1. How to Harness the Power of Planned Giving to Reach or Exceed Your Campaign Goals Minnesota Planned Giving Council Prepared by Michelle Janssen, CFRE November 2, 2010

2. –Frame the role of planned giving within the context of planning and executing a campaign A bit of history Rules of the Road –Discuss tools developed in Valparaiso University’s $200 million campaign to drive endowment goals using planned giving Purpose for the Session

3. In this session, I want to take the following information back to my office about this topic: 1. 2. 3. 4. Parking Lot Exercise

4. Historical Perspective Prior to 1990, deferred gifts rarely encouraged as gifts for capital campaigns/projects Deferred gifts that did materialize during the campaign counting period were counted, but the goals for the effort were not set with this source in mind * Robert Sharpe/Sharpe Group, Memphis, TN Planned Giving in Context of Planning and Executing a Campaign*

5. Recent History Comprehensive counting has spawned campaigns that count annual renewable as well as planned giving towards the campaign Bequests and other planned gifts can account for 35% of total campaign goal * Robert Sharpe/Sharpe Group, Memphis, TN Planned Giving in Context of Planning and Executing a Campaign*

6. Comprehensive counting comes with its share of problems: Difficult to set goals for ‘realized’ bequests unless you have a mature planned giving program Hard to attribute dollars actually raised from those emerging from actual solicitation activity Challenging to communicate the success of the campaign to both internal and external consistencies * Robert Sharpe/Sharpe Group, Memphis, TN Planned Giving in Context of Planning and Executing a Campaign*

7. –Ability to set larger goals –Opportunity to grow endowments through documented and matured bequests –Ability to recognize donors for larger gifts by incorporating an outright gift plus a planned gift Why Incorporate Planned Giving Into a Campaign?

8. Planned Gifts utilized in the context of a campaign Bequests –Documented/revocable –Matured Life insurance policies Charitable gift annuities Lead and Remainder trusts Definitions and Road Rules:

9. CASE (Council for Advancement and Support of Education) Count matured estates at face value Report irrevocable gifts at face and present value Report bequests separately from outright and irrevocable gifts –Discount value of bequests from younger donors Definitions and Road Rules:

10. Fundraising model sustains a continuous campaign Three years of campaign counting –(five years in most recent effort) Two years of campaign preparation and ‘rest’ Campaigns and Planned Giving at Valparaiso University

11. –Lighting the Way raised $37 million on a $35 million goal Planned gifts were not intentionally sought, but were counted as part of the comprehensive counting –Three Goals, One Promise raised $121 million on a $75 million goal Introduced the ‘triple ask’ –Our Valpo, Our Time raised $236 million on a $200 million goal Planned giving intentionally incorporated into campaign planning and execution Results of Valpo’s Fundraising Model

12. −Endowment goal for Our Valpo, Our Time totaled $80 million $50 million (outright) $30 million (documented bequest expectancies) −In order to document $30 million in bequest expectancies, several tools were created to support field officers Top 700 strategy Triple Ask Project Mission (3,2,1) Results of Valpo’s Fundraising Model

13. –Applied gift capacity of $100,000 to $1 million –Coupled with an affinity score (medium to high affinity) to a prospect pool segment Surfaced the best 700 prospects for cultivation and solicitation activity during the campaign quiet phase All 700 prospects were assigned during the campaign Top 700 Strategy

14. Request for the prospect to consider: -Best annual renewable gift -Best pledged (outright) gift to support one of the campaign objectives -Document plans to include Valparaiso University in estate All three elements count as the total gift both for recognition as well as campaign counting purposes Triple Ask

15. -Triple Ask is not ‘one size fits all’ -Tools were needed to support field officers to effectively ‘set up’ the triple ask in order to optimize success PM3- Focused on alignment of mission, vision and values PM2- Focused on campaign objectives PM1- Solicitation using triple ask -Solicitation by written proposal Project Mission (3,2,1)

16. -Planned Giving watch list -Tracked ‘maybes’ or soft declines to the third leg of the triple ask -The ‘Presumptive Thank’ -Created a predictive model to surface prospects receptive to inquiries about bequest giving -Deployed retired university president to make phone calls with two aims: 1.Thank donors for recent gifts 2.Inquire about the inclusion of the university in current or future estate plans Positive responses assigned to field officers for follow up ‘Maybes’ tracked in planned giving watch list Other Planned Giving Strategies

17. Questions? Discussion