Thursday, December 15, 2011

'Dismal' prospects: 1 in 2 Americans are now poor or low income

Squeezed by rising living costs, a record number of Americans — nearly 1 in 2 — have fallen into poverty or are scraping by on earnings that classify them as low income.

The latest census data depict a middle class that's shrinking as unemployment stays high and the government's safety net frays. The new numbers follow years of stagnating wages for the middle class that have hurt millions of workers and families.

"Safety net programs such as food stamps and tax credits kept poverty from rising even higher in 2010, but for many low-income families with work-related and medical expenses, they are considered too 'rich' to qualify," said Sheldon Danziger, a University of Michigan public policy professor who specializes in poverty.

"The reality is that prospects for the poor and the near poor are dismal," he said. "If Congress and the states make further cuts, we can expect the number of poor and low-income families to rise for the next several years."

•Study: 1 in 5 American children lives in poverty
Congressional Republicans and Democrats are sparring over legislation that would renew a Social Security payroll tax cut, part of a year-end political showdown over economic priorities that could also trim unemployment benefits, freeze federal pay and reduce entitlement spending.

Robert Rector, a senior research fellow at the conservative Heritage Foundation, questioned whether some people classified as poor or low-income actually suffer material hardship. He said that while safety-net programs have helped many Americans, they have gone too far, citing poor people who live in decent-size homes, drive cars and own wide-screen TVs.

With nearly 14 million Americans unemployed, a new child welfare study finds one in five children are living in poverty. Nearly one in three live in homes where no parent works full-time year-round. NBC's Chris Jansing reports.
"There's no doubt the recession has thrown a lot of people out of work and incomes have fallen," Rector said. "As we come out of recession, it will be important that these programs promote self-sufficiency rather than dependence and encourage people to look for work."

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Mayors in 29 cities say more than 1 in 4 people needing emergency food assistance did not receive it. Many middle-class Americans are dropping below the low-income threshold — roughly $45,000 for a family of four — because of pay cuts, a forced reduction of work hours or a spouse losing a job. Housing and child-care costs are consuming up to half of a family's income.

States in the South and West had the highest shares of low-income families, including Arizona, New Mexico and South Carolina, which have scaled back or eliminated aid programs for the needy. By raw numbers, such families were most numerous in California and Texas, each with more than 1 million.

The struggling Americans include Zenobia Bechtol, 18, in Austin, Texas, who earns minimum wage as a part-time pizza delivery driver. Bechtol and her 7-month-old baby were recently evicted from their bedbug-infested apartment after her boyfriend, an electrician, lost his job in the sluggish economy.

After an 18-month job search, Bechtol's boyfriend now works as a waiter and the family of three is temporarily living with her mother.

"We're paying my mom $200 a month for rent, and after diapers and formula and gas for work, we barely have enough money to spend," said Bechtol, a high school graduate who wants to go to college. "If it weren't for food stamps and other government money for families who need help, we wouldn't have been able to survive."

About 97.3 million Americans fall into a low-income category, commonly defined as those earning between 100 and 199 percent of the poverty level, based on a new supplemental measure by the Census Bureau that is designed to provide a fuller picture of poverty. Together with the 49.1 million who fall below the poverty line and are counted as poor, they number 146.4 million, or 48 percent of the U.S. population. That's up by 4 million from 2009, the earliest numbers for the newly developed poverty measure.

Read more here.

Monday, December 12, 2011

Controlling trillions, women drive charitable giving

When Allison Lowe-Fotos turned 30, she didn't want gifts. Instead, she asked friends and family to donate online to the Chicago Foundation for Women. "Much to my surprise, I raised more than $800," says Lowe-Fotos, a social worker who serves on group's Young Women's Leadership Council. "It was empowering to know that my family and friends wanted to support my passion for this cause."

