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


Make the Most of 2012 with Impact and Shared Learning

January 24, 2012

Today in the second in our series of webinars on the 2012 grantmaking outlook, we focused on human services funding. Upcoming sessions include health and arts.

We reviewed recent trends in human services giving and the subject area outlook for 2012. Then Bill King, MCF president, talked with Neal Cuthbert, vice president of program, The McKnight Foundation, and Randi Roth, executive director, Otto Bremer Foundation.

These leading grantmakers acknowledged the difficult funding landscape. Roth explained, “Needs are dramatically outstripping resources. In the communities, the economic conditions are more difficult than you could remedy with the amount of money that’s available. Last year’s donors are this year’s recipients.”

Added Cuthbert, “The human services arena has really been challenging not only because of the recession but because of what’s been going on in the public sector. There’s political stasis and an inability for the public sector to move forward.”

These challenges aside, Roth and Cuthbert offered some perspective and insight for grantseekers in 2012:

  • Everyone’s focused on greater impact. “These communities need help. You only have so many dollars and you want them to go as far as possible. Impact is really just a way of being cost effective,” noted Roth. Both panelists agreed that defining and measuring impact is difficult. Cuthbert said, “We try to really focus on and articulate the two or three areas where we want to see change.”
  • To achieve more impact, grantmakers and nonprofits are creating opportunities for shared learning and collaboration. As Roth described, “Is one model proven to be effective and can this information be shared between grant applicants? Can a program that’s doing a good job share those best practices?” Cuthbert explained, “We expect ourselves to be constantly learning and we expect it of the people we work with.”

So how can nonprofits more successfully partner with grantmakers in 2012? Roth summarized, “Tell us how your work will move this community forward, tell us how you’ll know you’re successful, and tell us where you fit into the network of service providers.” She added, “As a grantmaker you don’t expect the same level of sophistication in answering these questions from a very small organization as from a very large one. But I think you still have the conversation on the same topics. Even the smallest organization in the most remote place does need to be thinking about these things.”

Cuthbert summed up, “You have to be brutally pragmatic, as nimble as you can possibly be, flexible and opportunistic.”

Other Grantmakers to Share Advice

Two more upcoming webinars will delve deeply into health and arts funding.  They will feature conversations with grantmakers from Medtronic Foundation, Miller-Dwan Foundation, Minnesota Philanthropy Partners, and The McKnight Foundation.

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

-Anne Bauers, MCF research manager


First-Hand Insights on 2012 Education Grantmaking

January 18, 2012

MCF today hosted the first of four webinars reviewing grantmakers’ giving outlook for 2012. Our topic today was education. Upcoming sessions include human services, health and arts.

We reviewed recent trends in education giving and the grantmaker outlook for 2012. Then Bill King, MCF president, chatted with Mike Newman, vice president and director of community relations, Travelers Foundation, and Susan Heegard, vice president and educational team leader, Bush Foundation. These leading grantmakers described several important trends in education grantmaking for 2012:

  • Grantmakers will continue to focus on collaboration as a way to share learning opportunities with partners, leverage resources, and prevent duplication. Heegard explained, “If there are other folks working in this area, we want to make sure that we’re adding value and figuring out carefully where our niche is.” Newman added, “We as a philanthropic sector, along with the nonprofit sector, are learning how to better connect with one another.”
  • One benefit of collaboration is enabling grantmakers and nonprofits to be learning organizations. “Learning – and sharing that learning with others – is really critical, whether you have success or not,” said Heegard.
  • Data will continue to drive grantmaker decision making. Heegard noted, “You want to use data to guide the front-end decision: How should you invest? And then you want to use data to track your progress: how are you doing?”
  • Even as collaboration becomes increasingly important, Newman noted that grantmakers will continue to fund diverse priorities and programs. Heegard added that this makes sense — to fund across the full spectrum of education needs.

