In fact, the study says that 58 percent exceeded the minimum distribution requirement by at least 5 percent of their average investment assets.

The larger payouts are continuing into 2010, the Foundation Source also notes, reporting in May that it was seeing a 15 percent increase in grantmaking among its clients.

“Ninety-nine percent of all family foundations are under $100 million,” says Foundation Source President Andrew Bangser. “These generous foundations represent more than half of all foundation giving in the US, nearly $16 billion in 2007. … The data shows that most family foundations have not limited their giving to the minimum amount required by the IRS. And small and midsize family foundations stepped up dramatically in this tough economy to assist a wide variety of people, organizations and causes.”

Foundation Source provides support services for more than 900 private foundations across the U.S. representing $4 billion in foundation assets.

To learn more about the study, view it online on the Foundation Source’s website, or read about it in the Chronicle of Philanthropy.

-Chris Murakami Noonan, MCF communications associate

It’s about governance, transparency, donor intent and the interpretation of these principles by people who are entrusted to act in the best interest of the foundation.

Over his lifetime, Dr. Albert Barnes amassed an incredible collection of art at his foundation in Merion, Pennsylvania, unrivaled by many of the large, prestigious art museums in the United States, including the nearby Philadelphia Museum of Art.  But Barnes did not amass this collection to be viewed extensively by the general public; he established the foundation to “promote the advancement of education and the appreciation of the fine arts.”

First and foremost, Barnes thought of his foundation as a school for artists, a place where sincere students could view important and influential works of art away from the tourism of art museums.  Henri Matisse said the Barnes Foundation is “the only sane place to see art in America.”   Barnes was explicit in his trust documents that the collection should not be sold, moved, or loaned for any purpose, unless those demands became unreasonable or impossible due to unforeseen circumstances.

Therein lies the crux of the struggle to control the Barnes collection.  While Barnes loyalists say that to remove the collection at all would be a direct contradiction to Barnes’ original intent, several powerful people and institutions in Philadelphia, including the former Governor of Pennsylvania, several well-known philanthropists, and the Pew Charitable Trusts, have vied to move the collection to Philadelphia, where it would be more accessible to the general public (and a huge tourist attraction for the city.) They claim that The Barnes Foundation is financially unstable and has no other choice but to move the collection.  The film chronicles this fight, leading up to the dramatic decision as to the future of the foundation.

The Art of the Steal is definitely a movie with an agenda and a point of view (read this New York Times article for a full review of the film).  Funded and produced by several former students and teachers of the Barnes, the film is one-sided and paints the other side in an unflattering light.  Many of the people that the film accuses refused to participate in the movie, but some have made statements in response to the movie, including the Pew Charitable Trusts and Bernard Watson, chairman of the Barnes Foundation board of trustees.

No matter on which side of this argument you fall, The Art of the Steal provides an excellent case study on the topic of ethics.  Whether you have heard of this controversy before or not, you will walk away from the movie questioning how people can ensure that foundations and nonprofits maintain accountability with the public and whether a controversy like this could have been avoided.

At the Minnesota Council on Foundations, our members created, endorsed, and do their work by the Principles for Grantmakers & Practice Options for Philanthropic Organizations to prevent situations like this from happening.  Updated in 2009, the Principles are a how-to of principled philanthropy. Not only do they outline what philanthropic organizations are legally required to do, the Principles are also aspirational, encouraging foundations to reach for more than what the law says is necessary.  All MCF members are required to subscribe to the Principles.  In the preamble of the Principles, it reads:

“We acknowledge the fundamental roles and responsibilities of engaged individuals and the public, private and nonprofit sectors in a just and equitable society.  As a community of grantmakers, we embrace philanthropy’s role in a civil society.”

It is controversies like the one depicted in The Art of the Steal that remind those of us in the nonprofit and philanthropic sectors that we must work daily to uphold the public trust.  We must take responsibility for the privilege of sustaining a just and equitable society.  We must respect and honor the people who turn to our organizations in search of support and guidance.  And we must appreciate the opportunity to assess ourselves against written and unwritten standards of ethical principles and practice, and value the chance to reach for a higher standard.

The Art of the Steal is playing now at the Landmark Edina Cinema.

- Stephanie Jacobs, MCF member services manager

In case you’re unfamiliar with this type of media, podcasts are free bits of information, typically audio clips, sometimes video clips or pdf’s, that you can download to your PC using “podcatcthers,” free applications like iTunes or Winamp. The content is free, and you don’t have to have an iPod or mp3 player to listen to them.

There are some great podcasts related to the fields of philanthropy and nonprofit out there, and I thought I would share a sampling of some of the podcasts that I listen to. To find others, I recommend downloading a podcatcher like iTunes and running a search for “philanthropy.”

