JANUARY 28, 1994 GAY PEOPLE'S CHRONICLE

FUNDING IT

Where the money goes

by Betsy Tabac

Believe it or not, gay and lesbian organizations will be interested in a report recently issued by the Grantmakers Forum and the Greater Cleveland Growth Association. The report contains some depressing information, as well as data that can help grantseekers target potential foundations or corporate funders.

The report

First, some background. The report is called Survey of Foundation and Corporate Giving. Published in 1993, it presents findings from a survey of foundation and corporation philanthropy in 1991 in five Ohio counties: Cuyahoga, Geauga, Lake, Lorain and Summit. The entire report is available from Dorothy Weiss, Executive Director, Grantmakers Forum, 1422 Euclid Avenue, Cleveland, OH 44115; 216-861-6223.

A questionnaire was sent to all grantmaking foundations in the five counties that distribute more than $50,000 annually (260) and to the 350 largest private companies that do not have foundations. About onethird of the foundations responded, making it reasonably safe to extrapolate findings about them to all foundations. Only 13 of the 350 corporations responded so it isn't as safe to generalize survey data about corporations to all companies.

Funding for civil rights

The depressing news first. Only 11 percent of all philanthropic dollars from corporations and foundations go to what is called "public/society benefit" programs. These include civil rights and social action programs, the kinds of activities gay and lesbian organizations do. In other words, no one is funding social change, for gays and lesbians or for anyone else.

On the other hand, even though public/ society benefit programs received only 11 percent of funds, those contributions amounted to $12.1 million just from foundations and corporations participating in the survey. Nonprofit, tax exempt gay groups ought to be able to cash in on some of that. If your organization decides to seek funding for public/society benefit programming, start with a community foundation. Almost 30 percent of community foundation dollars go to this type of programming while

independent and corporate grantmakers each contributed less than four percent of their funds for these activities.

Position is everything

Another lesson from this data is that gay and lesbian organizations should position their activities carefully when seeking grant support. When possible, emphasize the educational, human service or other aspects of the proposed program instead of or in addition to its social action features.

The grant category receiving the most foundation and corporate funding is human service. Second is higher education and third is pre-collegiate education. Other categories receiving lesser sums, ranked by percent of total grant funding from highest to lowest, are arts and culture, health, nonclassifiable, environmental, religion and international. Positioning programs serving gays and lesbians in any of these categories, especially those receiving the most money, will work better than asking for money to do social change.

Special events

Gay groups raising funds through special events will be interested in this. Independent and community foundations support almost no special events; corporations support more, but not many more. Corporate support that is provided comes from the company foundation or the general, executive, advertising or community affairs budget. The main reason corporations decide to support benefits is that the cause is an area of interest to the company. Employee involvement in the organization putting on the benefit is another important reason groups are able to garner corporate support.

A total of almost $200 million is contributed annually by independent, community and corporation foundations in the five county northeast Ohio area and almost all of this money stays here. Later columns will discuss how to access some of this largesse. ✓

Betsy Tabac is the president of GrantMaster, a division of Tabac and Associates, Inc. in Cleveland, Ohio. GrantMaster specializes in funding research and proposal writing.

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