SURVEY. 1. Foundation vitals 2. Foundation priorities 3. Foundation methods 4. Nonprofit feedback 5. Looking ahead
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1 2014 4/1 2015
2 SURVEY 1. Foundation vitals 2. Foundation priorities 3. Foundation methods 4. Nonprofit feedback 5. Looking ahead
3 1 GA FOUNDATION VITALS Survey respondents compared to 2012 responses and all Georgia foundations
4 RESPONDENTS
5 RESPONDENTS More from Central & NE Smaller concentration of Atlanta respondents
6 RESPONDENTS
7 GIVING $688M $415M
8 GIVING Amount of giving represented doubled in metro Atlanta, NE and Central Georgia
9 GIVING RANGE
10 GIVING RANGE 2% % 21% 4% 43%
11 ASSETS Up from 57% in 2012 Respondents: $8,312,911,255 All GA: $13,200,882,765
12 ASSETS
13 ASSETS 3% 3% 13% 41% 43% $50 million and over $5 million-$50 million $1 million-$5 million $500,000-$1 million $250,000-$ Under $250,000 37% 11% 14% 13% 22% Survey Respondents All GA
14 GIVING Respondents: $688 million All GA (2012): $832 million
15 2 FOUNDATION PRIORITIES Giving vs. other states, by type of support, by subject, overall trends
16 OTHER STATES State Number of Foundations Total Giving % of Grant Dollars Awarded In-State Giving Per Capita Alabama 930 $185,146, % $38 Georgia 1,530 $931,700, % $94 California 7,742 $6,942,249, % $182 New York 9,880 $8,731,190, % $446 Florida 5,144 $1,280,004, % $66
17 TYPE OF SUPPORT General program & operating support 50.2% Building construction or renovation 33.3% Endowment 9.4% Support to launch new programs or initiatives Advocacy Capacity building Information technology Debt relief Support for a social enterprise 2.8% 1.8% 1.2% 0.8% 0.3% 0.3%
18 BY SUBJECT International Affairs, Development, Peace and Human Rights 0.8% Science and Technology Public 1.5% Affairs/Society Benefit 1.5% Human Services 22.4% Social Sciences 4.2% Arts and Culture 6.0% Education 34.8% Health 23.2% Survey Respondents Environment and Animals 5.5% All U.S. Giving
19 SUBJECT Education Health Human Services Arts and Culture Environment and Animals Religion Public Affairs / Society Benefit International Affairs Other 6.0% 7.8% 5.5% 6.2% 1.5% 3.5% 1.5% 3.6% 0.8% 0.1% 4.2% 1.1% 13.0% 34.8% 25.3% 23.2% 22.4% 2014 Respondents 2012 Respondents 39.2%
20 EDUCATION Higher Education 55.0% 69.7% Early Learning/Pre-K 9.2% 20.7% Private K-12 Traditional Public K-12 After-School Education 8.0% 13.6% 7.4% 9.6% 2.7% 2014 Respondents 2012 Respondents Charter Schools Technical Education 1.8% 0.7% 1.2% 0.4%
21 HEALTH Hospitals 71.1% Charity Healthcare and Clinics 7.9% Mental and Behavioral Health 7.2% Scientific/Medical Research 6.2% Public Health 5.8% Health Associations 1.6% Dentistry 0.3%
22 HUMAN SERVICES Human Services-Multipurpose Youth Development Housing and Shelter 24.0% 22.0% 21.9% Employment 12.2% Veterans Services Food, Nutrition, and Agriculture Safety and Disaster Crime, Justice, and Legal Services Recreation and Sports 5.9% 4.6% 3.3% 3.1% 3.0%
23 TRENDS How does 2013 giving compare to 2012? What do you project for giving in 2014? 29% Increase 15% 56% Decrease About the same 10% 26% 64 %
24 3 FOUNDATION METHODS Grantee evaluation, reporting, communication & advocacy
25 EVALUATING $ Leadership DEALMAKER DEALBREAKER Finances DEALMAKER DEALBREAKER
26 DEALMAKERS What characteristics of nonprofits are most important to you in assessing whether to award a grant to a particular organization? Strong executive leadership Strong board leadership Evidence of program sustainability Financial stability Reputation in the community Broad base of financial support Strong internal financial controls Record of working collaboratively with other nonprofit organizations Good system for measuring performance and impact Quality of grant proposal Innovative approaches to problem solving Established relationship with your foundation Long operating track record Strong volunteer support (aside from board leadership)
27 DEALBREAKERS If a grant-seeking organization exhibited any of the following issues, which of these issues would give you the most concern about making a grant? No evidence of financial sustainability History of frequent leadership turnover Significant debt No evidence of a strategic plan Poorly written grant proposal No audit report is available Overlap of mission or programs with other nonprofit organization(s) Recent leadership turnover Operating statement shows loss in last fiscal year Lack of organizational history
28 COMMUNICATE 92% In-person meetings Phone calls 87% 89% Letters 74% Website 70% Electronic newsletter Annual report 21% 21% Facebook 18% Brochure 10% Twitter LinkedIn 5% 7%
29 REPORTING Require Grant Report Frequency of Reporting
