““Ins and Outs” of Ins and Outs” of FoundationsFoundations

““Ins and Outs” of Ins and Outs” of FoundationsFoundations

Purpose:Purpose:

► Sketch the Foundation “World” in general Sketch the Foundation “World” in general ► Focus on foundations that support health Focus on foundations that support health

researchresearch► Convince you:Convince you:

Foundations have a unique role in researchFoundations have a unique role in research To consider applying for foundation support of To consider applying for foundation support of

your researchyour research

Today’s Presentation

I. Numbers

II. Foundations

III. $!

IV. The Process

V. Some Websites

Source: Health Care Financing Administration

U.S. Health Research and U.S. Health Research and Development ExpendituresDevelopment Expenditures

Private Foundations 4%

Federal 44%Industry

52%

1996 Total = $35.8 billion

68% - Federal Government

9% - Faculty Practice

9% Foundations, Voluntaries, etc.

1% State/Local Government14% Industry

Academic Health Center Research Revenues (1997$)

Source: Foundation Giving, 1998

Foundations’ Share of Private Philanthropy

Source: Foundation Giving, 1999

Bequests Foundations

Corporations

Individuals

8.0%

78.0%

8.8%

5.2%

Giving in 1998Giving in 1998

Religion$76.06 (43.6%)

Education$24.56 (14.1%)

Health$16.99 (9.7%)

Human Services$16.08 (9.2%)

Foundations$16.94 (9.7%)

Arts, Culture,and Humanities$10.53 (6.0%)

$ in Billions

Public/Society Benefit$10.86 (6.2%)

Environment/Wildlife$5.25 (3.0%)

International Affairs$2.14 (1.2%)

U.S. Foundations - Grants by Major Categories

Source: Foundation Giving, 1999

17% - Health

5% - Environment & Animals

3% - Social Science

15% - Human Services 24% - Education

2% - Religion

4% - Int’l Affairs

5% - Science & Technology

13% - Arts & Humanities

12% - Public/Society Benefit

42% - Higher Education20% - Graduate & Professional

26% - Elementary & Secondary

5% Library Science/Libraries

4% Educational Services

1% Student Services

2% Other

Source: Foundation Giving, 1999

U.S. Foundations - Grants for Education Subcategories of Giving

U.S. Foundations - Grants for Health, Subcategories of Giving

30% Hospital & Medical Care

11% Specific Diseases

14% Mental Health

19% Medical Research

4% Health Care

Financing

3% Policy & Management

9% Public Health

3% General & Other 6% Reproductive Health Care

Source: Foundation Giving, 1999

Rehabilitative

Ten Largest Foundations Supporting Health/Medical Research

Foundation Amount No.

1.1. Robert Wood Johnson Foundation NJ $295,930,780

858

2.2. W. K. Kellogg Foundation MI 78,910,718

103

3.3. David and Lucile Packard Foundation

CA 65,317,776

182

4.4. Whitaker Foundation VA 63,389,306

129

5.5. California Foundation CA 39,372,381

101

6.6. Burroughs Wellcome Fund NC 35,045,751

142

7.7. Chicago Community Trust and Affiliates

IL 26,956,598

39

8.8. Duke Endowment NC 24,711,751

267

9.9. Pew Charitable Trusts PA 23,509,000

38

1010..

Rockefeller Foundation NY 22,894,423

107

Total $676,038,484

1,966

Source: Foundation Giving Trends, 2000

Ten Largest Foundations Supporting Health/Medical Research

Foundation Amount No.

1.1. Robert Wood Johnson Foundation NJ $369,971,256 563

2.2. David and Lucile Packard Foundation CA 103,169,074 208

3.3. California Endowment CA 90,095,951 106

4.4. Whitaker Foundation VA 50,054,802 123

5.5. Bill & Melinda Gates Foundation WA 47,281,500 23

6.6. Burroughs Wellcome Fund NC 36,447,910 137

7.7. Donald W. Reynolds Foundation NV 35,330,207 10

8.8. Starr Foundation NY 33,544,225 57

9.9. Rockefeller Foundation NY 33,086,235 128

1010..

W.M. Keck CA 31,675,000 11

Total $830,656,160 1,366

Source: Foundation Giving Trends, 2001

Today’s Presentation

I. Numbers

II. Foundations

III. $!

IV. The Process

V. Some Websites

Special Role of FoundationsSpecial Role of Foundations

“Uniquely qualified to initiate thought and action, experiment with new and untried ventures, dissent from prevailing attitudes, and act quickly and flexibly.”

