philanthropy and the future challenges and opportunities for wcjcc
TRANSCRIPT
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PHILANTHROPY AND THE FUTURE
Challenges and Opportunities for WCJCC
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Outline
American Jewish Philanthropy: Private and Public
Global Philanthropy American Philanthropy Israeli Philanthropy Future Projections
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Definitional Issues: What is a Jewish Foundation?
Founders Jewish? Trustees Jewish?
Jewish purpose in charter and operating documents? Jewish beneficiaries?
Kresge Foundation/Ford Foundation Fohs Foundation Dan Rose Philanthropy
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Jewish Foundations
60,000 of which >10,000 are Jewish (1:6 vs.1:50)
Huge growth in field (Doubling in 90’s-both #s and $)
Family foundation growth:1999-2003: 32.8%
Dollar growth in family foundations: 24.8%
More than half of family foundations gave less than
$50,000 in 2003; 2/3s have assets under $1 million
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Jewish Foundations Study (Tobin, et. al)
Three identified needs:– Information Collection and Dissemination– Networking and Partnership Building– Professional Development
Generational Issues
Staffing Issues
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Mega Gifts in American Philanthropy (Tobin, Solomon and Karp)
All gifts (865) >$10,000,000 between 1995 and 2000 totaling $29.3 billion
22% of the gifts and 18% of the funds came from Jews
9.6% (18) of the Jewish gifts and 6% of the Jewish money ($318.25 million) went to Jewish causes
Virtually all (86%) went to education, health care or arts/culture
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Jewish Federations
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Analysis-Federations
Annual campaign as core strategy is failing Ideology and marketplace issues-Kol
Yisroael Arevim Zeh Ba Zeh Every decade-20% loss in number of donors;
15% loss in purchasing power Last 5 years: 14.3% inflation- 3.2% campaign
increase; 13% decline in donors Supply side vs. Demand side Issues
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Attributes of Success
AFFLUENCE OF JEWISH COMMUNITY JEWS SELF-IDENTIFIED AS JEWS FEELINGS OF INSECURITY ORGANIC CONNECTION TO ISRAEL CONCEPT OF A SINGLE GIFT AND KEHILLA NO COMPETITION
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Consequences
Long established…..but denied Only 2 cities in largest 40 have experienced
population growth Donors tend to be older and largest gifts are flat Only 35 gifts > $1 Million in 2002 Role of special campaigns Israel Getting 1/3 of what it received in 1948 from
Federations—constant dollars
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Private Philanthropic Growth in Public Sphere
1990 164 Supporting Foundations 2000 900 Supporting Foundations
1990 <2500 Donor advised funds 2000 11,000 Donor advised funds
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Differences between Public and Private Jewish Philanthropy
Stress on short term funding vs. sustainabilityInnovator’s dilemmaPrivate philanthropy in the public sphere: the
opportunityChasing mission vs chasing moneyImplications for:
GovernanceTransparencyAccountability
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Private Philanthropy: Israel
Private donors provide Israeli NGO’s with $1,630,000,000:
World Jewry 88.2%-92.1% Israelis 7.9%-11.8%
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Global Philanthropy
European Union Corporate sponsorship and strategic giving
and marketing Donor infrastructure and networks Philanthropy and civil society
– Slovakia– Estonia
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American Philanthropic Trends
Doubling of overseas giving in three years: – Impact of Gates
Doubling of American philanthropy in last 10 years Increasing Congressional scrutiny of Sector with
significant risks Ethical lapses making headlines Gates and Buffet (now 10% of all foundation giving) Impact of high tech entrepreneurs
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Foundation Distribution by Cause
Arts and Culture 12.5% Education 24.0 Environment 6.3 Health 20.8 Human Services 14.8 International affairs 3.6 Public affairs 11.2 Religion 2.5 Science 3.1 Other 1.3
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Implications for Practice
Money and Good Works Kehilla is dying (pleasures of being kept) Everyone is a Development Officer Emergence of Transparency Performance based Development Role of Research Inspiration and Perspiration Branding Issues: JCCs
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Implications within Agencies
Chasing mission or chasing money Impact philanthropy Internal pressures: program vs. admin Structure of board meeting Selection of board members: foundations
– 70% foundation giving-local– 95+% checkbooks– Give or get policies