7
Voluntary Nonexchange Transactions
•
Legislative or contractual agreements
entered into willingly by two or more
parties
•
Examples
–
non-entitlement grant programs
–
private donations
•
•
Both parties may be governments or one party may be a nongovernmental entity, including and individual.
Often the provider establishes purpose restrictions and eligibility requirements.
Principal characteristics of voluntary nonexchange transactions are:
1)
they are not imposed on the provider or the recipient, and
2)
fulfillment of eligibility requirements is essential for a transaction to occur