Transcript Slide 1

Grants From Both Sides Now:
A Discussion
Massachusetts Land Trust Coalition Conference
March 21, 2015
Ellen Gugel, GPC, Grants & More
Bill Hinkley, Massachusetts Environmental Trust
Pamela Kane, Greater Worcester Community
Foundation
Katie White, Conservation Law Foundation
Philanthropy Landscape
• Out of $335B in private
giving in the U.S. in
2013, only 15% from
foundations
• Individuals (living): 72%
• Bequests (individuals
after death): 8%
• Corporate (excluding
corporate foundations):
5%
SOURCE: Giving USA Foundation | Giving USA 2014
Environmental Philanthropy
• 2.9% of overall
philanthropy to
environment: $9.72B in
2013 (Giving USA 2014)
• 15% of overall
philanthropy from
foundations in 2013
(Giving USA 2014)
• About 7% of foundation
funding to environment
(Key Facts on U.S. Foundations 2014,
Foundation Center)
SOURCE: Giving USA Foundation | Giving USA 2014
Foundation Landscape
• 86,192 foundations in the U.S. in 2012, an
increase of 80% in the past 10 years
• In 2012, total assets of $715B, total giving $52B
• Foundation giving increasing, but slowly; 2011 first
year above pre-recession level of 2008
• Meanwhile…in 2013, 1.5 million public charities
registered with the IRS – an increase of nearly
30% over ten years...yes, there really is increased
competition, yet foundation giving hasn’t kept pace
Foundation Landscape (continued)
• But…most, as many as 60% of foundations do not accept
unsolicited proposals and 77% of family foundations say they
do not accept unsolicited proposals
(Source: “Scaling the Wall: 5 Ways to Get Unsolicited Proposals Heard”, Rick
Cohen, Nonprofit Quarterly, August 11, 2014)
• Need a connection – esp family and corporate foundations
– Board members, ED, staff may know trustees at the
foundation (research Form 990s)
– Corporate foundations – usually need a connection:
employees, vendors; to get large grants, typically have a
senior level employee from large corporation on your board
• In some cases, it means foundation will accept an LOI
• Send information, working papers or an LOI anyway, where
interests align
What Foundations Fund
• The top three most funded primary issue areas within
Environment in 2011:
– Energy (18%)
– Biodiversity & Species Preservation (14%)
– Terrestrial Ecosystems & Land Use (12%)
• Funding for Population and Sustainable Agriculture & Food
Systems grew dramatically from 2009 to 2011, but still
makes up a small fraction
Source: Tracking the Field: Volume 4, Analyzing Trends in Environmental
Grantmaking, Environmental Grantmakers Association
Other Funders
• Funding for sustainable agriculture – foundations focused
on local agriculture, family nutrition, childhood obesity,
health & nutrition, physical activity (e.g., gardening,
farming), hunger
– Examples: Reliant Medical Group Foundation, Project Bread,
health insurance foundations (e.g., Blue Cross Blue Shield), USDA
grant programs, Mass Dept. of Agricultural Resources, youth
development funders (e.g., for urban gardens), even workforce
development if you are training or developing markets for a new
generation of farmers
• Education funders for environmental education programs
• What others can you think of?
More Foundation Facts
• Grant types
– Over 50% program/project
– Less than 20% general operating
– 15-20% capital (e.g., land or CR purchase,
building, renovation, equipment)
• IRS requires independent and corporate
foundations to pay out at least 5% of the
value of their investment assets annually
Questions? Thoughts?
The Fundraising Cycle
Stewardship
Research
and
Qualification
Solicitation
Cultivation
Research
• Online search tools (fee-based):
– Foundation Center’s Foundation Directory Online (FDO):
https://fconline.foundationcenter.org (subscription only, but
available at Boston Public Library, AGM, and select
libraries)
– Associated Grant Makers (AGM) Grant Makers Directory
(GMD): http://www.agmconnect.org/
– Foundation Search www.foundationsearch.com
• Free online search databases:
http://grantsandmore.org/resources
• “Ebb & Flow” online newsletter from Mass Division of
Ecological Restoration has funding leads
• Foundation web sites
• Board members, program staff, conferences
• Other organizations (annual reports of peers)
• Not all qualified prospects will result in funding
Cultivation
• Reach out to foundations
– Introductions, phone calls, emails, meetings
• Treat meetings with program officers as an informational
interview
• Prepare a concise project description and demonstrate the
connection to the funder’s goals
• The goal is to secure an invitation to submit a proposal to fund
a specific project
• Make sure the program you are seeking funding for is a true
fit for the foundation and for your organization
• Don’t let a “no” answer deter you from a prospect; they might
be interested in another area of your work – have a menu of
options ready.