Philanthropy Podcasts:

The Foundation Center: Philanthropy Chat
In this podcast series, the Foundation Center brings you conversations with grantmakers and other experts in the field of philanthropy on topics ranging from arts funding to changing trends in grantmaking to the impact of the economic crisis on nonprofits.

The Palm Beach Philanthropy Podcast
Palm Beach Philanthropy is an nonprofit organization dedicated to promoting philanthropy, especially in the Palm Beach area.

Nonprofit Podcasts:

The 501c3Cast
The 501c3Cast is a podcast for nonprofit professionals, volunteers, and do-gooders to share information and resources to help them do their jobs better.

Social Innovation Conversations
Social Innovation Conversations brings you social change ideas through audio lectures, speaker series, and conference recordings. Download free podcasts on social entrepreneurship, environmental sustainability, philanthropy, corporate social responsibility, responsible investing, and more.

Join the Conversation: Are there any other podcasts related to philanthropy or nonprofit that you think should be added to this list? Let me know! Please add your comments to this blog entry.

-Cary Lenore Walski, MCF web communications associate

Ridin' the range and ropin' the headlines so you don't have to.

Your biweekly roundup of media coverage on the world of nonprofit and philanthropy (yee-ha.)

Local

Minnesota Charities Council Revising Its Standards
(Star Tribune) Minnesotans, who donate more than $1 billion a year to charities, soon will have more information before they write checks.

Philanthropy Sector Keeps Giving, Despite Economy
(Business North) Foundations cope with squeeze between falling asset value and higher demand.

Reacting to Race
(Forest Lake Press) The cultural background of the north metro area is changing rapidly, which local officials say can create new challenges for neighbors and classmates.

WomenVenture Opens Minneapolis Office
(Twin Cities Business Journal) WomenVenture now has a Minneapolis office, courtesy of a donation of space from U.S. Bancorp. The St. Paul-based nonprofit, which provides training and loans for women, moved a staff person last week into a U.S. Bank branch on 1030 West Broadway in North Minneapolis.

National
Foundations’ Agenda for Charities Should Include Money, Not Mergers
(The Chronicle of Philanthropy) More and more, foundation leaders are voicing concern that America has too many charities.

Gates Foundation Steps Up PRI’s
(The Chronicle on Philanthropy) The Bill & Melinda Gates Foundation is increasingly making loans, loan guarantees, and equity investments as ways to stretch its philanthropic dollars, The Seattle Times reports.

Less to Give
(Barron’s) Philanthropists hit by the recession face a tough choice as the giving season nears: Reduce all donations, or drop some causes? Smart advice from the field.

Nonprofits Paying Price for Gamble on Finances
(New York Times) Homeowners and businesses were not alone in taking on piles of debt over the last decade. Nonprofits of all sizes did the same, and now they, too, are paying the price.

The idea behind Blog Action Day is simple. Individual bloggers can only do so much, but if enough bloggers can be united to write about a single issue on a particular day from their own unique perspective, suddenly that issue has an audience of millions.

Reading about change.org’s Blog Action Day got me thinking about the prospect of this type of cross-organizational communication on common causes within Minnesota. As a communicator working in the nonprofit and philanthropic sphere, I know I daily combat the daunting knowledge that we are all in a sense “competing” for a finite amount of the public’s attention.

Seeing the change.org initiative got me thinking. What if groups hooked arms and pulled together around causes, instead of elbowing each other out of the way?

What do you think? Are there more ways that organizations within Minnesota can be collaborating on communication around common causes? How effective do you think online, cross-organizational strategies like these are, especially when there’s no common message per se, but just a common directive to draw attention to the topic?

Can you think of any groups who are taking steps to communicate jointly around a shared interest using their online communications like the folks over at change.org?

I am all ears! If you have any thoughts or examples to share about this strategy for public engagement, please leave your comments below.

-Cary Lenore Walski, MCF web communications associate

Ridin' the range and ropin' the headlines so you don't have to.

Your biweekly roundup of media coverage on the world of nonprofit and philanthropy (yee-ha.)

Ecology-minded Kids are Working to Gather 1 Million (Noncontroversial) Acorns
(MinnPost) Sick of the scandal over nonprofit ACORN? Here’s something to brighten your day.  Local youth participating in the Million Acorn Challenge are learning about ecology as they collect acorns for planting around the state of Minnesota.

Foundation Center Launches National Education Stimulus Initiative
(PND) New York based Foundation Center has announced the launch of a new national educational initiative to engage foundations and education leaders across the country in a unified, strategic drive to improve public education. The centerpiece of the initiative will be a web portal designed to help education funders align their grantmaking with funds available through the American Recovery and Reinvestment Act.

