Tulsa Community Foundation’s Planned Giving Partnership Program Application
In 2006, Tulsa Community Foundation created a Challenge Grant Program to encourage local charities to allocate a percentage of their fundraising efforts to building long-term, planned financial support. The program encouraged agencies to build an endowment account at TCF using planned gifts. Planned gifts are gifts to a charity from donors’ assets rather than gifts from donors’ income. Examples of common planned gifts are gifts to charities from a will, revocable trust, charitable trust or gift annuity. The Challenge Grant Program established a goal of raising $5 million in planned gift pledges for the benefit of the 51 participating agencies’ endowment accounts at TCF. The total combined planned gift pledges raised exceeded $17 million. In an effort to continue the integration of Planned Giving into the overall fund development strategy of local non-profits alongside their annual, major donor and capital campaigns, TCF is launching the Planned Giving Partnership Program. This program is designed to encourage agencies to continue building endowment gifts through planned giving. Realizing that planned giving programs are outside the financial reach of most non-profits, TCF will underwrite the majority of the costs associated with an agency having a planned giving program. However, based on the size of the operation budget of an agency, each organization will be responsible for contributing a small fee in exchange for having available a full-time, outsourced planned giving staff and resources that each agency can call their own. Enclosed is an overview that outlines TCF’s Planned Giving Partnership Program services to an agency and the application for participation. TCF will select up to 30 initial agencies to participate and likely add additional agencies at the beginning of 2010. TCF expects to launch another Challenge Grant program in mid- to late-2009. The Challenge Grant program will likely have a component specifically targeted to the 30 Planned Giving Partnership agencies, as well as a component open for non-participating agencies. TCF will host an informational session where it will review the Planned Giving Partnership Program details and answer questions. This informational session will be held on Monday, September 22nd from 8:30 a.m. - 10:00 a.m. at Tulsa Technology’s Career Services Center, located at 3420 S. Memorial Drive.
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PLANNED GIVING PARTNERSHIP PROGRAM OVERVIEW OF SERVICES: “Administrative Help Desk”: The Administrative Help Desk is designed to answer charitable gift and administration questions (i.e. providing tax deduction values for gift annuities and charitable trusts, assisting the charity with respect to matured gifts, real estate transfers, beneficiary changes, etc.), work with the representatives of an estate/trust and other allied professional advisors (as needed), and assist the Participating Agencies and/or TCF in establishing or implementing the program (including necessary meetings, telephone calls, review of materials, etc.). “Help Desk” to Donors: The Donor Help Desk is designed to answer donors’ planned giving questions and prepare gift proposals (Charitable Gift Annuities, Charitable Lead Trusts, Bequests, etc.) for the donors’ benefit. Donor Follow-up Appointments: The Advancement Group will conduct individual, confidential appointments with prospective donors for each Participating Agency. These appointments are perhaps the most important component of the program. During these appointments, donors will be able to discuss estate plans with a third party, The Advancement Group, to create a plan and develop documents that will cause the planned gift(s) to occur. Agency-Customized Strategic Marketing Plan: Each Participating Agency will be developing and implementing a customized Strategic Marketing Plan for the agency’s planned giving program. To accomplish this objective, The Advancement Group, TCF’s third-party planned giving consultant, will conduct monthly meetings with each Participating Agency. Through these monthly meetings, The Advancement Group will assist each agency’s representatives to identify, monitor and manage the agency’s planned giving program activities as stated in the agency’s customized strategic marketing plan. Planned Giving Partnership Program Gantt Chart: A master program Gantt chart and a customized Participating Agency Gantt chart will be developed to execute the planned giving partnership program activities. One (1) Annual Customized Planned Giving Meeting for Each Agency’s Board: The Advancement Group will conduct one (1) twenty minute planned giving meeting each program year with each Participating Agency’s Board. The general format will provide for a case study or two that will help the board better understand how planned giving works and what planned giving ideas board members may use personally or communicate to the agency’s prospective donors. Planned Giving Presentations: Three (3) small group planned giving presentations will be conducted each program year where Participating Agencies’ donors can attend to receive educational information on planned giving tools and techniques. Each seminar will be limited to 25 household units. Topics will be designed to address a donor’s financial and family goals and objectives ranging from Charitable Gift Annuities, Business Owners and Professionals, Estate Planning, Planning for the Single Parent or Special Needs Trust, Women and Philanthropy, Charitable Tax Reduction Strategies, Year-end Gift Giving & Receiving, etc. Quarterly Continuing Education: One (1) quarterly Planned Giving Continuing Education class will be conducted for all Participating Agencies in order to equip development staff to identify planned giving opportunities, manage and maintain a planned
