Trading Filet Mignon for Chicken Pot Pie

With unemployment at record highs and the stock market at alarming lows, even the wealthy — no matter whether they personally lost money or not — are toning down the benefit, that yearly fund-raising ritual, in a number of ways.

Full-text article by Tracie Rozhon is available via The New York Times, 2.25.09.

Jewish Groups Criticize Change in Charitable Deduction in Obama Budget

A trio of Jewish organizations criticized a proposed change in the charitable tax deduction included in President Obama's 2010 budget.

The United Jewish Communities, the Jewish Council for Public Affairs and the Orthodox Union all expressed concern about a provision in the budget that would lower the charitable deduction for taxpayers earning more than $250,000 to 28 percent from 35 percent. The groups said such a change would have a significant neagive impact on giving.

Full-text article by Eric Fingerhut is available via JTA.com, 2.27.09.

Short-Changing Charities

Although President Barack Obama hopes to help the poor by providing government-regulated health care, his plan to pay for it might actually cause those same people harm.

Full-text article by Daniel Indiviglio is available via Forbes, 2.26.09.

Obama Plan Would Reduce Charitable Deduction for Some Wealthy Donors

President Obama today proposed to cap the rate that high-income taxpayers can use to claim charitable deductions as part of a plan to finance changes to the country’s health-care system.

In a document outlining his 2010 budget plans, the president proposes to limit the tax rate for itemized deductions at 28 percent for families making more than $250,000.

That would reduce by as much as 20 percent the amount wealthy taxpayers could reduce their federal tax payments for charitable donations. Under the current system, taxpayers who are in the 33 percent or 35 percent tax brackets use that rate to claim deductions.

Bruce Flessner, a fund-raising consultant at Bentz Whaley Flessner, in Minneapolis, says the plan would likely have little impact on organizations that have a broad base of donors. But large institutions — particularly colleges and universities and academic medical centers — could be particularly hard hit if the plan moves forward.

Full-text article by Suzanne Perry is available via The Chronicle of Philanthropy, 2.26.09.

Are Charitable Contributions Really At Risk Under Obama Budget?

Under the president's plan, itemized tax deductions for charitable giving and mortgages would be capped for those earning more than $250,000 a year. Changes would be phased in gradually over the next few years. So in 2010, instead of getting a 33% or 35% deduction for charitable donations, Americans in the top income brackets, according to a Wall Street Journal analysis, would get somewhere in the neighborhood of 28%.

Critics are already voicing concern that charities, hard hit by a decline in donations because of sinking stock prices on Wall Street, could suffer further. House Majority Leader Steny Hoyer (D-Md.), the No. 2 Democrat in the House, said the potential loss of philanthropic giving is "clearly one of our concerns." And CNBC's Maria Bartiromo said on MSNBC's "Morning Joe" today that the Obama blueprint comes with "such unintended consequences" and said of charitable donations, "Get ready for those to go off a cliff."

Gifts to Colleges Fall After Record Highs

Gifts to colleges and universities broke all records in 2008, but began to decline as the recession deepened, and will most likely continue to do so for the next two years, according to a survey by the Council for Aid to Education.

Full-text article by Kate Zernike is available via The New York Times, 2.24.09.

Fewer Individuals Making Million Dollar Gifts

A new study from the Center on Philanthropy at Indiana University indicates the weak economy is slowing charitable giving, but not stopping it. The center's "Million Dollar List" shows the number of gifts of at least $1 million to charities in the last six months of 2008 dropped 33 percent, compared to the same period in 2007.

Full-text press release is available via Inside INdiana Business, 2.25.09.

Twin Cities Arts Advocates Argue for Financial Reality

Hundreds of people are expected at Arts Advocacy Day at the Minnesota State Capitol today. The lobbying comes as Gov. Tim Pawlenty is recommending the zeroing out of the State Arts Board's funding.

However, some within the arts community say they need to do a better job of explaining how the arts are vital to the Minnesota economy.

Full-text article by Euan Kerr is availble via Minnesota Public Radio, 2.24.09.

Nonprofit Theaters Plan Layoffs and Smaller Shows, Survey Finds

A survey of American nonprofit theaters found that more than half plan to offer cheaper tickets and nearly as many will eliminate administrative staff positions in expectation of shrinking sales and fund raising, Bloomberg news service reports.

The Theatre Communications Group surveyed 210 member organizations last month. Most reported that they are producing new calculations of expenses for the coming year, with theaters that have budgets exceeding $10-million reducing spending by an average of $750,000. A third of companies said they would alter programs to include shows with smaller casts.

Full-text article by Philip Boroff is available via Bloomberg.com, 2.20.09.

