February is Black History Month!

We are excited to announce New Haven Healthy Start social media campaign, “29 Days of Celebrating Black Champions” to celebrate Black History Month in February 2016: #blackchampions4health

New Haven Healthy Start has identified 29 Black Champions for Health who have contributed their vast expertise, knowledge, power, and perseverance to improve health and wellbeing of the nation. We will begin by featuring champions who have made significant contributions to maternal and child and by the end of Black History Month you will have seen other outstanding Black Americans who have contributed to the health and wellbeing of the world.

Follow the campaign!!

Link to the New Haven Healthy Start Facebook page by clicking on the picture below and LIKE us so you can follow our posts.

Follow us on Twitter: @NHHealthyStart. Click on the picture below!

Please use #blackchampions4health AND #nhhealthystart when you post and retweet!

The Community Foundation for Greater New Haven and the Valley Community Foundation are offering several workshops to help nonprofits prepare effective grant applications.

These workshops are offered at this time to support preparation for the Responsive Grant Applications, due March 31st. The Nuts & Bolts sessions are specific to the application processes offered by the community foundations. The other workshops are general advice on preparing for any grant submission.

VCF Grants Orientation and Nuts & Bolts of Valley Community Foundation Applications

Participants will learn the criteria required for applications and the timelines for submission for VCF's Community Grants (due March 4), Sponsorships (open year-round), Responsive Grants (due March 31) and Needs & Opportunities Grants (open year-round) processes.

Nuts & Bolts Workshop offers practical advice on completing applications and required forms for Needs & Opportunities, Community and Responsive Grants. Includes review of Logic Model and Budget Forms. For all applicants.

Grant Writing 101

How to approach any grant application; for beginner and intermediate level grant writers

Three opportunities to attend!

Nuts & Bolts of the Responsive Grant Application

Practical advice on completing applications and required forms for Responsive Grants. Includes review of Logic Model and Budget Forms. For all applicants.

Grant Writing 201

Practical workshop on terminology and writing grant narrative; draft and analyze answers to sample grant application questions.

Finding Data for Grants

DataHaven will walk through its website and others to demonstrate how and where to find relevant data for grant applications

The New Haven Symphony Orchestra (NHSO) and Neighborhood Music School (NMS) have launched a collaborative orchestral fellowship program for their community’s most talented high school music students. The program will provide selected members of NMS’s Greater New Haven Youth Orchestra with specialized learning and performance opportunities from the NHSO. Eight students will also receive full scholarships to participate in the NMS Youth Orchestra.

NMS’s Greater New Haven Youth Orchestra is one of the top youth ensembles in Connecticut, focused on preparation of major symphonic works with several performances a year. The orchestra is for highly committed high school players who participate in special events and community performances each semester.

As part of this new collaboration, eight full scholarships to participate in the Youth Orchestra will be awarded to students who play French horn, trumpet, trombone, tuba, double bass, or percussion.

Interested students should call Patty Boczer, Manager, Greater New Haven Youth Orchestra, at 203.624.5189 x11 to schedule an audition time. 

These scholarship students will be automatically enrolled into the NHSO Orchestral Fellowship Program. Other members of the Youth Orchestra may apply to the Fellowship Program by submitting an essay outlining their passion for music and explaining why they would be an ideal candidate for the program.

The NHSO Orchestral Fellows will be given free tickets to NHSO concerts, attend open rehearsals, participate in workshops with NHSO New Generation Artists and Music Director William Boughton, and perform at pre-concert Student Showcases. They will be offered positions on the NHSO Junior Board, where they will receive hands on experience behind the scenes at NHSO concerts, assist with instrument discovery zones, and learn about orchestral management.

Click here to learn more.

From: https://truthabouteducation.wordpress.com/2014/03/06/the-disturbing-transformation-of-kindergarten/

One of the most distressing characteristics of education reformers is that they are hyper-focused on how students perform, but they ignore how students learn. Nowhere is this misplaced emphasis more apparent, and more damaging, than in kindergarten...

Continue reading at: https://truthabouteducation.wordpress.com/2014/03/06/the-disturbing-transformation-of-kindergarten/

Nonprofit Board Liability

"Act in good faith." This is the expectation and standard used in the courts to assess the extent of liability and responsibility for actions taken by individual board members.

According to Legal Dictionary.com, acting in good faith is the "honest intent to act without taking an unfair advantage over another person or to fulfill a promise to act, even when some legal technicality is not fulfilled. The term is applied to all kinds of transactions." I should note that the Independent Sector offered a definition of ethical as "doing the unenforceable".

The following article from the Cleveland Jewish News offers some good thoughts on these matters, that is, the matters of nonprofit board liability, acting in good faith, and Directors and Officers insurance.

Safety from suits: Nonprofit board members usually in clear

Posted: Thursday, January 14, 2016 12:31 pm

Safety from suits: Nonprofit board members usually in clear ED WITTENBERG | STAFF REPORTER
ewittenberg@cjn.org Cleveland Jewish News

People who volunteer their time by serving on nonprofit boards at synagogues and other Jewish institutions are subject to legal liabilities, but there are laws in place to protect them in case they are sued.

