Recent Mott Foundation News -- All Programs

Foundation announces openings on program staff

Wed, 07 May 2008 12:08:35 GMT

The Mott Foundation is currently seeking candidates for two positions in the Improving Community Education area of its Pathways Out of Poverty program. Individuals who fill these two open positions – Associate Program Officer and Program Assistant – will help manage $11.5 million in annual grantmaking. The Improving Community Education grantmaking includes Mott’s support for creating quality afterschool learning opportunities, particularly for low-income children and families. Click here to learn more about these job opportunities.

Online system for nonprofits makes filing tax returns a snap

Thu, 01 May 2008 13:01:54 GMT

By ANN RICHARDS

The May 15 deadline for nonprofits to file their IRS Forms 990 and 990-EZ is fast approaching. Nonprofits across the nation now can take advantage of the 990 Online Web site, which provides a user-friendly way to electronically prepare tax returns -- and in Michigan and Pennsylvania file them as well. Developed by the Center on Nonprofits and Philanthropy at the Urban Institute in Washington, D.C. with the support of a $300,000 grant from the C.S. Mott Foundation, the electronic filing system is the key to more accurate reporting on nonprofits, more cost-effective capturing of data, and better oversight of the sector, according to Elizabeth Boris, the center's director. Ultimately, "e-filing" will save millions of philanthropic and government dollars, Boris said. Housed at the Urban Institute's National Center for Charitable Statistics (NCCS), services available through the 990 Online Web site are free to nonprofit organizations with less than $100,000 in gross receipts. Tom Pollak, a program director at NCCS who has worked with the Internal Revenue Service and state charity regulators since 1999 to develop the tax preparation and e-filing software, recently spoke with Ann Richards, a Communications Officer for Mott, about the advantages of this new system.

Mott: In 2002, several states went live with the new NCCS e-filing software. In 2004, NCCS’s new 990 Online Web site became the first system to permit e-filing of the Form 990-EZ directly with the IRS. What are the advantages of using the new program and how has this new technology been received?

Pollak: There are a couple of real advantages to the Web site we've developed. Most obviously, the system does the all the math for you. It offers standard formats for virtually all of the schedules and attachments that nonprofits need to file, and you don't have to browse through 40 pages of instructions to complete the form. When you are done with your form, it checks to make sure that all required sections and attachments are complete. Another big advantage is that when you use the system the next year, the program descriptions, board lists, and other information that stays more or less the same from year to year is automatically imported into your new return. It's a real time-saver for nonprofits.

For nonprofits with gross receipts of less than $100,000, use of the software is free. We've instituted modest fees for larger nonprofits, because we hope to make the 990 Online self-supporting within the next few years. We've had several large, national nonprofits use the system successfully. And over the last six months, we've completed an e-Postcard system for the smallest nonprofits -- those with less than $25,000 in gross receipts. Over the long run, we anticipate that the e-Postcard will make it easy for small nonprofits to check in with the IRS each year, and easier for donors and other stakeholders to get an accurate picture of the nonprofit landscape.

Another big advantage is that e-filing is more secure than paper filing. Obviously security is a huge issue for the IRS, and we seek to provide an equally secure system. We use PayPal for credit card transactions so payment transmissions are completely secure.

The system is Web-based -- any nonprofit with an Internet connection and a standard browser such as Microsoft Internet Explorer or Firefox should have no trouble using it. It doesn't directly link with accounting systems, but it allows you to import key information such as the lists of board members, grants and contributors from Excel spreadsheets.

Mott: What states currently make this software available to nonprofit organizations?

Pollak: Nonprofits in every state can use this software to complete their federal return. Right now, nonprofits in Michigan and Pennsylvania can also use the 990 Online to e-file their state forms as well. Organizations that are registered in California, New York, Colorado, and Mississippi will soon be able to e-file in those states. One of our biggest challenges is working with state charity officials to make the system widely available. But it costs money to upgrade technology, and a lot of the state charity regulators don't control their own IT budgets. As the IRS moves to require more organizations to e-file, we anticipate more interest in the 990 Online. In the long run, adapting to electronic filing will be hugely valuable in terms of cost-savings.

Mott: What are some of the other big challenges related to electronically preparing 990 forms or extensions?

Pollak: Well, the biggest challenge right now is that the IRS has redesigned the 990. They've made major improvements to the form, but adapting our software -- making it compatible with the new form -- will be a huge cost endeavor that will preoccupy much of this coming year. The IRS still requires electronic filers to submit a signature form via fax or mail -- we'd like to eliminate that. We also want to continue making our software easier to use. Longer term, we are designing our new system so that it can be customized to meet the needs of funders seeking additional information from their grantees or umbrella associations trying to collect data from their members. Collecting this information through the Form 990 process could be a lot easier than trying to get organizations to complete member surveys that often ask questions that are similar to what’s already on the 990.

