Update: Say what you will about the Duck Athletic Department poaching gifts from the academic side – at least they make sure the donors are good for the money first. Jeff Manning has the latest on PSU here:
When an obscure technology entrepreneur approached Portland State University earlier this month promising a record anonymous $100 million donation, eager administrators rushed to seal the deal and prepare to spread what was sure to be national news.
Just days after their first contact with the prized new benefactor, administrators of the public university decided to prepare for a grand announcement. President Wim Wiewel invited the governor and the mayor. University managers prepared talking points on the gift’s dramatic city and statewide impact, the donor’s no-strings-attached contribution and the precise ways in which it would be invested and spent.
Just a few problems: The would-be donor, John Michael Fitzpatrick, 51, turns out to be a tech promoter with hardly any obvious assets and a history of insolvency. A quick Internet check reveals two bankruptcies, in 2011 and 2012, a failed U.S. Senate primary bid and a bizarre controversy over an anti child-pornography documentary he produced that contained explicit images.
… Three Portland State trustees with business expertise said [PSU President Wim Wiewel] still hadn’t informed them of the giant potential gift as of Thursday, even though one board member met that day with the president. Decisions on how to allocate funds to the endowment are the province of the trustees, not the president. Wiewel planned to almost double the $57 million fund, and to spend money on specific student, faculty and research programs, according to background documents Portland State officials prepared in advance of the news conference.
8/21/2015: Portland State to get $100M from mystery Saudi donor. Or maybe not.
Rich Read has the story in the Oregonian, here. Reminds me of UO’s big white tent fiasco. These things happen.
Ah, but these things should never happen, and do not happen when folks in the fundraising profession adhere to best practices. Best practice (also known as common sense) is to wait to announce a gift or pledge until AFTER the formal, legally binding gift/pledge agreement has been signed off on by all parties. Even better practice is to wait until the check clears.
Well, I guess UO isn’t the only place run by fools!
But didn’t I read sometime back about a $billion gift that was going to be announced at the big tent — but then wasn’t?
coughcough “gift or pledge” cough cough yes, Bernie, same dif