They write a great proposal… but are they a good investment? Know what to look for when it comes to grantee finances. The following sessions will be valuable for both first-timers and grantmakers who need a refresher. Open to all grantmakers.
by Christian Clansky, Program Associate, Washington Grantmakers
When Chancellor Michelle Rhee announced that she would be seeking around $75 million per year in additional funding for her education reform efforts, local funders waited eagerly to hear what portion of that request would be directed towards them. Last week Rhee met with Washington Grantmakers’ Public Education Working Group (PEWG) to give them the answer: $7 to10 million.
That number is not as big as the $25 million requested from national funders, or the $40 million from the federal government, but Rhee emphasized that the investment of local funders is critical to bringing the other two groups to the table. She noted that the local funding community has a wealth of knowledge about the historical successes and failures of DCPS, and its commitment to her transformation plan would convey confidence to national funders and the government.
As Rhee wraps up her first year, she remains focused on improving the quality of teachers and principals. “When you have sustainable leadership,” she said, “you can see dramatic changes in student achievement.” This continues to resonate with PEWG’s own stated focus on professional development for teachers and principals.
Bolstered by attention from members of Congress and leaders from other cities (including New York’s Michael Bloomberg), Rhee is confident that with support, the D.C. school reform model can become the gold standard for successful public school transformations across the country.
PEWG will reconvene in September to discuss next steps in its partnership with Chancellor Rhee.
Members of WG’s Children, Youth and Families Working Group (CYF) have collaborated closely with the Trust since its inception. In its testimony, CYF expressed support for the Trust as an independent intermediary, and stated: “We are troubled that recent Board appointments will cause the Trust to be perceived as a political entity rather than an independent intermediary.” (Click here to review the full testimony.) CYF recommended that the Council appoint at least one member from the philanthropic community to the board to lend grantmaking expertise and to serve as a liaison to the philanthropic community.
While several witnesses provided testimony, including incoming Executive Director Millicent Williams, the absence of several key administration officials caused Committe Chair Tommy Wells to recess the hearing until further notice.
(l to r) Ed Orzechowski, Catholic Charities; Pamela Holman, PEPCO; Kim Young, Capital One
Another great “Nosh, Network and Knowledge”Corporate Funders Luncheon! The room reached capacity last Thursday as some of the areas most well-respected corporate grantmakers came together to discuss their role in encouraging nonprofit partnerships, collaborations and mergers.
Guest speakers, Ed Orzechowski (Catholic Charities) and Michelle Palmer (Family Ties Project), set the stage by sharing their own merger experiences from both the grantee and funders’ perspective.
CONVERSATION THEMES: • Many nonprofits are looking for ways to achieve economies of scale and long-term sustainability due to the slumping economy and increasing community need. Back-office consolidation and strategic partnerships are often discussed, but merger is rarely discussed without external influence • Similar to for-profit mergers, nonprofit mergers are difficult and they usually take longer and cost more than anticipated. Often the most arduous task is overcoming the intangibles such as uniting organizational cultures and effectively communicating with staff and stakeholders. • Grantmakers have a rare birds-eye view of the nonprofit field and are in a unique position to foster partnerships among grantees with similar goals. But is that our role?
ACTION ITEMS: • Corporate grantmakers suggested that a program on this topic be offered to the larger membership…Stay tuned for more details!
Remember, our corporate grantmaking members meet for lunch on the third-Thursday of every-other-month. Hope to see you at upcoming luncheons: Sept.18th and Nov. 20th!
* * * * *
Communication is key to building a strong network. That’s why Washington Grantmakers sponsors the Corporate Philanthropy Listserv. This electronic discussion forum is a vehicle for our corporate members to pose questions and share resources with colleagues in real-time.
GREEN AFFORDABLE HOUSING “A year after doors opened on the city’s first green affordable housing complex [Galen Terrace], proponents say the benefits go well beyond the bottom line.” (WAMU, 7/18, via)
“Nonprofits fear Fannie, Freddie giving could dry up” (WBJ, 7/18) -The article notes that the Freddie Mac Foundation “controls an endowment of about $180 million [that] cannot be taken from the foundation.” CEO Ralph Boyd:“The foundation is a separate corporation …Our grantmaking for this year won’t change.”Stacey Stewart, executive vice president for Fannie Mae’s Office of Community and Charitable Giving (and WG Board member) recently stated: “We will not abandon our commitment to be philanthropic and to serve particularly our hometown, but we’ll have to be realistic around what we’re able to do.”
EDUCATION
About those higher test scores in Md…“Skepticism Greets Big Gains” (WaPo, 7/19) – “This year, the state dropped questions from the national exam. Instead, students answered similar questions that were written by state educators.” Good luck figuring this out, since the experiment seems to have lacked a control group. Is the future of education going to be test score controversy?
Public Service Announcement:“AAAAAAGHHHHHH” Did you order the code red?! I sure didn’t. Nevertheless, today’s air quality is horrendous. Be careful.
POVERTY How to accurately define poverty (Washington Independent, 7/17) – The Annie E. Casey Foundation’s Douglas Nelson testifies before Congress: “[T]he lack of an accurate, credible and relevant poverty measure has itself become a major impediment to combating poverty effectively.” Created decades ago, the old formula is based primarily on food costs. But while “food accounted for a third of household spending in the 1960s, food now accounts for only an eighth of spending, with housing and transportation taking a larger slice of income.” That’s why NYC Mayor Bloomberg unveiled a new formula last week.
PEOPLE Millicent Williams has been named the president and chief executive of the D.C. Children and Youth Investment Trust. Amy Ward is Williams’s replacement at Serve D.C. (WaPo, 7/18 – scroll down)
"a powerful network of funders, partnering with nonprofits and governments, that is committed to improving the Greater Washington region by touching lives and changing communities ... one grant at a time."
Opinions expressed in posts credited to an individual are the opinions of that blogger, not necessarily the employer.
Members: Are you subscribed to our bi-weekly e-newsletter, Giving Matters? It's how we reach you with news/resources/events available only to our members. E-mail Nick to subscribe.
- Rhee requests $7 to 10 million from local grantmakers (WGDaily, 7/24)
Posted by nick geisinger 
Posted by washington grantmakers 
Posted by christian clansky 
