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HomeMy WebLinkAboutResolution_25-22_8/11/2022RESOLUTION NO. 25-22 A RESOLUTION OF THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA, FLORIDA, AMENDING THE DONATION POLICY; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. WHEREAS, the Village of Tequesta appreciates donations which promote municipal growth and enhance Village facilities, services, programs and activities; and WHEREAS, accepting certain types of donations may be inconsistent with the Village's policies and mission due to the nature of the donation, administrative costs, or ethical considerations; and WHEREAS, a Village -wide policy will be useful in determining which donations will be consistent with the Village's mission and goals and will best foster municipal growth and enhance Village facilities, services, programs and activities. NOW, THEREFORE, BE IT RESOLVED BY THE VILLAGE COUNCIL OF THE VILLAGE OF TEQUESTA, PALM BEACH COUNTY, FLORIDA, AS FOLLOWS: Section 1: Resolution No. 25-22 is hereby officially adopted and supersedes Resolution No. 59-19; and Section 2: The Village Council finds and declares that the Village of Tequesta will be benefited by the use of donations; and Section 3: The Village Council adopts the Village of Tequesta Donation Policy, Exhibit A, attached hereto and incorporated by reference as if fully set forth herein; and Section 4: This Resolution shall become effective immediately upon passage. EXHIBIT A Approved by: Directive Number: Effective Date: August 1, 2022 Deleted: December 12, 2019 Jeremy Allen, Village Manager TITLE: Village of Tequesta Donation Policy OBJECTIVE: The purpose of this policy is to establish rules and regulations governing the acceptance, valuation, and recognition of all types of donations, gifts, and sponsorships from third parties to support Village governmental activities that serve a public purpose. This policy is intended to create practices that adequately safeguard public funds, provide for accountability, and ensure compliance with all federal, state and local laws. This policy is separate and distinct from the Code of Ethics for Public Officers and Employees, Part III, Chapter 112, Florida Statutes, as well as the gift policy included in the Palm Beach County Code of Ethics. SCOPE/RESPONSIBILITY: This policy applies to all Village employees, organizations, volunteers and individuals who receive, authorize, accept, value, or record donations, gifts, or sponsorships on behalf of The Village. PROCEDURES: Definitions 1. Donation or Gift— refers to a contribution made to the Village of Tequesta without expectation of goods, services, or significant benefit in return. Donations may be in the form of money or in -kind contributions of products, services, investment securities, real or personal property or any combination thereof. For purposes of this policy, the terms "donation" and "gift" shall be synonymous. 2. Donation Agreement- an agreement between the Village and the donor that details any restrictions on a donation as well as the respective obligations of the donor and the Village. 3. Donor— a person or other legal entity that proposes or provides a donation to the Village. 4. Endowment — donations that are restricted to the extent that only earnings, and not principal, may be used for a particular purpose. 5. Fundraising — any activity conducted with the intent of generating donations to the Village. Fundraising activities may include, but are not limited to, promoting endowment programs, program adoption or pledge drives, and contacting individuals, companies, foundations, or other entities with a request for a donation to the Village. 6. In -Kind — a donation provided in the form of products, goods and/or services that do not include a monetary exchange. 7. Public Funds - defined as money, funds, and accounts, regardless of the source from which the funds are derived, that are owned, held, or administered by the state or any of its political subdivisions. All monies received through donations, gifts, or sponsorships are considered public funds. 8. Sponsorship — an arrangement in which one party provides money, goods or services in exchange for access to the commercial marketing potential associated with the other party's activities. 9. Vendor— any person or entity who has a pending bid proposal, an offer or request to sell goods or services, sell or lease real or personal property, or who currently sells goods or services, or sells or leases real or personal property to the Village. For purposes of this definition a vendor entity includes an owner, director, manager or employee. General Policy Statements 1. The Village welcomes donations that enhance Village services, reduce costs that the Village would incur in the absence of the donation, or that otherwise provide a benefit to the Village. It is the policy of the Village of Tequesta to consider all donation requests and decide if accepting such donations is in the best interest of the community. 2. The Village has no obligation to accept any donation proposed by a donor 3. All donations shall be in compliance with Chapter 112, Florida Statutes, as well as Sec. 2-444, Palm Beach County Code of Ethics. 