University of Montana Foundation

The mission of the UM Foundation is to inspire philanthropic support to enhance excellence and opportunity at the University of Montana. The passion and belief in that work is reflected in the UM Foundation vision statement: The Lives We Change Will Change the World. 

The UM Foundation is an independent, nonprofit corporation with 501(c)(3) status that supports the University of Montana by managing private fundraising efforts, donations and investment of endowed gifts to benefit UM. The UM Foundation operates under an agreement with UM that is reviewed and approved by the Montana University System. 

The UM Foundation was established in 1950 by private citizens who desired to support UM. Today, the UM Foundation Board of Trustees and a professional staff of more than 70 individuals lead and manage the UM Foundation, separate from UM, to foster philanthropic gifts totaling approximately $70 million annually that support academic achievement, foster research and elevate intellectual pursuits at UM. 

The vast majority of all philanthropic gifts received by the UM Foundation are designated by donors for a specific purpose to help advance the mission of UM. Any gifts received that are not designated by the donor are directed to the Excellence Fund to allow the University President to fund urgent needs and strategic priorities. Some donors choose to designate their gifts to be used at the discretion of the UM President, a dean, the athletic director or another campus leader.

The UM President communicates the University’s fundraising priorities to the UM Foundation. In turn, the UM Foundation provides guidance to the President on what projects or purposes are most likely to appeal to donors. The UM Foundation invites donors to learn about and invest in the priorities identified by the UM President. 

An institutionally related foundation is a nonprofit, tax-exempt, independent organization that raises and manages private support for a public institution. Commonplace in public higher education across the nation, institutionally related foundations advance the mission of an affiliated nonprofit organization by seeking and securing private support. The UM Foundation is an institutionally related foundation that seeks to inspire philanthropic support to enhance excellence and opportunity at the University of Montana. 

Gifts – charitable donations that may consist of cash, stocks, bonds, real property, and pledges to make future gifts in an estate plan – made to an institutionally related foundation such as the UM Foundation may be deducted from the donor’s state and federal income tax if the donor is an individual or corporation. The amount of the deduction is subject to certain limits under state and federal tax law. Donors should consult with their tax advisor for more information regarding the tax deductibility of specific gifts. 

The UM Foundation is governed by an independent and volunteer Board of Trustees. Trustees bring broad expertise and deep commitment to the mission-critical work of the Foundation. They are passionate about advancing opportunities for others to benefit from the exceptional education offered by UM. 

Trustees serve the UM Foundation as defined in the bylaws for three-year terms. They come from diverse backgrounds and share expertise in areas like governance, strategic planning, financial management, institutional investments, marketing and communications, and fundraising. They hold fiduciary responsibility to make good-faith decisions with diligence consistent with the UM Foundation mission. 

A professional staff serves the Foundation’s business functions in diverse areas including fundraising, marketing and communications, finance and accounting, investment management, gift and records management, information technology and systems, legal, and human resources. UM Foundation employees serve the Foundation’s mission based on the collective belief in these core values: 

• We are passionate about delivering an exceptional donor experience. 

• We inspire each other to do our best work. 

• We act with integrity and respect. 

• We innovate thoughtfully and with purpose. 

Together, the Foundation’s professional staff and volunteers desire to serve every donor seeking to experience the joy of philanthropy through gifts made in support of UM. 

The UM Foundation adheres to all applicable federal and Montana laws governing the public disclosure requirements for private nonprofit corporations. 

The UM Foundation is a private, institutionally related organization formed under Montana law and recognized by the Internal Revenue Service as a 501(c)(3) nonprofit organization. The UM Foundation adheres to all applicable federal and Montana laws governing the disclosure of information from private nonprofits. In furtherance of our mission, the UM Foundation voluntarily shares comprehensive information about our mission, objectives and impact, including the following: 

• Articles of incorporation filed with the Montana Secretary of State’s office; 

• An annual IRS Form 990, the reporting form which allows the IRS and the general public to evaluate the UM Foundation’s operations and finances; 

• The operating agreement with UM that is reviewed and approved by the Montana University System; 

• Annual financial statements produced in annual commissioned independent financial audit; 

• Bylaws established by an independent governing Board of Trustees; 

• An annual report to provide donors and the general public with data and information about the annual impact of philanthropic giving; and 

• An annual endowment report to provide information about the UM Foundation endowment portfolio and its impact. 

Many of these documents can be found on the UM Foundation website. Visit SupportUM.org/Governance-Documents and SupportUM.org/NewsAndInformation to learn more. 

The UM Foundation  assists individuals, families, businesses and private foundations that aim to support UM with philanthropic gifts in areas which match their interests, passions or criteria for philanthropic giving. The UM Foundation offers specific benefits to UM and donors alike. 

Benefits to UM 

• Provides UM with a critical and significant source of private support that augments other University revenue sources. 

• Ensures a steady source of financial support to the University that is not subject to fluctuations in state revenues or changing priorities of state lawmakers. 

• Enhances achievement of the UM mission through philanthropic gifts that do not reduce or replace state support. 

• Offers investment of a privately funded endowment beyond the low-risk, low-return strategies often mandated by states, thereby increasing the opportunity for greater investment return and revenue available to UM. 

• Distributes approximately $20-40 million to UM each year. 

Benefits to Donors 

• Assists donors in understanding the University’s mission and also supports engagement and evaluation of opportunities for philanthropic giving. 