The grantmakers also offered their own advice to nonprofits seeking grants in 2012:

  • Know your own work well. Newman commented, “Be clear about who you are and say it with clarity.”
  • Know your colleagues and potential partners. “Have a good knowledge of who else is doing similar or related work. Distinguish your efforts, or figure out a way to come together with others in partnership,” Heegard said.
  • Understand the grantmaker, including areas of focus. “Check out our website. Talk to colleagues. Find out who else we fund. That gets you a helpful overview,” Newman advised.

One great tool for understanding grantmakers’ guidelines and which nonprofits they’ve supported in the past is MCF’s Minnesota Grantmakers Online.

Other Grantmakers to Share Advice

Three upcoming webinars will delve deeply into other subject areas, and they will feature conversations with grantmakers from The McKnight Foundation, Medtronic Foundation, Miller-Dwan Foundation, Minnesota Philanthropy Partners and Otto Bremer Foundation.

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

-Anne Bauers, MCF research manager


Transformational Funding Opportunity Available at Minnesota Community Foundation

December 2, 2011

A new large grant opportunity just became available at the Minnesota Community Foundation, an MCF member.

Their Transformational Fund will provide one-time major funding of up to $500,000 for nonprofits that help economically disadvantaged people become self-sufficient, and that are ready for organization-wide, long-term sustainable change.

A few of the things they’re looking for:

  • Organizations that primarily serve Hennepin County
  • Organizations with proven program effectiveness
  • Organizational leadership with pioneering vision and the ability to bring that vision into action
  • Organizations with business models that include a strong revenue mix and a clear understanding of the strengths and weaknesses of their current infrastructure
  • Consensus between the board of directors and key staff on the next steps needed for the organization to move to the next level

Visit the Minnesota Community Foundation website to learn more and to complete their online submission form. Interested nonprofits should start planning their applications now! The submission window closes January 31, 2012.


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


Strengthening Reservation-based Native Businesses

October 17, 2011
Northwest Area Foundation, an MCF member, has launched a Native American Social Entrepreneurship Initiative in an effort to increase the number and strength of reservation-based Native businesses.

Supported by $1.59 million in grants, this two-year undertaking aims to bolster Native financial institutions. Native social entrepreneurship uses business principles to build wealth and formulate solutions to social issues.

“Historically, less than one-half of one percent of philanthropic dollars is invested in Native American programs, and studies indicate that number is decreasing. This initiative seeks to invest in Native communities’ ability to reduce poverty and build prosperity,” says Kevin Walker, president and CEO of Northwest Area Foundation.

To learn more about this innovative effort, use the links below and watch for a Q&A with Martin Jennings, Northwest Area Foundation program director, in the fall issue of Giving Forum - in your mailbox soon.

Oregon Native American Business and Entrepreneurial Network (ONABEN) will lead the initiative and support an educational cohort in which the participating organizations will meet regularly to learn and share best practices.

Six additional grants have been awarded to nonprofits participating in the cohort.

  • Four Bands Community Fund Inc. will create a green business development curriculum. Four Bands will work in partnership with Cheyenne River Tribal Ventures.
  • Hunkpati Investments Inc. will receive a grant for its Community Development Financial Institution (CDFI), which seeks to stimulate economic growth on the Crow Creek Sioux Indian reservation.
  • Lakota Funds will support a pilot project for a children’s matched savings program known as Children’s Development Accounts (CDA).
  • Northwest Native Development Fund (NNDF) will implement its Growing into Our Footprint project to expand business training, outreach, tax preparation assistance and access to loans.
  • Taala Fund of Taholah, Wash. will receive funding for the Quinault Asset Building initiative, which introduces youth to financial management and business principles, paving pathways to future prosperity.
  • Confederated Tribes of the Umatilla Indian Reservation – Business Service Center will provide business and financial education as early as elementary school.