Solicitation
• LOIs, proposals, and applications should
demonstrate:
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The need
What you intend to do with funding
Measurable outcomes and metrics
Why your organization is the best suited to do it
What the connection is to the donor’s mission
Budget and timeline
Other partners and other funders
Organizational and program sustainability
• Short and simple: the funders don’t always need
every detail to understand the project and see if
it’s a fit with their focus and mission.
Stewardship
• Timely acknowledgement and follow-up.
• Regular reporting and updating.
• Building relationships
– Press clippings, phone call updates, invite for a site
visit or to an upcoming event, send annual reports,
success stories, links to videos
• If project changes after a grant award,
communicate with the funder, explain why, and
ask for additional time to complete the
deliverables, if necessary.
• Funder should feel they are part of the project.
Their support makes your work possible.
Questions? Thoughts?
Foundation Trends
• Increasing requirement for measurable
outcomes, ROI
• Move to electronic portal submissions, email
submissions; fewer paper copies
• Move to two-phase process, LOI first then full
proposal if invited – saves everyone time
• General/operating support remains steady;
though lots of talk about the need for more, little
movement toward more general support
• The rise of Donor Advised Funds (DAFs) – a
threat to philanthropy or encourage more giving?
Foundation Trends –
The Rise of “DAFs”
• 201,631 DAF accounts in 2012, more than
double the 86,192 foundations
• $45.4B in assets, compared to $715B in
foundations
• $8.6B in giving, compared to $52B from
foundations
• Average DAF account size was $224,921 (2012)
• Fastest growing philanthropic vehicle – grew
40% in past 5 years
Source: National Philanthropic Trust
Resources/Links
• Foundation Center: access to Foundation Directory Online (FDO)
http://www.foundationcenter.org/ (fee)
• Associated Grant Makers (AGM) – workshops, “Meet the Donors”
panels, access to AGM database http://www.agmconnect.org/ (fee)
• Fee-based search databases available at large libraries, like BPL –
contact library to find out first
• Grants & More resources http://www.grantsandmore.org/resources links to free search engines and other resources
• Mass Division of Ecological Restoration Ebb & Flow newsletter –
Russ Cohen produces this newsletter, featuring a large section of grant
opportunities and funders: email [email protected] with
“subscribe to Ebb & Flow” in the subject line; include your name,
city/town and organization affiliation
• Grant Readiness Checklist for your organization, program/project
http://www.grantsandmore.org/grantchecklist.html
Massachusetts Funders – a
Sample
• Amelia Peabody Charitable Fund (traditionally funds capital
campaigns for land conservation) – getting harder
• Jane’s Trust – difficult
• Cabot Family Charitable Trust – flooded with many types of requests
• National Fish & Wildlife Foundation
• Other traditional funders, many small: Fields Pond Foundation,
Wharton Trust, New England Grassroots Environment Fund, Fund for
the Environment at The Boston Foundation, Orchard Foundation,
Green Leaf Foundation, Norcross Wildlife Foundation, Prospect Hill
Foundation
• Community foundations – check your local CF for guidelines and to
discuss other possible funding sources
• Several state programs through Executive Office, MET, DCR, DFW
• Foundations in your specific city/town/region
Questions? Thoughts?
Contact Us
Ellen Gugel, GPC, Principal
Grants & More
[email protected]
508-320-9943
www.grantsandmore.org
Pamela Kane, Senior Program Officer
Greater Worcester Community Foundation
[email protected]
508-755-0980
www.greaterworcester.org
Katie White, Director of Foundation
Relations
Conservation Law Foundation
[email protected]
617-350-0990
www.clf.org
Bill Hinkley, Program Director
Massachusetts Environmental Trust
[email protected]
617-626-1177
www.mass.gov/eea/met