1965 Treasury Report

Strengths of Philanthropic Strengths of Philanthropic SupportSupport

►Move quickly to fill a gapMove quickly to fill a gap►Function as neutral convenersFunction as neutral conveners►Model successful approachesModel successful approaches►Develop information for policy debateDevelop information for policy debate►Fund politically unpopular areas of Fund politically unpopular areas of

researchresearch►Take risksTake risks

Limitations of PhilanthropyLimitations of Philanthropy

► Limited funds to Limited funds to commit to researchcommit to research

► Less willingness to Less willingness to support overhead or support overhead or infrastructureinfrastructure

► Desire to model and Desire to model and move onmove on

► Tendency to carry out Tendency to carry out own program rather own program rather than work than work collaborativelycollaboratively

What are Foundations?What are Foundations?

Non profit, non-governmental Non profit, non-governmental organizations of different typesorganizations of different types

company sponsored (Merck)company sponsored (Merck) operating (HHMI)operating (HHMI) community (Cleveland)community (Cleveland) independent (BWF)independent (BWF)

Grants by Foundation Type

Source: Foundation Today Series, 2000

Corporate fdns $2,446.1 (12.6%)Community fdns

$1,457.8

Operating fdns $619.3

Total # Grants: 46,800Total $: $19.5 billion

Independent fdns $14,933.6

76.8%

(7.5%)

(3.2%)

Corporations and Their Corporations and Their Foundations: MerckFoundations: Merck

►Derive funds from a for-profit Derive funds from a for-profit companycompany

►Grants generally related to the Grants generally related to the business effortsbusiness efforts

►60% of pharmaceutical and 60% of pharmaceutical and computer corporate contributions computer corporate contributions were product donationswere product donations

An Operating Foundation: An Operating Foundation: Howard Hughes Medical Howard Hughes Medical

Institute Institute

►Hires its grant recipients (scientists) Hires its grant recipients (scientists) as employeesas employees

►Provides long-term support to permit Provides long-term support to permit risk taking and protection from risk taking and protection from working on politically unpopular working on politically unpopular researchresearch

Community Foundations: Community Foundations: Cleveland FoundationCleveland Foundation

► In a good position to receive individual dollarsIn a good position to receive individual dollars► Limited tradition of support for biomedical Limited tradition of support for biomedical

and basic researchand basic research► More beginning to move into this areaMore beginning to move into this area► Identification of research and approaches are Identification of research and approaches are

issuesissues► The Cleveland Foundation Story as a ModelThe Cleveland Foundation Story as a Model

Conversion Conversion Foundations:Foundations:

Jewish Healthcare Jewish Healthcare Foundation of PittsburghFoundation of Pittsburgh► Generally a sub-class of independent Generally a sub-class of independent

foundations.foundations.► Formed from dollars derived when Formed from dollars derived when

nonprofit health institutions convert to nonprofit health institutions convert to profit making (e.g. sale of a private profit making (e.g. sale of a private hospital)hospital)

► Many new foundations of this typeMany new foundations of this type► flexibilityflexibility

Independent Foundations:Independent Foundations:Burroughs Wellcome FundBurroughs Wellcome Fund

► Established by a philanthropist with a Established by a philanthropist with a missionmission

► Mission strategies determined by an Mission strategies determined by an independent Board of Directorsindependent Board of Directors

► Scope of funding can vary Scope of funding can vary ► Includes many small, family Includes many small, family

foundations: McDonnell Foundation foundations: McDonnell Foundation

Today’s Presentation

I. Numbers

II. Foundations

III. $!

IV. Clinical Research

V. Some Websites

Where does the money come from?

~5%

OUCH!

well . . .

0

5

10

15

20

25

GraduateTraining

PostdoctoralTraining

YoungInvestigators

SeniorInvestigators

All OtherResearch

Capital/ Equipment

<$250,000 $250,000 to $1 million $1 to $3 million

$3 to $5 million $5 to $10 million $10 million>

Num

ber o

f Org

aniza

tions

(n

=87)

Many organizations support Many organizations support small programssmall programs

Today’s Presentation

I. Numbers

II. Foundations

III. $!

IV. The Process

V. Some Websites

The Key to Success:The Key to Success:

Identifying the best foundations to Identifying the best foundations to approach….approach….

Many Foundations Many Foundations

► Support basic Support basic researchresearch

► Support health Support health services services researchresearch

► Support specific Support specific disease-disease-oriented oriented researchresearch

Foundations, Voluntaries and Foundations, Voluntaries and Medical ResearchMedical Research

► Juvenile Diabetes Fndn.Juvenile Diabetes Fndn. http://www.jdf.org/http://www.jdf.org/► Doris Duke Charitable Fndn. Doris Duke Charitable Fndn.

http://ddcf.aibs.org/medical/index.asphttp://ddcf.aibs.org/medical/index.asp► James S. McDonnell Fndn. James S. McDonnell Fndn. http://www.jsmf.org/http://www.jsmf.org/► Amer. Cancer SocietyAmer. Cancer Society http://www.cancer.org/http://www.cancer.org/► Amer. Heart Assoc. Amer. Heart Assoc. http://http://www.americanheart.orgwww.americanheart.org//► Amer. Diabetes Assoc. Amer. Diabetes Assoc. http://www.diabetes.org/http://www.diabetes.org/

Doris Duke Charitable Fndn.Doris Duke Charitable Fndn.

