Philanthropy Front and Center - New York

New Research Advisory Gives Long-Term View of Foundation Giving

In September 2009, the Foundation Center conducted a follow-up to its January 2009 giving forecast survey to determine foundation expectations for giving beyond 2009. The survey responses from over 600 grantmakers have been analyzed and indicate that giving from foundations is expected to decline by more than 10 percent in 2009, and continued reductions are expected in 2010. "Foundations will be giving less than they expected at the beginning of the year," said Bradford K. Smith, president of the Foundation Center. "But many are rethinking their grantmaking so that fewer dollars will not necessarily mean less impact."

Foundations' Year-end Outlook for Giving and the Sector is the latest in the Center's research advisory series that explores the impact of the economic downturn on the nonprofit sector. The advisories and the online chart "In Their Own Words: 2009 Foundation Giving Forecast" are available at the Center's Focus on the Economic Crisis web page.

The report can be downloaded at no charge from the Gain Knowledge area of the Center's web site.

Steven Lawrence, Senior Director of Research at the Foundation Center and the author of the advisory, will be discussing this study and its specific findings at the New York library/learning center's 4th annual Open House, to be held on Tuesday, November 17.
Learn more about this program and sign up to attend today>>

Foundation Center Launches National Education Stimulus Initiative

The Foundation Center announced the launch of "Foundations for Education Excellence," a national initiative to engage philanthropic institutions and education leaders across the country in a unified, strategic drive to improve public education.

foundationcenter.org/educationexcellence, the web portal developed by the Foundation Center with a grant from the Charles Stewart Mott Foundation, was launched in cooperation with the U.S. Department of Education. It connects foundation funders in education to information and tools that will help them support ARRA's education reform goals.

"There is a unique window of opportunity in the coming weeks and months for private philanthropy to leverage its investment in education," said Bradford K. Smith, the Center's president. "Funders need fast-track tools to target areas of need and collaborate in new ways to improve educational opportunities across the country. The Foundation Center is ideally positioned to provide foundations with the knowledge platform needed to advance this process."

Read the full press release for details on the contents and uses of the portal.

Foundation Yearbook 2009 Just Released

The third volume in our Foundations Today Series, Foundation Yearbook: Facts and Figures on Private and Community Foundations (2009), provides data on the number of private and community foundations in the country and on their giving and assets through 2007. Using a survey of 1,225 large and mid-size foundations, as well as year-end fiscal indicators for all grantmaking foundations, the Yearbook also provides estimates of giving by private and community foundations for 2008. Further projections for foundation giving and assets for 2009 are also analyzed in this report.

In 2007, there were more than 75,000 grantmaking foundations, and foundation giving rose 13.8% over the previous year to $44.4 billion. In 2008, giving rose 2.8% to an estimated $45.6 billion, while foundation assets declined an estimated 21.9%. Based on this and other indicators, the Foundation Center projects that giving by foundations will fall by up to 13% in 2009. “The outlook beyond 2009 remains unclear, and much depends on when the economy and stock market begin a consistent recovery. At present, it appears likely that foundation giving will decline further next year” (Foundation Yearbook, highlight, p. 1).

New York and California held the largest share of foundation assets at 16%; while New York private and community foundations provided the largest share of giving overall. In terms of giving by foundation type, in 2007, 73% of all giving was done by independent foundations, which also had 83% of total foundation assets. With 8% of overall assets and only 1% of the total number of foundations in the country, community foundations made 10% of all giving. Representing only 3% of the total number of foundations, company-sponsored foundations also provided 10% of total giving.

See for yourself! Please download the free highlights and order the full report and the complete series from our web site.

Foundation Center Study Shows Renewed Interest in Social Justice Philanthropy

Social Justice Grantmaking II: An Update on U.S. Foundation Trendsprovides a current analysis of foundation giving to social justice work and reports on the detailed recommendations given by funders and advocates interested in advancing social justice philanthropy. This follow-up to the Center’s 2005 study, our first exploration of the topic, reports a nearly 31 percent increase in foundation giving to U.S.-based and international social justice activities between 2002 and 2006. The increase surpasses the 20 percent increase in overall foundation giving during the same time period. Foundation giving to social justice totaled $2.3 billion in 2006, representing roughly 12% of all giving by foundations. Economic and community development, health care access, and human rights and civil liberties received the largest share of social justice funding.

The report discusses factors that have influenced the resurgence of interest in social justice grantmaking, including the success of community organizing during the presidential election. "In 2005 many of us wondered about the prospects for social justice philanthropy because the field itself was so pessimistic about its future. Today, social justice is experiencing a resurgence, fueled by philanthropists whose passion won't let them stand by when there is injustice and whose pragmatism demands results," said Bradford Smith, president of the Foundation Center.

You can download the highlights to the report free of charge and purchase a copy (available in August) from the Gain Knowledge area of our web site.

Free Shipping in July for New Study on Women's Funds

This July, the Foundation Center is offering free shipping on our new report, Accelerating Change for Women and Girls: The Role of Women's Funds, when you order online.

