Foreign Source Gifts, Contracts, and Revenue Producing Activities
FIN-ACC-55
About This Policy
- Effective Date:
- 01-22-2024
- Date of Last Review/Update:
- 08-08-2024
- Responsible University Office:
- Office of the University Controller
- Responsible University Administrator:
- Vice President and Chief Financial Officer
- Policy Contact:
Anna Jensen
Associate Vice President and University Controller
Office of the University Controller
anjensen@iu.edu
- Policy Feedback:
- If you have comments or questions about this policy, let us know with the policy feedback form.
Scope
This policy applies to all Indiana University units and Affiliated Organizations as defined below.
Policy Statement
It is the policy of Indiana University to comply with applicable regulatory reporting requirements related to arrangements with a Foreign Source (defined below) as detailed in the IU Accounting Standards.
Under these reporting requirements, Indiana University is required to report certain gifts, contracts, revenue-producing activities, and other arrangements with a Foreign Source if they involve the university, one of its units, or an Affiliated Organization, receiving money, property, or other tangible benefit from a Foreign Source for the benefit of the university (“Foreign Source Arrangements”).
The Office of the University Controller, in consultation with the university’s Foreign Gift Reporting Compliance Committee, is responsible for compiling and submitting the reporting data for Foreign Source Arrangements to the relevant state and federal government agencies.
Indiana University units and Affiliated Organizations are responsible for reporting any Foreign Source Arrangements that they establish to the Office of the University Controller, in accordance with the below procedures.
Reason for Policy
This policy assigns departmental responsibility for compliance and establishes procedures for the university to comply with applicable Foreign Source reporting requirements specified in the IU Accounting Standards.
Procedures
In accordance with IU Accounting Standards, all Indiana University campuses and departmental units are required to provide timely documentation of Foreign Source Arrangements to the Office of the University Controller. All university units are additionally responsible for ensuring appropriate internal controls exist within their respective organizations to meet Foreign Source reporting requirements, as outlined in the above standards.
Definitions
Foreign Source: a) a foreign government, or agency of a foreign government; b) a legal entity, governmental or otherwise, created solely under the laws of a foreign state or states; c) an individual who is not a citizen or a national of the United States or a trust territory or protectorate thereof; and d) an agent, including a subsidiary or affiliate of a foreign legal entity, acting on behalf of a foreign source.
Foreign Source Arrangement: A gift, contract, revenue-producing activity, or other arrangement with a Foreign Source if they involve the university, one of its units, or an Affiliated Organization, receiving money, property, or other tangible benefit from a Foreign Source for the benefit of the university.
Affiliated Organization: A legal entity operating substantially for the benefit or under the auspices of the university that operates in such a way that it could enter into a Foreign Source Arrangement where part or all of the benefit of that arrangement is intended for the university.
Foreign Gift Reporting Compliance Committee: A standing committee with delegated responsibility from the Vice President and Chief Financial Officer for oversight of and compliance with Foreign Source reporting requirements. Committee members will help interpret reporting requirements and help identify Foreign Source Arrangements. The Committee is made up of member departments as detailed in the IU Accounting Standards.
Sanctions
Violations of this policy will be addressed in accordance with applicable university policies and procedures and may result in disciplinary actions up to and including termination from the university.