Mott: What do users have to say about the 990 Online software?

Pollak: We've had a number of nice letters and comments -- and cash donations to support the work -- from organizations who have used the software and our tech support. A very small agency with no overhead expenses or paid staff said they would have had to hire an accountant without the software -- they put the savings toward their work preventing domestic abuse. Another client -- a university -- wrote that they were delighted with the software's quality and ease of use. They also appreciated the appearance of the finished forms. Apparently they had tried another online service recommended by their auditing firm and it was too complicated. Now the auditors are recommending 990 Online.

Mott: We've talked a lot about the advantages of the 990 Online for users, but what are some of the other benefits of e-filing?

Pollak: Putting on my researcher hat, I'd say there are tremendous implications for data collecting. We'd like to expand the system's ability to collect supplemental information. Posting this information online will make it available much more accurately and quickly than key-punching it by hand and scanning documents, which is how the IRS currently handles 990 information. In the grand scheme, it would be great if we could use electronic filing to make more management data available to nonprofits. They could use the data to figure out how they're performing in comparison to nonprofits of a similar size. Ideally, they could access the data to make more sound programmatic and financial decisions.

E-filing is one of those win-win processes for charities and the IRS. Error rates are vastly lower when you e-file; the cost of processing the information for the IRS and other users is vastly lower as well. In preparing for this project in 2002, our surveys indicated that technical capacity is not a serious barrier to electronic filing. Of the very smallest organizations -- those with zero paid staff that prepare Form 990 internally, 86 percent reported having Internet access. Based on our experience with the e-Postcard project this year, we believe that the percentage is far higher now. As of 2007, more than 28,000 Form 990s, 990-EZs and extensions had been created using the 990 Online software. The number of charities using the software is modest but it's growing -- the incentives to file electronically are huge.

Statewide middle-college expansion focuses on health-care careers preparation

Thu, 01 May 2008 13:01:26 GMT

By DUANE M. ELLING

Keeping young people in Michigan -- as residents and workers -- is widely viewed as crucial to the state’s future. To accomplish this, experts say, local educational and workforce development bodies must help youth explore and prepare for promising careers in existing and emerging industries.

Genesee Early College is housed on the University of Michigan-Flint campus.Yet the state’s economic struggles threaten this goal. Limited resources mean fewer new programs to train Michigan students for jobs that offer a competitive wage, long-term stability and opportunities for advancement.

“It’s like trying to fix a car’s engine -- on a shoestring budget -- while you’re driving,” said Chuck Wilbur, senior adviser on education and communications to Gov. Jennifer Granholm.

“Fortunately, the state has home-grown institutions like Mott Middle College [MMC] working to help us meet the challenge.”

MMC, an alternative education program in Flint, is mentoring six middle-college initiatives around the state focused on preparing students for jobs in health care. That sector was chosen because it is expected to offer strong employment prospects for at least the next several years.

MMC began in Flint in 1991 with the support of a start-up grant from the Mott Foundation. The program is part of the Genesee Intermediate School District (GISD) and provides an educational option to youth throughout Genesee County. The students selected for MMC are capable of academic success, but are at risk of dropping out of school or aren’t achieving up to their academic potential.

The program -- among the first of its kind in the country -- encourages young people to take charge of shaping and pursuing their educational goals, and helps them develop effective learning and communication skills. Its location on the Mott Community College (MCC) campus also offers students the opportunity to earn college credits while completing high school.

The program’s track record has made it a highly respected ambassador of the middle college model. Today, communities around the country are coming to MMC for help in creating similar educational and employment pathways for young people.

The Mott Foundation has made $2.94 million in grants to MMC, including $1.97 million toward technical assistance to school districts across the U.S. interested in replicating the model.

In Michigan, that mentorship role includes working with the new health-care programs.

These initiatives were born out of a study released in December 2004 by the state’s Commission on Higher Education and Economic Growth. The commission, chaired by Lt. Gov. John Cherry, explored strategies for increasing the number of Michigan residents who earn college degrees and other post-secondary credentials, and aligning those educational opportunities with careers in growing industries, including health care.

Officials soon identified the middle college model -- and MMC’s approach in particular -- as a promising strategy for helping young people explore such careers and complete the advanced education and training required.

In early 2006, via a competitive grant application process, the state selected six sites for the new initiatives. Those sites -- the city of Detroit and the regions of Clare-Gladwin, Delta-Schoolcraft, Genesee, Washtenaw and Wayne counties -- have since begun enrolling students.

While the programs are focused initially on high school age youth, each hopes eventually to provide outreach and educational opportunities to younger students.

Even as the sites’ applications were being reviewed, says Zoe Starkweather, MMC already was providing them with technical assistance and support.