- Susan Stehling, MCF communications associate


Grantmaking to the Arts Drops to Lowest Level Since 2003

September 22, 2011

Minnesota grantmaking to the arts decreased by 10 percent in 2009 from 2008 – and dropped 19 percent from 2004 levels – according to new research by the Minnesota Council on Foundations (MCF).

The research sample gave $105.7 million to the arts in 2009, the most recent time period for which complete data are available. The sample includes 100 of Minnesota’s top grantmakers and a portion of their grants that represent about two thirds of the state’s philanthropic giving for the year.

The share of Minnesota grant dollars going to the arts has decreased steadily in recent years, from 15 percent in 2004, to 11 percent in 2009. Arts grantmaking falls behind giving to education, human services, and public affairs/society benefit.

“The poor economy and changing priorities at foundations have hit arts organizations especially hard,” says Bill King, MCF President. “Many funders have reduced arts giving and prioritized human services and education giving during tough times.”

Corporate grantmakers, private foundations and community/public foundations all decreased their giving to the category of arts, culture and humanities. Corporate grantmakers, who gave just over half of the arts grant dollars in 2009, decreased their funding by 7 percent.

Private grantmakers, who gave about one-third of arts dollars, decreased their funding by 5 percent to $37.6 million. And community/public foundations reduced giving by 32 percent to $11.8 million.

Minnesota Community Foundation and The Saint Paul Foundation was the state’s third largest arts grantmaker in 2009.

Sharon DeMark, program officer, explains, “At our foundations, we remain committed to supporting the arts as an important part of a vibrant community.”

As in past years, in 2009 the performing arts subcategory received the largest share – just over one-third – of arts grant dollars. Grantmaking to arts, culture and humanities includes contributions to the performing arts, museums, media/communications, cultural organizations, historical societies, visual arts, humanities and arts services.

“The arts are an essential part of life for all Minnesotans,” stresses Vickie Benson, arts program director at The McKnight Foundation, Minnesota’s second largest arts funder. “Artists help us find meaning and make sense of the world around us.”

In 2009, the Minnesota Legislature appropriated approximately $93 million from the Arts and Cultural Heritage Fund for projects starting between July 1, 2009, and July 1, 2011. This new taxpayer-funded source of arts funding is not included in MCF’s philanthropic research.

MCF conducts Giving in Minnesota research annually to examine long-term trends in charitable giving. MCF’s complete Giving in Minnesota, 2011 Edition, will be released in October.

This year’s summaries on giving to arts, education and human services, and complete research from prior years, can be found at www.mcf.org/research/giving.

- Susan Stehling, communications associate


New Research Shows Decreased Human Services Giving

September 13, 2011

Minnesota grantmaking to human services declined 16 percent in 2009 from 2008, according to new research by the Minnesota Council on Foundations (MCF). Foundations and corporate giving programs in the research sample gave $208.9 million to human services in 2009, the most recent time period for which complete data are available.

The sample includes 100 of Minnesota’s top grantmakers and a portion of their grants that represent about two thirds of the state’s philanthropic giving for the year.

In contrast to overall human services funding, grants to employment-related programs (nine percent of the human services total) increased 97 percent from 2008 levels. The Carl and Eloise Pohlad Family Foundation drove the increase, giving $8.3 million to the employment subcategory.

Overall, grantmakers in the research sample gave 23 percent of their grant dollars to the human services category in 2009, while education received 26 percent of the sample’s support in 2009. In 2008, with grantmakers responding to the economic crisis, human services edged out education.

“The ‘second-place finish’ for human services grant dollars in 2009 isn’t surprising,” explains Bill King, MCF President. “Since 1976, education has led giving in Minnesota in all but three years.”

MCF conducts Giving in Minnesota research annually to examine long-term trends in charitable giving. MCF’s complete Giving in Minnesota, 2011 Edition, will be released in October.

This year’s summaries on giving to education and human services, and complete research from prior years can be found at www.mcf.org/research/giving.


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