Donors may be consulted. The advancement office should be involved in any such discussions. The donor will lose his tax deduction if his gift is not considered completed by virtue of exercising control over the funds. The college has a policy for externally funded grants and contracts. See Section B.XIV.05 of the Faculty Handbook.
Grants differ from gifts.
Gifts involve voluntarily relinquishing resources without the expectation of goods or services in return. Grants generally require the college to perform a service. Particular care must be exercised to assure that the college can perform the contracted service. Some fund raising activities are sales rather than gifts. Sales of goods with profits benefiting a program are not gifts in most cases.