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giving program and increase the agencies’ working knowledge of planned giving tools & techniques. Monthly Planned Giving Mentor E-mail: Participating Agencies will receive a monthly email that highlights and discusses specific planned giving tools, techniques or other pertinent planned giving topics (i.e. marketing, etc.). The email will highlight upcoming seminar topics and equip the agency to effectively communicate fundamental planned giving tools and techniques. Prepare Planned Gift Illustrations: The Advancement Group will prepare unlimited gift proposals (Charitable Gift Annuities, Charitable Lead Trusts, Bequests, etc.) for Participating Agencies’ donors. Prepare Articles for Newsletters: Participating Agencies will be provided ten (10) planned giving articles per program year that can be customized, inserted into the agency’s newsletters, direct mail pieces, etc. and used to highlight upcoming seminar topics. Planned Giving Follow-up: The Advancement Group will assist Participating Agencies in maintaining annual contact with Legacy donors by assisting in the creation of legacy societies. Monthly Reports: Each Participating Agency will receive a monthly report that collects and organizes various inputs. MARKETING COORDINATION & MATERIALS With the assistance and oversight of TCF staff, The Advancement Group will coordinate and implement a joint marketing plan for the Planned Giving Partnership program. At a minimum, this activity will include: 1. TCF will be creating seven (7) planned giving tools and techniques brochures for each agency to use (each agency will receive roughly 100 copies of these brochures per program year), a. TCF-specific planned giving brochure b. Transfer Your Value & Values c. Taking Refuge in a Trust d. Planning Tools for the Wise e. Timely Guide to Giving f. Taxes & Your IRA g. Charitable Gift Annuities 2. Customized Participating Agency brochure insert that Participating Agencies can insert into the seven (7) planned giving brochures described above, 3. Planned Giving Notebook/Reference Guide that will assist Participating Agencies’ in referencing the definitions and functions of the various planned giving tools and techniques, 4. Year-end direct mail letter template to assist Participating Agencies to communicate the planned giving message in their year-end mail solicitations.
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TIERED PARTNERSHIP PARTICIPATION FEE SCHEDULE All of the following participation fees are based on an agency’s 2007 total expenses as reported on line 17 of the organization’s 990. For example, although an organization may raise $1.1 million in a single year, if its total expenses were $850,000, then its participation fee will be $3,000 per year. All participation fees will be due in 2 equal installments. The first payment will be due by January 1, 2009. The second payment will be due July 1, 2009. The participation fee schedule is as follows: $999,999 or less - $3,000 $1 million or more - $4,000
TCF anticipates that the Planned Giving Partnership program will continue for multiple years. Participating agencies will assist TCF and The Advancement Group to evaluate the effectiveness of the partnership each year. TCF will ask Agencies to recommit to the partnership program for an additional one-year period at the end of each program year. Beginning in 2010, in its effort to maintain the level and quality of services to Participating Agencies, TCF will consider adding no more than 10 new Participating Agencies to the partnership program per year. OTHER POTENTIAL AGENCY COSTS Although some marketing materials are included as part of an agency’s participation fee (i.e. 100 copies of each of the planned giving tools and techniques brochures), agencies should plan to allocate additional resources to cover the costs of printing its customized agency brochure inserts and additional copies of the tools and techniques brochures, as well as the expenses related to mailing these brochures and the agency’s other marketing materials to its donors. Additionally, an agency may need to budget for other expenses related to agency-specific seminars (all TCF-planned seminars will be open for donors from any participating agency), extra board presentations (this program allows for one agency board presentation per year), review of planned giving documents not related to the TCF program, filing of tax returns and preparation of other miscellaneous planned giving documents (i.e. resignation and appointment of Successor Trustee) and other planned giving expenses that fall beyond the scope of this program. While TCF strongly encourages agencies from outside the greater Tulsa area to participate, TCF will negotiate a cost-sharing arrangement with those agencies. This cost-sharing arrangement will cover the additional travel/time expenses incurred by The Advancement Group personnel in providing the proposed planned giving services outside of the greater Tulsa area. FIRST PARTICIPATING AGENCY MEETING Participating Agencies will be selected and notified by October 17th. All selected agencies are asked to save the date for the first Participating Agency meeting that will be held on Tuesday, October 21st from 8:30 a.m. - 10:00 a.m. at Tulsa Technology Center’s Career Services facility, located at 3420 S. Memorial Drive.
