Indiana University - Sponsorships Information
A new policy is being established for sponsorships, where an outside entity is sponsoring an activity/event/department in the University. When the policy is finalized, we will make reference to it here. Note this information is not related to sponsorships of the type where the University is sponsoring another entity.
It is the responsibility of the Department’s Dean/Director and Fiscal Officer to ensure all issues are considered before execution of a sponsorship.
The information below is intended to concisely state the key elements and to indicate how to get further assistance if needed.
- Appropriateness: The sponsorship must be consistent with the values, mission and goals of the University as well as the individual campus, school, department, or unit. It must not present a threat or compromise to the University’s policies on ethical behavior. Sponsorships may not involve products or services from any source whose name is associated with the manufacture, distribution or sale of tobacco products, alcoholic beverages, pornography or armaments, sexual escort services, gambling opportunities or casinos, weight loss products or plans, check cashing services and credit cards.
If further clarification is needed, contact Financial Management Services Tax Division, Purchasing, and/or your Campus or University Budget Office. - Compliance: The terms of the sponsorship must not conflict with any University policies or procedures.
If further clarification is needed, see the IU policies at: www.indiana.edu/~policies.
- Non-collusion: The sponsorship must not be the result of any collusion between employees of the University and the vendor(s).
If further clarification is needed, see http://www.indiana.edu/~purchase/policies/p33.html - Conflict with existing agreements: The sponsorship must not conflict with any existing agreement with another vendor. Therefore, the appropriate Purchasing authority on the campus must be involved in reviewing the sponsorship.
If further clarification is needed, contact Purchasing. - Fair selection: In most cases, it is desirable that a competitive process be completed in order to choose the best sponsorship. In lieu of a bid process, justification must be provided about how the sponsor was selected. From time to time, departments may talk with vendors about sponsorships; if the department feels comfortable doing so, this is appropriate. If the vendor is making a cold call to the department and the department does not feel comfortable with that communication, the department may refer the vendor to Purchasing.
If further clarification is needed, contact Purchasing. - Written agreement: All sponsorships must have a written agreement to define the obligations and mutual benefits to both parties.
If further clarification is needed, contact Purchasing. - Use of logos and trademarks: Use of the University’s identity—its names and marks—in association with a sponsor’s identity must be in compliance with the University’s visual identity standards and trademark licensing procedures which are governed by Licensing and Trademarks.
If further clarification is needed about the visual identity, see http://visualidentity.iu.edu/
If further clarification is needed about Licensing, contact Licensing & Trademarks. - Non-Endorsement: Although sponsorship agreements may provide exposure of the sponsor's corporate logo or name, the sponsorship must not endorse or recommend any product or service.
If further clarification is needed, contact Purchasing. - Exclusivity: The University, as an institution, may enter into contractual relationships that may include exclusive sponsorship arrangements (i.e., campus soft drink vendor, credit cards). All such University-wide exclusive sponsorship arrangements must include approvals by the Purchasing Department. The term “official” may be used in association with such University-wide exclusive arrangements.
- Use of Benefits: All funds received under a sponsorship agreement are revenues belonging only to the University and will remain under the control of the school, department or unit involved in the agreement. Units and staff members involved in sponsorship agreements shall not: receive gifts, benefits, hospitality or personal gain which can be seen to compromise their personal judgment or integrity, or seek to exert influence to obtain preferential consideration nor misuse their official position or information acquired in the course of their official duties, to further private interests of those or others The benefits of a sponsorship must go to the a school, department or unit, or to the institution as a whole.
If further clarification is needed, contact Financial Management Services Chief Accountant, and your Campus Budget Office. Also, see the policy for Revenue Producing Activity at: http://www.indiana.edu/~vpcfo/policies/treasurer/vi-120.html. - Signature Authority: The signature of a Purchasing agent is required. The Purchasing agent shall ensure all procedures as a result of this policy are followed.
If further clarification is needed, contact Purchasing. - Tax Issues: Sponsorships are required to have a tax review to confirm the appropriate tax treatment if income shall be generated from such an agreement. Corporate sponsorship agreements that only require the University to provide an acknowledgment, as defined below, in return for the sponsor’s financial support, are not required to have a tax review prior to signature/execution of the agreement.
If further clarification is needed, contact Financial Management Services Tax Office or the Chief Accountant. - Raffles or Games or Chance: The University has determined that games of chance are not appropriate. As a part of the sponsorship, it is not allowable for the department to include a raffle or drawing for any type of prize or giveaway.
If further clarification is needed, contact Purchasing or University Counsel.
If further clarification is needed, contact Purchasing.