1. Fundraising Trends for Chesapeake Watershed Organizations Chesapeake Watershed Forum October, 2009

2. Agenda Welcome and introductions Opening exercise
Review purpose of session
Overview of trends
National, regional, watershed group
Discussion
Closing exercise

3. Funding Partners 3 Current Funders – FY 2007 & 2008
Chesapeake Bay Trust - $950K
Campbell Foundation - $200K
Rauch Foundation - $150K
Town Creek Foundation- 165K
Morris and Gwendolyn Cafritz Foundation $60K
Baltimore Community Foundation – 5K
Prince Charitable Trust - $45K 3

4. Capacity Building Initiative (CBI) Overview
Increase sustainability and effectiveness of 19 watershed organizations from MD, DC and VA
Assess capacity building needs
Provide targeted capacity building grants
Host tailored trainings
Encourage networking and collaboration
Provides direct one on one assistance
Approximately $900K per year for grants, training and one one assistance
3rd Party evaluation of impact 4

5. Goal is to increase core capacities
Adaptive: ability to monitor, assess and respond to internal and external changes
Leadership: ability to create/sustain vision, inspire, prioritize, innovate and make decisions.
Management: ability to ensure effective/efficient use of resources
Technical: ability to implement all functions

6. National Trends Philanthropic Giving Index (PGI)
Lowest confidence level of Fund. Professionals reported in over a decade
Decreased 27% since December 2007
PGI is 64.8 on a scale of zero to 100, down from a previous 10-year low of 72.3 in summer 2003
Fundraisers for human-services, public-benefit, environmental and international nonprofits exhibited the lowest confidence levels.
Center for Philanthropy, Indiana University

7. National Foundation Giving Trends
Current Trend
Giving by this country’s more than 75,000 grantmaking foundations rose by an estimated 2.8 percent to a record $45.6 billion in 2008
Foundation Center estimates that foundation assets will drop a record 21.9 percent in 2008 and that 2009 foundation giving will decrease by 8 to 13 percent.
Factors to Lesson Impact
short-term increases in payout rates adopted by some foundations
grants budgets based on a rolling average of their asset values
exceptional commitments made to directly address the current crisis.
Beyond 2009?
remains unclear, and much depends on when the economy and stock market begin a consistent recovery. At present it appears likely that foundation giving will decline further next year.
Foundation Center, July 2009

8. Other National Trends Reduction in estate taxes leads to
Low investment returns leads to
No minimum retirement withdrawal requirement leads to
Bequests used for medical costs leads to
Chronicle on Philanthropy

9. Regional Trends Anecdotal Reports from VA/MD/PA Foundations
Mixed reports on future giving (stay the same, up and down)
Grant budgets are down from previous years
Prioritizing giving strategies, sticking with existing grantees
For the most part, not changing type of grants

10. Reported fundraising changes from last year (2007-2008) 19 Watershed Orgs in MD/VA

11. Other Watershed Org Trends 19 groups in MD/VA
Total membership increased, but avg. member contributions show slight declines ($131-$124) – overall member $ is increasing (median avg. $85-$96)
56% report increase in # of major donors and avg gift
50% report decreases from foundations
Over 150% increase in median board donation over three years ($560 - $875)

12. Discussion What explains these results? Think……Pair……Share External
Internal/organizational changes
Short term vs. long term strategies
Think……Pair……Share

13. Reported Reactions to Economy 19 Watershed Orgs in MD/VA

14. Organizational Changes adaptive
100% using a current Strategic Plan to guide work
89% using a fundraising plan to focus and track strategies
Revenue is more diverse (new hires, ED focus, you asked for more $)
“The strategic plan is guiding board and staff to focus time on our priority programmatic and operational goals and objectives. To ensure progress, we link each staff person’s annual work plan to a goal/objective in the strategic plan’

15. Organizational Changes Leadership
Executive directors have more focus
Board have new skills, energy and purpose (63% have 75%-100% attendance)
# of Board members giving $ is up
93% of board members of groups contribute $

16. Organizational Changes Management
Median of 3 paid staff and 2 full time volunteers
Management of existing and new hires will integrated and with clearly defined roles with performance review
Median # volunteers increased
new = 42 – 50
total =

17. Organizational Changes technical
Revamping publications and websites
More than half have new technology for communications and constituent management
Only 5 track website hits…

18. What does the future hold?

19. Projected Trends (Spring 2009 forward) 19 Watershed Orgs in MD/VA?

20. Conclusions
Economy in 2010 likely to impact all organizations more severely than 2009
Capacity building work has and will:
Help organizations diversify revenue
Help focus on core areas of work
Increased visibility and appeal

21. Thank You Jamie Baxter Chesapeake Bay Trust jbaxter@cbtrust(dot)org chesapeakebaytrust(dot)org