Google Chief for Charity Steps Down on Revamp

Larry Brilliant, the high-profile leader of Google's philanthropic arm plans to step down and indicated that the organization may narrow its focus. He will become Google.org's chief philanthropy evangelist, a role that he said would involve identifying "big ideas" and potential partners. Megan Smith will take over from Brilliant while keeping her current role at Google of vice president of new business development.

Full-text blog post by Verne Kopytoff is available via SFGate.com, 2.23.09.

When Characters Count: Advice for Charities on Making the Most of Twitter

Charities that use Twitter say it helps them connect with supporters and spread awareness about their work. A handful have even tried using Twitter to raise money.

Full-text article by Caroline Preston is available via The Chronicle of Philanthropy, 2.26.09. [Subscription required.]

Raising Money in Hard Times

Fund raisers across the country are trying new approaches to attract and keep donors. The Chronicle offers a 10-step battle plan for making the best of a tough fund-raising climate based on interviews with charity leaders and fund-raising experts.

This special report is available via the Chronicle of Philanthropy, 2.26.09.

Children’s Hospital Boston’s Philanthropic Tween Website Nabs Eight National Awards

Just three months after Children’s Hospital Boston launched Generation Cures , an innovative online philanthropic community for tweens, the site has been honored with eight prestigious national awards. The awards recognize the site’s kid-friendly content and interactive design, and demonstrate the much needed difference Generation Cures is making by empowering kids to positively impact each other and the world.

Full-text press release is available via Business Wire, 2.18.09.

Smartphones Offer New Frontier for Business, Philanthropy

Cisco, Yahoo! and MySpace are among the companies rolling out versions of their communications and social-networking services tailored for smartphones. Meanwhile, the Bill and Melinda Gates Foundation has announced the creation of Mobile Money for the Unbanked, a system that lets users in impoverished nations access banking services via cell phones.

More information is available via:
Computerworld, 2.17.09
InformationWeek, 2.17.09
Wall Street Journal, 2.18.09

Texas Billionaire's Legal Woes Could Cost Charities

The freezing of Texas billionaire Allen Stanford’s assets amid federal fraud charges could have a significant impact on the financier’s numerous charitable beneficiaries in the Houston area and elsewhere.

Full-text article by Purva Patel is available via The Houston Chronicle, 2.17.09.

Twitter's Charms Sort of Grow on You

Twitter always reminded me of my dog, squirming around, tail wagging -- demanding a little more attention than I felt I could give. But when I devoted a few minutes of attention, it was usually worthwhile.

Full-text article by James Rainey is available via The Los Angeles Times, 2.18.09.

Trio of Colleges Focus on $1B Campaigns

In the Greater Boston region three schools — Boston College, Tufts University and Brandeis — are in the midst of capital campaigns worth upward of $1 billion despite what experts said could be one of the most difficult fundraising environments in years.

Bruce Flessner, a principal at Bentz Whaley Flessner, said colleges in the middle of ongoing capital campaigns will likely be able to close them by their set deadlines. But he added fewer colleges will likely launch such large initiatives this year.

Full-text article available via the Boston Business Journal, 2.13.09.

Giving In Bear Times

Forbes gathered three experts in philanthropy to discuss strategies for giving when the markets are down.

Full-text article by Michael Maiello is available via Forbes, 2.16.09

Family Foundations Strong In 2007

During the relatively calm market waters of 2007, family foundations saw their assets and giving grow significantly, a new study says. The study, published by the Foundation Center, defines family foundations as independent foundations with "measurable donor or donor-family involvement."

Full-text article published by the Philanthropy Journal, 2.13.09.

Complete study available via the Foundation Center, 2009.

Alleged Madoff Victims May Be Vulnerable To Other Victims' Claims

Those who profited before suffering losses -- including retirees and charities -- could be hit with demands to give back cash in a settlement.

Full-text article by Carol J. Williams is available via The Los Angeles Times, 2.16.09.

Charities See Donations Drop As Need Spikes

Major philanthropies expect more unfulfilled pledges in face of recession, but also see uptick in volunteerism. Surveys of the largest 100 United Ways in December and January suggest a decline of 2% to 5.6% in giving this year.

Full-text article by Tom Watkins is available via CNN.com, 2.13.09.

Figures Reveal Tony Blair's Charity Empire

The former prime minister is attracting wealthy donors to back his health and harmony projects. Charities are going to the wall, leading philanthropists are cutting back and patrons of the arts are closing their wallets. But in these financially straitened times, Tony and Cherie Blair are emerging as the UK's answer to Bill and Melinda Gates.

Full-text article by Jamie Doward is available via The Guardian, 2.15.09.