“The law as drafted is intended to not put nonprofit directors in harm’s way, so there’s a pretty high standard that has to be met or not met for there to be personal liability for a board member,” said Ira Kaplan, partner and executive chairman of the Cleveland-based Benesch, Friedlander, Coplan & Aronoff law firm.

Kaplan, a corporate lawyer, said Ohio law states that board members are required to perform their duties in good faith and “in a manner they reasonably believe to be in the best interests” of the entity they serve and “with the care that an ordinarily prudent person would use.”

A board member shall not be found to have failed to perform his or her duties unless it is proved, “by clear and convincing evidence,” that he or she has not met that standard, Kaplan said.

By the same token, directors who approve of or agree to unlawful distribution of assets of an entity can be held personally liable for doing so, Kaplan said.

“But generally under law, board members are entitled to rely on advice and reports of the counsel offices of the entities’ accountants,” he said. “They are really protected, so even if there is an improper distribution of assets, if they have done their homework and the entities’ accountants have gone through this and have the documents, the board should not have a problem.”

Under not-for-profit law, institutions such as Menorah Park Center for Senior Living, Montefiore and Bellefaire JCB almost always have a provision in their charter documents that directors are indemnified by the entity if they have acted in good faith in a manner not opposed to the best interests of the entity, Kaplan said.

“So, if there is a lawsuit against a board member, generally what would happen is there would be an indemnification provision that would kick in and protect someone from individual liability as long as they have acted in good faith,” said Kaplan, whose three-year term as president of the board of directors at Menorah Park ended Dec. 31.

If a director of a nonprofit board has responsibility for books and records and there is “knowing false entry,” there could be personal liability for that, Kaplan said.

“But that is really unusual, for a board member to have that responsibility,” he said. “It’s usually a staff member, rather than a board member, who has that responsibility.”

Kaplan, a member of The Temple-Tifereth Israel in Beachwood and Cleveland who serves on its foundation board, said he doesn’t believe fear of being sued dissuades many people from serving on nonprofit boards.

“There are not a lot of reported cases (of such board members being sued), so I don’t think it happens very often,” said Kaplan, who also serves on the boards of United Way of Greater Cleveland and Bellefaire JCB. “It has to be something pretty egregious, and I don’t see a lot of it.”

Nonprofit claims more frequent

However, according to Towers and Watson’s 2012 Directors and Officers Liability Survey of Insurance Purchasing Trends, 63 percent of nonprofit respondents reported having had claims against their directors and officers liability policies in the past 10 years.

“Nonprofit claims are more numerous and frequent than for for-profit companies,” said Richard Myers, vice president of professional liability for Insurance Partners Agency Inc. in Solon.

Myers, a past president of B’nai Jeshurun Congregation in Pepper Pike, said most nonprofit boards carry directors and officers liability insurance to protect their members.

But there are some issues that nonprofit directors and trustees need to be aware of, Myers said.

“If a nonprofit becomes insolvent, a director’s or officer’s personal assets are exposed,” he said. “Most nonprofits, such as synagogues, don’t have deep staff resources or human resource departments.”

Myers said some nonprofit boards become liable by voluntarily adopting all provisions of the Sarbanes-Oxley Act of 2002, a U.S. federal law that set new or expanded requirements for all U.S. public company boards, management and public accounting firms.

The act requires nonprofits to “protect whistleblowers” and retain records of minutes and finances for future reference, Myers said.

“If either of these provisions in the Sarbanes-Oxley Act are violated, it puts directors and officers at risk,” he said.

Types of exposures facing nonprofit boards, Myers said, include employment claims; breach of fiduciary duties, such as care, loyalty or obedience; conflicts of interest; government actions and enforcement and allegations of misuse of funds.

Fellow directors and officers can sue one another, Myers said. Others who can sue a nonprofit board include the state attorney general; the Internal Revenue Service, which can threaten a nonprofit’s 501(c)(3) status; donors who don’t like how their funds are being used; employees; and recipients and beneficiaries of the nonprofit’s mission.

It’s important for nonprofit boards to have directors and officers liability insurance because it funds defense for all claims, even though most are groundless or fraudulent, Myers said.

“It also satisfies the organization’s obligation to indemnify board members, and it encourages qualified people to serve on the board,” he said.

Nonprofit board members don’t necessarily think about these things until something happens, Myers said.

“Then it’s, ‘Why am I being sued? I’m just a member of a board,’” he said. “But it doesn’t matter; they are personally liable. Without D and O insurance, they are relying on the organization to indemnify them, and if the (nonprofit) is small, it may not have the finances to do that.”

Myers believes fear of being sued is definitely a consideration when people think about serving on nonprofit boards.

“But having D and O insurance will mitigate that,” he said.

“Remember that regular general liability insurance only covers claims that allege bodily injury or property damage and will exclude most other claims against directors and officers,” he added.

Applications are being accepted for The Community Foundation's 2016 Neighborhood Leadership Program.

The Neighborhood Leadership Program is an eight month training and grant program that supports community leaders in imagining, developing, testing and realizing projects which build community and provide positive outcomes in New Haven neighborhoods and contiguous towns.

If you are a resident of New Haven (or contiguous towns) who has demonstrated commitment to making a positive difference through resident engagement, and if you are eager to build skills, develop your capacity to increase your impact, and engage with other leaders in learning, practice, and project execution, you should apply to this program.

