1. Foundations 101: Philanthropy in Mississippi Foundations 101: Philanthropy in Mississippi

2. Kenita Williams Sr. Program Manager, Public Policy, Southeastern Council of Foundations

3. Session Agenda Welcome and Introductions Defining Foundations A Brief History of Philanthropy Philanthropy in Mississippi Philanthropic Infrastructure Philanthropy in Action

4. Foundations 101 Participants

5. Meeting Outcomes Build relationships between key public sector and philanthropy representatives in Mississippi Develop public sector understanding of the purpose, role, scope, scale and impact of philanthropy--nationally, regionally and in the state Explore opportunities for leveraging public sector and philanthropy investments in common priority areas Establish philanthropy as an influential voice on that can help inform public sector policies and investments Develop on-going communication process for philanthropy/public sector interaction

6. Anne Travis, CEO The Bower Foundation

7. What is a Foundation? In the United States today, a foundation is… Section 501 (c) (3) tax exempt organization …“operated exclusively for religious, charitable, scientific, testing for public safety, literacy or educational purposes…” Typically, foundations make grants; Principal purpose is to support unrelated organizations, institutions, or individuals Grants must serve a charitable purpose

8. 501 (c)(3) Non-ProfitsFoundations Support

9. Common Characteristics Nongovernmental, nonprofit organizationsManaged by their own trustees/directorsMotivated by charitable intent

10. Foundations are NOT “…part of the net earnings of which inures to the benefit of any private shareholder or individual…” “…substantial part of the activities of which is carrying on propaganda, or otherwise attempting, to influence legislation…” “…and which does not participate in, or intervene in, any political campaign on behalf of (or in opposition to) any candidate for public office.”

11. Types of Foundations Private: Funded by a single source Family foundation Corporate foundation Independent (grantmaking or operating) Public: Funded by many sources Community foundations Funds serving certain population groups or issues

12. A Private Foundation… Has a principal fund or endowment Maintains or aids charitable, educational, religious or other activities serving the public good Must file a form 990-PF tax return with the IRS annually Must distribute at least 5% of assets annually

13. A Public “Foundation”… Typically receives funding from numerous sources and must continue to seek money from diverse sources in order to retain its public charity status Operates grants programs benefitting unrelated organizations or individuals as one of its primary purposes Is required to file a form 990 tax return with the IRS

14. Ivye Allen, President Foundation for the Mid South

15. A Brief History of Organized Philanthropy YearAction 1880-1900Andrew Carnegie promotes “public trusts” 1910-1930First private and community foundations 1930-1950Corporate foundation growth 1950-1970SECF and COF established; Tax Reform Act of 1969 creates new tax classifications and requires foundations to distribute 5% annually 1970-1990Growth of community foundations 1990 →Tech foundations: Gates, Ebay, Google, online alternatives

16. Growth of U.S. Foundations From The Foundation Center, Foundation Growth and Giving Estimates, 2011. Figures exclude foundations that reported no grant activity. From 22,088 in 1980 to 76,545 in 2010

17. Foundations in America Number of Foundations 1990: 32,000 foundations in the United States 2010: 76,545 foundations in the United States 2012: 86,192 foundations in the United States Total Assets 1990: $142.5 billion in assets 2010: $588 billion in assets 2012: $715 billion in assets Total Giving 1990: $8.7 billion in grants 2010: $45.7 billion in grants 2012: $51. 8 billion in grants

18. Foundations in America Foundations: 14% of overall charitable giving (2012) $2.2 billion to Arts & Culture $4.96 billion to Education $5 billion to health

19. Sammy Moon, Coordinator Mississippi Association of Grantmakers

20. Summary Statistics for Mississippi Foundations, 2012 Source: Foundation Center, 2014 Foundation Type No. of Fndns. %Assets%Total Giving% Independent21684 $820,874,65468 $63,727,60271 Corporate156 $129,571,0648 $6,209,33411 Community83 $154,009,39611 $17,513,92519 Operating187 $99,982,40013 $2,742,1103 TOTAL257100$1,204,437,514100 $90,261,519100

21. Mississippi Foundations by Range of Giving, 2012 Source: Foundation Center, 2014

22. Distribution of Grants to Mississippi Recipients, 2012 Note: Grants awarded to MS recipients by FC 1,000 Foundations, top 10 areas of giving. Includes giving from out-of-state foundations. Source: Foundation Center, 2014

23. Trends in Giving to Recipients in Mississippi 2005-2012 Note: Grants awarded to MS recipients by FC 1,000 Foundations, top 5 areas of giving. Includes giving from out-of-state foundations. Source: Foundation Center, 2014

24. Year-to-Year Change in Foundation Giving 2002-2012 Source: Foundation Center, 2014 *Includes data for Mississippi, Alabama, Louisiana, Tennessee, Arkansas, Virginia, North Carolina, South Carolina, Georgia, Florida, and Kentucky Total Giving20012012 MS Foundations$55,214,292$90,261,519 Southeast Foundations $3,890,207,2 16 $5,971,927,4 34 All U.S. Foundations $30,508,498, 382 $51,823,843, 568

25. Marcie Skelton, Director The Walker Foundation Board Member, SECF

26. Philanthropic Infrastructure Organizations National, regional or local organizations that seek to provide information, resources, support and strength for the philanthropic (and non profit )sector.

27. Philanthropic Infrastructure: Purpose Strengthen Philanthropy (the field) Capacity Building Amplify Effectiveness Network Building

28. Philanthropic Infrastructure: Types Regional Associations State Associations National Associations Affinity Groups Issue-Based Constituency-Based Identity-Based Job-Centered Research and Data Libraries

29. The Landscape of National Philanthropy State Associations

30. Sheila Grogan, Executive Director Blue Cross & Blue Shield of Mississippi Foundation

31. MS Philanthropy in Action Targeted grants to improve the health of Mississippians, with a focus on communities, schools, and universities and colleges. (BCBS) Delta Workforce Funding Collaborative (FMS) Mississippi School Health (TBF) Personal Finance For Teens: From Marks to all Mississippi (CFNM)

32. Tom Pittman, President & CEO Community Foundation of Northwest Mississippi

33. Next Steps: Working Together to Improve Mississippi Including Foundations “at the Table” Continuing the Dialogue Partners in the work

34. Resources Southeastern Council of Foundations, www.secf.org Foundation Center, www.foundationcenter.org Mississippi Association of Grantmakers Council on Foundations & Affinity Groups, www.cof.org BoardSource, www.boardsource.org National Center for Family Philanthropy, www.ncfp.org Grantmakers for Effective Organizations, www.geofunders.org Independent Sector, www.independentsector.org

35. Questions & Answers