Starkweather is the grants and development coordinator for the Washtenaw Intermediate School District (WISD), which launched its initiative -- the Early College Alliance -- in collaboration with Eastern Michigan University, the St. Joseph Mercy Health System and the University of Michigan Health System. Other partners include Michigan Works!, the Ypsilanti Chamber of Commerce and several area schools.

She says MMC helped the participating communities understand the strengths and challenges of the middle-college model, and how the new initiatives can complement existing educational and workforce-development programs. MMC also has worked with the local initiatives to connect high school and college curriculums within a health-care framework, as well as develop appropriate program budgets and policies.

That support, Starkweather says, has proven vital.

The middle college model helps youth earn college credits while completing high school. “MMC, by sharing its experiences, insights and solutions, is helping us leverage our limited resources into world-class programs. As a result, we’re breaking new ground with the middle-college model without having to reinvent its basic structure.”

Dwight Sinila, a consultant in areas of grants coordination and school support at the Michigan Department of Education, agrees. He says MMC’s approach to education -- working with students holistically, helping them address their unique personal and emotional needs, as well as academic growth -- and its ability to share effectively those lessons is proving to be “a winning combination for the new initiatives.”

“Each is blending the proven attributes of MMC with the needs and requirements of their local school districts,” he said. “That’s resulting in programs specifically tailored to the needs of area young people and of local industries.”

Starkweather says MMC, via planning and networking activities, also has helped the participating communities explore and nurture partnerships around the new initiatives.

“The middle-college model is itself collaborative, bringing together people who focus on high school and post-secondary education,” she said. “The new initiatives are building on that strategy by creating meaningful collaborations across the public and private sectors.”

Those thoughts are echoed by Richard Shaink, president of MCC. Genesee Early College -- the health-care careers initiative in Genesee County -- was launched by the Genesee Intermediate School District (GISD) in collaboration with MCC, Baker and Kettering universities, and the University of Michigan-Flint. Other key partners include the Genesee County Health Department, the Genesee Area Skills Center, the Greater Flint Health Coalition, Genesys Health System, and the county’s 21 school districts.

“The collective skills and resources of these local partners are essential to successfully launching, maintaining and growing these programs,” Shaink said. “By stepping up to the table, we’re helping to save many young people who might otherwise fall through the cracks.”

Thomas Svitkovich, GISD superintendent, agrees. He says the six middle-college programs are fortunate to have MMC as a resource with a history of building coalitions.

“The success of these new initiatives depends on collaboration and dedication among the various partners, as well as their shared vision of helping young people to create a new future in Michigan.”

Chery Wagonlander, MMC principal, says the middle colleges are reaching across neighborhoods, schools and families to create educational and employment opportunities for youth from all walks of life. And they are a particularly important economic strategy, she believes, for low-income and underserved households.

“Finding a job that will support a family depends more and more on having the right mix of skills, education and experience. For young people who lack that background -- and, as a result, believe they might never have a stable, secure future -- these initiatives offer new hope.”

Wilbur believes that, with MMC’s help, they also will present a blueprint for moving the whole of Michigan forward. He says there are already conversations under way about creating similar middle colleges that target other emerging industries, including biotechnology and advanced engineering.

And as such initiatives move forward, says Wilbur, the state likely will turn again to the resources and expertise offered by MMC.

“It’s incredible to have this national resource in our own backyard. And now we’re tapping it for the benefit of families across Michigan.”

This story appears in the upcoming spring 2008 issue of Mott Mosaic.

Summer jobs program for youth boosts confidence

Wed, 16 Apr 2008 09:16:07 GMT

By ANN RICHARDS

Sonja McLaurin (left), director of the Flint city attorney's Victim Advocacy Program, helped 16-year-olds Tamango Henderson and Brianna Booker develop new job skills and explore career options through the Summer Youth Initiative. Tim Herman's first job was cutting lawns through a federally-funded summer work program for teenagers in Flint, Michigan. Now CEO of the Genesee Regional Chamber of Commerce(GRCC), he's pleased to be able to offer a similar opportunity to 450 Flint-area young people through the Summer Youth Initiative, which is kicking off its 13th year of providing seasonal employment and educational and recreational activities for Flint-area young people ages 14-18.

"You take a first job to earn money, but what you don't realize is that you're getting a first opportunity to learn skills that you'll use again and again in your life," he said. "That's what is so valuable about the Summer Youth Initiative -- kids aren't just mowing lawns or painting fences -- they're getting the chance to learn how to use a computer, show up on time, dress appropriately, talk to people -- real world stuff."

Administered through the Genesee Area Focus Fund, a nonprofit arm of the GRCC, the Summer Youth Initiative has received more than $7 million in Mott support since 1996. This year, in addition to offering supervised work experience through area nonprofit organizations, the summer jobs program will include more opportunities for participants to gain work experience in the private sector, Herman said.

