Overview of the Kinds of Funds we hold with a special emphasis on Donor Advised Funds (and some giving stats)

Kinds of Funds that a donor might consider at a Community Foundation Unrestricted Field of Interest Designated Agency Scholarships Capital Fiscal Sponsorships Donor Advised

Unrestricted (we love this!) A donor who chooses an unrestricted fund (this would typically be an endowment – and, no, we don’t have one of these yet) leaves the distribution of grants to the discretion of the Community Foundation’s Board.

Field of Interest Donors who wish to make an impact in a specific area of interest or in broad areas of concern, i.e. the arts or human services. Foundation staff and board of directors identify specific grantee organizations. Slate River Alternative Education and Arts Fund

Designated Support for one or more specific organizations of the donor’s choice. Gunnison Valley School Fund RPD Education Fund Marie Hausler Memorial Fund

Agency Nonprofit organizations can ensure their own futures with an endowment that provides perpetual support for operations. Agency endowment funds may be started by the agency itself or by a generous donor. 4-H Forever Gunnison Arts Center Kids Kount (and more)

Scholarship Established to provide educational assistance to students. They are tailored to meet the intent of individual donors and are frequently established as memorials. Defensive Driving Gunnison Country Association of Realtors Gunnison Memorial Scholarship

Capital On a case-by-case basis, the Foundation will consider holding capital funds for agencies in the valley with active building campaigns. Partners 8 th Street School Trailhead Museum for CB Center for the Arts Expansion Six Point Building Campaign

Fiscal Sponsorship A short-term charitable fund for groups not yet designated as a 501(c)(3) organization that provides a service that benefits our community. Crested Butte Film Festival Gunnison Skatepark Project Ranchers and Sportsmen Together for the Hungry (and more)

Let’s focus on DONOR ADVISED FUNDS Helping donors stay involved

Donor Advised Funds In short, Donor Advised Funds allow donors to actively participate in the grant-making process over time. The donor – and those named by the donor– may recommend grants to the Board. This type of fund affords the flexibility to change the organizations a donor supports through the years.

Our donor advised funds 24 funds 66% of our total assets

This year’s goals for DAFs Add 3 new funds Add $100,000 to existing funds

Donor Advised Funds One of the fastest growing forms of philanthropy Traditionally a product of community foundations Until financial institutions realized their value (Schwab, Fidelity, etc. So too, university foundations, United Jewish Communities and more

DAFs How they work Donor makes a gift We set up a fund in name of donor’s choosing Donor receives immediate tax benefits Gift is invested in one of our funds Donor recommends uses for their fund, taking advantage of our grantmaking expertise if they wish We handle all administrative duties

DAFs Who might choose? A person who: Has multiple charitable interests Wants to make a difference Likes the personal service of staff Interested in family philanthropy A business that: Desires to be recognized as an involved citizen Inundated with charitable requests

DAFs When opportunities arise Helping donors realize their charitable goals Year end tax planning Sale of a business Family inheritance Private foundations running out of steam Estate planning for end of life

DAFs What kinds of grants can be made? A grant to any 501(c)(3) nonprofit In County... or out of County... Gift to your church Gift to your alma mater Gift to a governmental entity for a charitable purpose

DAFs What can’t be funded? Anything that gives the donor personal benefit - Auction items Tickets Event Sponsorship Scholarships that benefit your own child

DAFs Some of the Benefits Donor enjoys Involvement in grantmaking Flexibility to pursue multiple interests Maximum tax benefits Ease of use And as we like to say to our Donor Advisors: Your priority is our priority. Our staff is your staff.

DAFs Why use a donor advised fund instead of just writing your own checks? More strategic giving – Those who use the DAF instrument think more about their giving strategy Build your fund over time and make more impact with your gifts Leave some of your estate to your fund – and live forever! The fund will forever carry your name. You can give anonymously through your fund if you want – you can’t do that with a check or through a private foundation

Donor Advised Funds and Private Foundations Comparing the differences Donor Advised Fund Cash gifts, deduct 50% AGI Deduct 30% on long-term appreciated securities Easy to Establish (few days) No minimum payout Grantmaking expert advice Private Foundation 30% AGI 20% AGI on long-term appreciated securities Months or more to establish 5% minimum payout On their own 1 – 2% Excise tax

DAFs How easy is it, really... ?? Couple of hours to set up a fund 2 minutes to make a recommendation

DAFs Strategies to get the word out! Establish process for working with Professional Advisors Hold at least one Professional Advisor event per year Provide materials to Professional Advisors

DAFs Strategies to get the word out, con’t Invite current advisors to talk with their friends Donor advisor article in every newsletter Encourage donor referrals from Current advisors Professional advisors Tell stories of special gifts to the community Follow up personally and appropriately

DAFs Board members will: Embrace their role in “marketing” donor advised funds by Being prepared to speak about the value of Donor Advised funds Referring potential advisors to staff Hosting meetings and events

DAFs ED and Development Staff will: Profile good candidates from our database Manage Professional Advisor Events Engage donors and prospective donors on a personal basis Monitor and measure progress Promote DAFs clearly and consistently

We’re often asked how do we compare in giving? Get ready for some stats from the brand spanking new Chronicle on Philanthropy study:

GIVING STATS Giving profile for the United States Total contributions $135.8-billion Median contribution $2,564 Median discretionary income $54,783 Percent of income given 4.7%

STATS GIVING PROFILE FOR COLORADO Total contributions $2.4-billion Median contribution $2,317 Median discretionary income $55,577 Percent of income given 4.2%

STATS COLORADO 4.2% percent of income given $2,317/$55,577 UNITED STATES 4.7% percent given $2,564/$54,783

STATS GUNNISON COUNTY 3.7% percent of income given $2,031/$54,241 Median contribution/Median income

STATS ZIP CODE 3.6% percent of income given $1,835/$51,517 Median contribution/Median income

STATS ZIP CODE 3.6% percent of income given $1,835/$51,517 Median contribution/Median income

STATS SUMMARY Colorado lags behind the Country Gunnison County lags behind the State All to say... There is room to grow!

Here for Good