Raising Money For Nonprofits In Terrible Times

Nonprofits are in trouble just like profit-making businesses. Most are battling not only declining revenue but also rising demand for their services. As a result, their fundraisers are having to come up with novel ways of bringing in cash. Some are working with former donors, now laid off, to see if they can give amounts that won't break their wallets. Others are going after non-traditional groups. Or they're turning to social-networking sites and other modern technology.

Full-text article by Alex Davidson is available via Forbes, 2.12.09.

Nature Conservancy Lays Off 10% of Its Staff

The Nature Conservancy, one of the nation's largest charities, is reducing its staff by 10 per cent, due to the worsening economy, coupled with a drop in donations and other income.

Full-text article by Holly Hall is available via The Chronicle of Philanthropy, 2.11.09.

Minnesota Hospitals In Bad Shape, and Things Could Get Worse

The prognosis for state hospitals and health care providers will be sustained pain if Gov. Tim Pawlenty’s proposed budget cuts are approved, the head of the Minnesota Hospital Association predicted this week.

Full-text article by Scott Carlson is available via The Saint Paul Legal Ledger, 2.12.09.

Met Unveils Scaled-Back Season

Amid news of spending cuts and shrinking endowments and donations, the Metropolitan Opera announced a 2009-10 season in which it will mount eight new productions but also scrap or replace four planned operas deemed too costly.

Full-text article by Daniel J. Wakin is available via The New York Times, 2.10.09.

Battered Nonprofits Seek to Tap Nest Eggs

Universities, museums and other nonprofits battered by investment losses are pushing states to ease legal limits on spending so they can tap their endowments to avoid imminent layoffs and deep cuts to programs.

Full-text article by John Hechinger and Jennifer Levitz is available via the Wall Street Journal, 2.11.09.

Twitter? It’s What You Make It

There’s nothing quite like Twitter. It’s a Web site where you can broadcast very short messages — 140 characters, max — to anyone who’s signed up to receive them. It’s like a cross between a blog and a chat room.

Full-text article by David Pogue is available via the New York Times, 2.11.09.

Early Feb Reuters/Michigan Consumer Sentiment Falls to 56.2

Consumer sentiment as measured by the Reuters/University of Michigan index, fell to 56.2 in early February from January's late 61.2 reading.

Full-text article by Pete Kasperowicz is available via Thomson Financial and Forbes, 2.13.09.

Entrepreneurs Confident In Recession

Despite anxiety brought on by the economic crisis, nearly six in 10 entrepreneurs say they would keep their current levels of social responsibility steady, while a quarter plan to increase their philanthropic efforts, says a survey by the Entrepreneurs' Organization.

Full-text article is available via the Philanthropy Journal, 2.4.09.

Financial Planners Increasingly Promote Charitable Trusts

The recession is creating optimum conditions for wealthy donors to set up charitable trusts as a way to give money and also shelter income from estate taxes.

Full-text article by Mike Spector is avaiable via the Wall Street Journal, 2.10.09.

Update on Senate Economic-Stimulus Package

The economic-stimulus package passed by the Senate today does not include a number of measures that nonprofit and foundation leaders had proposed to help ease the impact of the recession on the philanthropic world.

Full-text article by Suzanne Perry and Grant Williams is available via the Chronicle of Philanthropy, 2.10.09.

Donor Recognition: Thinking Like a Donor

The value of recognizing your donors goes far beyond showing appreciation for a gift. Recognition can motivate donors to be strong and lasting supporters of your organization.

Janet Hedrick, CFRE, senior associate at Bentz Whaley Flessner, who is the author of a new book from the AFP Fund Development Series, Effective Donor Relations, believes an important function of recognition is that it motivates people to give in the first place, and then acts as an incentive to continue support year to year. But, she says, recognition that is not well thought out could actually act as a “ceiling” for a donor’s giving level.

Full-text article is available via the AFP eWire, 2.9.09.

Stimulus Package Could Affect Healthcare Fundraising

The House stimulus package, American Recovery and Reinvestment Act (H.R. 1), which passed in the House on January 29 and is now in review with the Senate (S. 1), contains language that removes fundraising from the definition of health care operations. If this passes, the result will be that Association for Healthcare Philanthropy members will no longer have access to grateful patient names and addresses.

H.R. 1 Section 4406(b) and its companion language in section 13046(b) of the Senate substitute would effectively deny the development offices of not-for-profit hospitals and health care providers access to names and addresses of patients in their own institutions - information that is protected and used for the sole purpose of philanthropic outreach. AHP is working with key contacts in the Senate to remove this language from the Stimulus Bill.

More information is available via AHP's website.

Updates on Billion-Dollar Campaigns at 34 Universities

The 34 American universities that are seeking to raise at least $1-billion collected a total of $1.166-billion in gifts and pledges during the last month for which they had data available.

The campaign with the largest gain during that period was the Johns Hopkins University, with $249.4-million.