"The chamber has board members who hope to employ some of these students -- they're genuinely enthusiastic about the education and training aspects of this program," Herman said. "Several board members have provided match dollars for a youth employment fund we've set up through the Focus Fund."

" ... kids aren't just mowing lawns or painting fences -- they're getting the chance to learn how to use a computer, show up on time, dress appropriately, talk to people -- real world stuff." Taking on a youth employment program fits with the mission and goals of the Genesee Regional Chamber of Commerce, says Herman.

"We have component programs that other chambers don't. We're fundamentally different from most other chambers in our focus on economic development and employment training. The Summer Youth Initiative feeds into this work."

Besides, adds Herman, without the Summer Youth Initiative, there would be far less opportunity for area students to spend time productively.

"Kids need something to do over the summer -- especially 14- to 18-year-olds. Without this program, you'd have 400-plus kids sitting on the couch, watching TV and thinking about things other than work."

For information on how to apply for employment through the GRCC's Summer Youth Initiative, contact the chamber at 810.600.1404.

Additional Resources:

Click here to view the press release on the 2008 Summer Youth Initiative.
Programs help youth strengthen skills, open doors , Mott Mosaic, August, 2007
Benefits of leadership training please graduate of Summer Youth Initiative

Social networking sites help nonprofit tell stories, raise awareness

Thu, 03 Apr 2008 10:29:39 GMT

By DUANE M. ELLING

Mary Peña knows that, in the nonprofit sector, the success stories of programs and participants can be key to raising awareness and support among funders, policymakers and the public.

Peña is executive director of Project QUEST (Quality Employment Through Skills Training), a sectoral workforce development program located in San Antonio. Her organization is giving its own storytelling a technological twist with the help of two Internet tools: MySpace.com and YouTube.com.

MySpace provides free web pages where users can share information, post video clips and other digital resources, and network with other site visitors. YouTube allows users to upload, view and share video clips for free. Both sites reach audiences around the world.

The idea at QUEST to use the two services came about in 2007 when staff began exploring new ways to share the videotaped testimonials of sectoral program participants.

The sectoral model uses job-specific education and training to help low-income, low-skilled workers prepare for living-wage careers within a particular industry or “sector.” Many such programs also offer counseling, case management and other supportive services to help workers connect with -- and succeed in -- the labor market.

The sectoral approach also engages employers in the design and implementation of regional job training programs, and in rethinking how employment practices -- recruitment, hiring, training, promotion and compensation -- can affect workers.

The result: underserved families are more effectively connected to quality jobs, while industries have improved access to well-trained employees.

Mott support for the sectoral approach has totaled more than $81 million since 1981, including $1.1 million in related grants to QUEST since 1998.

“It will allow us to significantly raise awareness of the issues these families face, as well as their efforts to create new lives. And that awareness can generate a new wave of support for programs that work.”

Peña notes that in 2007 her organization recorded several brief videos of QUEST participants sharing their experiences, challenges and successes in joining the labor market. Those testimonials were shown at recruitment, fundraising and other community events.

Positive feedback from viewers prompted staff to consider other ways in which the clips might be shared.

“We knew the stories were powerful and could help drum-up support for both QUEST and the sectoral approach,” said Peña. “But we also knew that we needed a cost-effective way to bring them to new audiences. That’s where YouTube and MySpace came in.”

With “a surprisingly small investment of staff time and self-training,” she says, the organization posted three testimonials to YouTube in late January 2008. Just days later, QUEST launched its MySpace page, which prominently features the clips, as well as additional information about its sectoral program. The page has since attracted an online network of several supporters or “friends.”

Peña notes that audience response to the organization’s new online resources has been “... incredibly positive. The fact that these are real people telling real stories resonates with folks. And actually seeing and hearing them share their stories makes for an even more powerful experience.”

She is also confident that, over time, the use of such technology could have a very real impact on the ability of nonprofits to help low-income communities.

Study suggests positive impacts of community organizing on education

Thu, 27 Mar 2008 12:19:39 GMT

By DUANE M. ELLING

Community organizing can make major contributions to improving student achievement among young people from low-income and underserved neighborhoods, according to findings from the Annenberg Institute for School Reform (AISR) at Brown University.

A preview of results from the six-year, Mott Foundation-funded exploration of the contributions of community organizing to school improvement, was unveiled this week by a panel of experts at the American Educational Research Association (AERA) annual meeting in New York City. Approximately 200 participants attended the session, which featured Kavitha Mediratta and Seema Shah, co-authors of the new study, along with Charles Payne from the University of Chicago, Jeannie Oakes from the University of California-Los Angeles and Christine Doby, a program officer for the Mott Foundation.

The study was initiated in 2001 at eight sites across the country, with data collection and research by AISR.

Norm Fruchter, director of the Community Involvement Program (CIP), says the study confirms the important role that community organizing can play in shaping the future of communities, including improvements to school systems. Participation in organizing efforts also increases civic engagement, and knowledge and investment in education issues among residents of all ages, he says.