30 REPORTING Ensuring compliance with objectives for which funding was provided 72% Sharing reports with the foundation s trustees 59% Working actively with the reporting grantee to understand successes and failures 36% Sharing lessons from one grant with other grantees or potential grantees 18% Sharing lessons with other funders or potential funders 13%
31 ADVOCACY Does your foundation engage directly in advocating on issues related to public policy in Georgia? Did not respond 7% Yes 11% [CATEGOR Y NAME] [PE RC
32 Number of respondents ADVOCACY Does your foundation engage directly in advocating on issues related to public policy in Georgia? Yes No Independent Family Community Corporate Health Legacy Grantmaking Public Charity
33 ADVOCACY To what extent does your staff or trustees consider advocating for sound public policy to be an important part of your foundation s grantmaking program? TRUSTEES STAFF
34 4 GCN MEMBER FEEDBACK Results of 2014 GCN survey (426 respondents) Relationship with foundations, challenges, research methods, perception of foundations
35 WHO By Focus By Annual Expenditures By Geography
36 FUNDING Percent of 2013 annual budget funded by foundation grants Foundations fund 30% of the annual budgets of 75% of nonprofits
37 RELIANCE Reliance on Foundations Projected Reliance on Foundations 2014
38 CHALLENGES Raising unrestricted revenue/general Operating Support Raising funding that covers full costs of programs Diversifying funding sources Achieving Long-term financial sustainability Not enough staff Meeting Community Demand for service or programs Marketing, outreach and community engagement Developing cash reserves Having regular, reliable cash flow Measuring impact Managing or pursuing growth Cuts in government funding Not enough support from board IT concerns Insufficient revenue Engaging and mobilizing volunteers Pursuing program innovation Managing a facility or fixed asset Adapting to changes due to the Affordable Care Act Adapting to changing community demographics Other (please specify) 4% 10% 9% 11% 17% 28% 25% 24% 24% 46% 45% 44% 42% 39% 35% 34% 34% 63% 60% 60% 57% $ 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
39 FUNDING NEEDS General program & operating support Capacity building (e.g., professional development, strategic planning, succession planning) Support to launch new programs or initiatives Information Technology Advocacy Building construction or renovation Endowment support Foundation Perception Support for a social enterprise (i.e. an earned revenue source for the organization) Nonprofit Perception Debt Relief
40 FUNDING NEEDS General program & operating support Support to launch new programs or initiatives Capacity building (e.g., professional development, strategic planning, succession planning) Building construction or renovation Information Technology Advocacy Support for a social enterprise (i.e. an earned revenue source for the organization) Endowment support Likelihood to Fund Likelihood to request funding Debt Relief
41 HOW YOU RESEARCH Typically Used Most Helpful Website Published grant list Phone call with staff representative or trustee 990PF via Guidestar Foundation Center/ Foundation Directory Online Printed materials Meeting with staff representative or trustee Other Grant/ Fundraising Databases Fundraising Consultant
42 PRIORITIES 33% 41.5% K Clearly Stated +6% Moderately Clear 17% K ~ Varies Widely 8.5% L Unclear
43 37% 44% K Clearly Stated Moderately Clear PROCEDURES 15% K ~ Varies Widely 4% L Unclear +7% -4%
44 GRANT DECISIONS 18% 47% K Clear & Helpful Moderately Clear & Helpful 21% K ~ Varies Widely 15% L Unclear & Not Helpful
45 UNSOLICITED INQUIRIES 8% 29.5% K Very Responsive Moderately Responsive 41.5% K ~ Varies Widely 21% L Unresponsive -17%
46 5 LOOKING AHEAD Foundations perceptions of pressing issues in Georgia
47 ISSUES abc 1 K-12 Education 2 Early Learning 3 Health Care 4 Child Welfare 5 Higher Education
48 ISSUES Secondary and primary education effectiveness Early childhood education availability and quality Healthcare access and affordability Child welfare Higher education access and affordability Job training and workforce development Economic development Food security Water availability and water quality Aging and elder care issues Homelessness Transportation Affordable housing development Veterans issues Arts and culture funding Urban parks and greenspace Immigration Land conservation Importance of Issue Likelihood to Fund
49 TAKEAWAYS Georgia foundation investment stays in Georgia Foundation giving follows community needs Big dollars; small portion; growing reliance? Foundations on common ground with nonprofits Plenty of opportunity lies ahead
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