Total time for Kirsten to present here is 5-8 minutes.
Welcome! My name is Kirsten Larson and I am the City of Raleigh’s Grants Program Admin Manager. I’m going to start today’s presentation and then I’ll introduce my co-presenters in just a few minutes. Today’s presentation is titled “City of Raleigh Agency Grant Monitoring”. What we hope you’ll receive from today’s presentation is something you can take back to your community to help monitor grants your jurisdiction awards to outside agencies.
Before we get into Raleigh’s monitoring practices, I want to give you a brief overview of Raleigh’s non-profit funding and how everything is structured in the city.
Between city and federal funding sources, Raleigh allocated about $4.3M to agencies in FY15….including $616,000 to agencies through the Economic Development Fund (monitored by the Office of Econ Dev), $1.2M to Human Services and affordable housing agencies (monitored by the Housing & Neighborhoods Dept), $2.3 in arts appropriations (monitored by Parks, Recreation and Cultural Resources Department) and $168,000 in community enhancement grants (monitored by the Housing & Neighborhoods Dept).
Econ Dev – Chamber ($170k); SERA ($207k); DRA ($108,450); Hillsborough St. ($131k) Community Enhancement - StepUp Ministry ($35k); CSI, Inc. ($13.5k); WIHN ($35k); Habitat for Humanity ($17.5k); Literacy Council of Wake Co. ($20k); InterAct ($35k); Guiding Lights ($12k)
With the magnitude of grants Raleigh gives (and not just in the dollar amount but also in the number of agencies), we decided to pull a team together to discuss things like monitoring, changes the process, issues that have arisen. This team meets bi-weekly or sometimes even just once a month and it includes staff from OMB, Finance, Internal Audits, Economic Development, PRCR and Housing & Neighborhoods departments.
KIRSTEN: Three members of the team are here today…myself, Sarah Corrin from PRCR and Marionna Poke-Stewart from Housing and Neighborhoods. READ bios.
Sarah Corrin, Arts Grant Coordinator for the City of Raleigh’s Office of Raleigh Arts, has spent most of her career working with the Raleigh arts community. Before taking the position as the City’s first Arts Grant Coordinator, she was the Executive Director of Arts Together, a nonprofit community arts school for five years. During her tenure, Corrin oversaw the development of the organization’s first strategic plan, a doubling of grant funding, and programmatic shifts that resulted in a fifty percent increase in enrollment. She also spent many years at Raleigh Little Theatre in a variety of positions with responsibilities that ranged from marketing, community engagement and volunteer coordination to financial reporting, box office and facilities management. Over the years, Corrin has also served on the board of the ADA service organization Arts Access, as a grants panelist for the Durham Arts Council, as a member of the Raleigh Medal of Arts Committee and as an audition judge for Wake County Public School System’s annual performing arts student showcase “Pieces of Gold”.
Marionna C. Poke-Stewart has spent the last 33 years utilizing her experience in management, facilitation and training, fundraising, educational support and coordination in the areas of Program Development, Organizational Development, Board Development and Strategic Planning. Marionna is the Community Services Program Manager in the Housing and Neighborhoods Department at the City of Raleigh. She has oversight of the Foster Grandparent and Retired Senior Volunteer federally funded programs as well as funding monitor of the human services agency grants and staff liaison to the Raleigh Human Relations Commission. Before coming to Raleigh in 2006, Marionna worked as an Executive Director of a non-profit organization in Kansas City, Kansas. Sustaining a growing organization through grant management, board development, strategic planning, program design and evaluation encompassed her wide range of training and experience.
Sarah’s time allocation: 15 minutes
Marionna’s time allocation: 15 minutes
KIRSTEN: Now that Sarah and Marionna have shared a few of their monitoring secrets, I will briefly share information regarding the Finance Department’s fiscal analysis completed on agencies. I want to be clear about this analysis, though…it is part of the city’s program but if an agency does score poorly, it does not necessarily mean an agency won’t be funded for future years. As you all know, non-profit funding can be somewhat political in nature.
There are different levels of fiscal requirements for agencies depending on the previous fiscal year’s grant award. Agencies that receive less than $25k are required to have proof of a Form 990 filing. For agencies that receive $25K or more, they must have proof of a form 990 filing AND they must supply the city with a financial audit from a certified auditor.
If submission requirements outlined above are not met (Form 990 submission or audited financial statement submission), the agency is ineligible for grant award consideration for the following fiscal year. No further fiscal analysis will be performed by Finance.
In the interest of time, I’m a going to only go into more detail about one of the financial analysis categories. If you have an interest in learning more, I’m happy to share or I can put you in touch with Raleigh’s Finance staff. This is step one in the financial analysis. So, taking operating reserves as an example: Operating Reserves: Assets available for use in emergencies to sustain financial operations (current assets – current liabilities) / operating revenue Each category is given a point value scale and then a color based on certain criteria.