Full-text article by Marisa Lopez-Rivera is available via the Chronicle of Higher Education, 2.6.09. [Subscription required.]

In North Texas, Art Imitates Life In Recession

The recession is having a harsh impact on Dallas' arts and entertainment identity, including performing arts venues, museums, restaurants and design businesses – some of which are coming up with innovative ways to weather the storm.

Full-text article by Michael Granberry is available via the Dallas Morning News, 2.8.09.

Taking a Big Hit

Grant makers have lost about a third of their assets in the stock-market slide, but many nevertheless plan to maintain or increase their level of giving this year, according to a new Chronicle survey.

Full-text article by Noelle Barton and Ian Wilhelm is available via the Chronicle of Philanthropy, 2.12.09. [Subscription required.]

Opinion: Why Charity Leaders Should Pay Close Attention to Obama's Pay Guidelines

President Obama’s announcement this week that he plans to limit executive pay and perks at financial companies seeking federal bailout aid should send a message to nonprofit groups’ leaders and their board members.

Full-text article by Ralph De Jong and Michael Peregrine is available via the Chronicle of Philanthropy, 2.6.09. [Subscription required.]

Philanthropy Must Turn More Attention to Housing Issues

The American economy cannot recover without a turnaround in housing.

While the federal government considers what additional steps to take to help homeowners and the housing market, American philanthropy need not wait to play a role in solving the crisis and helping to spur a recovery.

Full-text article by Jonathan Fenton is available via the Chronicle of Philanthropy, 2.12.09. [Subscription required.]

Bucknell Raises $100 Million Plus In Comprehensive Campaign

Bucknell University alumni, parents, grandparents, faculty, staff and friends have committed more than $100 million in gifts and pledges to Bucknell’s comprehensive campaign, the largest such fundraising effort in the University’s history.

Full-text article by Tom Evelyn is available via Bucknell University, February 2009.

Nonprofits Scramble for Funding

With endowments and donations shrinking and demand for some services rising, nonprofits are using all their ingenuity to raise enough money to stay afloat.

Full-text article by Prashant Gopal is available via BusinessWeek, 2.4.09.

Metrostudy: Reality Worse Than Housing Numbers Indicate

Government numbers aren’t painting the real picture of the housing problem, according to economists at Houston-based housing research firm Metrostudy.

The latest figures from the U.S. Department of Commerce show that housing sales have fallen to their lowest level on record — 331,000 new homes sold at an annualized rate.

Full-text article is available via the Houston Business Journal, 1.29.09.

Researchers Assess Philanthropy for 2009

As national attention is drawn toward the economy with the news of the current recession, several faculty members at Boston College focus on how the current recession and the new presidential administration will affect philanthropy in America. In their recent article "Giving in Today's Economy," John Havens, senior associate director of the Center on Wealth and Philanthropy, and Paul Schervish, director of the Center for Wealth and Philanthropy, assess the state of philanthropy in America today and give predictions for the future.

Full-text article by Michael Caprio is available via BCHeights.com, 1.26.09.

Researchers Assess Philanthropy for 2009

The State of Nonprofits: Gift Don't Meet the Demands (Atlanta, GA)

The situation in the arts isn’t pretty. Hospitals feel the pain. Foundations are shakier than they once were. And some colleges are struggling to make the financial grade.

Across the board, local nonprofit institutions are watching their investments shrink while their donors face growing demands on their own tenuous finances, according to interviews with dozens of nonprofit officials.

Full-text article by Gayle White et al. is available via the Atlanta Journal-Constitution, 2.1.09.

Charities Feel the Credit Crunch

Nonprofit organizations are in for a tough year of tightening credit markets and a deepening recession, according to two new reports from a credit-rating service.

Full-text article by Debra E. Blum is available via the Chronicle of Philanthropy, 1.27.09.

From Donors Who Touch Many, No New Grants

Eighty Boston charities received a letter Friday from the Carl and Ruth Shapiro Family Foundation informing them that the organization will make no new grants in 2009 as it recovers from the Bernard L. Madoff investment scandal, which claimed about $145-million, nearly half of its assets.

Full-text article by Beth Healy is available via the Boston Globe, 1.30.09.

California State U. System Halts Work on 130 Construction Projects

More than 130 building projects on 23 California State University campuses have been forced to a halt by the state government’s cash-flow crisis.

Full-text article by Lawrence Biemiller is available via the Chronicle of Higher Education, 2.2.09.

Half a Million Nonprofits Could Lose Their Tax Exemptions

In May 2010, half a million nonprofits could find themselves stripped of their exempt status. The IRS estimates that that's the number of smaller organizations that have failed to file a Form 990-N.

Full-text article by Suzanne E. Coffman is available via GuideStar, January 2009.