How Foundations Can Do the Most to Advance the Needs of Minorities
(The Chronicle of Philanthropy) Black philanthropist Robert K. Ross reflects on the soul-searching inspired by the recently proposed law to require the disclosure of the race and ethnicity of grantees in his home state of California.

In New York City, Poverty Defined In New Terms
(NPR) In response to the inadequacy of the current federal measure of poverty, New York City policy makers have created their own metrics for calculating poverty and determining support.

Stressing Results, Charity Retools Grant-giving
(The Boston Globe) The biggest charity in New England is changing how they award grants, leaving many nonprofits worried about funding. The new strategy will favor larger, less-restricted grants to fewer grantees.

United Ways 2009: A Confusing Mix of Missed and Missing Goals
(The Nonprofit Quarterly) A sign of the time, United Ways across the nation are changing how they set goals for their annual campaigns. Many UWs will focus on increasing the number of donors, not the total amount of donations. But in these trying times, skeptics wonder where these new donors will be found.

Debating NBC’s Drama The Philanthropist
(Tactical Philanthropy) It’s official, folks, The Philanthropist throw-down is happening tomorrow, Tuesday, July 21.  Join Steven Gunderson, Council on Foundations CEO, and Sean Stannord-Stockton, director of Tactical Philanthropy at Ensemble Capital Management, as they debate the merits (or lack there of) of NBC’s show. Stay tuned to Sean’s blog for a complete recap of the event.

How to Innovate
(Donor Power Blog) In this video Guy Kawasaki riffs on the theme of innovation to give us ten shining pearls o’ wisdom. Although awkwardly abbreviated, the video is still a nice pick-me-up for those of us trying to drive change across their organization or across the nation. My favorite? Definitely, “Don’t worry, be crappy.”

Less is More (Again!) — Newark Museum Tagline Success in Just 4 Words
(The Getting Attention Blog) This post is a continuation on Nancy E. Schwartz’s ongoing quest for the best nonprofit tagline. For nonprofits and grantmakers alike, a tagline is one of the best tools you have for making a clear, memorable impression about your organization. Check out this post and Nancy’s tagline contest at her site.

New Models for (Philanthropy) Research & Dialogue
(Philosophy 2.0) Tony Wang critiques the current research paradigm. He recommends some new approaches to sharing information about philanthropy enabled by web 2.0 including crowdsourcing wisdom with wikis, and using twitter hashtags to communicate with grantees and stakeholders.

Using Flickr Creatively
(Beth’s Blog) Deborah Arkanase introduces us to three nonprofits using the photo sharing site Flickr to engage their base in new ways.

-Cary Lenore Walski, MCF web communications associate

Photo CC Striatic

Ridin' the range and ropin' the headlines so you don't have to.

Your biweekly roundup of media coverage on the world of nonprofit and philanthropy (yee-ha.)

Accepting Less*
(The Chronicle of Philanthropy) In response to the economy, many philanthropic leaders are taking voluntary pay cuts.
*Paid subscription required.

Dueling Research on the True Beneficiaries of Foundation Grants
(The Chronicle of Philanthropy) Same data, different conclusions. Two conflicting reports on giving to marginalized groups raise debate about on how research on grantmaking is conducted.

Giving Goes Flat
(Twin Cities Business Journal) Burt Cohen bemoans the apparent trend among his peers to refuse giving due to the economy, and challenges the old adage, “Whoever dies with the most chips wins.”

Innovative-Safe or Innovative-Radical?
(The Wall Street Journal) N. Ramakrishnan discusses a push for innovation in communication about neo-natal and mother health in India, and in doing so, brings up some important points about what truly defines innovation.

Kobe’s Next Conquest: China
(The Wall Street Journal) In another celebrity philanthropy double-take, NBA star Kobe Bryant helps the Chinese government in their new push to foster philanthropy in the world’s most populous nation. New wealth for middle-class Chinese brings new opportunities to buy, but also to give.

Madoff Losses Tied to Board Size, Makeup
(Philanthropy Journal) A lack of board diversity is linked to Madoff-related losses in foundations.

“Perfect Storm” of Fiscal Stress Hits Nonprofits
(John Hopkins University) Soggy socks? You’re not the only one. This new report from John Hopkins University outlines in detail the current stormy financial situation for nonprofits. The forecast for the near future? Partly cloudy at best.

Raising Children Who Care in Times That Need It
(The New York Times) Is your kid more likely to opt for Halloween candy than UNICEF? Teaching empathy is challenging, but there are new resources to help parents.

Under a New Lens: Corporate Philanthropy in a Changed Economy
(onPhilanthropy) Foundations and corporate CEO’s converged at CECP Corporate Philanthropy Summit to discuss trends and best practices in corporate philanthropy. How can corporations give efficiently and enhance their reputation without being perceived as disingenuous?

