Policy 2.3.13: Gifts, Donations and Other Contributions

Effective: April 1, 1999
Responsibility: Vice-President and Chief Financial Officer

STATEMENT OF POLICY

The Corporation may, in the circumstances described in this policy and the guidelines adopted hereunder, make gifts, donations, awards, scholarships and other contributions (as per Appendix A, section B) in kind or in cash (hereinafter “contributions”) as follows:

  • To employees for outstanding services upon retirement.
  • To the families of employees or charitable organizations designated by them, to show respect in the death or serious illness of an employee or family member.
  • For gifts, donations, awards and scholarships to outside organizations or individuals when such payments can stand public scrutiny, are part of the corporate citizen role of the Corporation as a Crown Corporation, in accordance with sound business practices.
  • For other contributions to outside organizations or individuals when such contributions can stand public scrutiny, are part of the corporate citizen role of the Corporation as a Crown Corporation, in accordance with sound business practices, provided the Corporation receives either official recognition or benefit from a public relations perspective of an exposure commensurate with the contribution.

No contributions can be made:

  • For partisan purposes.
  • If it would create a real or perceived conflict of interest for the Corporation.
  • When the credibility of the Corporation as a news organization could be diminished.
  • Any gift, donation or contribution made in relation to a program shall qualify under the rules applicable to promotional expenses. Promotional expenses made in relation to a program are exempted from this policy.

HISTORY

  • The procedures and guidelines of this policy were updated in March 2008
  • This policy was updated May 2004.
  • This was originally Corporate Finance and Administration Policy # 403.80 - Gifts, Donations and Other Contributions.


REFERENCES

Corporate Policy:

1.1.10 Commercial Impact
1.1.12 Free Travel
2.2.3 Conflict of Interest and Ethics
2.3.2 Assets
2.3.8 Delegation of Financial Authorities
2.3.9 Duty Entertainment, Receptions and Staff Functions
2.9.3 Delegation of Signing Authority

PERSON RESPONSIBLE FOR INTERPRETATION AND APPLICATION

All questions pertaining to the interpretation or application of this policy should be referred to the Director, Policy and Internal Control. The responsibility for interpretation of this policy ultimately resides with the Vice-President and Chief Financial Officer.

DEPARTMENT RESPONSIBLE TO UPDATE THIS WEBPAGE

Corporate Secretariat.


APPENDIX A
PROCEDURES AND GUIDELINES

1. OVERVIEW

Because the Corporation receives funding from the Federal Government to support its program activities, it is constantly under public scrutiny to justify expenditures in various areas.

The following guidelines are intended to assist managers in determining under what circumstances expenditures can be made and the procedures to be followed.

2. DEFINITIONS

A. GIFTS AND DONATIONS

Gifts can be made to CBC/Radio-Canada employees and to non-employees and/or outside organizations, while donations are restricted to non-CBC/Radio-Canada employees and/or outside organizations.

A.1 GIFTS TO CBC/Radio-Canada EMPLOYEES:

Gifts to CBC/Radio-Canada employees are restricted to payments for outstanding or long service and for retiring employees. Such gifts, which are subject to income tax rules, usually require the approval of Human Resources and must be in accordance with established guidelines.

Human Resources is responsible for arranging the purchase of gifts to retiring employees, with the costs recovered from individual departments. This ensures consistency and fair treatment for all employees. If other employees within the department wish to purchase gifts for the retiring employee, such costs should be assumed by the employees within the department and not by the department budgets. In cases where departmental managers want to contribute towards the cost of an employee gift, such costs must be approved in accordance with the Delegation of Financial Authorities (DFA) and/or Delegation of Signing Authority (DSA) policies.

A.2 GIFTS AND/OR DONATIONS TO NON-CBC/Radio-Canada EMPLOYEES AND/OR OUTSIDE ORGANIZATIONS:

Such gifts and donations should be restricted to the following circumstances:

  • The purchase of flowers or cash donations to designated charitable organizations to show respect in the death or serious illness of an employee or immediate family member
  • Flowers, gifts and/or tickets to theatre, sports and arts events, presented to clients by the Sales Department, which are associated with sales incentive programs, will be treated as promotional expenses.
  • For publicity purposes and as a good corporate citizen, the Corporation is often expected to support local organizations (theatre, sports, musical, etc.) and/or gala events. In some cases, CBC/Radio-Canada programs and/or personnel have been nominated to receive awards and the Corporation may purchase tickets, or sponsor a table, for employees who have been nominated for such awards or for employees to represent the Corporation at such events. Supplementary approval is required in such instances in accordance with Corporate Policy 2.3.9 – Duty Entertainment, Receptions and Staff Functions.

B. AWARDS AND SCHOLARSHIPS

Awards to employees, whether in cash or in-kind, are not considered “gifts” as they are generally given in recognition of service or performance. Employers can give their employees two non-cash awards per year, on a tax-free basis, in recognition of achievements such as reaching a set number of years of service, meeting or exceeding safety standards, or reaching similar milestones.

Scholarships and bursaries are amounts paid or benefits usually given to students to enable them to pursue their education and usually apply to education at a post-secondary level or beyond, such as at a university, college, technical institute or other educational institution.

As the National Broadcaster, the Corporation from time to time may receive solicitations for contributions for awards and scholarships. For such requests, the Corporation should ensure that the request is legitimate, is part of its corporate citizen role as a Crown Corporation, is in accordance with sound business practice and that it will receive official recognition and/or benefit from a public relations perspective commensurate with the contribution. The Corporation should also ensure that the award or scholarship would not result in a perceived or real conflict of interest for the Corporation.

C) PROGRAM AND/OR PUBLICITY EXPENSES

Payments made by program and/or promotion departments to subsidize costs in exchange for the right to tape and broadcast the event, will be considered as a program expense – broadcast right, and not as gifts or donations. The nature and purpose for the expense determines the category or expense classification.

If the payment results in the CBC/Radio-Canada Corporate logo appearing on brochures, printed programs or on other visible media, such as billboards, uniforms, posters, etc., and is clearly visible to the public or viewing audience, such payments will be considered as an advertising/publicity expense.

D) CONTRIBUTIONS TO FUNDRAISING ACTIVITIES OF CHARITABLE ORGANIZATIONS

Contributions by the Corporation to charitable organizations’ fundraising activities, such as purchasing a table at a benefit function, are permitted insofar as:

  • they do not contravene the principles in the statement of this policy;
  • regional and network communications are consulted in order to avoid any duplication of contribution; and,
  • they are approved by the President and CEO or by the appropriate Vice-President as per the Delegation of Signing Authority.

3. AUTHORIZATION AND APPROVAL REQUIREMENTS

A purchase order or contract confirming the contribution by the Corporation and the benefit to be received should support commitments and payments pertaining to gifts, donations, awards, scholarships and other contributions, for any amount involved.

The purchase order or contract confirming the contribution requires a signature pursuant to the Delegation of Signing Authority (DSA) Policy # 2.9.3, while the disbursement of the funds have to be authorized pursuant to the Delegation of Financial Authoritiess (DFA) Policy # 2.3.8.

Search highlight tool