Key Factors for Clubs in doing both Club and Global Grants

Rotary Foundation Funding Rotary Foundation Annual Fund District Designated Funds Previous System--funding for club grants, a district scholar, a district vocational team, and contingency funding, with the remainder of the funding used to match contributions of clubs towards global grant international projects.

Change in allocation process that went into place for the current 2016-17 year Funding set aside for a district scholar, a vocational training team designated by the District Governor, and contingency/administrative costs. Most funds (78%) allocated to clubs; a major increase from the previous 25% that has been allocated for Club Grants

Allocation Provided in January Allocations sent to clubs in January. Based on giving to Rotary Foundation Annual Fund over past 2 ½ years. Amounts ranged from under $100 to over $10,000 In order to utilize funds, clubs must be qualified—at least three club members including the President-elect. DEADLINE TO BE QUALIFIED FOR 2017-18 FUNDING IS MARCH 31.

Club decides how to allocate its funds Club decision on how to allocate funds. Needs to involve Boards from 2016-17 and 2017-18. Club responsibility, not individual(s) involved with grants. Annual decision because funds available will change. The overall amount this year being allocated to clubs was less than last year because overall contributions to the Annual Fund were reduced.

Four possibilities for allocating funds Allocate all funding to a club grant. Become the lead club for an international global grant project. Support an international global grant project of another club. Any combination of 1, 2 and 3.

1) Allocating all funding to a club grant Club Grant Process familiar to D5220 Clubs: project that follows Rotary Foundation guidelines club matches Foundation allocation project funded and completed final report form submitted by an established deadline Club grants can be local or international in scope.

Clubs doing a club grant will find that the process will be very similar to that used in prior years, and will include the following steps: Submit a proposal describing grant type and allocation amount by March 31 (Club Spending Plan described later). Once approved, submit a completed club grant application by April 30. Once the D5220 District Grant (which includes all club grants) is approved by the Rotary Foundation, clubs will be notified in late June or early July, 2017 to proceed with their grants. Clubs will front all of the funds to carry out their club grant. Once the grant has been completed, clubs will submit a final report by January 31, 2018. Once the final report is approved, clubs will receive their allocation in a check from the District Grants Committee.

Possible Reduction of Club Grant Allocations?? Rotary Foundation requirement that at least 50% of funds returned to the district be utilized in global grants. Expectation that many clubs will utilize new funds for new or expanded club grant projects. District Grant includes all club grants, contingency funds, administrative costs, and the possibility of a District Scholar. If total for District Grant exceeds Foundation requirements, club grants would be reduced proportionately.

Change in Procedures for 2017-18 Based on club input during the 2016-17 allocation process, the Grants Committee voted to make one change in the allocation process for 2017-18. Clubs that allocate at least 50% of their club allocation to a Global Grant will be guaranteed the full amount of their club grant request. This allocation request may be used for one or more club grants, and clubs, because the amount is guaranteed, the clubs may also submit their club grant application(s). For example, a club with a $2000 total allocation that allocates $1000 to a global grant, will have the remaining $1000 guaranteed for a club grant. This amount will not be reduced.

Previous System vs. New Process Clubs allocated 25% of funds specifically Clubs allocated 78% of funds, clubs choose how to allocate. for club grants. 5% of funds—Contingency Fund 2.5% of funds—Contingency Administrative costs Administrative Costs Vocational Training Team—$16,000 to be used in matching for Global Grant District Scholar--$15,000 scholarship or matching for Global Grant

District Grant includes all club grants, contingency funds, administrative costs, and could include scholarship costs if the chosen candidate was not approved for a global grant. Previously, we were never in jeopardy of going over the 50% requirement—i.e., 25% + 10% + 5% < 50% Now, it is possible that we will exceed the 50% amount, necessitating reductions in club grant requests for those clubs allocating more than 50% of their amount to club grants.

2) Become the lead club in a global grant During previous years, D5220 have been greatly involved in international projects and have initiated a number of global grants. They have raised club funds (from their club and partner clubs), received a match from the District Grants Committee, and then a match from the Rotary Foundation once their project has been approved. Under the new process, the basic steps remain the same, but there will be no matching of funds from the Grants Committee as was the case in the past. Lead clubs will need to secure the support of other clubs, both for cash contributions and that club’s Rotary Foundation allocation. We are expecting that clubs that have traditionally done international projects will continue to use their allocations to do global grant applications, either as a lead club or partner club.

As a lead club, you will need to follow the same grants processes that currently exist: Find an international partner Rotary Club. Do a needs assessment to determine a project that is within Rotary Foundation guidelines and the Areas of Focus policies and procedures. Determine how the project will be sustained once Rotary funding goes away. Develop a budget of all project costs. Write the online grant proposal. Secure financial support for the project through cash contributions and Rotary Foundation allocations.

