Gift, Grant, or Contract?
What is the difference between a gift, grant and contract?
Gift: An irrevocable charitable contribution to the Foundation for the benefit of the University of Hawaiʻi system, which is intended as a donation, bestowed voluntarily and without expectation of tangible compensation and for which no contractual requirements are imposed. Gifts usually take the form of cash, checks, securities, real property, or personal property and may be current or deferred.
Grant: Revenues received from individuals, industry, foundations, and other sources, for the support of University programs and projects. Grants normally fall into two categories:
- Non Specific Grants are those received in support of restricted programs or projects, but which do not result from a specific grant proposal, no specific resources or services are committed, and no accounting of the use of the funds is required.
- Specific Grants are those received in accordance with the terms of approved grant proposals for specific programs and projects. Commitments of University's resources or services are made as a condition of the grant, and an accounting of the use of the funds may be required by the grantor.
Contract: Restricted payments received by the University from various contractors, made in accordance with the terms of contracts entered into by the University to conduct specific programs. Payments made pursuant to contracts are not gifts.