Philanthropy by and for women has increased dramatically since the 1970s, calling attention to critical issues such as human trafficking and domestic violence. Published in partnership with the Women's Funding Network, this report examines patterns of giving by women's funds and their role in spearheading social change.

Read highlights of the study's findings at our web site and visit our Marketplace to purchase the full report ($19.95). Buy now >>

New Study Examines Funding for Women and Girls and the Importance of Women's Funds

Accelerating Change for Women and Girls: The Role of Women's Funds, a study published jointly by the Foundation Center and the Women's Funding Network, examines institutional giving to projects targeting women and girls and explores the growing influence of women's funds in the philanthropic landscape.

According to the report, which draws on the Foundation Center's grants data, fiscal summaries, and survey research, the rate of foundation giving for women and girls has grown faster than foundation giving in all areas. The role of women’s funds has also gained in significance in recent years, both in terms of actual grantmaking and in terms of bringing attention to “…the catalytic power of investing in women and in women-led solutions” (Highlights, p. 2).

"Women are a rising force in philanthropy," said Christine Grumm, president and CEO of the Women's Funding Network. "This report demonstrates the power women-led solutions have in creating sustainable change in communities."

In conjunction with the release of the new study, Josie Atienza, assistant director of research at the Foundation Center, and Grumm presented report highlights to a group of more than 60 grantmakers and nonprofit organizations. Other speakers were Bradford K. Smith, president of the Foundation Center; Larry McGill, senior vice president for research; Ana Oliveira, president and chief executive officer of the New York Women's Foundation; and Merble Reagon, executive director of the Women’s Center for Education and Career Advancement.

For a free executive summary of Accelerating Change for Women and Girls: The Role of Women's Funds and information on ordering the full report, visit the Gain Knowledge area of the Foundation Center's web site.

Community Foundations Grow and Increase Giving

The Foundation Center's new study, Key Facts on Community Foundations, finds that between 2006 and 2007 the nation's community foundations grew in asset size by close to 14% and increased giving by over 20%. Moreover, between 2007 and 2008, community foundations increased giving by close to 7%, surpassing increases in giving by both independent and company-sponsored foundations.

Though strengthened by increases in their assets, community foundations will face funding challenges similar to other grantmakers. Steven Lawrence, senior director of research at the Foundation Center notes, "Community foundations may fare better than other types of grantmakers, given their large pool of donors and leading role in responding to those affected by the economic crisis. But most will have no choice but to pull back on giving in the near term."

Learn more about community foundations' giving patterns and funding priorities by downloading the report at no charge from the Gain Knowledge area of the Foundation Center's web site.

Read the Latest Studies on Family and Corporate Foundations

Two recently released reports provide useful perspectives for nonprofit grantseekers on company-sponsored and family foundations in the U.S.

Key Facts on Corporate Foundationspresents data on, among many other topic areas, estimated giving, allocation of funding by subject area, and forecasts about future funding by the nation's 2,500 corporate foundations. Steven Lawrence, senior director of research at the Foundation Center, states in this report: "Corporate foundations will not be alone in having to reduce giving this year, but the cuts may well be deeper than for other types of grantmakers." Learn what else is happening with corporate foundations.
Download the full report>> [pdf]

Published jointly by the Foundation Center and the Council on Foundations, Perpetuity or Limited Lifespan: How Do Family Foundations Decide? presents results from the first national survey of family foundations on the topic of lifespan planning. Learn what family foundations are considering when they make these long-term decisions and see what factors and characteristics influence whether a foundation plans to exist in perpetuity or limit its lifespan.
Download the full report>> [pdf]

Read the New Research Advisory on Foundations and the Economy

Findings from the Foundation Center's recent survey of the largest foundations in the country show that nearly two-thirds of the more than 1,200 respondents expect to give fewer or smaller grants in 2009. According to Foundations Address the Impact of the Economic Crisis, foundations are also looking to provide more technical assistance, emergency or bridge funding, and advocacy for the nonprofit organizations they support. Among the foundations responding to the survey, close to 40 percent also plan to draw at least in part on their endowments to fund grants and another 14 percent will reallocate grant budgets to fund economic crisis grants.

"Foundations are not rolling over in the face of adversity," said Steven Lawrence, the Center's senior director of research and author of the advisory. "The new survey shows foundations being creative, strategic, and willing to dig deep to ensure that their agendas move forward while this crisis persists."

This Foundation Center research advisory is the fifth in a series that explores the impact of the economic crisis on foundations and the nonprofit organizations they support. Read a summary of the new report in our press release or download it in full at no charge from the Gain Knowledge area of the Center's web site.

New Foundation Center Report Provides Insight on Future Giving by Foundations

The Foundation Center has just released the 2009 edition of Foundation Growth and Giving Estimates: Current Outlook. According to this latest report in the Foundations Today Series, U.S. grantmaking foundations increased their giving modestly by 2.8% in 2008 to an estimated $45.6 billion. However, in light of deepening economic problems, future giving is expected to decrease, as over 67% of foundations surveyed for this report indicate they will be reducing their giving in 2009.

Read a detailed press release analyzing the findings in the new report, and access the complete report at no charge at the Gain Knowledge area of the Foundation Center's web site.