How to get started?? Contact Grants Committee Chair Dave Mantooth with your idea or attend a Grants Committee meeting held at Perko’s in Salida on the second Tuesday of January, March and May. If there are questions regarding whether your project meets Foundation guidelines, we can send a query to Foundation staff to determine if it will be an acceptable project. Establish a firm contact with a Rotary Club in the area you plan to do a project. This is the single best determinant of doing a successful project. Review the grants application guidelines and other information on grants on the Rotary International MyRotary website (www.rotary.org/myrotary). The grants website has been recently updated to provide all of your needed information in one place. Project Fair today during the Mid-Year Assembly.

3) Support the global grant project of another club We know that there are a number of district clubs that would like to be involved with an international project, but for a variety of reasons do not feel that they can be the lead club in a global grant application. Those clubs still have the opportunity to partner with another district club by supporting it with cash contributions and/or Rotary Foundation allocations. Clubs will have the opportunity to view potential grants at the Project Fair or to invite project leaders to their clubs or Board meetings for presentations. Our goal will be to regularly keep district clubs notified of possible international projects and funds available for funding those projects—through the district website (rotary5220.org) and Grants Bulletin.

4) Combination of Club and/or Global Grants Clubs can choose to utilize their funding to do both a club grant and support a global grant. For example, the club with $3000 in available funds could do their regular $2000 club grant ($1000 from the club and $1000 from their Foundation allocation) and then use the other $2000 to do a global grant, either as a lead club or partner club. That $2000 allocation could grow to $7000 as part of the funding for a grant: the $2000 matched dollar for dollar by the Foundation to make $4000 if the club matched that $2000 in cash contributions from the club or from Rotarians, then the Foundation would match half of that amount for $3000 Note: If a club would like to utilize funding for a global grant in the 2018-19 Rotary year (i.e., stockpile funding to better enable it to do a project), it may make that request on a one-time basis. This only applies to a planned global grant project and not club grants.

March 31 deadline for club allocations By Friday, March 31, 2016, all clubs must have submitted a spending plan to Grants Committee Chair Dave Mantooth (Handout). For clubs that have not submitted a spending plan by March 24, a reminder notice will be sent to the club president, president- elect and secretary. If a club does not submit a spending plan by March 31, it will forfeit its right to do a club grant for the 2017-18 Rotary year, but it will not forfeit its allocated funding. In this case, all of its allocation would have to be used in helping to fund a global grant, either as the lead club or partner club. Clubs that are not qualified will not receive a Foundation allocation.

Determination of Club Grant Allocations By April 7, the total of club grant proposals will be determined and compared to the 50% amount allowed by the Rotary Foundation and previously discussed. A determination will be made if club grant proposals need to be reduced to meet the requirement. Clubs will then be notified of their final allocation. A summary of all allocations and funds available for global grants will also be available on the district website. Clubs will then have until April 30th to submit a full club grant application. These will be reviewed at the district level before becoming part of the 2017-18 D5220 District Grant application. By early July, pending approval of the District Grant by the Rotary Foundation, clubs will be notified that they can proceed with their club grants.

Global Grant Process Continues Clubs pursuing a global grant will continue the grants process, firming up the details of their application and seeking support as needed from other clubs. District procedures require that clubs present their proposals for approval at a meeting of the Grants Committee, starting May 9th (or at a later Grants Committee meeting). By this time, clubs should have started the online application process and have a Global Grant number.

If the application has been completed and funding secured, then the Grants Committee Chair, after approval by the committee, can authorize the DG and Foundation Chair to approve the grant and its funding sources for consideration by the Rotary Foundation staff. Note: The Tom Applegate Endowment Fund provides up to $14,000 a year for a global grant by a district club in the area of Water and Sanitation. At the May 9th meeting, the Grants Committee will choose between submitted grants in this area to designate one for this special funding. This means, that for a $30,000 grant with the special funding, a club would only need to raise funding and matching equal to $16,000.

Allocation of Rotary Foundation Funds Funding for the projects that are part of the overall District Grant come directly to the D5220 Grants Committee and are distributed based on district policies when projects are completed. This comes back as cash to a club. Funding for Global Grant projects remain with the Rotary Foundation. When a club approves use of its Foundation funding for a Global Grant, they will provide authorization to the Grants Committee Chair who will then authorize the transfer of those funds to the global grant. This funding is then matched by the Rotary Foundation dollar for dollar.

Summary of Grants Process Timeline Early January, 2017 Clubs received allocation amount. Discussion begins on how funding will be allocated. January 28, 2017 District Project Fair held as part of Mid-Year Assembly. March 31, 2017 Clubs submit spending plan to the district. If not submitted, club cannot do a club grant for the upcoming year. Clubs must be qualified to do a club grant. April 7, 2017 Clubs notified if they need to reduce club grant amount because total of club grants exceeds maximum allowed by Rotary Foundation.

April 30, 2017 Club grant applications due. May 9, 2017 Clubs present global grant proposals to the Grants Committee. Ongoing Once approved by Grants Committee, clubs submit global grant applications online to the Rotary Foundation. June, 2017 District submits District Grant to Rotary Foundation for approval. July, 2017 District notifies clubs that they can carry out their club grants. Once final report is submitted, club will be reimbursed their allocation.