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NewsBytes: July, 2003
Articles are arranged in reverse chronological order.
Fundraising costs vary widely depending on age, size, mission
July 28, 2003
As part of the ongoing Nonprofit Fundraising and Administrative Cost Project, researchers are discovering that administrative and fundraising costs vary widely among nonprofits based on factors such as organizational age, size, and mission. They found that when all other factors are equal, large organizations spend more on management and general expenses than small organizations, and nonprofits with primary missions in arts, education, environment, and health have higher management expenses compared to public-society benefit organizations and others that do not fall into these categories.
Overall fundraising costs average 24 cents for every $1 raised, though the costs vary depending on the organization size, subsector, and age. For example, nonprofits 30 years old or older that earn $200,000 or less in revenues, spent 37% of contributions on fundraising. More study results are expected later this year and in 2004.
July 28, 2003
After announcing an investment of $1 billion dollars for cancer research only two weeks ago, the government of Ontario is pledging another $1 billion, this time for people with developmental disabilities. The new funding is part of the government's multi-year plan to provide respite, day programs, specialized community supports, and places to live for more individuals with developmental disabilities and their families. The funds will also help developmental services agencies attract and retain quality caregivers. For more information, visit: www.cfcs.gov.on.ca.
Fast Fact: Fundraising cited as biggest challenge for nonprofits
July 28, 2003
According to a new survey, 81% of nonprofits feel fundraising is a 'very significant challenge'. Among museums and theaters, that figure jumps to 90%, followed by children and family agencies at 87%. Community and economic development agencies rated lower than the overall average at 72%. In addition, 63% of respondents rated local, state or federal government budget cuts as a 'very significant challenge', and 61% cited the rising cost of healthcare benefits. -- Johns Hopkins Center for Civil Society Studies
July 28, 2003
Soulpepper Theatre Company received $5 million last week to launch a new performing arts complex in Toronto's downtown Distillery district. Culture Minister David Tsubouchi presented a $2 million donation from the provincial government. Then came a surprise announcement from the Michael Young Foundation: a pledge for an additional $3 million. In recognition of this gift, the new building will be named the Young Centre for the Performing Arts. For more information about Soulpepper, visit: www.soulpepper.ca.
July 28, 2003
The Conference Board of Canada announced last week that it is developing a new annual publication. The National Corporate Social Responsibility Report will be a single comprehensive source of information on the state of corporate social responsibility (CSR) in Canada. "CSR is an urgent social and political issue. It matters to the public, private, and not-for-profit sectors," said Mark Schacter, director of governance and CSR. "This report, which will be Canada's only basic reference tool on the state of CSR, will provide a sound basis for the development of CSR strategies and policies. It will also contribute to a fruitful public debate on the role of corporations in society." The inaugural report will be published in the spring of 2004. For more information, visit: www.conferenceboard.ca/GCSR/research/csr_report/default.htm.
July 28, 2003
Donations reached almost $241 billion in the US last year, up 1% from 2001. Forty-nine percent of organizations reported an increase compared to the previous year, 46% reported a decrease, and 5% reported no change. Giving by individuals represented 76.3% of all giving estimated for 2002. Gifts through bequests represented 7.5% of giving. Giving by foundations represented 11.2%, and giving by corporations was 5.1% of all estimated giving in 2002. -- AAFRC Trust for Philanthropy
July 28, 2003
According to a new report by the International Federation of Red Cross and Red Crescent Societies (Federation), the international 'war on terror' is threatening the legitimacy of humanitarian agencies. The World Disasters Report 2003 highlights the increasing shift by donors and humanitarian agencies toward high profile aid efforts in politically strategic conflicts, such as those in Iraq and Afghanistan. Meanwhile, chronic emergencies in countries such as Angola, Somalia and the Democratic Republic of the Congo (DRC) are receiving little attention.
"We are facing a real inequity in global humanitarian practice where many of the world's wars and disasters have become forgotten emergencies," says José Garcia-Lozano, deputy director, International Program Operations, Canadian Red Cross. Many humanitarians warn that blurring the lines between civilian and military humanitarian assistance could result in aid workers losing their impartial status and being targeted or even killed. For more information, visit: www.redcross.ca.