You will learn the skills and practices of:

• appreciating and using your personal strengths and core values
• building relational culture in your community and with other leaders
• understanding the resources and challenges involved in creating the community you want
• creating and using a group of allies to support you in your work
• designing and implementing a pilot project that will positively impact your community
• learning from your pilot how to modify or scale up your project
• developing and managing the human and material resources you need to produce effective positive impact

The Deadline to apply is Tuesday, January 19, 2016 at Noon. Visit http://ow.ly/Wc50i for more information and to apply.

Watch Margaret talk about the importance of legal services for veterans recovering from homelessness and mental illness.

https://www.youtube.com/watch?v=tm3Xm6RO99I&feature=youtu.be

From: https://nonprofitquarterly.org/2015/03/04/the-face-of-nonprofit-boards-a-network-problem/?

Within BoardSource’s 2014 Governance Index, “Leading with Intent,” there lies an interesting paradox when it comes to board diversity. Forty-five percent of the boards and 69 percent of the CEOs surveyed are dissatisfied with their board’s diversity. Not only that, but 71 percent of boards and 75 percent of CEOs think a more diverse board would make them better at fulfilling their mission. To continue...

Happy 2016!

Now that the new year is upon us, it's a great time to look ahead at all of the upcoming events brought to you by Neighborhood Housing Services of New Haven. If you have any questions about any of these events, please feel free to contact us at 203-562-0598.

Winter Garden Series

(January 23 - March 26)
Join Advanced Master Gardener, Rachel Ziesk, for a series of classes that will cover everything you need to be a successful gardener come Spring! Individual classes are just $20 or $100 for the entire 6-session series. Scroll below to see a full description of each class. 

Newhallville99

The Newhallville99 project is designed to celebrate the rich and vibrant history of New Haven's Newhallville neighborhood, and to highlight recent initiatives and accomplishments within this community. Newhallville99 is a way for everyone, whether they reside in Newhallville or not, to be inspired to engage with their communities, be proud of where they live, and look forward to a future of never ending possibilities.

NHS is current accepting submissions for the Newhallville99 project. Nominate your favorite person, place, or project in Newhallville! All we need is a photo and a short blurb. To nominate someone, simply email newhallville99@gmail.com

HomeBuyer Education Workshops

When it comes to deciding who to work with when you are in the market for a new home, NHS of New Haven knows that you have lots of options. So why work with us?

We use the information you provide to create a home purchase package that is unique to you. Our housing specialists understand that the process of purchasing a home can be stressful and confusing. When you work with us, you can rest assured that we will arm you with the resources and knowledge to make informed, unbiased decisions. We ensure that you are prepared for the responsibilities of homeownership and are more resistant to default and foreclosure. At NHS, it's our goal to make sure that you're purchasing a home that you can not only afford to buy, but afford to keep.

Click here to begin your journey to homeownership! 

Winter Garden Workshops (full descriptions)
January 23, 10am-12pm: Soil & Garden Planning
The most important component for a successful garden is soil health. Learn how to make and keep your soil healthy, as well as how to plan your garden for the most productive season.

January 30, 10am-12pm: Cool Weather Crops
Learn about starting your garden as soon as the snow is gone! Cool Weather crops don't mind the cold and give you a head start on the season. Most can be planted directly in the ground, saving any space you use for seedlings for other crops.

February 13, 10am-12pm: Warm Weather Crops
Everything you'll need to know about warm weather crops: which ones are best started indoors, or direct seeded into the ground. What fertilizers to use, what conditions each crop prefers, all the information for a productive growing season.

February 27, 10am-12pm: Container Gardening & Seed Starting
Some people have no access to garden space -- that doesn't mean you can't grow your own vegetables. Container gardening can be rewarding and supply you with more food than you thought! Learn the in's and out's of using containers for your growing needs. The class will also go through everything you need to know to start your own seedlings. Everyone attending will get to plant a six pack of seedlings to take home with them.

March 12, 10am-12pm: Edible Landscaping
Attractive plants or food? Why not have both? Lots of edible plants are beautiful additions to even an ornamental garden. Learn which plants will perform well in either a vegetable or ornamental garden, which ones not only produce food but create attractive areas in your garden. Also learn about weeds that are edible and nutritious, and invasive plants and how to get rid of them.

March 26, 10am-12pm: Pests, Diseases and Organic Controls
There are lots of pests and diseases that can affect your garden. Learn about the prevalent ones and what organic controls you can use to combat them for a healthy, productive garden.

From: http://www.newyorker.com/magazine/2016/01/04/what-money-can-buy-profiles-larissa-macfarquhar

The urge to change the world is normally thwarted by a near-insurmountable barricade of obstacles: failure of imagination, failure of courage, bad governments, bad planning, incompetence, corruption, fecklessness, the laws of nations, the laws of physics, the weight of history, inertia of all sorts, psychological unsuitability on the part of the would-be changer, the resistance of people who would lose from the change, the resistance of people who would benefit from it, the seduction of activities other than world-changing, lack of practical knowledge, lack of political skill, and lack of money. Lack of money is a stubborn obstacle, but not as hopelessly unyielding as some of the others, and so would-be world-changers often set out to overcome it. Some try to raise money, but that can be depressing and futile. Others try to make money, but it’s hard to make enough. There is a third, more reliable way to overcome this obstacle, however, and that is to give away money that has already been made by somebody else, and has already been allocated to world-changing purposes. This is the way of the grant-makers of the Ford Foundation... continues

Greetings To All,

Another New Year is upon us. I had a difficult time as to a great sentiment for this new year. So I settled upon  these three which I hope all will enjoy.

