Nonprofit Funding:
Friend or Foe?
December 12, 2013
NCLGBA Winter Conference
Agenda
•
•
•
•
•

Business justification for nonprofit funding
What’s our challenge?
What’s our solution?
What’s our proce...
Why Fund Nonprofits?
• Can’t do it all
• Others do it better
• Builds trust

• A process could be your solution
3

www.Mec...
Goals for the
Community Service Grant (CSG) Process
• Align nonprofit funding investments with
Mecklenburg County’s Critic...
CSG Funding Process

Application

Manager’s
Recommendation

Review

5

BOCC Decision

www.MecklenburgCountyNC.gov
Mecklenb...
Application

Application

Manager’s
Recommendation

Review

•
•
•
•

BOCC Decision

Instructions
Eligibility Criteria
Kick...
Eligibility Criteria
• Serve the residents of Mecklenburg County
• 501(c)(3) nonprofit classification with IRS
• Submit in...
Strategy to Budget
Critical Success Factors:
• Affordability
• Sustainability
• Jobs/Workforce and
Economic
Development
• ...
Review

Application

Manager’s
Recommendation

Review

BOCC Decision

• Review Panel
• Evaluation Criteria

9

Mecklenburg...
Application Review
• Review Panel
– Internal and external reviewers

• Evaluation Criteria
⁻
⁻
⁻
⁻

Performance measures
D...
Performance Measurement
Key Questions
• For each measure, is data available and can
results be replicated?
• Are measures ...
Manager’s Recommendation
Application

Manager’s
Recommendation

Review

BOCC Decision

• Reviews ranking of proposals
• Co...
Budget Decisions
• Top-ranked organizations are included in the
County Manager’s Recommended Budget
• The Board of County ...
BOCC Decision

Application

Manager’s
Recommendation

Review

BOCC Decision

• Political realities
• Final list of grantee...
Political Realities
• Ultimately nonprofit funding is a political
decision
– Example: Bethesda Health Clinic

• Deliberati...
Better Practices
1.
2.
3.
4.
5.

Increase Transparency
Foster Communication
Enhance Customer Service
Keep Process Consiste...
NCLGBA Winter Conference
Community Service Grants
December 12, 2013
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Nonprofit Funding: Friend or Foe?

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"Nonprofit Funding: Friend or Foe?" presented by Mecklenburg County, NC, at Winter 2013 NCLGBA Conference

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Nonprofit Funding: Friend or Foe?

  1. 1. Nonprofit Funding: Friend or Foe? December 12, 2013 NCLGBA Winter Conference
  2. 2. Agenda • • • • • Business justification for nonprofit funding What’s our challenge? What’s our solution? What’s our process? Lessons to share 2 www.MecklenburgCountyNC.gov MecklenburgCountyNC.Gov
  3. 3. Why Fund Nonprofits? • Can’t do it all • Others do it better • Builds trust • A process could be your solution 3 www.MecklenburgCountyNC.gov MecklenburgCountyNC.Gov
  4. 4. Goals for the Community Service Grant (CSG) Process • Align nonprofit funding investments with Mecklenburg County’s Critical Success Factors • Manage competitive process that will obtain the best results for the County’s investment 4
  5. 5. CSG Funding Process Application Manager’s Recommendation Review 5 BOCC Decision www.MecklenburgCountyNC.gov MecklenburgCountyNC.Gov
  6. 6. Application Application Manager’s Recommendation Review • • • • BOCC Decision Instructions Eligibility Criteria Kickoff Applications submitted 6 MecklenburgCountyNC.Gov
  7. 7. Eligibility Criteria • Serve the residents of Mecklenburg County • 501(c)(3) nonprofit classification with IRS • Submit independently audited financial statements • Submit documentation to support a diverse workforce • Clearly contribute to one of the four target areas 7 MecklenburgCountyNC.Gov
  8. 8. Strategy to Budget Critical Success Factors: • Affordability • Sustainability • Jobs/Workforce and Economic Development • Service Investments and Delivery Model • Fiscal Discipline • Operational Excellence 1. 2. 3. 4. 8 Four Target Areas: Train and Place Unemployed Workers Improve the High School Graduation Rate Prevent Health Risks and Diseases Promote Financial SelfSufficiency MecklenburgCountyNC.Gov
  9. 9. Review Application Manager’s Recommendation Review BOCC Decision • Review Panel • Evaluation Criteria 9 MecklenburgCountyNC.Gov
  10. 10. Application Review • Review Panel – Internal and external reviewers • Evaluation Criteria ⁻ ⁻ ⁻ ⁻ Performance measures Demonstration of need Service strategy and delivery process Alignment with target area 10 MecklenburgCountyNC.Gov
  11. 11. Performance Measurement Key Questions • For each measure, is data available and can results be replicated? • Are measures reflective of the full scope of service? • Are the targets for the outcome measures realistic and ambitious based on performance and industry standards? 11 MecklenburgCountyNC.Gov
  12. 12. Manager’s Recommendation Application Manager’s Recommendation Review BOCC Decision • Reviews ranking of proposals • Considers staff recommendations 12 MecklenburgCountyNC.Gov
  13. 13. Budget Decisions • Top-ranked organizations are included in the County Manager’s Recommended Budget • The Board of County Commissioners makes final decision for grantees when the budget is adopted 13 MecklenburgCountyNC.Gov
  14. 14. BOCC Decision Application Manager’s Recommendation Review BOCC Decision • Political realities • Final list of grantees 14 MecklenburgCountyNC.Gov
  15. 15. Political Realities • Ultimately nonprofit funding is a political decision – Example: Bethesda Health Clinic • Deliberation time for nonprofits – Example: CMS vs. CSGs 15 MecklenburgCountyNC.Gov
  16. 16. Better Practices 1. 2. 3. 4. 5. Increase Transparency Foster Communication Enhance Customer Service Keep Process Consistent and Fair Continuous Improvement 16 MecklenburgCountyNC.Gov
  17. 17. NCLGBA Winter Conference Community Service Grants December 12, 2013

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