Streamlining Grantmaking: Perception vs. Reality?

May 20, 2013

TakingStockReportcoverGrants should facilitate the mission-critical work of nonprofits, but sometimes that’s not exactly how it works.

A new report by Grants Managers Network and the Project Streamline collaborative reveals that after five years of promoting effective ways to improve grant requirements, many nonprofits continue to feel burdened.

More than 700 grantmakers and grantseekers participated in a survey that revealed a continuing gap between grantmakers — who say they have streamlined — and grantseekers — who continue to find processes too unwieldy. Here’s a quick summary of the findings from the new report, Practices That Matter.

Project Streamline Principles Widely Recognized
Project Streamline’s principles are widely recognized in the grantmaking community. Almost all grantmakers say they have made or are planning streamlining changes. Here’s what else they said:

  • 93% are familiar with the impact of grantmaking practice on nonprofits,
  • 90% are familiar with the principles of clear and straightforward grantmaking communications,
  • 87% are aware that taking a fresh look at application and reporting requirements is recommended,
  • 86% realize that reducing the burden on grantseekers is important,
  • 81% are familiar with “right-sizing” — where application and reporting requirements are in proportion to the grant size and type.

Unfortunately, it takes a long time for changes in individual practice to become true culture change. So, nonprofits still spend too much time meeting requirements that are poorly designed, redundant, inappropriately scaled or simply mystifying.

Continuing Issues for Grantmakers
The research showed some grantmaker progress and brought to light issues that remain.

1: Take a fresh look at information requirements.

  • More than 80% of grantmakers say they have revised application or reporting requirements to ask for only what they use in decision-making. But grantmakers still don’t like to accept information that’s not specifically developed for them.
  • In fact, 84% of grantseekers say grantmakers rarely or never accept common applications, and 62% rarely or never encounter a funder who accepts standard or no reports.

2: Right-size expectations.

  • Grantmakers say they are paying attention to the relationship between requirements and grant size and type; 55% say they have revised applications and 59% have revised reporting requirements to be appropriate to grant size.
  • But 72% of grantseekers say applications for small grants are rarely or never proportionate to the level of funding. The same number say they have rarely or never encountered a simplified application for repeat grants.

3: Reduce the burden.

  • 91% of grantmakers now use an online system or accept applications via email. With the shift toward electronic submission, 84% no longer require multiple copies of materials.
  • But going online doesn’t equal streamlining. Poorly designed and untested systems remain a big source of grantseeker aggravation. Grantseekers cite  system issues including:
    • forms in which data cannot be cut and pasted but must be input one item at a time,
    • forms with stringent character limits,
    • forms that don’t allow users to review all questions in advance, save work, or go back to previous responses,
    • and myriad other bugs.
  • Furthermore, 50% of grantseekers say paper systems are still prevalent among funders.

4: Provide clear and straightforward communications.

  • 91% of grantmakers say they have revised communication to make it clearer and more straightforward; 84% have made messages consistent across all platforms.
  • But getting clear guidance and reaching a person continue to be barriers for grantseekers, who report confusing, inconsistent and insufficient communication. Grantseekers say online systems too often stand in for direct communication, which builds an unintended barrier to relationship.

Read the entire Practices That Matter report. You can also take an interactive quiz to find out how “streamlining savvy” you are, download ​Making More Time for Mission, an overview of the report, and more.

How do you think grantmakers in Minnesota stack up against these national statistics? Let us know your experience.

- Susan Stehling, MCF communications associate


Charitable Giving Deduction: No Change for Minnesota, But Debate Continues in U.S. Congress

May 16, 2013

As in past years, Minnesotans will be able to claim a deduction for charitable gifts when filing their state income taxes next year.

The committee of Minnesota lawmakers who iron out the details of the tax plan to raise state revenue has dropped consideration of a House proposal that would have changed the tax deduction to a credit. The Minnesota Council on Foundations (MCF), along with other nonprofit organizations, opposed the proposed change.

As explained by MINNPOST, changing the state’s charitable giving tax deduction would have produced significant revenue for the state, but it posed a worrisome risk to an important revenue stream for charitable organizations.

MCF worked with other nonprofit advocates to ensure the Governor and Senate held fast in opposition to the House proposal. In addition to lobbying at the Capitol, the effort included a guest editorial in the Star Tribune.

But What of U.S. Tax Reform?
While the push for potentially harmful changes to charitable giving law seems to have waned in Minnesota, tax reform proposals are just gaining steam in the U.S. Congress.

The U.S. House Committee on Ways and Means continues to contemplate various tax reform proposals that impact the charitable sector.  Last week the committee issued a report proposing a variety of options, including changes to the federal charitable giving deduction.

MCF, in partnership with the  Charitable Giving Coalition, issued an immediate response to the report. We are particularly concerned about options that would unravel the charitable deduction and hurt our communities. We explained our concerns in a joint letter to all members of the U.S. House of Representatives.

