Is it a Service, Sponsored Program, or a Gift?

How do I determine if the agreement is a Service Contract, Sponsored Program or a Gift?

Each situation is unique & must be reviewed as a whole.

Past treatment of external support from a funder should not be a determining factor in the classification of new funding. Each new transaction should be viewed independently.

This quick reference guide was developed to help you make a determination between Service Agreements, Sponsored Programs, or a Gift.

Review more detailed guidance about Funding Sources.

Elements to Consider Service Activity Sponsored Program Gift
Purpose / Function Fee-for-Service / Similar goods/services provided to others as part of the business model Mutual exchange involving the 91±¬ÁÏ & external sponsor Charitable contribution to 91±¬ÁÏ or 91±¬ÁÏ Foundation
Relationship Customer / Vendor
91±¬ÁÏ can be customer or a vendor
91±¬ÁÏ & Sponsor 91±¬ÁÏ & Donor
Benefit Primary benefit is for the customer Sponsor & 91±¬ÁÏ both benefit 91±¬ÁÏ benefits

How does it support the 91±¬ÁÏ?

When 91±¬ÁÏ is the vendor, revenue supports 91±¬ÁÏ programs and/or operations Mutual exchange supports and advances 91±¬ÁÏ mission Gifts to advance 91±¬ÁÏ mission and the public good
Office handling & processing agreement Campus unit as vendor? Contact your Dean’s office

Campus unit as customer? Follow 91±¬ÁÏ Procurement guidance

See Service Activity Contacts

Office of Sponsored Programs reviews and accepts external support via the 91±¬ÁÏ’s award setup process Gift Services reviews & accepts and processes the gift

See

Who manages or provides work? Vendor provides a service to the customer Principal Investigator & campus unit manage projects and expenditures Benefiting campus units manage expenditures
Performance Measurement Tied specifically to contract deliverables, not project objectives Measured against meeting the project objectives No performance measurement involved
Publications Does not typically result in creation of project publications Publication is expected No funder restrictions / requirements on publication.
May request copies.
Intellectual Property Minimal chance for IP to be created under the contractor/vendor relationship. IP rights detailed in agreements/contracts with sponsors Created IP must be retained by 91±¬ÁÏ. Funder may not place IP requirements on gifts. 91±¬ÁÏ and Funder may mutually agree that IP should be available under an open-source license.

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