Gift-in-Kind Policy

PURPOSE

The purpose of this policy is to ensure that Siloam Mission accepts Gift-in-Kind that support its mission, are consistent with its policies and are properly accounted for and acknowledged.

Scope

This policy applies to all staff, volunteers or third parties who fundraise on behalf of Siloam Mission.

Policy

1. A significant portion of the goods and services required by Siloam Mission to continue operations are obtained directly from donors. Donations of goods can be divided into two distinct categories – new goods and used goods.
2. The Gift-in-Kind donation form must be used by shipping and receiving or any department accepting donated goods. All forms are then given to the GIK Coordinator for processing.
3. Single donated items with a value of more than $1,000 that require a tax receipt should have an appraisal done. This does not need to be an outside appraisal but we do need to keep all of the documentation used to determine the valuation including the name of the person doing the valuation. In cases where an outside appraisal is required, a Siloam approved arms-length appraiser will be obtained at the donor’s expense.
4. Receipts will be issued following CRA guidelines. For details about issuing receipts, please see the Tax Receipting Procedures Manual. Following are our general policies about issuing receipts.
   Food

   • Siloam Mission will not issue a tax receipt for expired goods. CRA states that because they can no longer sell an expired item, there is no fair market value so no receipt can be issued.
   • An original store receipt MUST be provided. The tax receipt will not include taxes.
   • Day old food, or food that is about to expire may be negotiated for the amount of the receipt.
   • If a business is donating food we can issue a receipt for fair market value as long as the food has come out of their inventory. We must have a contract in place or an invoice.
   • Individuals, businesses or Colonies need to provide the purchase receipts.
   • Any food item sold by an individual, business or Colony at a farmers market can be receipted at their regular retail price. We must have documentation and must keep the documentation.

   Clothing

   • We do not issue receipts for used clothes. The exception is someone donating clothes from a 2nd hand store. The original store receipts must be provided.
   • If there are clothes donated that we cannot use, we cannot issue a receipt, even if we accept them to pass on to another mission.
   • New clothing can be receipted based on attached tags and store receipts.
   • If a liquidator donates clothing we will receipt for the amount sold in their store, unless the inventory is older than 3 years, then we receipt for their cost.

   Textiles (knitting/quilting/sewing) coming from a Colony

   • If these are items the colony sells at a market or store, we can receipt for the retail value. Documentation is required.
   • If the items are not items that the donor sells, then we can reimburse for the materials and need accompanying receipts. An example of this is a business agreeing to make drapes for us even though they do not sell drapes as part of their business.

   Other Items – new or used (furniture, tools, etc.)

   • If we can use it, we can receipt for it as long as fair market value can be determined. Documentation used to reach fair market value must be provided and kept.

   Services

   • Donated services are not property and therefore do not qualify to receive an official donation receipt. However, we can issue a receipt when a person provides a service to Siloam Mission if we pay for the service, and the person then returns the payment to Siloam Mission as a gift. Two transactions must take place: the first being the provision of a service and the payment made, and the second being a donated gift. This ensures an audit trail, as the donor must account for the taxable income that would be realized or as business income.

   Gift Cards

   • If a private individual purchases gift cards and donates them to us, we can receipt them for the face value of the gift card.
   • If a business donates a gift card from their store, we cannot issue a receipt.

   Real Estate

   • Please see the Gift Acceptance Policy, Section III 5.
5. Types of Goods Accepted
Saul Sair Health Clinic Donation Guidelines
Item	Acceptable	Not Acceptable
Wheelchairs	Regular sized wheel-chairs in good repair with all attachments included	Oversized, custom built or motorized wheel-chairs or wheelchairs with missing parts or poor breaks.
Walking Canes Crutches	Walking canes – metal or wood. Crutches – adjustable metal	Canes that have no rubber tip; canes that have no good handle grip and crutches that have no rubber tip
Sanitary Items	Feminine hygiene products such as panty liners, tampons	Incontinent products such as diapers, urinary catheters and supplies, colostomy/ostomy supplies
Medication	Any over-the counter medication, especially pain meds, cold and flu meds, etc.	Prescription drugs from somebody else. Over the counter not in their original package
Clinic Supplies	Original Packages of the following: Bandages of any size; Gauze pads; Saline solutions Tensor bandages (unused)	Anything listed in column two that has been opened or damaged by water, fire or mold
Other Items	Single packaged toothbrushes; lip balm, moisturizer cream; small pkg of kleenex	Anything that has been opened or damaged
Specialty Items	Reading glasses – any strength Sunglasses Diabetic supplies for checking blood sugar levels	Prescription glasses
Food Donation Guidelines
• 90-95% of all of the food that we serve is donated and we rely heavily on community partnerships with local businesses and individuals.
• In an effort to provide nutritious and well balanced meals, our most urgent items are milk & dairy products, meats, and fresh produce.
• We also accept many different items in accordance with the Food Banks of Canada Guideline for Distributing Food Past the Best Before Date.
We accept:
• Leftovers from catered lunches, dinners, etc. as long as safe food handling procedures have been taken. Only full trays of food will be taken. Note: we will not accept if it has been sitting out for more than 2+ hours.
• Garden vegetables and fruit
• Bread, buns, pastries
• Pickled vegetables
• Government inspected and properly packaged meats
• Frozen foods
• Coffee, sugar, whitener, tea, sweetener, hot chocolate and other hot beverages
• Desserts/dainties
• Store bought canned goods
• Bottled juice/water
• Food in original sealed containers
• Dried spices and seasonings
We do not accept:
• Unidentifiable food
• Rotten food
• Freezer burnt food
• Open food containers
• Food that has been stored in a garage or car overnight even when cool outside
• Uninspected meat (meat must have been processed in a government inspected abattoir)
• Canned or jarred products that are over a year past their expiry date
• Homemade jams and preserves
• Juices that are more than 7 days past expiry
• Food stored in containers that are not food safe (containers without proper covering, pails used previously for chemicals, etc)
• Food that has been sitting out for more than 2 hours
• Unpasteurized milk
• Uninspected eggs
• Cans that are damaged
Clothing Donation Guidelines
• We accept new and used clothing except socks and underwear must be new.
• Used clothing is not tracked as Gift-in-Kind nor is it recorded on silent partner.
6. Siloam Mission reserves the right to decline any in-kind gift. Generally, the decision to accept or decline a gift (other than what has already been discussed) can be made by the Director of Development or designate. If a gift needs to be returned to a donor, CRA regulations will be followed if a receipt has already been issued.
7. When Siloam Mission receives Gift-in-Kind (donated items) that the Mission cannot use, we reserve the right to donate these items to another charitable organization, to use the items in auctions or fundraising events, to liquidate the items for cash to contribute to our annual operations or dispose of them if they have no value.

References

Food Banks Canada – Guideline for Distributing Food Past the Best before Date
CCSM F135 – The Food Donations Act May 19, 2017
Imagine Canada – Determining the fair market value