Post on 06-Jul-2015
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The Scranton Area Foundation and You
Building Community
tw ahis a community foundation?is a community foundation?
people connected by geography… and to each other
communitycommunity
foundationfoundation
a platform for growth
a platform for building community
foundationfoundationcommunitycommunity
The mission of the Scranton Area Foundation is to enhance the quality of life for all people in Lackawanna County through the development of organized philanthropy.
We are a tax-exempt public charity created by and forthe people of Scranton and Lackawanna County .
Our MissionOur Mission
• The Foundation Serves as a Steward:by developing and managing permanent endowment funds.
• The Foundation Serves as a Grant Maker:
by awarding grants and support to enable the community to respond to emerging and changing needs and opportunities.
• The Foundation Serves as a Charitable Resource:by encouraging and educating donors and providing a flexible vehicle for individual donors, non-profit organizations and the community-at-large.
• The Foundation Serves as a Catalyst:by mobilizing community leadership in response to issues.
Scranton Area FoundationScranton Area Foundation as a community foundationas a community foundationhas three special features.has three special features.
o enpersonalized servicepersonalized service
Personalized servicefeature
one
› Educate people on charitable giving vehicles
› Customize giving approaches to match personal interests and tax planning needs
› Facilitate complex forms of giving
› Share knowledge on community needs
› Offer grantmaking expertise and administrative services
› Help people create personal legacies via named funds
› Offer involvement in recommending uses of a gift
› Provide the option to give anonymously
Creating solutions that fit every situation
t owlocal expertiselocal expertise
› We are a Local organization with local staff andboard members
› We have Knowledge of Lackawanna County community issues, opportunities and resources
› We Monitor our unique community needs…
Local expertisefeature
two
Making a difference where it is needed most
Arts and cultureEconomic developmentEducationEnvironment
HealthHuman servicesRecreationNeighborhoods
› We Gather information and track local agencies and programs
› We Direct grants and resources to appropriate areas
eet rh community leadershipcommunity leadership
› Act as a community catalyst
› Build endowments to ensure grants are always available to support the community
› Support high impact opportunities
› Are governed by leaders with strong ties to our community
› Foster development of new organizations and programs
› Re-direct funds as community needs change
Community leadershipfeature
three
Our business is building community
eet rht ow
o enlocal expertiselocal expertise
personalized servicepersonalized service
community leadershipcommunity leadership
A bit of background.A bit of background.
1914 First U.S. community foundation established in Cleveland, Ohio
today Over 600 community foundations in the United States
› Serving citizens across the nation
› More than $30 billion in assets
› More than $2 billion in local grants each year
› And growing!
1954The Scranton Area Foundation began as a private foundation and in 1988 was designated as a public community foundation.
foundation
facts A brief history
› More than 70 funds
› $19,000,000 in endowed assets
› More than $600,000 annual grants
› Cumulative grants of over $8,000,000
foundation
facts Our vital statistics
The Scranton Area Foundation
Austin J. Burke - Chairman
Kathleen Graff - Vice-Chairman
Thomas C. Capezio – Treasurer
Warren T. Acker
Richard S. Bishop, Esq.
Dr. Edward G. Boehm
Dante A. Cancelli, Esq.
Karen Clifford
L. Peter Frieder, Jr.
Carlene R. Gallo, Esq.
foundation
facts Our board of governors ……involved community leaders
Judith O. Graziano
Cathy Ann Hardaway
George V. Lynett, Esq.
Patrick J. McMahon
Thomas R. Nealon, Esq.
Carlon E. Preate, CPA
James W. Reid, Esq.
Letha Reinheimer
James A. Ross
Walter L. Schautz
William W. Scranton, III
foundation
facts Our board of governors ……involved community leaders
Myer Alperin
Dorrance R. Belin, Esq.
Terry Bonifanti
Venald W. Bovard
Harmar D. Brereton, MD
Paul Browne
The Honorable Robert C. Cordaro
Francis E. Crowley
Catherine Richmond Cullen, Ed. D.
John F. Erhard, DDS
Matthew F. Flynn
Thomas G. Gallagher, Jr.
foundation
facts Our advisory council
Mary Ann LaPorta
Robert N. Lettieri
William R. Lynett
Richard C. Marquardt
Sharon McCrone
Sally O’Brien, Esq.