“Education reform is about changing the life outcomes of young people, particularly in low-income neighborhoods,” Fruchter said. “Organizing helps families discover and use their power to make those changes both meaningful and sustainable.”

In addition to substantiating the role that education-related organizing plays in improving students' educational outcomes -- including graduation from high school and increased college enrollment -- the study found that such efforts strengthened school-community relationships and stimulated changes in policy, practices and resource allocation.

“The findings reinforce our understanding of the important role that communities play in improving learning outcomes for kids in poor schools." The seven communities currently participating in CIP included Austin, Texas; Bronx, New York; Chicago; Los Angeles; Miami; Oakland, California; and Philadelphia. Each site received $100,000 per year from Mott to support the education organizing work and participation in the study.

"As education organizing began to grow in scope and depth, there were indications that student outcomes were being affected. However, there was no research-based documentation of these efforts," said Christine Doby, Mott Program Officer.

“Our funding was used to begin building a body of research and a discipline of research investigation on the role of community organizing in school reform. The findings reinforce our understanding of the important role that communities play in improving learning outcomes for kids in poor schools."

CIP's preliminary results are available in Organized Communities, Stronger Schools: A Preview of Research Findings, at the Annenberg Institute’s Web site. The full study is expected to be released this summer and will include an analysis of the specific organizing strategies used in each community.

Grant program boosts information sharing

Fri, 21 Mar 2008 09:26:49 GMT

By ANN RICHARDS

Introducing a new idea and developing practical applications that will make it useful takes time, deliberation and very often, a financial boost to stay on track. The CFLT Idea Lab grants program -- now available to groups of three or more community foundations working on new ways to attack old problems --- is designed to stimulate creativity by eliminating some of the financial barriers that stand in the way of innovation, according to Heather Scott, director of Community Foundation Services at the Council on Foundations (COF) in Arlington, Virginia.

A component of the Council’s Community Foundations Leadership Team's new three-year Plan of Action is to encourage greater collaboration and innovation among community foundations across the country, CFLT Idea Lab grants provide up to $50,000 over 12 to 18 months to develop lessons and model programs based on field-identified projects.

"It's a new tactic for us," Scott said of the grants. "We're going to the grassroots to ask community foundations what issues they want to work on -- we hope it will result in deeper engagement -- particularly among the smaller community foundations across the country -- in helping us develop and disseminate knowledge that benefits the entire field."

There are 770 community foundations with collective assets of about $44.8 billion in the United States, according to 2005 data collected by the Foundation Center. Scattered across a wide geographic area, it is difficult to manage the collective knowledge that is generated by these organizations and even more difficult to pollinate ideas with potential to improve their management and grantmaking, said Scott.

"When we review the CFLT Idea Lab grant applications, we'll be looking at the potential scalability of projects. There are pockets of people all over the place doing interesting things, but for community foundations of all sizes, the expenses of partnering with each other can seem insurmountable. By providing dollars to cover meeting costs, expert assistance and facilitation, we hope that we can ease those financial difficulties, allow them to take measured risks, and invest their own time and experience to develop solutions to common problems."

"Over the last couple of years, in conversations with our national funders, we've been encouraged to move beyond efforts to strengthen the internal operations of community foundations and to take a look at how to assist them to become recognized leaders and partners of change within their communities." Since 1999, the Community Foundations Leadership Team has been charged with overseeing the work and priorities of Council’s community foundation members. Developed with ongoing support currently totaling more than $2 million from the Mott Foundation, the Leadership Team established a special projects fund in 2000. The fund has enabled COF to be responsive and proactive to opportunities in eight priority areas, which include accountability; the establishment of national standards; professional and organizational development; and fostering effective grantmaking and community leadership, according to Nick Deychakiwsky, Mott Foundation program officer.

"One of the most notable of the team's recent activities has been the launch of the National Task Force on Community Leadership, a group of 30 highly respected field leaders who will provide a framework and accelerate the shift to community leadership by community foundations at the local and field levels," Deychakiwsky said. "The Idea Lab grants are designed to further enhance the practice of community leadership by helping create, capture and share knowledge of value to the field."

"We'll continue to develop resources and tools to build a strong infrastructure for the field, but we're also going to try a bottom-up approach that enables the community foundations to be a part of this work.

"We don't expect that every project we fund will be a huge success, but we are confident that valuable new learning will emerge. And we plan to share and spread this innovation through the CFLT Idea Lab."