July 28, 2003
American foundation giving to the arts fell an estimated 3.5% to $4.05 billion in 2002. Overall, US foundations gave 5% less to the arts and 2.3% less across the board. Funding for the arts accounts for almost 12% of all foundation giving and can be broken down into several fields of interest: museum activities (34%); performing arts (30%); media/communications (8%); multidisciplinary arts (8%); visual arts (7%); historical activities (6%); and arts-related humanities (3%). -- Foundation Center
July 28, 2003
BC Women's Hospital and Health Centre Foundation (Women's Foundation) recently received a gift of $10,000 from Zellers Friends of the Family (through the Hudson's Bay Company). The funds will support the Women's Advanced Maternity Care Fellowship for Rural Practitioners. The fellowship addresses the growing need for maternity services in communities outside BC's Lower Mainland. It will provide specialized training in maternity care to physicians, nurses, midwives, and other caregivers in rural and small urban communities across BC. For more information about the foundation, visit: www.womensfoundation.ca.
July 21, 2003
Last week, the government of Ontario announced that it is investing $1 billion in the new Cancer Research Institute of Ontario in an effort to eliminate breast and prostate cancer. "There are few people in Ontario who have not been touched by cancer through a friend or family member," said Premier Ernie Eves. "Ontario's researchers have the expertise, and the establishment of this institute will support significant breakthroughs in our efforts to eliminate breast and prostate cancer." Funds will be distributed over the next ten years as the new institute builds on the work of existing institutions such as the Ontario Cancer Research Network. For more information, visit: www.premier.gov.on.ca/english/news/Cancer071403.asp.
July 21, 2003
According to a new report, the international NGO sector is poised to become "amongst the most influential institutions of the 21st century." The key conclusion of The 21st Century NGO: In the Market for Change, by SustainAbility and the United Nations, is that international NGOs have a huge opportunity to greatly increase their impact by focusing their efforts on reforming market systems rather than simply confronting them. The study explores the relationships between NGOs and businesses, as well as the operation of NGOs as businesses. As the authors state, "it is clear that NGOs are no longer mere gad-flies on the face of market and political systems. Increasingly they are a key part of those systems themselves." For more information or to download a summary of the report, visit: www.sustainability.com/programs/pressure-front/ngo-report.asp.
July 21, 2003
A donation from TransAlta will help create a base for social service delivery in east Calgary communities. The company is committing a total of $800,000 over four years to Hull Child and Family Services, which provides support services for families of children and youth with emotional, psychological, and behavioural disorders. "This gift is to the best of our knowledge, the largest corporate donation to a social service agency ever in Calgary," said Hull executive director George Ghitan. "While this fact alone is important, this partnership is about much more than money: TransAlta encourages its employees and retirees to volunteer in Hull's programs, participate in Days of Caring and serve on our board." For more information, visit: www.transalta.com.
July 21, 2003
The fourth annual Corporate Social Responsibility (CSR) Monitor survey finds that of more than 21,000 consumers, shareholders, and corporate employees in 21 countries, most cannot name a socially responsible company. Of those surveyed, 43% strongly agree, and 39% somewhat agree, that large companies should do more than give money to solve social problems. A holistic approach to CSR was much more appealing to consumers than a cause-related marketing or "add-on" strategy of doing business and supporting charities. In addition, there was a surge last year in the number of consumers who reported punishing a company that they perceived as socially irresponsible - 29% compared to only 20% in 2001. -- Environics International
July 21, 2003
Ontario organizations and community groups are being invited to join a new network that will work to challenge urban sprawl, save prime farmland, foster healthy communities, and support community involvement in planning. The Ontario Smart Growth Network is designed to facilitate communication and cooperation between organizations working on smart growth issues, and will support individual areas of expertise as well as partnership projects between member organizations. For more information contact the Conservation Council of Ontario at cco@web.ca or call Chris Winter at (416) 533-1635.
July 21, 2003
Grammy award winner Carlos Santana is working for free this summer in an effort to raise money for the fight against AIDS. The guitarist pledged the net proceeds from the U.S. leg of his summer concert tour to a fund run by Los Angeles-based nonprofit Artists for a New South Africa, which supports South African groups fighting the spread of HIV and AIDS. The tour has raised at least $2 million so far. Sub-Saharan Africa has been hit harder by HIV/AIDS than any other region of the world, and the United Nations estimates that nearly 30 million Africans are infected with HIV or have AIDS. For more information, visit: www.ansafrica.org/santana.html.