With her birthday request, Lowe-Fotos furthered what has increasingly become a fundamental truth in today's philanthropic world: Women are driving charitable giving. In fact, three out of four individuals in households with incomes of $200,000 or more report women are either the sole decision maker or equal partner in directing their family's philanthropy, according a new Bank of America Merrill Lynch survey released today.

"Women in this country currently hold the majority of wealth," says Claire Costello, senior vice president and national foundation executive for Bank of America Merrill Lynch. "So it behooves everyone in the nonprofit sector to pay attention to the financial clout and moral imagination of women as they really determine where dollars go."

Because they live longer than men, women could oversee more than $41 trillion passed from generation to generation during the next 50 years, according to the Center for Philanthropy at Indiana University, which researched the Bank of America report. For most women, however, philanthropy is much more than writing a check.

"Women give to causes close to their heart," says Lisa Dietlin, a Chicago-based philanthropic adviser. "They get directly involved, either by volunteering or providing ideas and problem-solving to make an organization better."

COLLECTIVE GIVING

Not surprisingly, women's ongoing rise in philanthropy parallels their growing presence in the workplace and own accumulation of personal wealth. Also at work, however, has been the expansion of women's funding networks across the country during the last two decades. These organizations, usually community-based, typically grant anywhere from $10,000 to $2 million annually. More importantly, though, they provide women donors with a sense of collective impact.

"It's recognizing that we can do more together than we ever could alone," says Tracy Johnson, director of the San Diego Women's Foundation, which usually awards grants of $250,000 or more. "Every member puts $2,000 in the pot for five years to begin, and now you have something truly significant."

Many women first learn about a cause or funding network at a friend's kitchen table or in their living room. Jill Hammond, for instance, joined the Washington State-based Jewish Women's Funding Network in 2006 at the request of a close friend. She and its 49 other members solicit and vet grant proposals. Where the group's annual $25,000 grant goes is decided by ballot.

"Discussions are lively and everyone has a say," Hammond says. "What I appreciate most is that it is truly democratic."

MEASURED IMPACT

Even on their own, women tend to be more strategic in their philanthropy than men, the Bank of America findings suggest. They are more inclined to create a plan and budget as well as undertake more due diligence before meting out funds.

"Women donors want to be partners, meet the leadership, go out into the field and see what a nonprofit really does on a day-to-day basis," says Sara Hall, founder of New Philanthropic Advisors, a Boston-based firm that counsels high-net-worth women donors. "They do real analysis and research."

Consider Sasha Rabsey, one of Hall's clients. A stay-at-home mom from the San Francisco Bay area, Rabsey three years ago packed up her family and spent five weeks in Ghana caring for sick children. The experience led Rabsey to form her own foundation, the HOW Fund, which has now given out nearly $200,000 to grassroots nonprofit groups throughout Africa. "I go on site visits and ask a ton of questions," she says. "Because being actively engaged is the only way to do this if you want to be successful."

This hands-on approach may also be why women tend to take more risks in their giving - and they are more willing than men to stop giving if the results aren't there. "Women are tenacious, dogged and willing to work on solving any problem an organization has," Dietlin says. "But if an organization does give back in kind, most women donors aren't going to give again."

WHERE MALE AND FEMALE DONORS DIFFER

At the Dallas Women's Foundation, one of its success stories is a donor who, when she first joined, only gave about $10,000 per year. Five years later, she was a $1 million donor, says Roslyn Dawson Thompson, who joined the network at its inception in 1985 as a donor and now is its CEO. "She had the means but didn't believe she had the power or the right to give more."

Indeed, two main distinctions in men and women's giving patterns is consistency and size. Men will often give every year to the same cause, frequently larger institutions such as their alma maters, according to both the Bank of America survey and other studies, and their donations tend to be larger. Women instead spread their wealth, giving smaller amounts to several groups.

"Women have great power in philanthropy," says K. Sujata, president of the Chicago Foundation for Women. "We're encouraging members not to be afraid to give in a way that makes a deep commitment both over time and in terms of the dollar amount."

