The Impact of the Economy on Minnesota Grant-Making
The economy has impacted the grant-making ability of foundations at the very time their support is especially critical. The Star Tribune published a story today on how Minnesota’s foundations are responding to this challenge.
According to the article: “Grant-making will not be significantly cut — at least for now. But giving is likely to decline or remain flat in 2009, which means it won’t keep up with demand from local organizations struggling for funding.”
Other key points:
- According to Jon Pratt, Executive Director of the Minnesota Council of Nonprofits: Minnesota is more reliant on foundation giving than other communities, “partly because Minnesota is third in the nation in per capita foundation assets.” There is particular anxiety about next year given local and state government budget concerns.
- John Couchman, vice president of grants and programs for the St. Paul Foundation: “We have less money to give as community needs are bigger than ever. We’re not alone. Everyone in philanthropy has been hit.”
- Carleen Rhodes, president of the St. Paul Foundation: “The charitable sector is not going to get a bailout, so we need to think about what we are going to do to lift it. All of us need to recognize this is an important part of the economic recovery.”
- Foundation leaders are weighing how they can make the most impact. According to Bill King, president of the Minnesota Council on Foundations: “We’re asking, ‘What are the most important community needs? What are the best strategies? And where are the gaps [in funding]?”’