July 21, 2003
Look Good Feel Better, a cancer-support program for female cancer patients announced that the Bay donated $125,000 from sales of its annual Charity Bear. The donation is part of a larger sponsorship that the Bay provides to several organizations through its Well Into The Future program, which supports Canadians living with cancer. In 2002, sales of the Charity Bear raised $500,000 for Look Good Feel Better, the Canadian Cancer Society, Wellspring Support Centres, and the Childhood Cancer Foundation-Candlelighters Canada. For more information, visit: www.lgfb.ca/en/ne_presscoverage.html.
July 21, 2003
A recent study finds that Canadians are accessing government information and services via the Internet much more frequently than citizens in the United States, Australia, or Japan. Since the fall of 2002 there has been a 27.2% increase in traffic on Canadian government web sites, compared to only a 2.6% increase overall in the number of Canadians using the Internet on a monthly basis. In the month of May, 2003, 52.9% of online Canadians visited a government web site, as compared with 29.7% for Australia, 24.2% for Japan, and 42.4% for the United States. Among the most frequently visited sites are the official Canadian government web site (www.canada.gc.ca), Human Resources & Development (www.hrdc.gc.ca), Environment Canada (www.ec.gc.ca), Canada Customs & Revenue Agency (www.ccra.gc.ca), as well as the provincial web sites of Quebec, Ontario, and British Columbia. -- comScore Media Metrix Canada
July 21, 2003
No one will be asking 'where's the beef?' this Labour Day as the Kinsmen & Kinette Clubs of Canada gear up for what they hope will be a record-breaking BBQ. In an effort to support Canada's beef industry in the wake of the recent mad cow crisis, the service club plans to feed four million Canadians more than one million pounds of Canadian beef during the largest national BBQ in history. Kinsmen & Kinettes are doing the initial legwork to secure donors and sponsors, and they are encouraging labour organizations, communities, sports groups, other service clubs, church groups, and employee groups to organize and host their local events. For more information, visit: www.bbqcanada.ca.
July 21, 2003
More than 100 British charities were left in limbo last week when it was revealed that £10 million in grants from The Princess Diana Memorial Fund would be frozen because of legal proceedings. The US-based Franklin Mint, which produces Diana merchandise including dolls, plates and jewellery, accused the fund of making an earlier malicious prosecution and started legal proceedings against it for $25 million. As a result, the fund had to freeze its assets, putting 500 jobs and grants to more than 120 beneficiaries at risk. The Franklin Mint has since restructured its lawsuit so that the grants can be released to the charities concerned.
July 21, 2003
Peel Regional Police recently hosted the 2nd Annual Golf Tournament and Auction in Support of Victim Services of Peel. More than thirty officers and civilians worked hard to make the event a success, raising more than $70,000 for the charity's crisis intervention services. For more information about Victim Services of Peel, visit: www.vspeel.org.
July 14, 2003
The first-ever comprehensive look at the fundraising profession in Canada was released last week by the Association of Fundraising Professionals (AFP) and the Canadian Policy Research Networks (CPRN). A Portrait of Canadian Fundraising Professionals aims to improve knowledge about the profession and suggests ways of strengthening the fundraising capacity of the nonprofit sector. The survey reveals a gap between older, more mature organizations, and smaller charities new to fundraising. "We found that many small organizations new to the field, especially in the social services and arts, culture and humanities subsectors, face tougher challenges than larger, well-established institutions," says Kathryn McMullen, CPRN researcher and author of the report. "The rapid growth in nonprofit organizations has created a segmented labour market that can affect the effectiveness and efficiency of charities based on size and maturity." The survey also found that while the majority of respondents were satisfied with their jobs, satisfaction with pay, workload, training and career opportunities were all ranked higher by those working for larger organizations than those fundraisers employed by smaller charities. For more information or to download the report, visit: www.cprn.org/en/doc.cfm? doc=347.