Sujata also wants women to take credit for their giving. "They're giving to causes that are changing lives," she says. "Be bold about saying yes, I am directing my family's funds to this because it is important."

Wednesday, November 30, 2011

The Arts Center names new President

NEW PRESIDENT Christopher Marblo

We are pleased to announce that Christopher Marblo, M.A., has been appointed as the new President of The Arts Center of the Capital Region. Marblo, a seasoned educator with a strong arts background, comes from The Town School in New York City.

"I am thrilled and honored to be the next President of The Arts Center" said Marblo. "The Center serves a vital role in the promotion and experience of the arts in the Capital Region, and I look forward to building on its rich and enduring legacy and helping to write the next chapters of its story."

Interim President Deborah Onslow will remain with The Arts Center until Marblo begins in June 2012.

Welcome, Chris! We are very excited to have you on board.
For the more information and the complete press release, please visit our website.

Charting a Decade of Online Donations

Charting a Decade of Online Donations
November 23, 2011, 11:04 am
By Cody Switzer
Only 4 percent of donors had given online in 2001. This year, about 65 percent have given to charity through the Internet.

That’s one of the comparisons made in a new graphic from Network for Good, a fund-raising and volunteerism Web site that celebrates its 10th anniversary this month.

In 2001, the average donation through the site was $226. But this year the average gift is $73, a change that Network for Good interprets as a sign that online giving has “gone mainstream.”

Here’s the full graphic:

Tuesday, November 15, 2011

NY comptroller says late checks hurt nonprofits

NY comptroller says late checks hurt nonprofits
Nov. 15, 2011, 3:01 a.m. EST
AP
ALBANY, N.Y. (AP) — New York Comptroller Thomas DiNapoli says late contract approvals and payments by the state are hurting nonprofit providers and jeopardizing services.

DiNapoli says state agencies last year were on average six months late in approving nine out of 10 contracts valued at $50,000 or more, often after services were provided.

An analysis of the first half of 2011 shows nearly 90 percent of contracts approved by the comptroller were submitted late by state agencies.

DiNapoli says nonprofits operate on thin margins and provide basic services ranging from health care clinics to work programs, with 22,000 active grant contracts totaling $16.8 billion.

The nonprofit sector employed 1.25 million people statewide last year.

You can access the article by Clicking Here.

Friday, October 28, 2011

Nonprofit Knowledge Matters | Protecting the Charitable Giving Incentive

Protect the Charitable Giving Incentive

Using Our Outside Voices in the House … and in the Senate


Nonprofits are not used to raising our voices. We teach others to use their “indoor voices,” and we mediate disputes so others won’t yell in anger. We heal the wounded, silently. We feed the hungry, quietly. At times we play loud music and paint loud colors on canvases. But you get the picture: we are not used to yelling.

Recently Tim Delaney, President and CEO of the National Council of Nonprofits, was in Georgia, Montana, and New York, encouraging nonprofits to raise their voices -- literally. In rooms filled with nonprofit leaders attending major conferences, he designated half the room the loud "Yes” crowd, and the other half the “Nos.” Tim then pointed to one side – “YES” came the refrain; then to the other side and louder “NOs” reverberated. After a few volleys, the friendly competition could be measured in deafening decibels. Tim then instructed the “Yes” side to remain silent – they weren’t allowed to use their voices. After a couple more volleys of loud “NOs” that were met with silence, Tim noted what policymakers hear: silence from the majority who are too busy and too unsure, versus resounding and unmatched “NOs” from the vocal opposition. Each time the “No!” voices boomed against the silence, members of the audience grasped the danger of remaining silent.

Silence is the nonprofit sector’s worst enemy. If nonprofits don’t raise our voices, we are powerless. Right now, it’s urgent that all nonprofits speak up.