*multiple things we look at, not just financial analysis. TREND ANALYSIS: A trend analysis is then performed by analyzing the weighted average value for each agency over a three-year consecutive period. This analysis will assist Finance in determining an overall funding recommendation based upon fiscal requirements. Green: City to continue funding agency Yellow: City to continue funding agency. Finance notes that the agency has exhibited areas of financial concern and warrants more stringent monitoring. Red: City stop funding agency until its financial condition strengthens and/or conditions met within the fiscal requirements document If an agency has only received funding for one year, then a one-year analysis will be used to provide a recommendation. If an agency has received funding for only two consecutive years, then the trend analysis will be performed using available data for the two-year period.
*multiple things we look at, not just financial analysis.
Orange County – report 3x per year (January, April, July). Also, have a scope of services form which was part of their performance agreement so that it would more easily feed into the outcomes form.
City of Raleigh Agency Grant Monitoring
City of Raleigh
December 11, 2014
Overview of Raleigh
Non-Profit Funding &
FY15 Agency Grants
Office of Economic Dev
Housing & Neighborhoods
Housing & Neighborhoods
Parks, Rec, & Cultural Res
FY15 Total Agency
Agency Grant Team
Office of Internal Audits
Office of Economic Development
Parks, Recreation & Cultural Resources
Housing & Neighborhoods Department
The City of Raleigh
The Block Gallery
Raleigh Medal of
Arts Grant Program
The Arts Grant Program
To shape Raleigh as a creative cultural capital and
create and environment where everyone can participate
in the arts.
The Grants Committee
3 Arts Commissioners
1 Greater Raleigh Convention & Visitors Bureau Rep
7 Community Members
The Funding Categories
The Arts Partners
Applicant Financial Health
Serving the General Public
Grant Category Criteria
Scope and Quality of Funded
Stewardship of Tax Payer Dollars
City of Raleigh Arts Commission Funder
Other Contractual Requirements
Human Services Grant
Committee (9 members)
Five (5) Human Relations Commission
One (1) County Representative
One (1) Triangle United Way representative
One (1) Substance Abuse Advisory
One (1) Community Agency representative
Human Services Targeted
An annual allocation of City funds offered to
agencies headquartered in Raleigh.
Qualified applicants must be:
• Chartered as incorporated non-profit
• One year of experience in service
• Headquarters and Program operates
Human Service Grants:
Unit of Service
The Human Service Agency process contracts with
agencies on a unit of service basis to provide designated
services to Raleigh residents in accordance to the terms
and conditions of their contract. Quarterly reports
showing the degree to which the agency has
accomplished its quarterly units of service will be required.
Units of services are based on the days or hours of service
rendered, the mount of allocation for the services and the
number of residents projected to receive the service.
These reports will consist of a completed Quarterly Report
Form and the City’s Financial Information Form that are
provided to the agencies by the Community Services
Division. Quarterly reports are due within 15 days after the
end of each quarter (October, January, April, and July).
Quarterly reports showing the degree to which the
agency has accomplished its quarterly units of service will
Human Service Agency Site Reviews:
Was the facility organized and in good repair?
Did the employees/volunteers appear knowledgeable
Did the facilities appear to be able to meet requirements
as stipulated in the grant contract/agreement?
Are grant documents easily accessible and properly
How are City of Raleigh residents determined?
Did the facility seem to provide safeguards for the health
and safety of employees and volunteers?
Did the Grantee have a detailed updated Policies and
Procedures manual on file?
Different Levels of Fiscal
Agency that receives less than $25K
during prior fiscal year:
Proof of Form 990 filing
Agency that receives $25K or more during
prior fiscal year :
Proof of Form 990 filing
Audit is required
Agency Financial Analysis
If an agency submits audited financial
statements ($25K or more award), Finance
performs a financial analysis covering five
Financial Analysis – Step 1:
Range Color Point
< 0% Red 0
0% - 24% Yellow 2
equal to or > 25% Green 3
(Current Assets – Current
Financial Analysis – Step 2:
The point values determined for each
category are then averaged based on the
following percentage weights:
Audit Opinion 25%
Operating Reserve 15%
Grant Dependency 20%
Add Financial Analysis 25%
Financial Analysis – Step 3:
Final Score/Trend Analysis
0 - 0.5 Red
0.6 - 2.0 Yellow
2.1 - 3.0 Green
Green: City to continue funding agency.
Yellow: City to continue funding agency. Finance notes that
the agency has exhibited areas of financial concern and
warrants more stringent monitoring.
Red: City stop funding agency until its financial condition
strengthens and/or conditions met within the fiscal
Our Monitoring Tips for You…
Scale a monitoring program based on the amount of
funding being distributed or the municipality’s level of
investment risk. (Should a $5k grant require the same
level of monitoring as a $100k grant? If it ok to expend
$5k in staff time to monitor a $2k grant?)
Type of non-profit being funded and/or the type of
programming being funded can have an impact on
monitoring program design.
Risk management/liability issues can impact funding
requirements and monitoring to lessen exposure.
Compliance with local, state and/or federal laws can
impact monitoring design.
Amount of staff resources available to carry out monitoring.
What Tips Can You Share?
And/Or Questions for Us?
Kirsten Larson, Grants Program
Administrative Manager, 919-996-4276,
Sarah Corrin, Arts Grant Coordinator
Marionna Poke-Stewart, Community
Services Program Manager, 919-996-6100,