To apply for a CFLT Idea Lab grant or for more information on the Council’s Community Foundations Leadership Team, go to: www.cof.org/leadershipteam

Michigan's Office of the Foundation Liaison links mutual interests for the common good

Wed, 12 Mar 2008 09:28:20 GMT

By ANN RICHARDS

In 2003, Michigan's Office of Foundation Liaison was established through a joint agreement between Michigan foundations and the governor’s office. Karen Aldridge-Eason, hired to direct the new initiative, was charged with identifying innovative funding partnerships and strategic collaborations that align the priorities of the state's government and foundations. Before accepting the position as the country’s first, cabinet-level foundation liaison, Aldridge-Eason directed Michigan's Office of Health and Human Services at the Department of Management and Budget and served as budget director for the City of Flint. She is currently on loan from the Mott Foundation, where she was a member of the program staff for nine years. In an interview with Communications Officer Ann Richards, Aldridge-Eason shares some of the challenges of establishing the office and some of the rewards of building what is now considered a national model for governmental and philanthropic collaboration.

Mott: The Office of the Foundation Liaison (OFL) was created to foster strategic partnerships between Michigan's philanthropic community and state government. How has that work evolved?

Karen Aldridge-EasonAldridge-Eason: It's been almost five years since we established the office, and it's amazing how quickly the time has passed. We've gone through several educational waves -- first, figuring out how we would approach the work, then, how to explain it to our grantmaking and government clients. In the beginning, it was tough to convince people that we are a nonpolitical entity, particularly since we're housed in the governor's office. But gradually, after a lot of visits and meetings and conversations, we've been able to help state officials understand that the foundation community has a lot more to offer than money. They're beginning to appreciate that there's a tremendous amount of expertise that foundations have developed through decades of grantmaking.

Of course, we're always transitioning, and that forces ongoing exchange. People move in and out of positions, problems change, opportunities pop up. It's a continuous process of education and re-education. Fortunately, we've been able to establish some very strong networks that now include departmental managers as well as appointed officials, nonprofits and smaller foundations. The conversations have shifted and deepened over the years. As we approach year five, we have folks from both government and philanthropy talking with us about systems, strategic partnerships and policy change. And that's exciting to me.

Mott: Could you elaborate on that point?

Aldridge Eason: System reform through policy change is one -- I should say the ultimate -- goal of the OFL's work. Foundations rightfully want to know what reforms have occurred as a result of their investment in us. Affecting this kind of deep and lasting change is our greatest challenge, in large part because you can't force it. Trust has to be built and silos have to be broken down before genuine conversations can even get started. It's hard work for everyone involved.

Mott: Given these challenges, why is it important -- in your opinion -- to encourage state governments and foundations to work together?

Aldridge Eason: Government and foundations very often work on the same kinds of issues -- and they have similar constituencies, particularly when it comes to vulnerable communities. The magnitude of the problems we face in Michigan -- workforce and job development, land use and preservation, education, health -- can't be dealt with in isolation. Neither government nor foundations can do it by themselves. It's good business to leverage money and expertise. It makes sense to put our heads together, to discuss mutual problems and find ways to deal with them together.

Mott: Your office has attracted more than $45 million in foundation investments, which has been essential to various state projects. Are there other ways you measure the value of the work carried out through the OFL?

Aldridge-Eason: Absolutely. We measure it in the partnerships we've helped create, the networks that exist. We've now completed three phases of formal evaluation, with the help of Dr. Mary Mc Donald, the director of the Community Research Institute [CRI] at the Dorothy Johnson Center for Philanthropy and Nonprofit Leadership at Grand Valley State University. She's created measurements to help us define our work through six categories -- networking, facilitation, outreach, research, administration and something we call 'prospecting,' which is how we assign time spent uncovering issues, figuring out government and foundation priorities, identifying experts or models.

Mary has helped us compare the amount of time we spend on each activity and with our goals and objectives -- it's a kind of continuous 'learning loop' that helps us understand where we can be more efficient. The evaluation also helped us create a database and enhance our contacts, which have proved very valuable in building and strengthening relationships. CRI also conducts regular surveys of both government and foundation partners. So far, there have been strong indications that the OFL has been useful to them and their work. If your constituents and clients value you, I believe that’s the best indicator of your effectiveness.

Mott: What projects are currently a priority for the OFL?

Aldridge-Eason: Supporting an improved economy for Michigan is paramount. To that end, workforce education and development are really gathering strength. In her 2007 State of the State Address, the governor introduced the "No Worker Left Behind" initiative as part of her comprehensive plan to transform the state's economy. Foundations across the state have been discussing how they can support this effort and right now, we're trying to identify gaps along the educational pipeline and where interventions might be most effective in training older workers.

The magnitude of the problems we face in Michigan ... can't be dealt with in isolation. ... It makes sense to put our heads together, to discuss mutual problems and find ways to deal with them together.

Michigan's incarceration rates are the fourth highest in the country, so prisoner re-entry continues to be an important issue for us. Initially, we focused on early childhood education and land use issues. Foundations pushed hard to establish some type of umbrella agency that would focus on expanding the availability of high-quality early education and child care by leveraging public and private dollars.

