University Philanthropy In 5 th century BC, Plato made an endowment to the world's first university. That endowment generated income for nearly a thousand years, and helped the Athenian Academy grow into what many consider a primary instigator of intellect and democratic values. Alison R. Bernstein, The Presidency, Fall 2003

The University of Turin and Fondazione CRT: Benefits of A Partnership 1. Sharing Resources FINANCIAL: An investment in the form of a 3-year Fund HUMAN: Administrative and Managerial services provided by Foundation Staff EXPERIENTIAL: Quality consulting offered by experienced philanthropy and higher education professionals

The University of Turin and Fondazione CRT: Benefits of A Partnership 2. Creating a Self-Sustaining Fund With the Fund generated, invested, and managed by the Foundation, a reliable financial resource will be available to the University By spending only the interest generated by the Fund (and not the principal), the University will consistently maintain a significant financial resource

The University of Turin and Fondazione CRT: Benefits of A Partnership 3. Creating Leverage for Additional Gifts The large investment made by the Foundation will create a significant pool of ‘Seed Money.’ With the funds managed by the Foundation, this new model of ‘granting’ guarantees a financial return. This initial offering will serve as leverage for obtaining gifts from potential donors: Alumni Current Students Other Foundations Major Institutions Large Community-Based Businesses and Corporations

University Philanthropy: Types of Organizations UNIVERSITY FOUNDATION Formal Independently Established Typically No Staff Large Scale Fundraising and Fund management ALUMNI ASSOCIATION Fun Usually a University Department Fully Staffed Social Activities, Services to Students, Small Scale Fundraising

University Foundations: The Purpose To Advance the University Status Resources Performance To serve as Planner, Provider, and Recipient of Voluntary Support Lead Fundraising Activities Manage Assets Receives Gifts Distribute Funding according to University needs Website of the Clemson University Foundation

U.S. Universities and their Foundations Top 5 Recipients of Foundation Grants for Higher Education, 2005 This list represents the universities that received the highest amount of foundation grants in higher education in Presumably, this list also suggests the largest university foundations, which are charged with applying for and managing the foundation grants received. 1. University of California $128,227, Harvard University $106,345, University of Washington $ 93,348, California Institute of Technology $ 81,138, United Negro College Fund $ 75,240,053 Website of The Foundation Center

Having a University Foundation: Benefits to the University Provides a private/public partnership vehicle for raising and managing money Offers politically neutral, less restrictive environment Allocates unrestricted money to urgent needs Manages donated funds and distributes their earnings according to guidelines monitored and authorized by the independent governing board Website of the Clemson University Foundation

Having a University Foundation: Benefits to Alumni Donors Naming Rights Public Service Opportunity Continued Engagement with the University Legacy Website of the Clemson University Foundation

University Philanthropy in Italy STEP 1: CONDUCT RESEARCH Examine the Current Culture of Alumni Giving Circulate a Survey to Measure Current Giving Trends Evaluate the University’s Fiscal Needs Academic Programs Operational Costs Research Track the Capacity for Growth of the Fund Number of Graduates per year Annual Earnings of Graduates Internal Research and Findings

University Philanthropy in Italy STEP 2: DEVELOP STRATEGIES FOR THE FOUNDATION Strategy for Financial Goals Strategy for Fundraising Strategy for Investment Strategy for Board Structure Internal Research and Findings

University Philanthropy in Italy STEP 3: IDENTIFY SEED MONEY External Support Grant-Making Foundations 1.Bill & Melinda Gates Foundation 2.Lilly Endowment, Inc. 3.The Robert Wood Johnson Foundation 4.The Andrew W. Mellon Foundation 5.The Ford Foundation Individual Gift Endowment Bequest Potential Board Members Internal Research and Findings

An Italian Model: Elements to Consider Historical Social Economic Political

Resources: Higher Education & Philanthropy Instructors John R. Thelin, University of Kentucky: Educational Policy Studies Department Dr. Kevin C. Robbins, Indiana University: History of Philanthropy in the West Practitioners Alison Bernstein, Ford Foundation VP of Knowledge, Creativity, and Freedom Program Rob Porter, Clemson University Foundation Director of Development

The Takeaway In the United States, University Philanthropy has been rationalized, nationalized, and capitalized since In Anglo-Saxon countries, university philanthropy is absolutely essential. In continental Europe, decreases in government support may require higher levels of private support for universities. BUT Government subsidization of attending university in Italy may discourage university philanthropy.