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Gifts, Scholarships and Endowments
Gifts, Scholarships and Endowments
Effective as of: 01.15.2016
Effective as of: 01.15.2016
American University of Armenia
Policy for Publication
Policy Number: INAD20150001
Policy for Publication
Policy Number: INAD20150001
- Unrestricted gifts to AUA will be applied to the current year’s revenues and used for the general operation of the University. Restricted gifts will be applied to the donor’s specified University activity.
- An Endowment Fund at AUA can be established by contributions of $100,000 or more. The contributions can be aggregated over time (not to exceed five years), with naming occurring after the contributions exceed the $100,000 threshold. The purpose of the endowment is to be specified by the donor(s) for support of AUA and its programs, and requires approval of the AUAC Board of Trustees on its purpose. Depending on the agreed upon purpose, payouts from the endowment will be categorized either as unrestricted or restricted. Unrestricted payouts can be used for the operating budget of the University and can be directed to a particular program(s). Restricted payouts are used for the costs of a specific program of the University.
- A Scholarship Fund at AUA can be established by contributions of $50,000 or more. The contributions can be aggregated over time (not to exceed five years), with naming occurring when the endowment contributions exceed the $50,000 threshold. The purpose of the Scholarship Fund is to provide financial aid to AUA students. Scholarship name and recipient(s) will be published in graduation booklet at the end of each academic year.
- AUA has established a Scholarship Endowment Pool, which collects scholarship endowment donations less than $50,000. The payout for each individual donation is in proportion to the ratio of the donated amount to the value of the Endowment Pool at the time of the donation.
- A 5% infrastructure fee on all gifts and endowments, and 5% fee on payouts will be applied.
- Payout rates and payout policies are set by the AUA Board of Trustees on recommendations by the Finance Committee. Payouts are made once a year, after the end of the fiscal year, and are made available for use in fiscal year in which the payouts are received.
- Upon request, endowment donors will be provided a document describing the policy for disbursement of funds from the endowment.