To exist is to change, to change is to mature, to mature is to go on creating oneself endlessly.

                                                                   Henri Bergson

“ ... above all things lose no occasion of exercising your dispositions to be grateful to be generous, to be charitable, to be humane, to be true... ”    

                                                                       THOMAS JEFFERSON

Hope smiles from the threshold of the year to come.

                                                                   Alfred Lord Tennyson

All the very best to everyone in this New Year,

Patricia Illingworth

More than forty years after Dr. King asked, “Where do we go from here?” American society is still grappling with the question.

From Chicago to Minneapolis to Baltimore, our nation is in the midst of a defining moment of racial, social, and economic change. For communities of color, this moment is particularly stark and has been magnified by the courageous #BlackLivesMatter movement, which emerged in response to a long history of police violence and criminal injustice against black men and women.

Social justice, racial equity, and systems change are critical for today's black men and boys, particularly given the barriers... more.

The Campaign for Black Male Achievement (CBMA) is a national membership network that seeks to ensure the growth, sustainability, and impact of leaders and organizations committed to improving the life outcomes of Black men and boys. CBMA is a growing network that currently includes more than 4,720 leaders representing nearly 2,577 organizations and programs across the country.For more information

You have some money and want to make more. Right?  Sure you do.  But you also care about the world around you and want to make a difference.  What to do?

Jean Case has an answer: impact investing. Case was an executive at AOL and today she leads the Case Foundation, which promotes the power of investing to drive social change.  Case explains how you can start impact investing — and change the world while you make money.

What is impact investing, and why is it important?...

In the US, there are three distinct structures that to a stronger or lessor degree serve the citizens: public, corporate, and nonprofit. Each can affect the other in a number of ways recognizing that the public and corporate may have, through money, more of, but not exclusively, an impact on the other.

There has become more recently a clear recognition that nonprofits, (501(c) 3s in particular could and should exert their own strengths to influence what happens in the public sector while recognizing that a good number of nonprofits also serve as extensions of the will of the public. These have grants or contracts sometimes which represent a majority of their income.

So, it is not surprising that there are moments when the public sector, or more specifically, public sector characters, may no like what a nonprofit sector entity has done and consequentially, take away the "people's" money. One might of course question the sense of a nonprofit whose sustainability strategy includes more than 1/3 of its money relying on public funds but let's not make that the focus of today's discussion.

No, the real focus of today''s discussion is the situation going-on in Maine whereby the Governor, according to the Portland Press Herald, has " threatened to pull state funding from Good Will-Hinckley – a social service agency that serves at-risk youth with programs that include a charter school – if it didn’t get rid of its new executive director, Democratic House Speaker Mark Eves." One legislator when asked about the situation states: “This stuff does happen, said Rep. Deb Sanderson, R-Chelsea, a member of the Government Oversight Committee. “There’s strong-arming that goes on. Politics is dirty. At least he has the guts to go out and say it.”

So...right or wrong? Should the cost of doing business with the state be that contract arrangements are always at political risk should the nonprofit "misbehave" according to the contractor? Note by-the-way that I'm not stating that the nonprofit in question did anything that should put its money in jeopardy. I believe that the only consideration as to go-no go funding should be ouputs and outcomes. Did the nonprofit do what it said it would do (and if not, why not) and did the nonprofit achieve the results it intended? These in my opinion SHOULD be the criteria for go-no go funding (aside from the typical public sector budget issues).

What we don't know in Maine and what should be the focus of the conversation is indeed the rate of performance by the nonprofit in question. And yes, at least according to the Governor, the nonprofit is not doing everything the way the Governor would like. But here's where the nonprofit's board could exert its own political strengths and ensure that the Governor is held back from doing what he's attempting to do - contract in the weeds versus outputs and outcomes. This is where a nonprofit board and its members should "step-up" and make its voices loud and clear at two levels. It must tell the story of outcomes and effectiveness and move other legislators and the public to ensure that contracting is not a political whimsy activity.

Nope, I'm not thinking the Governor is doing "right" in stepping into a contractural relationship and while I don't have enough information, I am hoping that the board is doing more right and stepping-up as advocates of good process as well as good information to ensure that their good work is continued.

CTC is seeking nominations for the 2016 class of Women of Innovation! Submit a nomination today.

Who is eligible?
Any woman who is a successful innovator or leader in science, technology, engineering or math. Also any woman who has shown leadership in her community. Students at the high school and collegiate levels are eligible as well. 

When to nominate?
The nomination deadline is January 29 so hurry and nominate today. 