July 14, 2003
The Canadian Cancer Society recently held its annual Relay for Life in communities across Canada. The 24-hour event was once again a huge success, raising more than $16 million for cancer research and community services for people living with cancer. "Congratulations to all the volunteers, survivors, team members, corporate sponsors and participants whose dedication and enthusiasm is what makes this event more than a fundraiser," says Brent Chambers, president of the Ontario Division. "With Relay For Life, a community comes together in the fight against cancer, to celebrate, to pay tribute, to have fun and to raise funds for important research and services." For more information, visit: www.cancer.ca.
July 14, 2003
As British Columbia and the rest of Canada celebrate the announcement that Vancouver and Whistler will host the 2010 Olympics, one small group of environmentalists in Whistler is already hard at work. The Association of Whistler Area Residents for the Environment (AWARE) is currently the only group committed to keeping the games as green as possible. "We know we can influence decisions better from the inside and have a better shot at keeping sustainability front and centre," said Mitchell Rhodes, a spokesperson for the group. He says that staying in it for the long haul is the only way to make sure his community is developed in the most sustainable way. For more information, visit: www.awarewhistler.org/olympics.html.
July 14, 2003
A new federal study finds that most companies still aren't helping their employees, especially women, manage the increasing demands of work and family life. Two-thirds of companies have no formal policies, such as part-time work, flexible work hours, or child and elderly care services. The study found that small workplaces, those with less than 10 employees, are most likely to offer flextime and telework. Overall, men have greater access to family-friendly work arrangements than do women, despite the fact that it is women who often face the greatest challenges in balancing work and family responsibilities. The findings also suggest that female employees make big sacrifices in order to achieve a balance. Approximately 30% of women working part-time earn less than $9 an hour and are 50% less likely than full-time workers to have access to non-wage benefits. -- HRDC and Statistics Canada
July 14, 2003
The Recycling Council of Ontario (RCO) is seeking nominations for its annual Ontario Waste Minimization Awards. The awards pay tribute to the many Ontario leaders who made significant contributions and achievements in waste minimization in 2002. Awards will recognize accomplishments in 18 categories, including a volunteer award, a not-for-profit award, municipal awards, and the best community effort award. The deadline for nominations is September 2. For more information or to apply, visit: www.rco.on.ca/intro/upcoming/awards/categories/nfp_org.html.
July 14, 2003
When it comes to accepting corporate donations, things are not always as they seem. A new U.S. study by the Center for Science in the Public Interest, Lifting the Veil of Secrecy, examined more than 170 of the biggest disease-related charities, health-professional societies, and university-based institutes in the United States to see what effect, if any, corporate donations might have on their work. At one time, "the public had confidence that health charities and health professional groups were operating totally in the public's interest to promote better public health," says Michael Jacobson, the center's executive director. "Then out comes little bits of information suggesting that these arrangements have strings attached." For more information, visit: www.cspinet.org/new/2 00307092.html.
July 14, 2003
The federal government announced last week that it is making major cuts to Canada's magazine industry. The Canadian Magazine Fund (CMF) will lose $16.6 million in the next two years, with Heritage Minister Sheila Copps saying the industry is healthy and no longer needs the same level of funding. The Canadian Magazine Publishers Association sees things differently. "The program funding announced [last week], along with the $15 million already cut in February's budget, amounts to a stunning 40% decrease in federal cultural investment in Canada's magazine sector," said Mark Jamison, president of the association. "These cuts to magazine programs are disproportionate and all the more troubling given the tremendous results that have been achieved with relatively modest levels of support." Ottawa will reallocate some of the funding to subsidize community newspapers, particularly those catering to ethnic and aboriginal communities and French or English publications in regions where the language is in the minority. For more information, visit: www.pch.gc.ca.
July 14, 2003
University students received a record number of bachelor's, first professional's and master's degrees in 2000, with women accounting for the majority of degrees, diplomas and certificates awarded, receiving 59% of the total. There was an increase in the number of students graduating in the fields of math (+7.6%) and engineering (+4.3%), while diplomas and degrees awarded in health professions and occupations dropped by 6.1%, and humanities and related studies dropped by 1.5%. The number of degrees, diplomas, and certificates awarded in social sciences and related studies showed decreases during the mid-1990s. However, the estimated 67,800 graduates in this field were still more than twice the number in any other field of study. This field increased by 1.2% in 2000. -- Statistics Canada
July 14, 2003
According to the latest UN Human Development Report, the world's richest nations are not keeping their promises to address the "most enduring failures of human development." The report examined the progress of 175 countries, finding that more than 50 nations are worse off now than they were 10 years ago, half of which are in Africa. It says that rich countries must keep promises made during the 2000 UN Millennium Summit, otherwise it will take 20 sub-Saharan African nations almost 130 years to attain primary education and 150 years to cut extreme poverty in half. The report calls for $100 billion annually in foreign aid - more than double the current amount. For more information, visit: hdr.undp.org.