Contact Your U.S. House Member
MCF is now contacting Minnesota’s Congressional representatives in Washington to explain concerns about the ideas in the working group report and to ask them to oppose changes in the federal charitable giving tax deduction. We encourage MCF members to also contact Minnesota’s members in the House of Representatives to express support for the current charitable giving tax deduction and reject proposed changes.

Do you have questions about state or federal tax reforms affecting the charitable giving deduction? Contact me at MCF.

– Bob Tracy, MCF director of government relations and public policy


Connecting Investment With Impact

May 14, 2013

GTCUWlogoDon’t miss MCF’s spring issue of Giving Forum, online now and in your mailbox, for a look at how Greater Twin Cities United Way‘s community investment strategy has evolved over the years in “Connecting Investment With Impact.”

In the article by Brian Paulson, director of innovation strategies at United Way, you’ll learn how the organization has gone from:

  • measuring activities
  • to focusing on outcome measures and building evidence
  • to creating emerging models of systems integration through collective impact.

And, you’ll be privy to lessons learned along the way.

For the complete piece, don’t miss the spring issue of Giving Forum.

- Susan Stehling, MCF communications associate




Foundation Program Officers Talk Evaluation

April 19, 2013

gfbannerDon’t miss the spring issue of MCF’s Giving Forum, where our brand new lead article represents a complete conversation we had with program officers: “Gauging Impact and Using Feedback.” In addition we’ve re-posted the video segment that you may have seen on the Philanthropy Potluck BlogPollen or MinnPost.

But Giving Forum online is the only place to both read the article and watch the video.

In the pieces, program officers from MCF-member foundations answer questions about:

  • how they evaluate grants and grantees,
  • how they obtain and use grant results,
  • what they’ve changed based on grantee feedback,
  • how they share the results,
  • why they think it is important for nonprofits to build evaluation into their work and more.

The insights of program officers from the following foundations are included:

How do you use evaluation at your foundation or nonprofit? Let us know.

- Susan Stehling, MCF communications associate


PFund Seeks Nominees for Power of One and Philanthropy Awards

April 5, 2013

pfund1aMCF member PFund Foundation has issued its call for nominations for two annual awards: Power of One and Power of Philanthropy.

The Power of One Award recognizes individuals who work to improve the quality of life for the LGBT community through efforts such as volunteering, activism and leadership. For this award, PFund seeks nominees who:

  • Show significant contributions that reflect the PFund mission and vision
  • Demonstrate depth and breadth of service to the LGBT community in Minnesota, Iowa, North Dakota, South Dakota or Wisconsin
  • Are community leaders or activists

The award recipient will receive $1,000 to give to a nonprofit organization of his/her choice and that also aligns with PFund’s vision and mission.

The Power of Philanthropy Award honors a community philanthropist whose work has inspired giving within and toward LGBT communities and has advanced social justice for LGBT and allied communities in the Upper Midwest. PFund seeks those who:

  • Have given generously and have inspired, educated or motivated others to give generously
  • Exemplify thoughtful, purposeful, responsive or innovative giving strategies
  • Demonstrate significant or visible impact on efforts to advance social justice for LGBT and allied communities in Minnesota, Iowa, North Dakota, South Dakota or Wisconsin

Head to PFund’s website to see the full criteria and make your nominations. Submissions are due May 15, with recipients announced in August. Good luck to the nominees!


You’re Invited: Facing Race Ambassador Awards

April 2, 2013

facingraceDon’t miss the seventh annual Facing Race Ambassador Awards, Monday, April 29, 2013, 6-8 p.m. at the Prom Event Center in Oakdale. Admission is free, but seating is limited. RSVP here or call 651.325.4265 by Friday, April 19.

I attended this event last year and intend to participate again this year. It’s an inspiring evening focused on individuals in Minnesota who are working in unique ways to create a better state for all of us — an equitable, just and open community in which everyone feels safe, valued and respected.

Dr. Manuel Pastor, Professor of American Studies and Ethnicity at the University of Southern California, is the keynote speaker this year. He will discuss:

  • the dramatic demographic shifts currently underway in the U.S.
  • and the gap between progress in racial attitudes and racial realities.

And he will offer a new set of strategies for both talking about race and achieving racial equity.

Then the 2013 Ambassador Award Recipients will be recognized. This year’s winners are:

  • Ellen O’Neill, YWCA of Duluth; and
  • Josie R. Johnson, Josie Robinson Johnson and Associates and Regent Emeriti University of Minnesota.

Honorable Mentions will be presented to

  • Corinth Matera, Minneapolis South High School;
  • Oluwaseyi Daniel Oyinloye, University of Minnesota Duluth;
  • and Hli Xyooj, Farmers’ Legal Action Group (FLAG).

Learn more about Facing Race, an initiative of the Saint Paul Foundation, here.

RSVP for the Ambassador Awards by the 19th, and I hope to see you there.

- Susan Stehling, MCF communications associate


Follow

Get every new post delivered to your Inbox.

Join 2,464 other followers