A large diverse foundation that also supports medical research:

“The Medical Research Program of the DDCF currently seeks to support clinical research and address the gap between the exponential increase in basic biomedical discoveries and their application to improve human health. We believe that a vigorous clinical research enterprise is essential for the timely translation of basic research findings into new treatments, preventions, and cures for human diseases.”

McDonnell FndnMcDonnell Fndn► 3 current program areas:

Bridging mind, brain & behavior Studying Complex Systems Brain Cancer Research

► “Despite its costly human toll, brain cancer is a relatively under-funded area of cancer biology research. The Foundation is particularly interested in supporting novel research that will generate new knowledge leading to increased rates of survival and improve functional recovery for individuals with brain cancer.”

Another Source: Another Source: “Voluntaries” American “Voluntaries” American

Cancer SocietyCancer Society►“As the nation’s largest private, not-

for-profit source of funds for scientists studying cancer, the American Cancer Society focuses its funding on investigator-initiated, peer-reviewed proposals.”

►$119M for research in 2000

“To advance the medical sciences by supporting research and other scientific and educational activities”

BWF Mission

Ad Hoc Grants

Competitive Grants

85%15%

Competitive versus

Ad Hoc Grants

Next StepsNext Steps

►Competitive Programs: Work with grants office to identify

foundations in research area Review websites for program specifics Contact responsible program officer to

verify that your research idea falls in target area

Contact at least 2 successful grantees Apply

Next Steps:Next Steps:

► Ad Hoc Opportunities: Work with your Foundation liaison office to

determine feasibility and as partner in process Opportunities more for infrastructure and special

one-time activities such as special conferences that will have an impact

Look carefully at the competitive programs --Is there a match?

Email, call – don’t visit unless invited

Next Steps:Next Steps:

Ad Hoc (continued):►Initially contact by email►Use plain English: what do you

care about? Why does it matter? Why is it a prime candidate for a risk-taking funder?

►5 Focus Areas: Basic Biomedical Sciences Emerging Infectious Diseases Interfaces in Science Translational Research Science Education

►Strategy: support young investigators early in their careers with bridging grants - $500K

Today’s Presentation

I. Numbers

II. Foundations

III. $!

IV. The Process

V. Some Websites

General Foundation Funding

• Council on Foundations www.cof.org

• The Foundation Center www.fdncenter.org

• Grantmakers in Health www.gih.org

• Grantsnet www.grantsnet.org

• Guidestar (tax returns) www.guidestar.org

Web Sites

Foundation and non-profit sector information

• Chronicle of Philanthropy

www.philanthropy.com

• Philanthropy Journal www.pj.org

• Worth Magazine www.worth.com

• Fdn. News and Commentary www.cof.org

Web Sites

Foundations with few $ Can Foundations with few $ Can Play an Important Role in Play an Important Role in

Research:Research:Encourage you to Encourage you to consider foundations consider foundations as funders for:as funders for: unique areas unique areas More risky researchMore risky research Interdisciplinary Interdisciplinary

researchresearch Politically sensitive Politically sensitive

researchresearch Special activitiesSpecial activities

““One thing is certain…One thing is certain…If you never write a grant,If you never write a grant,

you will never get a you will never get a grant.”grant.”

Tsang and Oh, 1986

Reasons to Seek FundingReasons to Seek Funding► You have a coalition but have no funds.You have a coalition but have no funds.► You have a coalition project that requires You have a coalition project that requires

additional funding.additional funding.► You have received an RFP (Request for You have received an RFP (Request for

Proposal) from federal/state agency or Proposal) from federal/state agency or foundation.foundation.

► Your position depends on grant support.Your position depends on grant support.► You are trying to fund a position for You are trying to fund a position for

another individual.another individual.

Why Seek Research Funding?Why Seek Research Funding?