July 14, 2003
Basketball star Vince Carter of the Toronto Raptors created a buzz last week as he unveiled a new pro-style outdoor basketball court at Toronto's Dixon Park. Funded by his Embassy of Hope Foundation, the court is NBA-sized with a pro-surface and lighting system and is valued at more than $130,000. "This is the largest single project we've done here to date," said Carter. "I see Toronto as my adopted home town and I really wanted to do something big right here. The basketball programs that will be offered on this court will teach youth skills that will benefit them in all aspects of life...responsibility, teamwork, and dedication. I'm looking forward to seeing a lot of kids out here playing ball and following their dreams." The Toronto Police helped to identify a high-need area, while the city donated the land and maintenance of the site. A number of community groups will manage the basketball program at Carter's new court, including Hoops Unlimited, 23 Division of the Toronto Police, Dixon Neighbourhood Youth Centre, Toronto Parks and Recreation and For Youth Initiative (FYI). For more information about the Embassy of Hope Foundation, visit: www.vincecarter15.com.
July 14, 2003
The US Federal Trade Commission (FTC) recently joined forces with 34 states, GuideStar and the Wise Giving Alliance to combat charity fraud. Operation Phoney Philanthropy is a law-enforcement and public-education campaign that aims to stop fraudulent telephone fundraising and to teach people how to question phone solicitors. "By diverting donors' charitable dollars, these scam artists undermine the public's confidence in legitimate charitable fundraising, and injure legitimate nonprofit organizations that are competing for charity dollars," said Howard Beales, director of the FTC's Bureau of Consumer Protection. The campaign emphasizes that consumers need to check out charities before they give and make sure that their donations support the causes they believe in rather than the unscrupulous individuals who claim to represent them. For more information, visit: www.ftc.gov/opa/2003/05/ opp.htm.
July 7, 2003
A cross-sector working group including AFP, APRA, AHP, and CCP has prepared a guide to help nonprofit organizations in Canada prepare for the new privacy legislation that will take effect on January 1, 2004. Privacy 101: A Guide to Privacy Legislation for Fundraising Professionals and Not-For-Profit Organizations in Canada provides practical examples of how organizations can prepare for PIPEDA (the Personal Information Protection and Electronic Documents Act). To download a copy of the guide in PDF format, visit: www.afptoronto.org/new_on_site/Privacy101.pdf.
July 7, 2003
An audit of departmental grants and contributions found that Ottawa gave $2 million to a nonprofit group that already had millions in reserves. Since 1984, the Department of Foreign Affairs has given a total of $24 million to the Asia Pacific Foundation of Canada, which was created by Parliament to foster ties and trade between Canada and Asia. According to the audit, the foundation accumulated reserves of almost $2 million, while its two subsidiaries - the Globe Foundation of Canada and the Canadian Education Centre Network Inc. - had set aside a total of $4.8 million. The audit said the foundation and its affiliates had gathered "significant and growing reserves" due in large part to federal grants and contributions that "were in excess of need." In response, the Asia Pacific Foundation says the reserve is a result of "prudent management," and is now in discussions with Foreign Affairs regarding long-term funding. "We recognize the seriousness of the concerns raised in the audit and have responded. We have moved to project-based funding, with clearer objectives," said Foreign Affairs spokesperson Kimberly Phillips. "We are considering a range of options for any future funding beyond the current fiscal year." For more information, visit: www.dfait-maeci.gc.ca.