The charitable giving incentive is at risk.
Congress is considering, on a tight timeline, how to reduce the deficit by at least $1.2 trillion. Slashing the deficit by that much guarantees that every option to save money will be on the table, without much thought as to the consequences – unless the downside is abundantly clear. The National Council – and so far, more than 20 other national organizations and 2,800 community-based nonprofits across America – think it is abundantly clear that if the Supercommittee recommends elimination of the charitable giving incentive, then individuals and communities served by nonprofits will suffer.

Raise your voice now!
Sign on to the Nonprofit Community Letter to protect the charitable giving incentive.
See which nonprofits in your state have already signed on.
Learn more about the charitable giving incentive.
Spread the word! Tweet: 
The #charitable giving incentive that supports #nonprofits is at risk! Take action now to protect it. bit.ly/olnPHp (via @NatlCouncilNPs)
or
#Nonprofits, tell the #supercommittee not to change the #charitable #giving incentive http://bit.ly/rZcH5q #takeaction (via @NatlCouncilNPs)
Advocacy by nonprofits is legal – and needed.
Join your State Association to keep informed about capacity building and policy issues that impact all nonprofits.

Wednesday, October 19, 2011

New Web Site Helps Donors Meet Global Water Challenges

New Web Site Helps Donors Meet Global Water Challenges

Foundation Center Launches www.WASHfunders.org

New York, NY — October 19, 2011. The Foundation Center, the leading source of information about philanthropy worldwide, has launched a custom web portal to serve as a hub of information and resources for funders working around the world to improve water access, sanitation, and hygiene — commonly referred to as "WASH." The new site, WASHfunders.org, addresses a critical challenge in philanthropy — knowing who is funding what, and where — so that the community of funders can more effectively, and collectively, meet global challenges.

"WASHfunders.org is a cutting-edge web portal that will play a vital role in promoting effectiveness, increasing collaboration, and facilitating decision making within the donor community," according to Steven M. Hilton, president and CEO of the Conrad N. Hilton Foundation, a leading funder of water issues. "Access to safe water supplies, improved sanitation, and good hygienic practices are key building blocks for improving the quality of human health, education, livelihoods, and overall well-being. We hope that this user-friendly tool will help bring more visibility to the global water crisis, attract new partners and funders, and fill a key gap in the effort to meet the global WASH challenges."

WASHfunders.org provides free access to a broad set of knowledge resources for funders, practitioners, and policymakers, including:

A mapping tool that enables users to interact with data on international aid flows, foundation funding, and key development indicators;
Profiles documenting the WASH strategies of leading foundations;
Case studies that illustrate the successes and challenges of WASH projects around the world;
Tools and resources for assessing project outcomes; and
A searchable archive of research reports recommended by sector leaders.
These knowledge tools empower donors to be more strategic, using data-driven decision making and peer-to-peer insights to strengthen their philanthropy.

"WASHfunders.org re-envisions traditional frameworks of how donors can work together to solve the world's water crisis," said Bradford Smith, president of the Foundation Center. "This customized web portal not only serves as a model of how the Foundation Center can empower donors to be more effective, it also raises awareness of philanthropy's contribution to making a better world."

WASHfunders.org was produced with support from the Conrad N. Hilton Foundation.

About the Foundation Center
Established in 1956 and today supported by close to 550 foundations, the Foundation Center is the leading source of information about philanthropy worldwide. Through data, analysis, and training, it connects people who want to change the world to the resources they need to succeed. The Center maintains the most comprehensive database on U.S. and, increasingly, global grantmakers and their grants — a robust, accessible knowledge bank for the sector. It also operates research, education, and training programs designed to advance knowledge of philanthropy at every level. Thousands of people visit the Center's web site each day and are served in its five regional library/learning centers and its network of more than 450 funding information centers located in public libraries, community foundations, and educational institutions nationwide and around the world. For more information, please visit foundationcenter.org or call (212) 620-4230.

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