These funds are established to administer programs funded by restricted sources. Restricted funds carry donor-imposed restrictions. As such, expenditures are limited to the initiative specified by the donor. These funds are generally supported by expendable contributions.
Restricted funds (discretionary, restricted gifts, etc.) are not budgeted by specific line item. Rather, these funds are monitored based on the underlying restriction/designation and are not permitted to run in a deficit position.
Key Criteria for Establishing a Restricted Fund
To establish a restricted fund, we require a letter from the donor(s) or other fundraising documents that state the intent of the contribution is to be a restricted fund and list the restriction/purpose of the fund. Also, the university requires a minimum contribution of $5,000 to establish a new fund.