Your Community Foundation in
Yearbook 2011
4 M ission & Year in R eview
6 D imension 1: Learning & Gathering Dick Kleine and the Three-Dimensional Life How We Learn about Community Needs Teens for Tomorrow - A Lesson in Three Dimensions Overcoming Tragedy with a Little Help from Our Donors
14 D imension 2: Earning & Growing John Pedersen Sparks Engine of Growth for Clients and Community Endowment Partners - Growing the Seeds of Nonprofit Security Affiliates Grow Endowment for Their Communities
20 D imension 3: Returning & Granting Russell Construction Builds the Community Through Corporate Philanthropy Giving is Easier with 24/7 Online Access to Funds Sophia Hapke: “How-To� Build a Lasting Legacy Become a Member of the Legacy Society
28 Financials , Board & Staff
The Three Dimensions of Living: The Three Dimensions of Giving It is said that there are three phases – three dimensions – to a rich, satisfying life: 1. Learning
2. Earning
3. Returning
Likewise, there are three phases to the Community Foundation of the Great River Bend: 1. Gathering
2. Growing
3. Granting
When we are children, in the first dimension of life, we go to school and interact with others, gathering knowledge and experience. In the first dimension of giving, our Foundation gathers financial gifts from people with charitable hearts – people who want to make a difference in the lives of others. As adults, in the second dimension of life, we spend a lot of time developing careers, earning money to support our families and growing our assets. At the Community Foundation, the second dimension also involves earning – investing donors’ gifts wisely, building assets for the community. In the third dimension of life, the successful person gives back, “returning” to help the people where they live. In the third dimension of the foundation, we give back by granting funds to nonprofits that provide services and programs that have a direct impact on people. Last year, CFGRB and our affiliates distributed $6 million in grants. Total assets reached $72.8 million at the end of 2010 and this number has grown in 2011, as even more people understand the good we can do together. This yearbook will explore the three dimensions and show you how – because of our donors – we’re able to help many thousands of people every year. If you’re a donor, we hope you take pride in seeing the good works that result from your generosity. If you haven’t yet reached the third dimension of your life, we hope this report will show you how the simple act of giving back can establish your lasting legacy. A grateful community will thank you for generations to come, as we do with this report.
Michael Drymiller, Board Chair Susan Skora, President & CEO
3
Mission & Year in Review Our Mission: “ to better our community by connecting people who care with causes that matter.”
•
CFGRB ended 2010 with total assets of $72.8 million.
•
CFGRB and our affiliates distributed $6 million in grants in 2010.
•
CFGRB and our affiliates awarded more than $500,000 in scholarships in 2010, making it easier for students in our 17-county service area to achieve their educational goals. Our annual Scholarship Reception brought more than 50 students together with donors.
•
4
Dick Kleine joined CFGRB in a volunteer role as Director of Corporate Relations. He has previously served as a member of the Board of Directors, including Board Chair.
•
Brady Frieden, a St. Ambrose student who was a Teens for Tomorrow member until he graduated from Assumption High School, returned in June as Student Director of T4T.
•
Our 2010 Yearbook won the Bronze Award in the Annual or Biennial Reports category of the 2011 Wilmer Shields Rich Awards for Excellence in Communications. Awards were announced at the Council on Foundation’s annual conference in Philadelphia.
•
Susan Skora was presented with the Outstanding Planned Giving Professional Award by the Association of Fundraising Professionals at their National Philanthropy Day event.
•
Achieve Quad Cities celebrated its first anniversary in its effort to raise high school graduation rates. More than 300 volunteers helped more than 2,600 students during the first year.
•
Pete Wessels, Randy Moore, Terry Wilson, and Jenny Kimball joined CFGRB’s Board of Directors. Mike Drymiller became the Board Chair.
•
Teens for Tomorrow (T4T) awarded a total of $10,000 in grants to nonprofits in the community – up from $6,000 the previous year – due to the Herb and Arlene Elliott Endowment, which now permanently funds T4T.
•
Our investment managers earned a return of 14% on investments in 2010.
Iowa
Jackson Carroll Clinton Cedar Johnson
Whiteside Scott
Quad Cities
Muscatine Rock Island
Washington Louisa
Henry
Mercer
Des Moines
Knox
Illinois
Van Buren Lee
Our Service Area
•
Our CEOLink program brought nonprofit leaders together to discuss issues they face, and solutions to challenges facing nonprofit organizations.
•
The Iowa Legislature passed an Endow Iowa bill that increased the tax credit program from $3.7 million per year to $4.5 million. Endow Iowa has resulted in an increase in giving to Iowa community foundations. A similar program was proposed in the Illinois Legislature again this year, but has not yet won approval.
•
Two of our staff retired this year – Pat Miller, who was with us for 14 ½ years, and Willie Breuer, who had been with us for 3 ½ years.
•
•
Al Zwilling joined the CFGRB staff as Director of Affiliate Relations, Nicole Freise took Pat Miller’s position as Program Associate, Lindsey Wheeler joined us as Business Operations Associate, and Maryfrances Swartout joined us as Affiliate Development Assistant, VISTA member. In August, 2011, the Community Foundation was notified that it had again achieved National Standards for U.S. Community Foundations as established by the Council on Foundations.
Keep up-to-date on the events at your Community Foundation in real time. Visit and subscribe to our blog – www.susanskora.org
5
Dimension 1:
Learning & Gathering
T
Dick Kleine and the Three-Dimensional Life here is a well-known quote, attributed to business executive Jack Balousek, describing the three phases of living, which are to “learn, earn and return.”
At our Community Foundation, we also recognize three phases of giving: “gather, grow and grant.” These three dimensions of living and giving are closely intertwined. Dimension One involves learning and gathering; Dimension Two is earning and growing; the Third Dimension involves returning and granting.
