Health Grantmakers Address Disparities, Focus on Impact

February 1, 2012

MCF’s third webinar in our 2012 grantmaking outlook series focused on funding for health. We reviewed recent trends in health giving and the subject area outlook for 2012. Then Bill King, MCF president, discussed health grantmaking with Jacob Gayle, vice president and executive director, Medtronic Foundation, and Joan Oswald, grants specialist, Miller-Dwan Foundation.

These health philanthropy leaders emphasized the importance of addressing disparities in health access and outcomes. Gayle described Medtronic’s focus: “We are trying to enable greater access to healthcare for populations that otherwise have been left out.”

He added, “We always have to keep diversity in the fore of our minds as we do funding. If we find we are missing some segment of the population, we will reach out to partners for recommendations on how to address that.”

Both grantmakers expressed strongly that philanthropy’s role should not be to fill gaps in public sector funding. Oswald noted, “There is just no way one philanthropic organization or even a partnership could tackle healthcare costs covered by the public sector.”

Gayle commented, “Philanthropy is able to go into areas that are unproven. We can make longer-term and sustained commitments to grantees. And philanthropy has the flexibility to make mistakes and learn from them. It’s not the role of philanthropy to step in where others have grown weary of funding. It’s to play the innovative, out-of-the-box partner.”

Both Gayle and Oswald see grantmakers becoming even more strategic as they seek to leverage grant dollars for meaningful results. As funding stays flat, Oswald said, it’s important to stick to goals. “We are working diligently to assure our funding is very targeted and a really clear match for our priorities.”

Gayle noted that Medtronic Foundation is focused on developing and strengthening health systems. “Much of our funding is going toward overall policy articulation and advocacy, development of the health infrastructure, and strengthening of healthcare deliverers, as opposed to direct services,” he explained.

Nonprofits that find the current fundraising environment challenging can look for creative ways to finance their programs. Gayle suggested: “Think about nontraditional sources of funding — local companies, other service organizations, fraternities and sororities, or professional organizations can provide as much – or even more – support than local philanthropies.” He added that sometimes health causes are perceived as social services. So see if what you’re trying to fund is defined differently by different organizations.

When approaching grantmakers, nonprofits should do their homework, but be ready to have an open conversation. Oswald noted, “Be at your very best. Really clearly explain what you’re looking for and how that fits with our priorities. When the pieces all fall into place, we are absolutely willing to work with you, even if you are completely unfamiliar with the grantmaking process.”

And Gayle encouraged nonprofits, “Take a chance. Don’t let a ‘no’ ever stop you.”

Last Outlook Webinar to Focus on Arts, Culture and Humanities

The final Outlook webinar, taking place on February 7, will delve deeply into arts funding.  It will feature conversations with grantmakers from Minnesota Philanthropy Partners and The McKnight Foundation.

Register today to learn more about Minnesota’s funding landscape in 2012!

-Anne Bauers, MCF research manager


Stability in 2012 Giving – Learn More at a Webinar

January 9, 2012

MCF today reported that the state’s grantmakers expect relatively stable giving in 2012. According to MCF’s 2012 Outlook Report, foundations and corporations believe their grantmaking will remain flat or possibly increase about one percent from 2011.

Seventy percent of grantmakers anticipate that their funding priorities will remain constant in 2012, which is almost a 10-point increase over what they predicted for 2011.

MCF’s 2012 Outlook Report is based on an October/November 2011 survey of 100 foundations and corporate giving programs that represent 76 percent (or about $1 billion) of all Minnesota annual grantmaking.

Subject-Area Funding
For the first time in its annual Outlook survey, MCF asked grantmakers to estimate changes in giving to the specific subject areas they support. While most respondents plan no changes to 2012 subject-area giving, one third of education funders forecast giving more to education in 2012.

Arts, culture, and humanities is the only subject area to which more grantmakers said they expect to decrease rather than increase funding. Although the respondents represent a small part of the Outlook survey sample, this finding appears to be consistent with a trend toward less arts funding as reported in MCF’s latest Giving in Minnesota report.

