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PHILANTHROPY AND THE FUTURE Challenges and Opportunities for WCJCC.

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Presentation on theme: "PHILANTHROPY AND THE FUTURE Challenges and Opportunities for WCJCC."— Presentation transcript:

1 PHILANTHROPY AND THE FUTURE Challenges and Opportunities for WCJCC

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3 Outline American Jewish Philanthropy: Private and Public Global Philanthropy American Philanthropy Israeli Philanthropy Future Projections

4 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

5 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: : 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

6 Jewish Foundations Study (Tobin, et. al) Three identified needs: – Information Collection and Dissemination – Networking and Partnership Building – Professional Development Generational Issues Staffing Issues

7 Mega Gifts in American Philanthropy (Tobin, Solomon and Karp) All gifts (865) >$10,000,000 between 1995 and 2000 totaling $29.3 billion 22% of the gifts and 18% of the funds came from Jews 9.6% (18) of the Jewish gifts and 6% of the Jewish money ($ million) went to Jewish causes Virtually all (86%) went to education, health care or arts/culture

8 Jewish Federations

9 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

10 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

11 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

12 Private Philanthropic Growth in Public Sphere Supporting Foundations Supporting Foundations 1990 <2500 Donor advised funds ,000 Donor advised funds

13 Differences between Public and Private Jewish Philanthropy Stress on short term funding vs. sustainability Innovator’s dilemma Private philanthropy in the public sphere: the opportunity Chasing mission vs chasing money Implications for: Governance Transparency Accountability

14 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%

15 Global Philanthropy European Union Corporate sponsorship and strategic giving and marketing Donor infrastructure and networks Philanthropy and civil society – Slovakia – Estonia

16 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

17 Foundation Distribution by Cause Arts and Culture 12.5% Education 24.0 Environment 6.3 Health20.8 Human Services 14.8 International affairs 3.6 Public affairs11.2 Religion 2.5 Science 3.1 Other 1.3

18 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

19 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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