1.1 City building is a collective and ongoing endeavour. Seeking or obtaining voluntary donations for community benefits provides valuable contributions to city building. The solicitation and acceptance of donations should respect relevant legislative and policy provisions and occur within an ethical framework that preserves the integrity of municipal decision-making processes.
2.1 The purpose of this policy is to:
3.1 The City’s Donation Policy applies to:
The policy does not apply to:
The act of acknowledging the memory or impact of people, places, events and ideas through the naming of City properties or assets. It can include positive and honorific celebrations of the past and present, as well as acknowledgements of other dimensions of history and culture. Public commemorations – such as the naming of streets and properties, and representation in monuments and plaques – are one way that communities demonstrate what they believe is important to remember.
A cash or in-kind contribution to the City without expectation of benefit or business relationship, and that qualifies for a tax receipt. There are two types of Donations:
The promotion or sale of goods, services or enterprise by an individual, group or organization (charitable or non-profit) with the intent to raise funds for a charitable or non-profit organization or cause.
Financial assistance that provides direct support to City programming, including, without limitation, City services, programs, research or infrastructure.
The voluntary transfer of assets, including property, other than cash (non-cash donations), without consideration. In-kind donations do not constitute a business relationship. In-kind donations generally qualify for a tax receipt.
A testamentary donation, gift or bequest that an estate distributes after a death.
The naming of City property after an individual or corporation in return for a financial or in-kind contribution from an individual, an estate, a corporation, or a foundation. Typically, such support is given to enhance the community and to help sustain the property in question for a fixed term.
Any persons or entities who are, or deemed to be, unrelated or independent of each other and who deal with each other without influence, control, direction, and/or common interest. Likewise, persons or entities that are, or deemed NOT to be, at arm’s length with each other includes, but is not limited to, related persons or entities, associated companies, subsidiaries, parent companies, foundations and/or charities that are affiliated with them, or other entities under common ownership, control, or aligned interests that could gain a commercial advantage for itself or through its association with the person or entity.
A long-term strategic plan to attract charitable gifts, donations, actions and efforts to promote sustainable improvements to the public welfare.
A mutually beneficial business arrangement wherein an external party, whether for profit or otherwise, provides cash or in-kind services to the City in return for commercial advantage. This payback may take the form of publicity, promotional consideration, merchandising opportunities, etc. Because of these commercial benefits, a sponsorship does not qualify for a tax receipt.
Physical land, and anything permanently attached to it, such as buildings, structures, or other features. This also includes the rights associated with owning or using the land, such as the right to lease, sell, or develop the property.
5.1 The City or its delegates may elect to accept or decline any donation. If the donation is not accepted, the donor shall be advised of the reason.
5.2 The City shall not accept donations that are conditional upon the endorsement of any product, service or supplier or that confer valuable consideration or commercial benefits for a donor.
5.3 Donations must not confer any benefit or advantage, commercial or otherwise, on the donor or any person or entity not dealing at arm’s length with the donor as a result of the donation.
5.4 As part of its due diligence, prior to proceeding with a donation, the recipient Division, agency or corporation is responsible for consulting with the Lobbyist Register and relevant stakeholders, where necessary, and conducting a risk/benefit assessment.
5.5 Donors must inform the City if they are a registered lobbyist or if their donation coincides with a planning approval or procurement process in which they or their organization, including those not at arm’s length, are involved.
5.6 Donations cannot confer a real or perceived personal benefit to any City employee or Elected Official or their immediate family members. The City will not accept donations that violate City by-laws or policies, the laws or treaties of other orders of government.
5.7 Conditions and contributions may only be requested or proposed from an applicant seeking an approval, permit or license from the City or its agencies or corporations if such requests are permitted or required by that decision-making process.
5.8 In the case of an applicant seeking an approval, permit or license from the City or its agencies or corporations, beyond matters permitted or required as part of the decision-making process, donations from the applicant or their representative may only be requested or accepted at arm’s length from the decision-making process:
5.8.1 Applicants seeking an approval, permit or licence shall not concurrently offer or make donations to the City or an agency or corporation thereof;
5.8.2 Donations shall not be solicited or accepted from applicants with a concurrent application for an approval, permit or licence.