Learn More
To learn more about what the report findings mean for Minnesota’s nonprofit and philanthropic communities, check out the full report online and register today for one or all four of the subject-specific webinars hosted by MCF.

Webinar topics and dates are:

At each webinar, in addition to a broad overview of 2012’s giving outlook, a panel of funders will dive more deeply into subject-specific funding and answer questions like the following:

  • What are the current trends in funding for education, human services, health or arts?
  • Will funding for the area be up or down in 2012?
  • What should nonprofits be aware of as they prepare to seek funds in 2012?

We promise you’ll come away from them more knowledgeable and informed about 2012’s funding landscape in Minnesota!


North Minneapolis Recovery Fund to be Honored

November 17, 2011

National Philanthropy Day is being celebrated in Minnesota this Friday, Nov. 18.

I’m thrilled to see that Minnesota Helps – North Minneapolis Recovery Fund will be awarded the “Outstanding Contribution to Philanthropy” award. It’s a well-deserved honor that comes just six months after a tornado slammed into the north side of our city. Thus far, the fund has provided $1,337,160 to assist the residents of North Minneapolis.

Shortly after the tornado hit, local foundations and the Greater Twin Cities United Way joined together to create the fund to quickly assist those directly impacted by the storm.

The effort has been led by the following partners, almost all of them members of MCF (marked with an asterisk).

  • The Minneapolis Foundation*
  • Greater Twin Cities United Way*
  • GiveMN.org
  • Best Buy Corporation*
  • Blue Cross and Blue Shield of Minnesota Foundation*
  • CenturyTel, Inc.
  • Comcast*
  • Cummins Foundation
  • Faegre & Benson Foundation*
  • George Family Foundation*
  • The Grotto Foundation*
  • James R. Thorpe Foundation*
  • Land O’Lakes, Inc.*
  • Lunds and Byerly’s
  • McKnight Foundation*
  • North Star Fund
  • Park Nicollet Foundation*
  • Pohlad Family Foundation
  • The Saint Paul Foundation*
  • TCF Foundation*
  • US Bank – Private Client & Trust Services*
  • Wells Fargo Foundation*

Many of these partners made large donations and also matched contributions from city residents and others who answered the call for assistance. GiveMN.org waived credit card fees on donations, so 100% of every donation went to help those in need.

Thanks to all of the funding partners and to those who contributed to the fund. We all make Minnesota a better place to live.

Funds Still Available
And, funds are still available for nonprofits, faith based organizations and public entities providing support and financial assistance to those most affected by this disaster. Learn more about how to apply for funds.

-Susan Stehling, communications associate



Charitable Giving Drops Nationwide

October 24, 2011

In the recently-released Giving in Minnesota 2011 research report, MCF found that giving by individuals, foundations and corporate giving programs totaled $4.9 billion for the 2009 research year, a decrease of 9.3 percent from 2008; foundation and corporate grantmaking decreased 3.6 percent from 2008. This trend was not limited to Minnesota alone –nationwide, giving decreased in 2009 as well. But some nonprofits are beginning to see increased funding levels.

The Foundation Center, in the 2011 Foundation Giving Trends report, found that nationwide, overall grantmaking declined 2.1 percent from 2008 to 2009. And funding for only two of ten subject areas increased during that time: education and public affairs/society benefit posted modest gains. (In 2009 in Minnesota, funding for public affairs/society benefit increased, while education funding remained flat.)

Nonprofits may now be recovering from these 2009 declines. The Chronicle of Philanthropy found that nonprofits that make up their Philanthropy 400 expect a median rise of 4.7 percent in 2011 funds raised. That beats last year’s 3.5-percent median gain. But the modest increases for the Philanthropy 400 don’t come close to erasing an unprecedented 11-percent decline in the total raised by charities on the survey in 2009.

Join the conversation: In these uncertain economic times, how can nonprofits sustain their fundraising levels? How can grantmakers support them?

- Anne Bauers, MCF research manager


Results From a Redesigned Marketing Strategy

June 17, 2011

When we originally ran this post (on May 27, 2011) about how the Catholic Community Foundation (CCF) is engaging new donors during the recession, it was still in-process. Now we’ve got results to share.