In 2005, the state created the Early Childhood Investment Corporation for that purpose, and appointed two foundation representatives to the board. We plan to reconvene the early childhood group to figure out how foundations can continue to be helpful with this effort. Over the final three years of her term, the governor has indicated she wants an urban agenda, and land use may re-emerge as a key area for our work. Certainly there will be opportunities to stimulate some new ideas by exposing officials to urban initiatives and experts that Michigan's foundation community have identified and worked with.

Mott: What advice would you give to other states who are considering the establishment of a foundation liaison office?

Aldridge-Eason: I've had the opportunity to work with a couple of states interested in the Michigan model, including New Jersey, Louisiana, Wisconsin and a regional group in the Pacific Northwest. I always emphasize that patience and persistence are essential; you are building a network of relationships. Trust takes time to develop. If a state or municipality is going to set aside resources to do this, they need to recognize it is a slow process, dependent upon the liaison's ability to overcome resistance from two sectors that are often used to leading. Nothing significant is going to happen quickly. Our first 'victory' was a $25,000 grant to create the infrastructure for early childhood advocacy.

Staffing is very important -- I've been fortunate that our program associate, Maura (Dewan), has a strong background with both state and nonprofit agencies. It's worth taking the time to hire staff that can complement each other's strengths. Being selective about what you work on is very important -- some state agencies and foundations aren't ready to be involved at the onset. Go for the low-hanging fruit when you first start up. Of course, even as you work to narrow your focus, you've got to be flexible -- this work is fluid. The government's agenda will change, as will philanthropy's.

As I mentioned before, neutrality is key to working effectively. I can't emphasize how important it is to use private funding to support liaison activities. Letting government fund the office would significantly change its role. Having the support of an advisory committee -- and in our case, the Council of Michigan Foundations -- is critical in terms of keeping the work unbiased and neutral. Our advisory committee has been a great sounding board for me, and they're willing to provide some muscle when we need it. Finally, I believe respecting and honoring what government and philanthropy want to do is incredibly important, which means that you have to listen carefully and closely to what they say and then figure out what steps to take in helping them understand each other's perspective and develop effective partnerships.

Nonprofit organizations are "training ground for democracy"

Thu, 21 Feb 2008 14:41:41 GMT

By MAGGIE I. JARUZEL

As editor-in-chief of The Nonprofit Quarterly, Ruth McCambridge knows the depth and breadth of the nonprofit sector. As a result, she is quick to trumpet the lasting value of nonprofit organizations (NPOs).

"Some nonprofits might need to Ruth McCambridgerevisit their identities as venues for citizens' activities, but NPOs really are the training ground for democracy," said McCambridge, who is responsible for content included in the Boston-based print and electronic publication.

"They are critical to the future of the country if they focus, at least in part, on that purpose.”

Still, she is not hesitant to discuss the challenges common to leaders of the nation's nonprofit sector, and she does not mince words. Instead, McCambridge uses short, punchy sentences to talk about what nonprofits need to do to take a more central role in society. She describes the issues that keep executive directors awake at night, many of which address interactions within nonprofits:

board members aren't fully engaged and sometimes do not fully understand the organization’s context and choices;
many boards and staffs lack diversity;
many nonprofits include far too few constituent voices in critical decision making;
funders' interests often trump others' interests, resulting in too many nonprofits with a collection of programs with no clear strategic direction; and
too much money is earmarked as restricted, often leaving nonprofits hamstrung in many ways.

These concerns, says McCambridge, also were widely cited by sector leaders during NPQ's annual survey, adding that the quarterly is the nation's "go to" source for nonprofit managers, just as The Harvard Business Review is the publication business leaders turn to for the latest information from thinkers in their fields.

The magazine is a project of the Nonprofit Information Networking Association, which has received two Mott grants totaling $350,000 since 2006 to support the publication and also to fund a study of the sector's infrastructure. The results of that 2008 study are expected to be published in an upcoming special edition.

With more than 35 years of experience working with nonprofit organizations, McCambridge has learned to listen beyond the buzz words. For example, while many people promote collaborations in glowing terms, experience has shown that these types of partnerships work best when they are not forced but emerge out of shared programmatic interests, she said.

"If we hope to build nonprofits that are powerful and effective, leadership development efforts shouldn’t wait for the executive to leave. They should concentrate on building the discernment and decisionmaking skills of all staff and board members -- as well as engaged constituent groups."

Mergers pose their own problems.

“The idea that you are going to get any short-term payoff in terms of economy of scale is a common fallacy that many funders still cling to. The result is that the merged organization often finds itself underfunded for what it hoped to do."

"Some people ask, 'Aren't there too many nonprofit organizations out there?' and I say 'no' because organizations are an expression of human endeavors. An organization may drop a program because somebody around the corner does it better, but that first organization, if it is purpose driven, will continue to operate and fill a niche."