• Facilitates philanthropic gifts from donors who appreciate giving to a 501(c)(3) tax-exempt nonprofit corporation like the UM Foundation, knowing their gifts are held separate from state funds and will be used in accordance with their wishes. 

• Safeguards the privacy of donors who may not want the details of their personal finances to become a matter of public record and ensures confidentiality or anonymity when requested. 

• Provides appropriate acknowledgement and recognition, informs donors of the impact of their giving and helps donors experience the joy of philanthropic giving. 

• Offers engagement with professional staff who are passionate about delivering exceptional donor experiences. 

• Ensures oversight by an independent governing Board of Trustees committed to fulfill their fiduciary responsibility, act with diligence and make good-faith decisions consistent with the UM Foundation mission. 

• Fosters opportunities for individuals to engage through their volunteer service and financial contributions (gifts) to help advance the UM mission. 

• Adheres to federal and Montana law pertaining to private corporations and nonprofit organizations. The UM Foundation has been extended tax-exempt 501(c)(3) status enabling donors to deduct their gifts to the extent allowed by law; files an IRS Form 990 annually; operates under an agreement with UM that is reviewed and approved by the Montana University System; annually shares independently audited financial statements; adheres to bylaws; and publishes an annual report. 

No, the UM Foundation and the University of Montana Alumni Association are both independent, nonprofit corporations. The UM Alumni Association is led by a Board of Directors. Its mission is to create and sustain meaningful and lifelong connections between alumni and friends of the University and each other. However, the UM Foundation and UM Alumni Association frequently collaborate to create meaningful engagement opportunities for UM alumni and donors. 

UM donors are individuals, families, businesses and private foundations that contribute philanthropic gifts to support the mission of UM. Each year, thousands of gifts are received from UM alumni and non-alumni alike, and from both Montana residents and out-of-state residents. Students at UM benefit tremendously from this generosity. Every donor gift is significant and helps to maintain and grow UM’s excellence and distinction. 

Most donors contribute to UM because they believe that higher education is a pathway to making lives better. Some feel a specific learning experience, a faculty member or a place on campus helped shape them into who they are today. Some are interested in helping students with financial limitations, in giving to a field of study important to them, in supporting an innovative research initiative or in contributing to ensure students have access to learning environments to foster their success. 

The UM Foundation is committed to maintaining the confidentiality of donor and gift information. In addition, if a donor wishes to remain anonymous, the UM Foundation will honor that request to the fullest extent allowable.

The University of Montana Foundation is an independent, nonprofit corporation with a mission to inspire philanthropic support to enhance excellence and opportunity at the University of Montana. Similar to other public university-affiliated foundations, the Foundation assesses fees to support future development activities and the ongoing operations of the Foundation. For every $1 in fees received, the UM Foundation inspires $8 in new gifts to benefit the University of Montana. To learn more about the UM Foundation’s current fees, please visit UM Foundation's Gift Management and Fees. 

The UM Foundation is committed to respecting the privacy of all donors, according to their wishes,  to the fullest extent allowable and consistent with our mission to support UM. This commitment to maintaining confidentiality of all donor and gift information is a pillar of the UM Foundation’s core values to deliver an exceptional donor experience. In general, the UM Foundation will only disclose gift information with the consent of the donor and in accordance with our privacy notice and policies.  

The Donor Bill of Rights was developed by the American Association of Fund-Raising Counsel (AAFRC), Association for Healthcare Philanthropy (AHP), Council for Advancement and Support of Education (CASE), and the Association of Fundraising Professionals (AFP), and adopted in November 1993. The UM Foundation also acknowledges the Donor Bill of Rights. 

Donors designate how their gifts are to be used by UM. Designated gifts are managed by the UM Foundation to ensure they are used according to each donor’s designation. 

Excellence Fund 

Gifts directed to the Excellence Fund provide the UM President with flexibility to allocate resources to vital opportunities and needs as they arise throughout the school year. 

Impact Funds 

Gifts to Impact Funds provide school, college and program leaders with a flexible source of funding that can be used where it is needed most. 

University Priorities 

The UM President sets priorities for which the UM Foundation seeks philanthropic gifts. These include priorities for scholarships, experiential learning opportunities, academic programs, learning environments, faculty and other needs. 

Many donors make gifts that are intended to be used in the near-term by UM to support students, programs, faculty and staff. While the impact of these gifts may last for generations, these are called current gifts. 

Some donors make gifts directed to an endowment fund which will benefit students, programs, faculty or staff in perpetuity. These are called endowed gifts. The UM Foundation invests these gifts in a pooled endowment. A percentage of each endowed fund’s balance is made available annually to support the donor’s designated purpose. While the impact of these gifts continue in perpetuity, our annual Endowment Report provides detailed information on the UM Foundation’s endowment and activity for each fiscal year. Visit our News and Information web page to read our Endowment Report.  

To learn more about making a current or an endowed gift, please contact the UM Foundation at 800-443-2593. 

The UM Foundation’s endowment is comprised of many endowment funds established by donors to support scholarships, graduate fellowships, academic and student support programs, faculty and staff, and other University initiatives.

A scholarship is a financial award that helps a student pay the cost of college attendance. Scholarships are awarded to UM students based on financial need, academic merit or other criteria. Unlike loans, scholarships are not repaid by students.