Older Workers Bring New Purpose to Volunteer Work

As the recession drives an increase in community service, baby boomers with ideas about how they want to help nonprofit and community organizations are remaking the face of volunteerism. Volunteerism among people older than 45 jumped 4.2 percent during in the 12 months that ended last September, compared with 0.7 percent for younger people, according to the Bureau of Labor Statistics.

Full text article by the Associated Press is available via The New York Times, 3/4/10.

More Than a Quarter of Wealthiest Americans Say Recession Led to Donation Cuts

Twenty-eight percent of wealthy Americans say the recession has caused them to cut back on the total amount of money they give to charity, according to the annual Wealth and Values Survey, by PNC Wealth Management. Although such donors have reduced their giving, 55 percent of the respondents said they still believe they have a responsibility to donate to the nonprofit groups, about the same percentage who indicated such a view in the last three years’ surveys.

Full text article by Maria Di Mento is available via The Chronicle of Philanthropy, 3/1/10.

Hint of optimism for giving sector

A third study, by the Association for Healthcare Philanthropy, says businesses and individuals hit hardest by the recession have shifted their giving to long-term pledges and gift commitments rather than not giving.

Full text article by Todd Cohen is available via Inside Philanthropy, 12/28/09.

Philanthropy Thrives, Even With Reduced Resources

The expectation in America is that people who do well give back to society. For the wealthy, it is one way to stave off charges of being greedy. And in the boom times, being seen as philanthropic seemed a social and political obligation. But just as the downturn left the wealthy (and the rest of us) reeling from personal portfolio losses, their foundations also suffered investment losses that have affected their capacity to give. The Foundation Center in New York said this month that philanthropic giving in 2009 could fall as much as 13 percent. This has left many charities, particularly small ones, scraping for funds.

Full text article by Paul Sullivan is available via The New York Times, 11/13/09.

In recognition of the recession’s severe impact on charities, the Better Business Bureau Wise Giving Alliance announced today that it will allow organizations more leeway in meeting its standards for how much they spend on fund-raising and program activities. But for the fiscal years ending in 2008 through June 2010, the agency announced, charities that spend up to 45 percent of contributions on fund raising and as little as 55 percent on programs will still receive the Wise Giving Alliance stamp of approval, so long as they comply with the other 18 standards.

Full text article by Holly Hall is available via The Chronicle of Philanthropy, 12/3/09.

ECONOMIC SCENE: No quick recovery for charitable giving

A recovery in charitable giving is likely to lag well behind an end to the recession. Contributions dropped 2 percent from 2007 to 2008 and are likely to decline more steeply this year, according to the Giving USA Foundation. Another study by that organization concluded that, based on giving patterns in the aftermath of the Depression and the recession of 1973-75, inflation-adjusted giving won’t return to the 2007 level until at least 2012, even if the recession ended by this June.

Full text article by David R. Francis is available via The Christian Science Monitor, 11/30/09.

Harvard ignored warnings about investments

Several former leaders of Harvard’s endowment say they warned university officials for years that they were taking too high a risk with Harvard’s cash investments. Two former endowment chiefs, Jack Meyer and Mohamed El-Erian, say they repeatedly told then-Harvard president Lawrence Summers, school financial staff members, and board members that the institution was investing too much of its general operating account with the endowment’s mix of stocks, bonds, hedge funds, and private equity. The cash account, which reached $5.1-billion during Mr. Summers’s tenure, lost $1.8-billion in the market downturn, forcing the school to tighten budgets, put off expansion plans, and issue bonds with hefty interest payments to cover the losses.



Full text article by Beth Healy is available via The Boston Globe, 11/29/09.

Tweeting for $10: new appeals for holiday giving in tough times

With the lingering recession expected to cut into holiday giving, charities are soliciting smaller donations and increasingly using free social media to publicize their efforts. The King County, Wash., United Way has begun a campaign seeking $10 donations for struggling families and offering online donors an option to forward an appeal to 10 friends. Mercy Corps, in Portland, Ore., has introduced an online tool allowing families and groups of friends to make collective contributions.