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The following items must be postmarked by, emailed or delivered to Tulsa Community Foundation by Monday, October 6, 2008, at 5:00 p.m. (no exceptions can be made): 1. One copy of the application e-mailed to John Wolfkill at jwolfkill@tulsacf.org (this can be in Word
format or can be a scanned (PDF) copy of the application).
2. 3. 4. 5. 6.
One signed original application mailed or hand-delivered to TCF; A complete listing of your Board of Directors/Trustees and any Advisory Boards; A copy of your last year’s financial statement (audited if available); A copy of your most recent IRS Form 990; A copy of your most recent annual report (if available), or other materials describing your progress/programmatic outcomes; and 7. A copy of your 501(c)(3) status certification letter from the IRS. ** TCF prefers to receive an electronic application possible.
Organization’s Name: Address: City: Zip Code: Phone Number:
Person responsible for completing this application: E-mail Address: Executive Director: Chairperson of the Board: Tax Identification Number: Year Founded: Direct Phone Number:
We agree that this application fairly represents the organization and confirm our commitment to fully implementing and/or purposefully enhancing this agency’s planned giving program as described in the Program Overview and contents of the application.
Chairperson of the Board
Executive Director/President
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Please note, several questions have a word limitation. However, even if there is no word limitation for a question, please answer the question as concisely as possible.
*** For purposes of this application, “endowment fund” is meant to include any monies that your Board holds in reserve or savings ***
General Questions What is the organization’s mission? (100 words or less)
Describe your agency’s programs and services and the community needs these services are
intended to meet (include in the reply the approximate number of people in the community that your agency serves and the estimated total number of people needing these services, as well as, your benchmarks of success).
What percentage of your Board and your staff made contributions to your organization in its last
three fiscal years? In what dollar amounts? FYE 2005
PERCENTAGE
Board Members Staff
FYE 2006
FYE 2007
AMOUNT
Board Members Staff
FYE 2005
FYE 2006
FYE 2007
When is your fiscal year end?
What are the major sources of funding for your organization? What is the degree of risk (high,
moderate, low) of unanticipated interruption of support from each source that comprises more than 5% of your budget? (Don’t name individuals, corporations, or foundations; just list “Individual Donor #1”,” Corporate Donor #1”, etc. Please list governmental agencies by name). Add rows as necessary. Source % of Budget Risk (high, moderate, low)
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Current Endowment Fund(s) & Planned Giving Experience Does your organization currently have an endowment fund(s)?
If yes, What is the total value of the fund(s)? Specifically, how are distributions from the fund(s) used?
What is the organization’s investment policy regarding the investment of these funds (i.e. what is the percentage of investment in equities, fixed income, money market, etc.)? If these funds are at TCF, you may simply give the name of the TCF investment strategy (Conservative, Moderate, Moderate Passive or Aggressive).
How does your organization typically raise endowment funds? (For example, do you have an effort dedicated to raising such funds, do you have a planned giving program, or do endowment funds most typically result from excess revenues, occasional, unsolicited bequests/gifts, etc.).
What amount has your organization raised for permanent endowment purposes in the last three fiscal years? FYE 2005 Permanent Endowment Funds Raised (cash, appreciated assets, etc.) Planned Gifts received/secured FYE 2006 FYE 2007
If no such funds raised, Why?
If you have a planned giving program currently in place, please describe the agency’s effort to
secure planned gifts (the type of gifts you seek to secure, the methods used for identifying donors, etc.).
If you have a planned giving program, describe any challenges you have faced in implementing
the planned giving program. If you do not have a planned giving program, describe why your agency feels that it is prepared to launch a planned giving program. (200 words or less)
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Does your agency’s Board feel that having a planned giving program is a priority? If yes, what
plans do you have to implement the program and what services do you feel will most help your agency successfully initiate and maintain its planned giving program?
What is your eventual asset size goal for your agency’s endowment fund? Briefly describe the
reasons behind this goal amount and how distributions are intended to be used.
What are your organization’s concerns about launching a planned giving program? Are you
concerned about staff issues, time issues, etc., and if so, how will you mitigate these concerns?
Please comment generally on anything else you would like the TCF Board to know relating to
your organization’s ability to participate in this Partnership Program, or about your organization in general. (250 words or less)
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