Learn More

Summary:  The Connecticut Veterans Legal Center seeks a part-time Special Events Engagement Director to lead marketing and fundraising efforts for the fifth annual cycling event known as “The Ride for Veterans.” This third-party fundraiser scaled up significantly in 2015 thanks to its lead sponsor Point72 Asset Management, with about 80 people riding an estimated 3,000 miles and raising over $100,000. CVLC aspires to significantly expand ridership in 2016 and envisions The Ride becoming a popular event throughout Connecticut’s cycling and veteran communities. Hourly pay will be based on experience and qualifications and will be highly competitive. No benefits are provided with this position. 

Hours: 10 hours per week average, increasing as event approaches in June 2016.

Reports To: Executive Director

Works With: The Ride Event Committee and Event Planner

Performance Measures/Deliverables:

• • Meet specific targets for increased ridership
• • Meet specific targets for increased number of corporate, law firm and community-based sponsors and teams.

Responsibilities:

• Act as CVLC’s main liaison with law firms, corporate and community partners through in-person meetings, email and mail communications, and tabling and speaking events to encourage entities to form cycling teams and fundraise on behalf of CVLC.

• Lead the development of a marketing and communication plan to increase awareness of the event within CVLC’s network of law firms and corporations as well as new corporate and community partners.

• Create and maintain a list of potential event sponsors and development an engagement plan for each potential sponsor. 

• Develop and implement an online marketing strategy, promoting the event through websites and social media. 

• Develop marketing materials to promote the event.

• Work with event planner to incorporate sponsors and organizational message into the event.

Qualifications:

• Minimum of three years’ experience working in sales, non-profit development or another field with an emphasis on relationship management.

• Experience with event management, marketing and media campaigns and familiarity with donor relationship management.
• Superior verbal and written communication skills and an ability to connect with a range of potential partners in a variety of settings from pitching PR staff in corporate conference rooms to spaghetti dinners at American Legion halls. Must be comfortable soliciting potential corporate and individual donors.
• Must be organized, self-directed and results-oriented.
• Enthusiasm for cycling and a passion for veterans justice is a plus.
• Must have valid driver’s license and a vehicle in order to meet with sponsors throughout Connecticut.

About the CVLC:

The Connecticut Veterans Legal Center (CVLC) exists to support veterans in recovery by helping them overcome legal barriers to housing and income. CVLC and VA CT’s Errera Community Care Center created the country’s first VA medical-legal partnership to integrate legal help into VA mental health, housing and addiction services. CVLC leverages the generosity of Connecticut’s attorneys by connecting half of the veterans it serves with no-cost, high quality assistance. Since 2009, CVLC has helped almost 1500 veterans rebuild the fulfilling lives they deserve.

To Apply:

To apply please submit a cover letter, resume, two references, and a professional letter/email sample to the CVLC’s Executive Director Margaret Middleton at mmiddleton@ctveteranslegal.org. Please email with questions. The position is open until filled and will be filled quickly so please send your materials as soon as possible.

Do you remember the 60's bumper sticker: It will be a great day when the schools get all the money they need and the Air Force has to hold a bake sale to buy a new bomber? Well this article suggests that's exactly what the folks in Charlotte are doing - holding bake sales (not literally) to raise money for pretty big-ticket items.

The following Charlotte Observer article not only challenges the methods Charlotte nonprofit boards are using to raise funds, but calls board members "too scared" more willing instead to do "back door" fundraising then ask directly.

Sadly in my opinion, this article starts with the core premise that asking for money is indeed the job of board members. I pose that the answer is maybe it is but certainly not if that's not what members agreed to when they came on board. This must be the conversation in order to have the expectation. Are there consequences for not having board members ask for money? Certainly. But we also know there are a number of ways to finance a nonprofit and we also know there are some equally important roles for board members in addition to asking for money.

I would suggest that boards first must clarify why they are at the table - for what purpose and then they can get to the methods. I'm not sure that telling board members they are just too scared to ask for money is a true enough assumption. But this is certainly a conversation starter.
Charlotte nonprofits too scared to ask for money
Libraries are wonderfully deserving of financial support. But they shouldn’t have to throw a great gala to get it. John D. Simmons jsimmons@charlotteobserver.com

BY CHRIS MCLEOD

Charlotte is the second-largest financial center in the country, so presumably we know something about money. We’re also home to Myers Park Presbyterian, Myers Park United Methodist and Christ Episcopal, among the largest congregations in their denominations, with budgets north of $5 million. And Elevation and Forest Hills Church, two of the fastest growing megachurches and Billy Graham Evangelical Association also call Charlotte home. Shalom Park, a nationally unique campus, is home to 14 nonprofits and two synagogues.

When I moved to Charlotte 12 years ago, this juxtaposition of big banks and big churches intrigued me. I was confident that I’d discover Charlotte was home to some of the nation’s most well-funded nonprofits. What I discovered surprised me.

Rather than a banking community that brought its penchant for capacity building to its nonprofits, I discovered a nonprofit community haunted by a narrative of scarcity and a shallow understanding of fundraising. We love to build shiny new buildings, but our nonprofits are starved for operating capital. Despite the community’s pressing needs, the majority of nonprofit boards would rather cut costs than raise money.

The reality is most of our board members find fundraising, well, somewhat distasteful. Many of our community leaders pretend to know very little about raising money, preferring to let Hugh McColl and Michael Marsicano do all the asking.