Full text article by Kristi Heim is available via The Seattle Times, 11/20/09.

College Campaigns Meet Monetary Goals, Despite Bad Economy

Most capital campaigns by colleges and universities that seek to raise $1-billion or more are on track to meet their goals, despite the bad economy, according to a new report. The findings differ from those of a study last spring by The Chronicle of Higher Education, which found that a dozen billion-dollar campaigns were raising about a third less money (down 32 percent) then they had the year before.
Full text article by Holly Hall is available via The Chronicle of Higher Education, 11/18/09.

Five Trends Help to Create "Nonprofits of the Future," Report Says

The nonprofit field isn’t going to simply bounce back a few years from now to the state it was in before the recession, according to a new report by La Piana Consulting, which explores five trends that are hastening the emergence of a new nonprofit landscape. Those trends are:
shifting demographics, technological advances, new ways to collaborate, greater interest in service, and blurred lines between nonprofit and for-profit.

Full text article by Caroline Preston is available via The Chronicle of Philanthropy, 11/9/09.

Philanthropic Potential: A Weak Economy and a Return of Large Gifts

Last week there were two very different news indicators of philanthropic potential. The national media headlines focused on unemployment rising to 10.2%, after an unexpectedly large jump in layoffs in October.

Meanwhile, the world of philanthropy noted the announcement of two $100 million gift commitments. The number of seven-, eight- and now nine-figure gifts is starting to rise.

These two stories--a weak economy and a return of large gifts--are part of the pattern we have been suggesting will happen this fall and winter. For 2010 we continue to see challenges for grassroots fundraising as the unemployment rate rises and Americans remain cautious about their economic situation.

However, the recovery is already showing a return of lost wealth. Despite discouraging unemployment news and the awful news of the Fort Hood tragedy, the Dow Jones is over 10,000. Businesses are exceeding profit projections.

Consequently, we believe that now is the time to reinvigorate major and planned giving programs.

Gender and the Recession
While the recession has affected all segments of the job market, minorities and males have taken the brunt of the job cuts. In this recession more men than women have been laid off. Male unemployment has been over 10% for many months now.

Women are starting to make as much as men, especially in the third and fourth tier cities. An unprecedented number of women are now the primary family breadwinner.

For the first time in history the number of working women is virtually equal to the number of working men. While no one would claim the end of discrimination, at the highest levels of corporate America women are making significant strides:





Source: The 1997 and 2007 Catalyst Census of women corporate officers of top earners; US Census bureau.

From 1997 to 2007 the composition of lawyers in the United States grew from 25% to 30% women, physicians from 22% to 29%, faculty from 32% to 39% and the military from 12% to 14%.

For 20 years the world of development has talked about women and philanthropy, but most boards and councils remain overwhelmingly male. Too many programs begin with the male donor in mind. The best programs will focus on women as well as men in designing their strategies and enlisting supporters.

Timelines for Success
The recession, which has impacted all Americans, is now officially ending, but the recovery appears to be slow and joblessness is not expected to peak for many months. Debate continues whether many of the male dominated industries will ever recover jobs to levels of a decade ago.

However, there are steps to take now to improve results coming out of the recession.

Steps for 2010

1. Get Annual Giving Right. While it appears as if broad based appeals will be more difficult as the jobless recovery continues, the lesson for everyone is to do a better job of the basics of annual giving. In January we will launch a series of advisories about annual giving. Is your program recognizing the importance of women donors? Have you established new retention efforts so that donors stick with you during a time of uncertainty? Have you adopted new technologies and media?

2. Invest in Major Gifts Again. In 2008 we talked about the need for development programs to prepare for budget trimming; now is the time to make the case for a larger investment in development. Major gifts take months, often years, to close. Therefore, beginning now will put you in a great position as wealth grows in the year ahead.

3. Reactivate Campaigns. The past 18 months have been difficult for campaigns. Many institutions have put off new initiatives. Now is the time to push the long term agendas and take advantage of the bull market. Waiting a couple years to restart efforts runs the risk of missing much of the bull market. Starting, or restarting, campaigns takes time and extra work, so starting now allows you to be ready for success in 2010.