-Cary Lenore Walski, MCF Web Communications Associate

Image by Son Marki

What I learned about philanthropy from the King of Pop

I’m not going to lie to you. I grew up during the 80′s and 90′s. At the time when Michael Jackson reined as King of Pop, I was much more likely to be dancing around in my basement to the B52′s “Rock Lobster” than to “Billy Jean.”

However, news about Jackson’s death, a story first broken yesterday at TMZ.com, got me wondering was Jackson a philanthropist? The answer is, “Yes.”

According to Wikipedia, Jackson donated over $300 million to charity over the course of his lifetime. Among his most notable contributions to philanthropy were his musical ones.  He wrote and performed two hit singles that had a huge impact philanthropically.

Sales of “We are the World,” co-written with Lionel Richie in 1985, raised over $100 million for  USA for Africa.  Similarly, the proceeds of the “Heal the World” single, and the subsequent tour, were all donated to charity.

Say what you might about Michael Jackson. There’s a lot there to talk about–the outfits, the scandals, the weird pet chimp. Despite of all the dross,  you can’t deny he gave a lot.

In fact, I would even go so far as to say that there’s something that we can take away from the charitable work that Jackson did while he was alive. Namely, a lesson about the power of using your own personal talents to become a philanthropist.

Now I don’t know about you, but I personally don’t have enough dough to summer at Neverland Ranch. But I can write code. That’s why my philanthropic work is the time I spend volunteering for an organization called Rainbow Rumpus as webmaster.

If you are in similar straights, or if you just have the inclination, please volunteer. Here at MCF we are firm proponents of the notion that philanthropy is not just for wealthy people.  Anyone who cares can do it.

Whether you’re donating your time, your money, or the proceeds from your latest chart topper, whatever you do makes a difference.

Related Resources: The Whitehouse has launched a neat new website that can help match you with an organization that needs your help. Those interested in learning more about Jackson’s charitable work should read this article at DoSomething.org. Which, by the way, has some great resources for getting youth engaged in volunteerism and philanthropy. If you do have some money to donate and are looking for ways to do so, check out our Minnesota Toolkit for Giving.

- Cary Lenore Walski, MCF Web Communications Associate

Bill Gates clearly does this all the time in his work for the Gates Foundation. How else do you explain the perpetually tousled hair?

When I first heard about NBC’s new show The Philanthropist I was excited that someone was making a TV show about a field that most people struggle to define (as seen in this funny and revealing video that MCF made a few years ago).

And then I thought to myself, wait a minute, they’re making a series about an x-treme philanthropist, really? In case you haven’t heard about the new show, let me explain.

The new series, set to premier on NBC June 24, features main character Teddy Rist (James Purefoy), a down-on-his-luck playboy businessman.

A single act of heroism inspires Rist to adopt an “extreme vigilante” approach to philanthropy. The first episode finds  Rist in Nigeria battling poisonous snakes and rebel gunmen in the hopes of delivering a cholera vaccine to a rural health clinic.

I think it’s great that NBC has chosen to do a show about philanthropy. I am, however, a little apprehensive that the show will give people an unrealistic idea of what philanthropy is.

After all, it’s hard to imagine Bill Gates basejumping into a refugee camp to deliver mosquito nets…although, if we’re talking about celebrity philanthropists, I could imagine Angelina Jolie doing it.

I guess my point is that one of our goals at MCF is to encourage people to see themselves as philanthropists, at whatever level their budget allows. This new character makes me wonder, will people look at Rist and honestly say to themselves, “Hey, me too!”

Maybe, maybe not. According to a recent article in the Chronicle of Philanthropy, inspiring others is certainly one of the hopes of Charlie Corwin, the show’s producer,and Bobby Sager, the philanthropist that the show is very loosely based on (who, by the way, is doing some really cool stuff.)

In the end, Teddy Rist may not be the perfect poster boy for philanthropy, but he will get people talking about the field and hopefully learning more about philanthropy in the real world. And that’s a good thing.

Join the conversation: Will you be tuning into The Philanthropist on June 24 with me? What stories about philanthropy or giving have inspired you?

Related links: Take NBC’s online quiz about survival situations. What you learn could come in handy the next time you’re battling blizzards to rescue endangered seal pups from poachers.

Update: The Council on Foundations (COF) reacted much the same to the news of The Philanthropist and its larger-than-life portrayal of the field. They’ve typed up some helpful talking points for people working in philanthropy to use when speaking with individuals about the show, and about what philanthropy is like in real life. (06/22/09)

-Cary Lenore Walski, MCF Web Communications Associate