While sticking to purpose (also called mission) is crucial for any nonprofit's success, another key characteristic is shared leadership, says McCambridge.

"Leadership transition should never be about replacing a single outstanding leader with another. It is more than selecting the next savior. If we hope to build nonprofits that are powerful and effective, leadership development efforts shouldn’t wait for the executive to leave. They should concentrate on building the discernment and decisionmaking skills of all staff and board members -- as well as engaged constituent groups. This results in an organization that is deeply wise wherever you look instead of being largely dependent on someone at the top to have all the wisdom."

For McCambridge, who sprinkles her speech with visual images, shared leadership is round-shaped while "savior" style is triangular because all the power peaks with a single person at the top.

"One-person thinking creates a frail organization," she said.

When McCambridge looks to the future, she is optimistic about the sector. She says it has pockets that are getting "more and more savvy" about ways to keep their constituents informed, utilizing both traditional and new media. At the same time, many NPOs also are focusing on ways to professionalize their operations and staff. While the latter is viewed as a plus, McCambridge cautions that it also has a downside that isn't immediately apparent.

"Just because somebody doesn't have the credentials doesn't mean they can't do the work. We need to be careful that we aren't driving away qualified volunteers who want to commit their time and creativity to the organization.

"First, these people often become or recruit our donors. And second, volunteers constitute an active base of supporters who know our work and the constituency. They are our advocates; the people who rally around our issues. When we neglect to build this base of non-paid advocates, we lessen our power with funders and policymakers, and we can ultimately lessen our ability to make change as organizations and as a sector. And isn't that what the sector is all about -- making change?"

First Murphy Lecture features President of Ireland, Mott CEO

Tue, 12 Feb 2008 15:37:22 GMT

By MITCH HURST

President of Ireland Mary McAleese and Mott Foundation President William S. White spoke at the inaugural Ray Murphy Lecture in Cork, Ireland on January 25.

The lecture, delivered by President McAleese, was the first of ten annual lectures that will take place in honor of Murphy, a leader in the field of international philanthropy and a senior adviser to the Mott Foundation at the time of his death in March 2007. The lecture series is funded with grants from Mott and Atlantic Philanthropies and is sponsored by Philanthropy Ireland, an association of Irish grantmaking organizations.

During his remarks to launch the lecture series, White talked about Murphy's passion for, and commitment to, the field of philanthropy. White highlighted Murphy's belief that philanthropy can empower and enable people to help them improve their lives, and emphasized Murphy's interest in the needs of vulnerable children and youth.

"We have an ambition to create a society that is based on a true social order, a place where the dignity and equality of every human being is a lived reality, not simply a big unreachable aspiration but actually something that we are, in a focused and galvanized way, making our way visibly towards." - Ireland President Mary McAleese

"At the core Ray believed in the inherent goodness of people," White said. "He believed that regardless of which city or nation one calls home, there exists a universal human spirit of caring and giving."

White encouraged those in attendance that one way they could honor Murphy's legacy was to take the "long view" of philanthropy by developing strong relationships with grantees; that grantmaking is about the long-term bonds between foundations and grantees and those they serve.

"He lived his values," White said. "His vision for what was possible made a lasting impact. Through our memories and this lecture series, Ray's voice will continue to be heard."

President McAleese's lecture focused on the history and culture of philanthropy in Ireland. She highlighted the potential power for good of the new wealth created by Ireland's remarkable economic growth over the past two decades -- the "problem of wealth" that she said is a "good problem to have."

She also touched on Murphy's legacy and his values.

"Ray believed that the welfare of one is infinitely connected with the welfare of all, so that when one human being is weak or excluded or disadvantaged then we're all dragged down by that," McAleese said, "and we are all challenged to pull everybody up."

President McAleese cited Murphy's early career working with children with learning disabilities and other youth to emphasize the importance of the dignity of each individual in society.

"We have an ambition to create a society that is based on a true social order, a place where the dignity and equality of each human being is a lived reality," she said, "not simply a big, unreachable aspiration but actually something that we are, in a focused and galvanized way, making our way visibly towards.

In closing, President McAleese echoed White's remarks by talking about the importance of committing to solving problems for the long haul.

"Philanthropy allows us to contemplate taking the big problems, reducing them in scale," she said. "Sending them off, seeing them off, picking them off ... we root them out, we deal with them, we stay with them for whatever time it takes, and in a coherent and focused and managed and planned and intelligent and wise way we see the problem through to completion."

Additional Links

Philanthropy Ireland has posted a variety of content related to the Murphy Lecture event on its Web site. Resources include podcasts of both White's and President McAleese's full remarks, as well as the remarks of others who spoke at the event. Photographs from the event are also available. Click here to access links to this additional content. Click here to download a PDF publication of Mott Foundation President William S. White’s speech.