Building Community Foundations

The Common Grant Application?

Off and on over the years there have been efforts to create a common application for foundations in a region to use. There are over 20 regional common grant applications around the country. What is interesting is that there is little commonality amongst the common applications.

There is an organization for common applications, which can be found at commongrantapplication.com. This is a business out of Santa Monica and they have an application format with a prodigious amount of questions, and allows for user foundations to add or delete questions as they choose. It is an online service that claims it saves paperwork and time and allows for sharing of information.

First of all, a grant application is a proposal from a program that wants a grant. In fact, the proposal is a contract stating what the money is for and what will be done. If one can conceptualize the contract concept, the whole process of applying can be simplified and made more efficient.

The problem with applications is that the funder is asking the questions and there is no assurance that these questions allow for a full, rich description of what the applicant wants to do.

The foundation field needs to understand that questions get answers, but it creates a mosaic of information that then needs to be put together by foundation staff at a considerable cost in time. Questions tend to box in the applicant; what is the alternative?

Guidelines for Application?

One alternative to asking questions is to use guidelines for applications, which list the kind of information necessary for applying.

Here's an example:

"Applicants may telephone or submit a 'Letter of Intent', briefly describing the project before submitting a proposal in order to find out if their ideas are potentially fundable by the Foundation.

In applying for grants, the following information should be included:

Summary statement
The specific purpose of the funds requested
The need for the project in the community
Qualifications of key personnel
The amount requested
A detailed description of how the money would be spent
A detailed copy of the latest annual operating budget reflecting expenditures and receipts and a statement of assets
A statement advising how the grant, if made, can be evaluated with regard to the funds going to the agreed-upon purpose and/or the effectiveness of the program
Recent grants received and applications pending
Names and members of the Board of Directors and their principle occupations
Evidence that this application has the approval of the Board of Directors - a copy of the minutes of the Board of Directors meeting
A copy of the organization's Internal Revenue Service federal tax-exempt letter
Names, titles and telephone numbers of three professionals familiar with the work of your organization

After these materials are received, you will be contacted for a visit if your application is accepted for consideration.

The general policy of the Foundation is to make grants for innovative and creative projects, and to programs which are responsive to changing community needs in areas of health, social service, education and cultural affairs.

Agencies applying for funds should be serving citizens of (Your Specific) area.

Foundation grants are made (Number) times a year."

Or No Application?

Another alternative is to do away with applications, especially if the amount requested is below $10,000. If you are relating to a person you know or whose background you are aware of, and if the idea to be funded makes good sense, then write up a paragraph that describes the idea, send a letter with the project description and a check. Request a signed copy of the letter agreeing to the paragraph to be returned.

Doing this speeds up the grant process, simplifies it, and gives money when it is needed. You have everything necessary for an audit - an agreement signed, receipt of money signed, and a description of what the money is for.

Remember, 85% of giving by community foundations is made of grants less than $10,000. There needs to be a process to minimize paper and free up foundation staff.

While we are at it, do away with deadlines. If the application process is streamlined, and recognizing that most grants are under $10,000, then let people apply when they need the money and respond as soon as possible.

The most important element in any project or idea requesting funds is the capacity of the person doing the project. Extended application questions simply don't manifest the nature of the talent involved, especially if there is an electronic application. One needs to go beyond just a résumé.

The idea is to have a face to face with the applicant. Next to that would be an assessment of the reputation of the applicant, what others say versus degrees and accolades.

Foundation personnel become experts in judging people from all the field work they do and exposure they get. Use this expertise.