Jane Oppenheim
Barbara Thomas Norton
Raymond Pilch
Carol Weiss Rubel
Nicholas D. Saccone, DDS
Mary Kay Warner
Sheryl Youngblood, Ph.D.
foundation
facts Our advisory council
Meeting diverse community needs
foundation
facts
Arts and Culture $ 87,450
Public Affairs $299,845
Education $102,470
Environment $ 50,000
Health $237,845
Human Services $270,378
Children/Youth $376,349
Housing $ 80,000
Our grant awards 2000 - Present
foundation
facts
› Youth and teen program funding:
Tomorrow’s Leaders Today
› Health grants:
VNA Hospice
› Environmental issues:
Lackawanna River Corridor Association
› Public Affairs/Community Issues:
Scranton Tomorrow
Our grant examples
Tools for giving.Tools for giving.
Named Funds…… a personal legacy of giving
Donors can establish a fund in their name, in a family’s name, or in the name of any person or organization they wish to honor.
Grants distributed from a donor’s fund are awarded in the name of their fund. This person or organization will always be remembered and linked to good works in our community.
for giving
tools
› Unrestricted Fund
Meeting ever-changing community needs
› Field of Interest Fund
Addressing needs in an important area of community life: arts, aging, at-risk youth...
› Designated Fund
Directing gifts to specific agencies or purposes(e.g., scholarship)
› Donor Advised Fund
Involving donors in the use of their gift
› Supporting Organization
Managing gifts and grants with some similarityto a private foundation
for giving
tools Charitable funds
You can create a named fundin any of these categories.
› Outright Gifts
Give cash, stocks, real estate or other assets
› Bequests
Designate a portion of an estate
› Charitable Lead Trust
Trust pays the community foundation a fixed amount for a number of years and then assets go to beneficiary
› Charitable Remainder Trust
Trust pays beneficiary for life and then assets transfer to community foundation
› Life Estate Contract
Donor transfers home to community foundation and still enjoys use while living
for giving
tools Charitable instruments
We accept a wide variety of assets.
People giving back.People giving back.
The advantages of The advantages of planned givingplanned giving
People giving back
› Preserve assets for children
› Increase support of community
› Assure gift is well managed
Estate planning goals:
giving back
people The advantages of planned giving
› Transferred $1,000,000 inappreciated assets
› $75,000 paid annually to community foundation, for 15 years; establishing afund in their name
› After 15 years, remaining assets transfer to children
› The family meets regularly to recommend charitable distributions
Charitable Lead Trust:
The advantages of planned giving
giving back
people
A quick comparisonConventional CommunityInvestment/ FoundationEstate Plan Trust
Gross amount to heirs at end of 15 years $2,396,558 $1,440,414Less: Federal estate tax (@ 50%) ($1,198,279) ($0)Less: Gift tax adjustment ($0) ($150,000)
Amount to charity — Donor Advised Fund 0 $1,125,000Total family and charitable benefit $1,198,279 $2,415,414
Net amount to heirs $1,198,279 $1,290,414
Initial value of stocks and bonds $1,000,000 $1,000,000Current taxable gift to heirs NA $300,000
The advantages of planned giving
giving back
people
(sample calculation (sample calculation — — for illustration only)for illustration only)
One family’s story
TeachingTeachingcharitable givingcharitable giving
› Opportunity to make charitable decisionsas a family
› Hands-on experience for three children —each can express giving preferences
› Teach financial and community responsibility
› Passing along family “giving values”to next generation
Philanthropic goals:
Teaching charitable givinggiving back
people
› 1994: set up with a gift of $200,000
› 1999: fund has grown to $250,000
› Two times each year the family meets to recommend charitable distributions
› 1998: during the year, distributed more than $12,000 in grants to local community
Donor Advised Fund:
giving back
people Teaching charitable giving
forms of philanthropy in the United States today.
fastest-growingCommunity foundations are among the
t ne reasonsreasonspeople choose to givethrough community foundations
reasonsten People choose to give
through community foundations
1 We are a local organization with deep roots in the community
5 We accept a wide variety of assets, and can facilitate even the most complex forms of giving
4 Our Donor Advised Funds help people invest in the causes they care about most
3 We provide highly personalized service tailored to each individual’s charitable and financial interests
2 Our professional program staff has broad expertise regarding community issues and needs
reasonsten People choose to give
through community foundations
7 We offer maximum tax advantage under state and federal law
10 We are a community leader, convening agencies and coordinating resources to create positive change
9 We build endowment funds that benefit the community forever and help create personal legacies
8 We multiply the impact of gift dollars by pooling them with other gifts and grants
6 We partner with professional advisors to create highly effective approaches to charitable giving
under which she will never sit, then you know
that civilization has come to that land.
Greek philosopher
plants a treeWhen a person
The Scranton Area Foundation
and you…
sowing seeds of hope
Building Community Together
© 2002 Council on Foundations and Community Foundations of America