gifts described in 2.1.

3.2      The Board will develop procedures for the acceptance and processing of the types of Gifts described in 2.2, which procedures must include the following:

(a) with respect to charitable remainder trusts, Mercy Ships Canada will not serve as the trustee of a charitable remainder trust and an opinion from an actuary must be obtained to determine the amount of the gift which may be receipted and legal counsel must be engaged;

(b)  with respect to gifts-in-kind, an appraisal from a qualified appraiser must be obtained and only those items which can immediately and easily be sold or items which can be used in the premises or administration of Mercy Ships Canada may be accepted;

(c) with respect to a gift of real property or an interest in real property, a Phase 1 Environmental Assessment and an appraisal from a qualified appraiser must be obtained and legal counsel must be engaged;

(d) with respect to a gift of privately held securities, legal counsel must be engaged;

(e) with respect to a gift of an interest in a partnership, legal counsel must be engaged.

(f) with respect to naming and endowment proposals, they will be reviewed by the Board.