►Funding for immunization coalitions Funding for immunization coalitions has waned, making it harder for has waned, making it harder for coalitions to continue and/or initiate coalitions to continue and/or initiate activities activities

►Funding sources (e.g., APA, CDC, CMS) Funding sources (e.g., APA, CDC, CMS) often seek competent organizations to often seek competent organizations to test immunization initiatives test immunization initiatives

Sources of FundingSources of Funding

Federal AgenciesFederal Agencies

►Centers for Disease Control and Centers for Disease Control and Prevention (CDC)Prevention (CDC)

►Association of Teachers of Preventive Association of Teachers of Preventive Medicine (ATPM)Medicine (ATPM)

►U.S. Department of Health and Human U.S. Department of Health and Human Services (HHS)Services (HHS)

Private FoundationsPrivate Foundations(National, State, Local)(National, State, Local)

►Kaiser Family FoundationKaiser Family Foundation►Kellogg FoundationKellogg Foundation►Robert Wood Johnson FoundationRobert Wood Johnson Foundation►Knight FoundationKnight Foundation

IndividualsIndividuals(especially as bequests)(especially as bequests)

CorporationsCorporations

► Johnson & JohnsonJohnson & Johnson►NationsBank (and other banks)NationsBank (and other banks)►Aetna (and other insurance companies)Aetna (and other insurance companies)►CanonCanon►Pharmaceutical companies (e.g. Merck)Pharmaceutical companies (e.g. Merck)►Most Fortune 500 companiesMost Fortune 500 companies

Non-Profit Non-Profit Agencies/OrganizationsAgencies/Organizations

► March of DimesMarch of Dimes► American Red CrossAmerican Red Cross► American Academy of PediatricsAmerican Academy of Pediatrics► Community Access to Child Health (CATCH Community Access to Child Health (CATCH

Grants)Grants)► Service clubs (Lions, Rotary, Kiwanis, Junior Service clubs (Lions, Rotary, Kiwanis, Junior

League)League)► Charitable organizations (e.g., churches)Charitable organizations (e.g., churches)► Hospital foundationsHospital foundations

Grantsmanship’s Grantsmanship’s “Golden Rule”“Golden Rule”

The one who has the goldThe one who has the gold

makes the rules.makes the rules.

Grantseeking is a ProcessGrantseeking is a ProcessSet Your Funding Priorities

Gather Information

Research Funding Sources

Write the Proposal

Submit the Proposal

Your Proposal is not Funded Your Proposal is Funded

BeforeBefore You Begin a Grant You Begin a Grant ProposalProposal

1. Know your consumers and their needs1. Know your consumers and their needs2. Know public/private service areas and2. Know public/private service areas and networksnetworks3. Know where gaps and service duplications 3. Know where gaps and service duplications

existexist4. Know your program’s capacities, strengths, 4. Know your program’s capacities, strengths, weaknessesweaknesses5. Research all funding options available5. Research all funding options available6. Know the source you are applying for6. Know the source you are applying for7. Develop generic proposals7. Develop generic proposals

Generic Proposal OutlineGeneric Proposal Outline

►Proposal SummaryProposal Summary► Intro/Background about your Intro/Background about your

organizationorganization►Statement of Statement of

Challenge/Problem/OpportunityChallenge/Problem/Opportunity►Program Goals/Objectives/OutcomesProgram Goals/Objectives/Outcomes

Grant-Seeking Do’sGrant-Seeking Do’s► Do your homework regarding issues, assets, Do your homework regarding issues, assets,

funding sources & successful proposals.funding sources & successful proposals.► Invite all stakeholders to plan, become involved & Invite all stakeholders to plan, become involved &

support your efforts to secure funding. CLUE: support your efforts to secure funding. CLUE: Involve potential funding source in project Involve potential funding source in project development.development.

► Find & nurture project champions - take a team Find & nurture project champions - take a team approach.approach.

► Identify funders’ needs & granting patterns - Identify funders’ needs & granting patterns - match your proposal to target audience.match your proposal to target audience.

► Be organized - stay ahead of application Be organized - stay ahead of application deadlines.deadlines.

Grant-Seeking Do’s Grant-Seeking Do’s (con’t)(con’t)

► Use existing needs assessments (health depts., Use existing needs assessments (health depts., cooperative extension, universities, planning cooperative extension, universities, planning commissions) - document impact of your efforts.commissions) - document impact of your efforts.

► Contact funding source - “market” your Contact funding source - “market” your proposal.proposal.

► Don’t let dollars drive program design or Don’t let dollars drive program design or propose something you don’t want to do.propose something you don’t want to do.

► Develop generic proposals that are well-written Develop generic proposals that are well-written & reviewed by others.& reviewed by others.

► Persevere & keep a sense of humor.Persevere & keep a sense of humor.

ObjectivesObjectives

► Identify the benefits of securing Identify the benefits of securing research funding to implement research funding to implement coalition activities coalition activities

►Site three examples of how research Site three examples of how research funding has been used to developed funding has been used to developed immunization programs immunization programs

►Address the reporting requirements for Address the reporting requirements for research funders research funders

ConclusionsConclusions

►Funding for coalition activities existFunding for coalition activities exist►Coalitions should seek research funds Coalitions should seek research funds

to further their activitiesto further their activities►Reporting requirements to research Reporting requirements to research

funders are not difficult funders are not difficult