The Scenario
As marketing manager of a faith-based community foundation, you are charged with generating new donor leads. For years, your predecessor had great success sending direct mail pieces to rented lists of subscribers of Catholic publications. The direct mail pieces focused on Charitable Gift Annuities and Donor Advised Funds, targeted people over age 55, and the typical minimum donation was $10,000.

Now, in the midst of the recession, you’re spending the same amount of money on a direct mail program, using the same list criteria, and getting zero responses. How do you leverage your resources and redesign a marketing strategy that will engage prospects in your foundation?

Catholic Community Foundation’s “Lived” Example
The foundation piloted a Planned Giving Marketing Program with seven participating parishes from November 2010 to March 2011.

Participating Parish Requirements

  • A two-year commitment to the pilot program.
  • Each parish selects up to 600 contacts to receive two different mailings. The lists are slightly different; see notes below in red. The mailing lists are sent directly to the mail processor; CCF does not gain access to the lists unless they convert to leads.
  • Each parish provides their logo, a letterhead sample, and an electronic version of the pastor’s signature.
  • Each parish designates a staff person to accept leads and work with CCF to respond.
  • Each parish runs bulletin announcements (provided) twice monthly from November through March.
  • Because this is a pilot, CCF is paying all associated costs.

Mailing #1

  • Dropped November 8, 2010; focused on promoting Charitable Gift Annuities
  • Mailing lists included consistent, loyal donors* age 65+
  • Follow-up Process: Leads came directly to parish associates who notified CCF. CCF called the leads and sent further info as requested. Parish made a second follow-up call to leads.
  • CCF suggested hosting a Planned Giving Seminar at each parish in May.

Results of Mailing #1

  • 6 leads totaling at least $130,000 in potential gifts
  • 1 closed Charitable Gift Annuity for $10,000; donor plans to establish a second annuity in 2012
  • 5 leads remain pending, one of which is waiting for property to sell before establishing an annuity.

Mailing #2

  • Dropped March 5, 2011; promotes bequests and outright gifts to endowment fund.
  • One of the seven parishes has a $3000 matching gift to apply to new gifts.
  • Mailing list includes consistent, loyal donors* age 50+.
  • Follow-up Process: Parishes will notify CCF as leads come in. Parish will make first follow-up call and involve CCF as needed.
  • CCF suggested hosting a Planned Giving Seminar at each parish in May.
Results of Mailing #2 – NEW
  • 48 leads on potential gifts
  • Outright gifts of $6,925
  • Of 6 leads that remain pending, 2 are possible IRA rollovers and 2 are possible Charitable Gift Annuities

* Consistent loyal donors are those who have made an annual gift in 8 out of the last 10 years, $100 or more per year.

– Anne Rodenberg, Catholic Community Foundation

This is an updated version of the fifth in a series of posts from MCF’s recent ComMotion meeting.


Unassuming — But Not Insignificant — Philanthropy Beyond the Big City

June 1, 2011

While Minnesota’s reputation for philanthropy has been bolstered by celebrated names like Bush, Cargill, Dayton, McKnight and Pohlad, significant generosity among lesser-known central Minnesotans is no small potatoes.

Stories of unassuming farmers who have left thousands – and in some cases, millions – to their hometown schools, churches and favorite charities will become increasingly common, according to the “Minnesota Generational Transfer of Wealth” (TOW) study commissioned by the Minnesota Initiative Foundations. “Farmers and business owners, who retire and sell their assets because their children don’t want to carry on, often find themselves with sizeable estates,” explains Bill King, MCF president.

Between 2011 and 2030, as an entire generation of baby boomers reaches retirement age and beyond, the TOW research estimates that the historic sum of $47.9 billion will be passed on. In 14 central Minnesota counties, that wealth transfer is approximated to be $5.8 billion.

The magnitude of this is illustrated in “The Great Succession” graphics that accompany my article “New Dawn,” which appears in the spring issue of IQ Magazine. IQ is published by the Initiative Foundation, based in Little Falls, Minn.

What does being on the brink of this new horizon mean? Historic windfalls often trigger introspective moments when people consider whether charitable giving is something they value and want to pursue.