4. The collection of funds or assets associated with donations, gifts or sponsorships will comply with the Village's cash receipting policies. The expenditure of any Deleted: ¶ Restricted Donation — a donation where the donor places limitations or conditions upon its use, such as limiting the donation to a particular Village department, location or purpose: for example — donation for Leisure Services or the Environmental Committee.¶ Deleted: ¶ Unrestricted Donation — a donation which does not have any limitations or conditions placed upon its use. Unrestricted donations are preferable to restricted donations.¶ public funds associated with donations, gifts, or sponsorships will also comply with the Village's purchasing policies. 5. Donations, whether in -kind, cash, or otherwise, shall be complete transfers of ownership, rights, privileges, and/or title in or to the donated goods or services and become exclusive property of the Village upon delivery. 6. Donations, gifts, and sponsorships shall not be directed at specific Village employees, vendors, or brand name goods or services. 7. Donated funds shall not compensate public employees, directly or indirectly. 8. Donations or gifts shall not be accepted that advertise or depict products that are prohibited by law for sale or use by minors, such as alcohol, tobacco, or other substances that are known to endanger the health and well-being of minors. 9. Village employees are not permitted to accept personal payments or gratuities in any form from a vendor or potential vendor as a precondition for purchase of any product or service. 10.The Village shall comply with all applicable laws and regulations of the Internal Revenue Service regarding the acceptance of donations. All costs, including initial installation, labor and materials associated with a donation are the responsibility of the donor, unless otherwise agreed to by the Village. Some projects may require an endowment to ensure the longevity of the gift and to assist the Village with future maintenance. 11. The Village reserves the right to decline donations, gifts, and sponsorships that are deemed to have not been made with the intent of furtherance of a public purpose. 12. The making of a donation to the Village will not provide any extra consideration to the donating or sponsoring party in relation to any Village procurement, any regulatory activities of the Village, or other Village business. No Village employee or other Village official is authorized to offer any such extra consideration to a donating party. 13. In no event shall the Village be held liable for value or tax assertions/claims by the donor. The donor(s) agree(s) to hold the Village harmless and indemnify the Village for any and all claims which might arise from any person, entity or corporation, resulting from the donor's use of the Village property or right-of-way for installation purposes, or arising from the donor's performance or improvement/item donated pursuant to this policy. 3 14. The Village does not provide legal, accounting, tax or other such advice to donors. Each donor is ultimately responsible for ensuring that the donor's proposed donation meets and furthers the donor's charitable, financial and estate planning goals. As such, each donor is encouraged to meet with a professional advisor before making any donation to the Village. Process 1. Types of Donations: Donations may be received in the form of cash, financial securities, real or personal property. Donations may be restricted or unrestricted. 2. Who May Accept Donations: Donations of $5,000 or less may be accepted by the Village Manager. All donations exceeding $5,000 must be brought before the Village Council for approval and acceptance. All donations other than real property may be evaluated and accepted by the following persons or bodies ("authorized person") based on the value and nature of the donation — as follows. - Description of Donation Authorized Person Donations of $5,000 or less Village Manager ponations greater than $5,000 Village Council Anonymous donations Village Council _ _ .....................: 3. For Donations greater than $5,000 a memo/letter detailing the intended purpose for using these funds must be submitted by the donating party to the Village Manager. As necessary, the Village may develop a review team to consider the proposal. In certain instances, the appropriate Advisory Board or the Village Council may be involved in the review process. The following guiding principles will be considered when evaluating a donation: • appropriate and safe location for placement, easements, utilities, existing structures; • durability, high -quality materials, longevity, conformity with Village's architectural standards; • liability, safety; • future or ongoing maintenance, budget impact; • future site development plans; • natural environment; • accessibility, usefulness; and/or • overall public acceptance/approval. Deleted: Unrestricted d Deleted: restrict7dona7tionsceeding $500, unrestricted Deleted: Unrestricted d Deleted: Unrestricted d Deleted: Restricted donations of $500 or less Deleted: A Deleted: Donation Proposal Application 4. Depending on the nature of the donation, the Village may request supplemental information. 