In Charlotte, we prefer to host galas to fund our low-income health clinic and homeless shelter and sell raffle tickets to support our public libraries rather than ask a donor face-to-face for a major gift to support the program costs and staff that make it possible. Given our financial institutions’ focus on efficiency and managing costs, one would think our board members would embrace the face to face major gift ask, since it is the most efficient and cost-effective fundraising strategy.

Our lack of fundraising leadership is forcing the hand of our nonprofits to adopt these desperate fundraising strategies. This trend of “lifestyle philanthropy” is not benign. If we are not careful, Charlotte will end up like many communities in Florida, where donors’ loyalty follows nonprofits hosting the most spectacular galas with little regard for the nonprofits’ mission. Today, nonprofits are training our donor community to give this way, with little appreciation that this is a losing game. While nonprofit leaders proudly announce their galas’ gross receipts, few understand that the actual net gain is dramatically less, often less than half of the gross receipts.

If we presume this “preference” is learned, we can hope that by providing opportunities for community leaders to learn the most efficient and cost-effective strategy for raising charitable capital, we can reverse this trend. If Charlotte is to respond to the incredible opportunities and challenges, we need to identify and teach the next generation of leaders how to raise money.

In 2016, Women’s Impact Fund and the Institute for Philanthropic Leadership will host educational programs that focus on fundraising leadership for board members.

The desire to make a difference is universal, regardless of one’s faith tradition. Fundraising is about inviting people to make a difference. What makes me hopeful about Charlotte is that it is a community of passionate people who dream big dreams and want to make a difference. Those who are going to make the greatest difference are those willing to learn how to invite others to make a difference.

Come join us. We can’t let Hugh and Michael have all the fun.

Chris McLeod is president of Giving Matters, Inc. chris@givingmatters

The following LA Times story describes a nonprofit board that I believe has seriously lost its focus and the mission. The story is about the County Fair which has morphed into an entertainment venue (that's ok - it more than pays the rent) but doesn't even have 4H at the annual fair anymore. Imagine! And of course the other big news - pays just under $1 million to its CEO! (Note, I generally believe the media is misguided in its focus on executive salaries but this may be an exception for me. Anyway, everyone is up-in-arms over the situation where the primary income is from Raves (you know, those concerts where kids dance and do drugs (so I'm told).

But the real story is about a board that might once have smartly recognized there was income to be made to offset expenses but in the process, lost sight of the why for the income and during the process, managed to lose lots of money and offend its very sponsors, the County. For shame, for shame, for shame!

Here's the story with a nod to the LA Times staff for focusing on the correct issues.

Head of money-losing L.A. County Fair Assn. made nearly $900,000 in total compensation
(Marcus Yam / Los Angeles Times)
Rong-Gong Lin II, Paul Pringle and Richard WintonContact Reporters

The Los Angeles County Fair Assn. was formed in 1940 to promote the region's then-booming agriculture industry. For generations, the nonprofit organization's annual fair crowned prize-winning hogs, taught children about crops and showcased thoroughbred racing.

But over the years, the association has morphed into something resembling a conglomerate, with little connection to farming or livestock. And its managers have become richly compensated even as the association loses money, a Times investigation has found.

The association controls a portfolio of enterprises that includes a hotel and conference center, a catering company and an equipment rental service. They are located on the county-owned fairgrounds in Pomona, sparing the association the obligation to pay property taxes. As a nonprofit, it also is exempt from taxes on most of its income.

Over the years, the Los Angeles County Fair Assn. has morphed into something resembling a conglomerate, with little connection to farming or livestock.

The organization has banked millions of dollars in government grants and received other support from taxpayers, according to its most recent federal tax filings. Despite the public subsidies, it lost a total of $6.25 million from 2010 through 2013 — though it rewarded its top executives with large bonuses and incentive pay in each of those years, the Internal Revenue Service records show.

The fair's chief executive, James Henwood Jr., 69, collected nearly $900,000 in total compensation in 2013, dwarfing that of other fair managers in California, according to the tax filings and state records. That same year, the association lost $3.4 million.

From 2010 through 2013, Henwood and four members of his executive team received a combined $2.8 million in bonuses and incentive pay, boosting their total compensation to $8.75 million, according to the tax filings. In those four years, Henwood averaged about $846,000 in annual compensation.
Los Angeles County Fair compensation

Other county fair compensation

"Running a fair is an executive position, and they should make some pretty good coin," said Michael O'Hare, a UC Berkeley public-policy professor who has studied the economics and management of fairs. "But this sounds to me totally crazy."
"Running a fair is an executive position, and they should make some pretty good coin. But this sounds to me totally crazy."- Michael O'Hare, UC Berkeley public-policy professor

As the association became more like a big business, it strayed further from its agrarian roots.

This shift came into stark focus in August, when the association booked a rave concert at the fairgrounds. Two young women who attended the rave were rushed to hospitals anddied of apparent overdoses. The deaths prompted the association and concert promoter Live Nation to cancel another rave that was scheduled for September's fair.

But a Halloween-themed rave Saturday and Sunday went on as scheduled. Police made more than 300 arrests, most for drug- and alcohol-related offenses.