“Every person, no matter how much or how little they have, reaches a moment in their lifetime where they consider doing something greater than themselves,” says Matt Kilian, Initiative Foundation’s vice president for external relations.

Although only time will tell if the generational transfer of wealth will inspire increased nonprofit donations or endowed funds in central Minnesota, Kilian envisions the possibilities: “What if a tiny portion of those dollars – say 5 percent – were invested in permanently endowed funds? What a gift from one generation to future generations.”

Titled “Outpourings,” the IQ spring issue looks at the trends and tradition of charitable giving in central Minnesota. Among the features:

  • A profile of four silent, selfless and inspiring givers
  • Charitable giving strategies employed by central Minnesota businesses
  • Creative, win-win philanthropic vehicles for donors
  • How donors and nonprofits click with online giving
  • Young Americans’ belief that giving isn’t a spectator sport
  • How legacies begin
  • Raising kids who give

As the magazine’s subtitle notes, generosity is truly flowing in central Minnesota.

- Chris Murakami Noonan, MCF communications associate


Creatively Redesigning a Marketing Strategy

May 27, 2011

Here’s an in-process example of how the Catholic Community Foundation (CCF) is engaging new donors during the recession. It’s from “Keep it Creative: Producing Out-of-the-Box Ideas for Run-of-the-Mill Communications Issues.”

The Scenario
As marketing manager of a faith-based community foundation, you are charged with generating new donor leads. For years, your predecessor had great success sending direct mail pieces to rented lists of subscribers of Catholic publications. The direct mail pieces focused on Charitable Gift Annuities and Donor Advised Funds, targeted people over age 55, and the typical minimum donation was $10,000.

Now, in the midst of the recession, you’re spending the same amount of money on a direct mail program, using the same list criteria, and getting zero responses. How do you leverage your resources and redesign a marketing strategy that will engage prospects in your foundation?

Catholic Community Foundation’s “Lived” Example
The foundation piloted a Planned Giving Marketing Program with seven participating parishes from November 2010 to March 2011.

Participating Parish Requirements

  • A two-year commitment to the pilot program.
  • Each parish selects up to 600 contacts to receive two different mailings. The lists are slightly different; see notes below in red. The mailing lists are sent directly to the mail processor; CCF does not gain access to the lists unless they convert to leads.
  • Each parish provides their logo, a letterhead sample, and an electronic version of the pastor’s signature.
  • Each parish designates a staff person to accept leads and work with CCF to respond.
  • Each parish runs bulletin announcements (provided) twice monthly from November through March.
  • Because this is a pilot, CCF is paying all associated costs.

Mailing #1

  • Dropped November 8, 2010; focused on promoting Charitable Gift Annuities
  • Mailing lists included consistent, loyal donors* age 65+
  • Follow-up Process: Leads came directly to parish associates who notified CCF. CCF called the leads and sent further info as requested. Parish made a second follow-up call to leads.
  • CCF suggested hosting a Planned Giving Seminar at each parish in May.

Results of Mailing #1

  • 6 leads totaling at least $130,000 in potential gifts
  • 1 closed Charitable Gift Annuity for $10,000; donor plans to establish a second annuity in 2012
  • 5 leads remain pending, one of which is waiting for property to sell before establishing an annuity.

Mailing #2

  • Dropped March 5, 2011; promotes bequests and outright gifts to endowment fund.
  • One of the seven parishes has a $3000 matching gift to apply to new gifts.
  • Mailing list includes consistent, loyal donors* age 50+.
  • Follow-up Process: Parishes will notify CCF as leads come in. Parish will make first follow-up call and involve CCF as needed.
  • CCF suggested hosting a Planned Giving Seminar at each parish in May.
Results of Mailing #2
Results are not quite in, but we’ll share them in an upcoming post.

* Consistent loyal donors are those who have made an annual gift in 8 out of the last 10 years, $100 or more per year.

– Anne Rodenberg, Catholic Community Foundation

This is the fifth in a series of posts from MCF’s recent ComMotion meeting. Look for the next and last posting on Creative and Strategic Use of Social Media on Friday, June 3.


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