5. Before acceptance of a donation valued at more than $5,000, the respective obligations of the donor and the Village shall be set forth in a donation agreement. 6. The Village Manager may accept or decline any donation in the Village Manager's sole discretion or may choose to request Village Council consideration of any donation. 7. Because the Village is prohibited from investing in equities and manv de t ecuritie donations of publicly traded equity and debt securities, will b immediately sold upon receipt in the Village's designated brokerage account. The sales proceeds are then transferred from the Village's brokerage account to its depository bank account. 8. For gifts of property that require an independent qualified appraisal, Internal Revenue Service regulations require the following to be included in the appraisal: • Full description of the property. • The physical condition of any tangible property. • Date (or expected date) of contribution. • List how the property will be used by the Village • Name, address, and taxpayer identification number of the appraiser. • Qualifications of the qualified appraiser. • A statement that the appraisal was prepared for income tax purposes. • Date (or dates) property was valued. • The appraised fair market value (one figure, not a range) on the date (or expected date) of the contribution. • Method of valuation (income approach, comparable sales or market data approach, replacement cost less depreciation, etc.) • The specific basis for the evaluation • Name, address, taxpayer identification number of the donor • Manner and date of acquisition and cost basis • Name, address and tax ID number of donee (Village of Tequesta) 9. For donations of real property, the following information shall be submitted for consideration to the Village Council through the office of the Village Manager: a. the appraised value of the donation; Deleted: restricted donation valued at more than $500 or an unrestricted Commented [J52]: I revised this section because I thought the reason why we would sell immediately would `e good for donors to know. Deleted: For Deleted:, once the Village has been notified, donations of publicly -traded equity and debt securities b. any expenditure or maintenance obligations for the Village associated with the donation; c. whether any encumbrances or liens exist on the real property through the review of a preliminary title report; d. potential liabilities associated with the donation, such as hazardous conditions or environmental concerns, or whether an environmental audit is necessary to determine whether the property contains any hazardous material or has been used in a manner prohibited by environmental laws; e. whether the donation has any special restrictions, and if so, if those restrictions are acceptable to the Village Council; f. any recommendations for conditions of acceptance. 10.Once the proposal is reviewed, Village staff will respond to the applicant if the donation was accepted or with the reasons the donation was rejected. 11.All costs, including initial installation, labor and materials are the responsibility of the donor unless the Village agrees otherwise. Some projects may require an endowment to ensure the longevity of the gift and to assist the Village with future maintenance. In special situations, such as when the donor is allowed to hire a contractor, a memorandum of understanding or a project agreement may be required. A contingency fund may also be required to cover necessary change orders and overruns associated with the project. Remaining contingency funds will be applied to the endowment fund for future maintenance costs or returned to the donor pursuant to the pertinent project agreement. 12. Unless specifically agreed to in writing, the Village may, at any future date, elect in its sole discretion to remove or relocate the donation (donated property). No permanent right, title, or interest of any kind shall vest in the donor's behalf by virtue of donation acceptance. 13.All donations will receive appropriate recognition as determined by the Village Manager or Village Council at the time the donation is accepted. 14. The Village Manager shall prepare a monthly report to the Village Council notifying the Council of all donations accepted since the previous report, including the form of the donation, restrictions on its use, its approximate value, and the name of the donor. Page 4: [1] Deleted Jeffery Snyder Restricted donations of $500 or less Restricted donations greater than $; 7/27/2022 3:03:00 PM Village Manager Village Council RESOLUTION Date 25-22 08/11 /2022 Motion Council Member Frank D'Ambra Second Council Member Laurie Brandon Mayor Molly Young Vice -Mayor Kyle Stone Council Member Laurie Brandon Council Member Frank D'Ambra Council Member Aaron Johnson FOR AGAINST ABSENT CONFLICT n n M ri E El M 1 n M ri The Mayor thereupon declared the Resolution duly passed and adopted. MAYOR OF TEQUESTA: Molly Young ATTEST: 0. FOR,,Q`''C !"" SEAL INCORPORATED n� 7E Lori McWilliams, MMC Village Clerk