4. New Prospecting. Economic upheaval requires exploring new segments as potential major donors. As you look at your donor portfolios, are women represented as key donors and breadwinners? Have you discovered the new entrepreneurs whose vision during difficult times is creating a new generation of wealth and philanthropists?

5. Incorporate Predictive Analytics. Organizations we've guided with analytics strategies have the tools to identify the best sources for unrestricted giving and prospects with economic resiliency. From building these capacities within your organization to entrusting BWF with this analysis, you can focus your efforts where you will be the most effective.

Five Trends Help to Create "Nonprofits of the Future," Report Says

The nonprofit field isn’t going to simply bounce back a few years from now to the state it was in before the recession. That’s the message behind a new report by La Piana Consulting, which explores five trends that are hastening the emergence of a new nonprofit landscape.

Full text article by Caroline Prestion is available via The Chronicle of Philanthropy, 11/9/09.

America Falling: Longtime Dominance in Education Erodes

The United States still leads the world in higher-education rankings, but the world is catching up. As American suffers from the worst recession in a generation, budget cuts threaten higher education at every level, as one result of this period of retrenchment is students stuck in overcrowded classes. In Asia, by contrast, some countries are investing in colleges to spur growth.

Full-text post by Karin Fischer is available via The Chronicle of Higher Education, 10/5/09.

Majority of Local United Ways Report Declines in Donations

In what officials said was a “stark” trend, the number of local United Ways reporting a decline in contributions shot up to 57 percent last year, from 34 percent in 2007, according to figures released by United Way Worldwide. The recession cut a deep swath in contributions to more than 300 of the nation’s largest United Ways last year, with the largest decline for the local United Way in Erie, Pennsylvania.

Full-text post by Holly Hall is available via The Chronicle of Philanthropy, 9/30/09.

Happy Together

The recession has slowed the intense job hopping of recent years in fundraising. Four professionals at various stages of their careers discuss what factors contribute to job satisfaction, including Bentz Whaley Flessner's Tom Grabau, a managing associate who has surveyed fundraisers to find out what is most important to them.

Full-text post by Diane Webber-Thrush is available via the Current, 10/09.

Pro Bono Spreading With The Recession

Cash-strapped companies have found a way to get more from their charitable bucks, creative giving experts explain. Pro bono work by architects, lawyers and even corporations has been growing during this recession. That's in contrast to past downturns and seems to reflect an enlightened opportunism. It's a way to put idle employee hands to work, to network and to get greater bang from a firm's charitable bucks.

Full-text post by Richard C. Morais is available via Forbes Magazine, 9/24/09.

Giving by the Wealthy Drops Sharply in 2009

The recession appears to be cutting significantly into giving at the peak of the fund-raising pyramid.


Full-text post by Peter Panepento is available via The Chronicle of Philanthropy, 8.25.09.

For-Profit Colleges See Large Increases in Enrollment and Revenue

The recession has left nonprofit colleges and universities across the country struggling with budget cuts and uncertainties over enrollment, but many for-profit institutions are reporting record increases in student numbers and revenue—a sign that the recession is prompting more adults and nontraditional students to seek career training.

Full-text article by Erica R. Hendry is available via The Chronicle of Higher Education, 8.25.09.

Cracking the fundraising code

Research on fund raising by John List, a University of Chicago economist, is the subject of a report in Crain’s Chicago Business.

Mr. List’s studies on how and in what circumstances people give have been gaining cachet in nonprofit circles as organizations scramble to navigate the recession. Among his findings are that phone solicitations are more effective than direct-mail appeals and that high matching donations do not produce bigger gifts than simple dollar-for-dollar matches.


Full-text article by Christina Le Beau is available via Crain's Chicago Business, 8.24.09.

States' Focus on Public Colleges Collides With Budget Reality

For states in the Pacific West, an exceptional reliance on public colleges and a steady erosion of state support has made higher education unusually vulnerable to the recession.

Full-text article by Josh Keller is available via The Chronicle of Higher Education, 8.24.09.

Rise of the Super-Rich Hits a Sobering Wall

The rich, as a group, are no longer getting richer. Over the last two years, they have become poorer. And many may not return to their old levels of wealth and income anytime soon.

