Currently all endowments on the University side are deposited into a holding account on a cash receipt while someone in FSO looks at them to decide if it really should go into the endowment. If the donor says it should be deposited to the endowment then that is what should happen and the department can do that on the cash receipt. Having a third person look at the gift and do another transaction to deposit it to the endowment from the holding account makes no sense. It also does not make sense not to deposit the funds into the endowment to start earning interest asap. FSO does not have the authority to put the funds elsewhere when the donor has specified where to put the gift so the check is not necessary. (Submitted March 2014)
Thanks to Ron Blank, Senior Accountant with FSO, for providing the following response:
Thank you for your question. FSO has a fiduciary responsibility in regards to all University endowments to ensure that the investment of funds occurs properly. To act in a responsible manner, internal controls surrounding endowments have been designed to assist in meeting donor, University and federal, state and local requirements. One of these controls is a preventive control, having the endowment placed into a clearing account for review prior to its transfer to the Foundation GI Pool.
Please contact Ron Blank at 520-621-5140 or Leo Madero at 520-621-5140 with any questions.