5.9 Current and prospective applicants, bidders or suppliers to the City that decline solicitations for donations shall not be penalized in the planning approval process or procurement decisions of the City.
5.10 Donations may not be solicited and offers may not be accepted from applicants, their representatives, or any parties not dealing at arm’s length with the applicant during a planning approval process, including when an application is proposed or under consideration.
5.11 There is a blackout period in planning approval processes during which discussions about donations are not permitted and donations may not be offered, solicited or accepted. For elected officials and staff, the blackout period commences when they receive information, formally or informally, that an individual, organization or company has an interest or intent in submitting an application for planning approval. For specific types of planning applications, the end of the blackout period is as follows:
5.11.1 For official plan amendments, zoning by-law amendments and combined applications is the date of expiry of the appeal period after Council makes its decision on the by-law(s) and there is no appeal; or, if appealed, is the date the Ontario Municipal Board makes its decision;
5.11.2 For plans of subdivision and condominium is the date of expiry of the appeal period after the City makes its decision on draft plan approval and there is no appeal; or, if appealed, is the date the Ontario Municipal Board makes its decision;
5.11.3 For site plan control is the date the site plan agreement is executed; or, if appealed, is the date the Ontario Municipal Board makes its decision;
5.11.4 For part lot control exemption by-laws is the date Council adopts or refuses to adopt the by-law;
5.11.5 For minor variance and consent to sever is the date of expiry of the appeal period after the Committee of Adjustment makes its decision and there is no appeal; or, if appealed, is the date the appeal body makes its decision.
5.12 Donations may not be solicited and offers may not be made by or accepted from suppliers, their representatives, or any parties not dealing at arm’s length with the supplier during an active procurement process.
5.13 Discussions about donations are not permitted, and donations may not be offered, solicited or accepted during a procurement process. The blackout period for procurements commences with the issuance of the notice of intended procurement, to the award and execution of the final form of contract.
5.14 The City shall not accept donations that are conditional upon the endorsement of any product, service or supplier.
5.15 Donations of real property to the City or its agencies or corporations may only be accepted with the prior approval of Council, which is to include approval of the budget for any future or ongoing obligations arising from the donation.
5.16 Where appropriate, approval of a donation of real property is to include the use and disposition of the real property, including the net proceeds arising from a property transaction.
5.17 Donations of real property to the City or its agencies or corporations, whether designated for specific purposes or not, will be held in the name of the City.
5.18 Donations of real property designated for specific purposes are exempt from the City’s property management process.
6.1 Eligible donations received will be used to support City projects, programs, services, durable assets, capital facilities, asset improvement, restoration, capital maintenance, or provide cash for these purposes.
6.2 Donations must be for purposes consistent with the City’s mandate, programs, services or activities or must be deemed to be in the public interest of the City.
6.3 Donations are only to be accepted if the receiving Division has the capacity to meet the initial and ongoing costs and obligations associated with the donation.
6.4 Donors who wish to make donations intended for a specific purpose and organizations independent of the City should be directed, where possible, to the intended organization.
7.1 The City may decline donations from any donor who, in the opinion of the Council or of a Division Head under delegated authority, represents a reputational risk to the City through involvement in activities that are contrary to the values of the City. Examples of ineligible donors include, but are not limited to:
7.2 The City may not accept donations from individuals or organizations currently in litigation against the City, or that have been suspended or disqualified from doing business with the City.
8.1 Subject to Section 3.2, donations of cash designated for specific purposes will only be accepted by the City where Council has authorized the specific purpose through a philanthropic or fundraising campaign (whether conducted by staff or third parties), and where the necessary capital or revenue account has been established or a reserve created and the necessary by-law enacted.
8.1.1 Instructional information on how to make a donation that is provided by a Division on its website or in its printed general information brochures is not considered to be a fundraising campaign.