Full-text article by David Leonhardt and Geraldine Fabrikant is available via The New York Times, 8.20.09.

Dwindling Reserves

GIFTS FROM DONOR-ADVISED FUNDS totaled a median 23 percent of the funds' assets in 2008, a higher share than in recent years,according to the latest Chronicle survey, but gifts to the funds declined.

Full-text article by Noelle Barton and Ben Gose is available via The Chronicle of Philanthropy, 8.20.09.

Recession taking a toll on philanthropy, too

We may be hearing lots of gloomy news about how companies in the auto and other industries have downsized or gone bankrupt in the United States, but one of the less publicised aspects of the impact of the economic recession is how it has affected non-profit foundations and museums in America.

Full text post is available via The Nation, 8.23.09.

Recession Means Fund Raisers Have to Re-Assess Each Donor's Wealth

The recession is keeping the fund raisers who conduct research on potential donors busy. Profiles are based on information about potential donors, such as the value of their homes, their stock holdings, and their charitable giving, all of which are likely to be down.

Full text article by Nicole Wallace is available via The Chronicle of Philanthropy, 8.18.09.

In the Arts: Magazine Pins Museums' Woes on Bursting 'Bubble'

The wave of layoffs and cost cuts at museums are a byproduct not just of the recession but also of a “museum bubble” built on risky investments and outsize revitalization projects, arts magazine Artnet argues.

Full text post is available via The Chronicle of Philanthropy, 8.12.09.

Voices of recovery – In their own words.

" . . . we are certainly seeing a real boom in health care in our area. . . Well, we in the health care industry aren't recession-proof but we're recession resistant.”

Full text post is available via Idaho Business Review, 8.3.09

Philanthropy outlook upbeat, but not for religious charities

Giving by the rich to charitable causes seems to be rising as younger donors get more active in the field. Faith-based charities face falling donations because they’re not in step with this new generation of philanthropists.

Full text blog by Tom Heneghan is available via FaithWorld, 7.30.09.

Capital Campaigns in the Recession

The recession is particularly tough for nonprofit organizations that are conducting capital campaigns. Many donors are holding off on making big gifts. At the same time, access to credit is tight.

Read the transcript from The Chronicle of Philanthropy's online discussion, 6.25.09.

When Will It End?

If this recession turns out to be like the one in the mid-1970s, donations won't rebound until at least 2012.

Full-text article by Holly Hall is available via The Chronicle of Philanthropy, 6.15.09. [Subscription required.]

Hire More Fundraising Rain-Makers During Recession, AHP Study Concludes

As the recession's grip tightened on nonprofit hospitals and health care systems in the U.S. and Canada, high performing philanthropic fundraisers in charge of major gifts and planned giving programs were often their most effective and efficient rain-makers, according to the Association for Healthcare Philanthropy (AHP).

Full-text press release is available via PRNewswire, 5.14.09.

U.S. Economy: Leading Indicators Index Gains as Recession Eases

The index of U.S. leading economic indicators rose more than forecast and a manufacturing gauge improved in signs the deepest recession in five decades could end later this year.

Full-text article by Shobhana Chandra is available via Bloomberg.com, 5.21.09.

What Recession? Places Like Sioux Falls, S.D., Prove Resilient

One part of the nation has avoided much of the current economic misery: the region from North Dakota to Texas, most of it sparsely populated. This area includes five of the six states that analysts at Economy.com have classified as not yet in recession. And other states in the Rocky Mountain West -- from New Mexico to Idaho --are facing relatively mild downturns.

Full-text article by Nicholas Riccardi is available via The Los Angeles Times, 4.11.09.

Timeline: Museums and the Recession

Hardly a week has gone by in past months without troubling news from the museum sector: layoffs, budget reductions, exhibition cancellations, deaccessions, admission price increases, and even some closings.

Full-text article available via ArtInfo.com, 4.17.09.

State of Fund Raising

Sixty percent of nonprofit groups are expecting gifts to their organizations to either increase or remain about the same in 2009 when compared with 2008, according to a survey conducted by the Association of Fundraising Professionals.

