PHILANTHROPY AND THE FUTURE
Challenges and Opportunities for WCJCC
Outline
American Jewish Philanthropy: Private and Public
Global Philanthropy American Philanthropy Israeli Philanthropy Future Projections
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
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
Jewish Foundations Study (Tobin, et. al)
Three identified needs:– Information Collection and Dissemination– Networking and Partnership Building– Professional Development
Generational Issues
Staffing Issues
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
Jewish Federations
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
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
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
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
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
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%
Global Philanthropy
European Union Corporate sponsorship and strategic giving
and marketing Donor infrastructure and networks Philanthropy and civil society
– Slovakia– Estonia
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
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
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
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
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