A woman is arrested by California Highway Patrol officers at a security checkpoint for HARD Day of the Dead at the Pomona Fairplex on Oct. 31.
(Patrick T. Fallon / For The Times)

Unlike most major fairs in California, L.A. County's is not run by a public agency. And although it works closely with county officials, the association has been free to compensate its executives as it sees fit and expand into other ventures.

In 2013, Henwood received more in bonuses and incentive pay than the association paid to the county for year-round use of the public fairgrounds, known as the Fairplex. A lease deal gives the association control of the nearly 500 acres in exchange for small shares of some of its revenues, such as 1.5% of the money generated by the fair and 5% of receipts from certain other events.

O'Hare and other experts say the association's current operations could jeopardize its tax exemption under IRS rules, especially because so little of the organization's business has to do with agriculture.

"It's so removed from agricultural pursuits that it calls into question whether it qualifies for a tax exemption," said Marcus Owens, a Washington attorney who once headed the IRS division on exempt organizations.

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The association's 244-room Sheraton Hotel and conference center are on county land, along with a number of for-profit companies it owns, including the Cornucopia catering firm that serves food at the fair and events such as the Coachella Valley Music and Arts Festival in Indio.

"This isn't what you think of when you think of charity," said Rep. Norma Torres (D-Pomona), whose district includes the fairgrounds. "The government lands and subsidies are being used for the benefits of a few well-paid executives."

Torres said the raves are an example of how the association has lost its way.

"How many more liquor-licensed events is it going to run?" she said.

Henwood and the other managers declined to be interviewed.

In an email to The Times, association spokeswoman Renee Hernandez said the organization has embraced the "evolution" of Southern California agriculture, as represented by competitions for wine, craft beer, extra virgin olive oil and dairy products. She said the association has increased the number and variety of animals at the fair, although she did not provide details.

As a private nonprofit, the association is not subject to direct oversight by the Board of Supervisors or any other public body. It is governed by an 11-member board of directors. The panel is elected by the 60 voting members of the association, according to its media guide. The members, in turn, are selected by the board, whose president is former Cal Poly Pomona President J. Michael Ortiz.

In a telephone interview, Ortiz defended the fair executives' compensation, saying their pay was based on performance. He singled out Henwood's supervision of the construction of the conference center, which opened in 2012. Ortiz said the center has done well financially. Henwood, a former shopping mall manager from Orange County, has led the association for two decades.

Ortiz said Henwood has excelled at managing the association's Learning Centers programs. They provided vocational training to more than 600 students last year in auto mechanics, landscaping and other skills, according to the association's annual report.

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"We are training individuals in those areas to go out and do well in those fields," Ortiz said.

Asked why Henwood and his management staff were handed bonuses in years the association lost money, Ortiz said, "I don't think we have to explain." He declined to answer further questions and ended the interview.

Other board members did not respond to interview requests or declined to comment. They include local corporate executives, developers, an accountant and a fitness club owner, as well as Robert Dukes, an L.A. County Superior Court judge in Pomona, and University of the West President Stephen Morgan.

Some fairgrounds neighbors have called for a ban on the raves and restrictions on the number of other events, which they say bring noise, traffic and crime. Like Torres, the residents, who have formed a group called Protect Our Neighborhood, contend the association is a nonprofit in name only.

"They present themselves as people who run county fairs, where you milk cows and the kiddies can pet animals," said Jose M. Vadi, 71, a retired political science professor at Cal Poly Pomona. "Really, what they're doing is they're running a for-profit operation under the guise of being a nonprofit."

The association describes itself as "self-supporting," but it has turned to the government for financial assistance. Five years ago, the county issued $24 million in tax-exempt bonds that enabled the association to build the $28-million conference center at a reduced borrowing cost.

To help offset the cost of the center, the county gives the organization a discount on rent for the fairgrounds. The arrangement slashed the annual rent to an average of $200,000 from about $1 million in 2007.

County officials approved the rent rollback — it runs through 2022 — because they said the center would produce jobs and generate other "economic, social and public benefits." In 2009, as part of a finance agreement with Pomona, the association estimated the center would produce 280 full-time jobs.

Hernandez, the association spokeswoman, did not respond to a question about the number of jobs actually created. Based at the fairgrounds, the association employs more than 250 people year-round, not counting workers at the hotel, Cornucopia and other businesses, its media guide says. According to the guide, the hotel employs 115 people; no number is given for the conference center.

County Supervisor Hilda Solis, whose district includes the fairgrounds, declined to be interviewed about the association.
Hernandez said in an email that the county gets money from a tax that promoters pay to use the fairgrounds. She said the county also benefits from an agreement with the association that allows the Sheriff's Department to base its Emergency Vehicle Operations Center at the fairgrounds' motor racetrack. The center trains deputies to drive patrol cars and motorcycles.

"The use of the facility for EVOC is a much higher value than any property tax that would have been derived," Hernandez wrote.

The Sheriff's Department, however, has said that it does not get enough access to the fairgrounds because of the fair and other events held on the property. As a result, the Board of Supervisors has tentatively approved a plan to build a $10.5-million EVOC in Castaic.

A spokesman for the county assessor's office said the type of levy promoters pay at the fairgrounds — known as a possessory interest tax — often is significantly less than what property taxes would be for a similar property that is privately owned. Hernandez did not respond to a query of whether the association believes the county gets as much money from the fairgrounds as it would if it were taxed as private property.