July 7, 2003
Sixty-six percent of professional fundraisers in Canada report that their organization implemented new fundraising activities in the past 2 years. To achieve this, 60% increased the number of paid staff in the organization, 59% invested in new software/hardware, 54% increased their number of volunteers, and 46% used consultants. -- Association of Fundraising Professionals
July 7, 2003
A new report from the University of Essex finds that teenagers who engage in "high culture" leisure activities such as attending the theatre or opera, playing a musical instrument, or reading for pleasure increase their likelihood of being involved in a voluntary organization later in life. "Research indicates that no matter what the social class of their parents, participation in such forms of leisure by teenagers has positive effects on their earnings potential, educational attainment, and civic engagement in later life," said the author of the study, Karen Robson from the university's Institute for Social and Economic Research. To download a copy of the report in PDF format, visit: www.iser.essex.ac.uk/pubs/workpaps/pdf/2003-12.pdf.
July 7, 2003
Funded by the Government of Canada through the Canada Volunteerism Initiative (CVI), the Canadian Centre for Philanthropy (CCP) recently launched its new Knowledge Development Centre. The centre will provide grants to nonprofit and voluntary organizations and post-secondary institutions to conduct research on volunteering and volunteerism. This year, the Knowledge Development Centre will fund research projects that address one of the following themes: governance and leadership; government downloading; liability; or social, economic, demographic, and geographical trends. The deadline for applications is July 28. For more information or to apply for a grant, visit: www.kdc-cdc.ca.
July 7, 2003
Only 42% of Canadian online adults have ever made a purchase online, and of those who haven't, security (49%) and privacy concerns (34%) are the top barriers mentioned. The majority of Canadian Internet users (82%) also say they are concerned about Internet security in general, and 84% are concerned about giving personal information online. When asked who should be most responsible for improving online security, the largest percentage of respondents said the web sites themselves (30%), though only 43% are confident with web sites' ability to ensure the security and privacy of online transactions and account information. -- Ipsos-Reid
July 7, 2003
On June 27, Minister of Canadian Heritage Sheila Copps and Secretary of State (Multiculturalism) (Status of Women) Jean Augustine celebrated the first-ever Canadian Multiculturalism Day. The day was inaugurated to increase awareness, and to encourage racial and ethnic harmony and cross-cultural understanding by providing an opportunity for communities across Canada to celebrate diversity. Seed money for community groups for Canadian Multiculturalism Day is available through the regional network of Celebrate Canada! Committees. Minister Copps also announced the creation of the Spark Initiative, a partnership among the National Film Board of Canada, the Canada Council for the Arts, Telefilm Canada, and the Department of Canadian Heritage. The initiative will make $3.6 million in funding available over three years to provide culturally diverse filmmakers and producers with better access to the industry. For more information, visit: www.canadianheritage.gc.ca/newsroom/news_e.cfm.
July 7, 2003
The 10th Annual Big Brothers Whistler Golf Classic raised a record $250,000 for Big Brothers mentoring programs in BC's Lower Mainland. Since the tournament's inception, more than $1 million has been raised, and the event is now the agency’s second largest fundraiser. "We are honoured to have the support of Canaccord Capital and the many other sponsors and participants who have contributed to the Big Brothers Whistler Golf Classic's decade of success," said Big Brothers executive director Gordon Therriault. "We look forward with confidence to another successful 10 years." For more information about Big Brothers of Greater Vancouver, visit: wwww.bigbrothersvancouver.com.
July 7, 2003
According to a report from consulting firm Community Wealth Ventures, more and more nonprofits are starting their own business ventures in response to funding cutbacks. The group analyzed 105 ventures and partnerships operated by 72 nonprofits and found that 69% of the ventures were profitable or at least breaking even, with 90% of businesses keeping in line with the organization's mission. Powering Social Change: Lessons on Community Wealth Generation for Nonprofit Sustainability includes essays from leading practitioners and funders, case studies highlighting enterprising nonprofit organizations, and practical lessons for organizations seeking to diversify their revenue streams. For more information or to download the report, visit: www.communitywealth.com.
July 7, 2003
A group of London teens are trying to get into the Guinness Book of Records while also raising funds for the Multiple Sclerosis Society. Sean Eggel, Dave Jeannette, Matt Stephens and Chris Ljubicic set out last week to raise money for multiple sclerosis research while also attempting the longest consecutive trampoline jumping. They spent five days taking turns on a trampoline and have already collected more than $1,300 for the MS Society. "I have a huge blister on my heel (and) I've got a hernia," said Eggel, the 16-year-old who originally thought up the event. "But I definitely think it was worth it. Every minute of it was worth it."
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