8.2 Despite clause 3.1, a Division Head has delegated authority to accept and spend unsolicited donations where the donation:
8.2.1 Has a current value that does not exceed $50,000 and cumulative donations from the same donor for the same purpose does not exceed $50,000 in a fiscal year;
8.2.2 Is not in the form of real property;
8.2.3 Does not involve a proposal to commemoratively name or naming rights; and
8.2.4 Is in compliance with this policy.
8.3 Where donations are being collected for a major project, philanthropic campaign, or fundraising activities, the funds will be held in an appropriate account or reserve until sufficient funds for the proposed project have been obtained. Funds from donations may not be released, and the proposed project may not commence until sufficient funds to complete the project have been secured, and spending authority has been obtained. Where appropriate, sunset provisions should be identified at the outset for major projects and fundraising initiatives to provide guidance in the event funding targets are not attained.
8.4 Solicited and unsolicited donations that remain unspent at the end of the year may be carried over to the following budget year only upon Council approval (the request would be made through the fourth quarter preliminary budget variance report prior to the approval of the following year’s budget).
9.1 Offers or proposals for donations are to be referred to the appropriate City division either directly or via Strategic Partnerships.
9.2 For accurate reporting and tracking of all donations to the City and its divisions, the DonateTO Online Platform is the preferred method for encouraging donations to the City, including Council-approved philanthropic or fundraising campaigns.
9.3 A tax receipt will be issued for donations of $20 or more received through the DonateTO Online Platform. For all other donations, an official donation receipt and letter of acknowledgement and gratitude may be provided at the discretion of Accounting Services or upon request.
9.4 Significant donations may be officially recognized at the discretion of Council and with the agreement of the donor, but recognition may not include naming rights or commemorative naming considerations.
9.5 All donations must be documented by the City, or an agency or corporation thereof, in the following form, and reported through the variance reporting for donations under $50,000 and to City Council for donations of $50,000 or more:
9.6 When a donation is accepted from a donor, it is the responsibility of the recipient City division, agency or corporation thereof to determine whether or not the donation qualifies for an income tax receipt (see related policies below).
9.7 Canada Revenue Agency requires satisfactory evidence of the fair market value of an eligible in-kind donation. The responsibility for providing this information rests with the donor. The responsibility for securing this information for the purposes of issuing a tax receipt rests with the City division, agencies or corporations benefiting from the donation.
9.8 In situations where a donation is not of direct benefit to a particular City division, Strategic Partnerships, in consultation with Accounting Services, will be responsible for securing fair market value evidence from the donor.
9.9 With respect to in-kind donations, the recipient City division, agency or corporation may retain the donation or, with the donor’s consent, if sold within a reasonable amount of time of accepting the donation, sell the asset, applying the proceeds as necessary. Consideration of the terms of the agreements will be applied as required.
9.10 Donations designated for specific purposes or for the general purpose of a specific program, including donations of real property and the net proceeds of any property transaction, are to be used by the program for the purpose specified by the donor.
9.11 For purposes of financial control and accountability, donations are to be credited to appropriate accounts of the City, agency or corporation.
9.12 Donations may not be managed informally or held in personal or external accounts or trust funds. This would not apply to independent community fundraising campaigns until such time that campaign contributions are donated to the City or its agencies or corporations.
9.13 Where projects or assets of the City or its agencies or corporations are funded in whole or in part by donations, the donated funds for such projects or assets must come directly from an account of the City or its agencies and corporations.
9.14 Donations of cash or property to the City or its agencies or corporations, where the purpose is not specified and which are not part of an approved fundraising initiative, are deemed to be undesignated and become contributions to general revenue of the City or assets of the City, unless the recipient Division seeks Council approval for the requested purpose.
9.15 As part of the quarterly budget variance reporting process, each Division shall disclose the amount of all donations received to date and report on how the donations were used in the form prescribed by the Deputy City Manager and Chief Financial Officer.
9.16 On an annual basis, Strategic Partnerships shall provide Council with a report summarizing the City’s donation activity.
10.1 The criteria and process surrounding the issuing of tax receipts for eligible donations
10.3 Accounting for Donations to Council Member-Organized Community Events
10.4 Legacy Gifts – City of Toronto
10.5 International Disaster Relief Policy
This policy was adopted by City Council in October 2013 and updated by staff (revisions in italics) in August 2025.