Attendance at the fair has been seesawing. Once the largest county fair in the nation — it debuted in 1922, 18 years before the association was formed — the L.A. County event is now not even the biggest in California. It drew 1.2 million visitors last year, down from 1.49 million in 2011, state figures show. It reported 1.28 million visitors for this year's fair, which was four days shorter than 2014's.
LA County Fair loses attendance while others grow

According to the most recent tax records, the association was last in the black in 2009, when it had a net gain of $632,000 on revenue of $64.7 million.

It has reported different numbers to the state Department of Food and Agriculture, which collects financial information from most California fairs. In 2013, the association's filing with the department showed a gain of $4.2 million; on its IRS return, it reported a $3.4-million loss.

The reason for the gap in figures was not clear, and state officials said they did not know why the numbers varied so much. The experts on nonprofits said a possible explanation is that the state and federal reports might follow different accounting rules.

In recent years, other leading fairs have performed better financially than L.A. County's, according to state and county records. The San Diego County Fair brought in about as much total revenue in 2013, $66 million, as L.A. County's, at $68 million, and has long been profitable, according to state records. Timothy Fennell, CEO of the Del Mar Fairgrounds, where the San Diego County Fair is held, had a salary-and-benefit package that year of about $184,000, roughly a fifth of Henwood's compensation. The other four executives for the L.A. association also made more than Fennell.
Surpluses turn to deficits at L.A.County Fair Association

Like the fair in San Diego County, Orange County's event drew more visitors than L.A. County's this year and in 2014. The Orange County Fair regularly posts a profit, state records show. Its CEO made about $212,000 in 2014. Both the San Diego County and Orange County fairs are run by state agencies.

Given the experiences of the other counties, experts say, it is difficult to see the benefit to L.A. County taxpayers in having the association, instead of the government, operate their fair. When government turns over management functions to private entities, they said, the public is supposed to get more for its money.

"There should be efficiencies," said Rob Reich, co-director of Stanford University's Center on Philanthropy & Civil Society. "But it sounds like there is no evidence here that there are any."

"This has public subsidies of various kinds," Reich said of the association. "It gives all citizens an interest in the healthy management of the entity."

Because it is a nonprofit, the association does not produce earnings for investors, but it is expected to be fiscally sound and avoid losses, Reich said.

The association obtained its nonprofit status under the IRS code that exempts labor unions and certain agricultural organizations from taxes. Such an organization "must have as its primary purpose the betterment of the conditions of those engaged in agricultural pursuits," an IRS publication states.

"Activities that only remotely promote the interests of those engaged in agricultural pursuits will not qualify an organization for exemption."

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The experts say the association's nonagricultural businesses push the boundaries of its tax exemption. In 2013, it reported to the IRS about $25.6 million in total business revenue from the hotel and conference center, Cornucopia and other firms — taxable receipts unrelated to its nonprofit purposes to advance agriculture. The business proceeds were about equal to the association's revenue from the fair.

"The fact that the organization is operating a hotel 24/7, 365 days a year, that pattern is suggestive of an organization that is no longer being operated to further agriculture," said Owens, the former IRS official.

O'Hare, the Berkeley professor, said the association's exemption gives it a leg up over marketplace competitors that do pay taxes, such as nearby hotels and music venues.

"It's unfair to merchants who do not get the same tax exemption," O'Hare said.

Mario Ramos, 53, a member of Protect Our Neighborhood, agreed, saying the association functions like "a monopoly that's being subsidized by the government," squeezing out local businesses.

"I make the argument that it actually hurts us by them being there," said Ramos, a healthcare consultant.

The fair has stopped inviting the young people who belong to 4-H clubs to display their animals. The thoroughbred meets — once a staple of the event — have been moved to the Los Alamitos racetrack in Orange County.

Association spokeswoman Hernandez said the organization has expanded the acreage and programming dedicated to agriculture, including through classes at the Learning Centers. She did not respond to requests for information on how much it spends on those programs.

Hernandez said the association eliminated 4-H clubs from the fair because fewer children were showing their animals.

The fair's website says the event has gone "back to our agricultural roots." There were pens of cows, pigs and chickens at this year's fair, along with a petting zoo, a milking demonstration and an "urban garden" of fruit trees and vegetable patches, which is open throughout the year.

But most of the fair remained devoted to carnival rides, market pavilions for a constellation of nonfarm products — including hoodies, hot tubs, e-cigarettes and toe rings — and a concert series that featured ZZ Top and Patti LaBelle.

Joanne Kissling, 61, of Agoura Hills, said she and other 4-H leaders were stunned when the L.A. County Fair booted the clubs’ animals.
(Mel Melcon / Los Angeles Times)

Joanne Kissling, 61, of Agoura Hills, said she and other 4-H leaders were stunned several years ago when the fair booted the clubs' animals. The 4-H exhibits are still welcome at other fairs, including Orange County's and San Diego County's.

"We were there one year, and we were gone the next," Kissling said of the L.A. County Fair, where her daughters used to present their goats, rabbits and guinea pigs.

"They don't really have what I consider a fair. A fair to me means the animals."