That number suggests the recession, while painful, is not going to be a crippling blow to many organizations, said Paulette Maehara, president of the association, in an interview in New Orleans just before the association’s annual meeting opened there.

The fund-raisers group plans to release detailed findings from the survey in May 2008.

Full-text article by Peter Panepento is available via The Chronicle of Philanthropy, 3.29.09.

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.

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.

Conservatives Have Answered Obama's Call

"What is required of us now," President Barack Obama said in his inaugural address this week, "is a new era of responsibility -- a recognition on the part of every American that we have duties to ourselves, our nation and the world." It is a message that nonprofit organizations would like our nation to take to heart, as 2009 fund-raising begins.

Unfortunately, we nonprofit leaders, like our for-profit counterparts, are laying awake nights. The end of 2008 was disappointing for philanthropy, and some believe that 2009 will be difficult as well. Indiana University's Center on Philanthropy publishes the Philanthropic Giving Index (PGI), which tracks the predictions of nonprofit leaders about charitable giving. Like the more-famous Consumer Confidence Index, it shows a level of gloom not seen in years, falling from 83 to 65 (on a 0-100 scale) in just six months.

Full-text article by Arthur C. Brooks available via the Wall Street Journal.

Charity Reels in Recession

The Harlem Children's Zone, Geoffrey Canada's successful anti-poverty initiative, gets attention from Barack Obama and struggles with financial issues, including the fallout from the Madoff scandal.

This video will be available to non-subscribers of the for up to seven days via the Wall Street Online Journal.

Next Benefit to Face the Ax: Matching Gifts

Hit hard by the recession, many companies have trimmed contributions to employees' 401(k) plans, suspended bonuses and cut back on health-care benefits. Now, a growing number are also taking the ax to their charitable matching gifts and volunteer programs.

Full-text article by Shelly Banjo is available via the Wall Street Journal, 1.14.09.

Fund Raising in a Recession

Commentary by Jeff Schoenherr, director of the regional and international major-gifts program at the Johns Hopkins Institutions, which just completed its "Knowledge for the World Campaign" and raised more than $3.5-billion.

Full-text article by Jeff Schoenherr is available via the Chronicle of Higher Education, 1.9.09.

Survey: How Colleges Are Responding to the Recession

Most colleges have steered through the first jolts of the recession without resorting to layoffs, cutting employee benefits, or imposing across-the-board freezes on hiring. But the economic pain is afflicting campuses in many other ways, according to the findings from a new survey of chief business officers conducted last month by The Chronicle and Moody's Investors Service.

Full-text article by Goldie Blumenstyk is available via the Chronicle of Higher Education, 1.9.09. [Subscription required.]

Recession Rattles Nerves in Fund-Raising Offices

After years of growth and earlier predictions that higher-education fund raising would escape the brunt of the economic crash, the recession has started to affect colleges' efforts in that area, according to results of a Chronicle of Higher Education–Moody's Investors Service survey.

Full-text article by Kathryn Masterson is available via the Chronicle of Philanthropy, 12.19.08. [Subscription requuired.]

In String of Bad News, Omens of a Long Recession

Despite months of rescue efforts, hundreds of billions of dollars in government spending and an avant-garde apparatus of financial tools, the American economy has only worsened, and at a faster rate than nearly anyone predicted.

Full-text article by Michael M. Grynbaum is available via the New York Times, 12.7.08.

Economy's Troubles Could Hit Colleges Unusually Hard

Financial experts everywhere agree that the economy appears headed toward a recession. The question is how long it will last and how deep it will be.

The last recession, in 2001, lasted less than a year. Prolonged recession might force some private institutions out of business, experts say.

Full-text article by Brad Wolverton is available via The Chronicle of Higher Education, 3.25.08. [Subscription required.]

UCLA experts don't buy recession

Brushing aside conventional wisdom, UCLA economists say California and the nation will survive the housing slump and job losses without plunging into recession -- although it will still be miserable for many Americans.

Full-text article by Peter Y. Hong is available via the Los Angeles Times, 3.11.08.