A Stronger Community
6
Like so many of our donors, Dick Kleine has lived that three-dimensional life and our community is stronger because of it. Dick believes that his family has gathered many blessings in life, those blessings have grown over time, and as a result, it’s their responsibility to return blessings to others. He grew up in St. Louis and got a B.S. in Industrial Engineering from St. Louis University. Among the blessings at that time was a blind date with Mary Lou Miller, a queen candidate
at the ROTC Ball from Fontbonne College. After she graduated, they were married. Dick spent three years as an officer in the Air Force, but his learning wasn’t complete. He exited the Air Force and entered the University of Iowa, earning an MBA degree.
D ick K leine relaxes on the patio at his home in
B ettendorf .
N
D ick and M ary L ou K leine on their wedding day in 1957.
Nearly 40 years later, he retired as a Vice President at Deere and Company. As his achievements grew over the years, so did his involvement in the community. He and Mary Lou have served on a number of boards and committees of charitable organizations and were also very active in their church, St. John Vianney. They also became fund holders with the Community Foundation of the Great River Bend, establishing Donor-Advised Funds and the Kleine Family Endowment, which will be directed by his son Mark and grandson Drew when Dick is gone.
The Legacy Continues Sadly, Mary Lou passed away in 2008, but Dick continues to build the legacy that they began together. He has served on CFGRB’s Board of Directors, including a term as Board Chair. One of his creations was the Caring Award, presented each year at our annual Celebration to outstanding volunteers nominated by the nonprofits they serve. It’s not a coincidence that Dick was interested in honoring
those who give their time and energy to good causes. “When you get to the phase in your life when it’s time to return,” Dick says, “the Community Foundation can help you return not only treasure, but also some of your time and talent to the community.” In 2010, he helped launch Achieve Quad Cities, a community partnership aimed at raising the high school graduation rate. He understands very well that education – learning – is essential to ensure that the second and third phases of life are more easily achieved. This year, Dick decided to return even more, and took a volunteer position with us as Director of Corporate Relations. In that role, he is visiting corporations to discuss how they can give back and make the community a better place to live. It’s a subject he knows quite well.
Watch a video of Dick Kleine that inspired the theme of this yearbook by visiting www.cfgrb.org/donors
7
O
How We Learn about Community Needs ne of the roles of a Community Foundation is to stay in touch with the needs of the community. By doing so, we can address issues of concern through different types of grants and let our donors know where their help is needed.
•
We have extensive volunteer involvement – more than 260 volunteers from all parts of the community who all bring experience and information to our Foundation.
•
We network and belong to groups such as Chambers of Commerce, Kiwanis, Rotary. From community leaders to grant recipients, we are intensely involved and find out what’s happening in the community and what is needed.
We use several methods to learn about emerging issues and trends:
•
We have relationships with nonprofits throughout our 17-county service area and remain informed on the services they provide, the needs they meet and the challenges they face.
•
We are involved with the Community Vitality Scan and Community Snapshot – providing demographic and other information that reveals current trends and emerging issues.
•
Our Board of Directors is made up of a diverse group of people, all of whom are actively involved in their community.
Endowed Funds
8
• Community Impact
(discretionary – where the need is greatest)
One example is a recent Community Vitality Snapshot that showed the number of single family households with children under 18 increasing by 1,351 in Scott and Rock Island counties from 2005 to 2009. This type of information lets us anticipate needs in housing assistance, hunger relief, education, and many other issues. The Community Vitality Snapshot is sponsored by CFGRB and three other organizations: United Way of the Quad Cities Area, Quad City Health Initiative, and The Moline Foundation.
Types of Funds Non-Endowed Funds • Friends of the Foundation
(supports important work of the community foundation)
• Field of Interest
• Designated
• Corporate Foundation Fund*
• Nonprofit Organization
(such as youth, homelessness, hunger, education)
• Private Foundation Fund* * Sometimes called: “endowed donor advised fund”
(specified organizations receive distributions) (an agency’s endowment)
• Charitable Giving Fund* * sometimes called: “donor advised fund”
• Project Funds
(limited in scope and duration)
• Friends of the Foundation
(annual operating fund for the foundation)
• Scholarship
These funds pay out 4.5% of the market value averaged over four years.
These funds are fully expendable.
Gathering Resources to Meet the Many Needs of our Community – and Our Nonprofits The Community Foundation of the Great River Bend gathers gifts from people with charitable hearts and builds permanent resources for the community. Nonprofit organizations provide important services directly to the people who need them – from hunger and homelessness to education, the environment, and the arts. The grants we distribute throughout the year – $6 million in 2010 alone – go to nonprofits that make our region a better place to live. Since 2008, the economic situation and the financial strain in all levels of government has emphasized the importance of the work that we do on behalf of our donors. We provide grants that make nonprofits stronger, and we’re also there for emergency needs. Our donors make it possible.
Top L eft : W hen the server crashed at the M idwest W riting C enter in downtown D avenport , our C ommunity I mpact F und helped the nonprofit buy a new one .
Top R ight : A grant from the C ommunity F oundation helped the B ackwater G amblers purchase an additional S afety B oat to assist water skiers during practices and performances on the R ock
R iver. T he B ackwater G amblers provide free waterskiing shows to the public twice a week from M emorial D ay through L abor D ay.
B elow : J o C ohrs arranges donated items inside the food bank at the B ettendorf offices of C hurches U nited of the Q uad C ities
A rea . C hurches U nited has 25 food pantries in S cott and R ock I sland counties responding to more than 118,000 requests for food each year. T he organization has been a grant recipient and is an endowment partner with
CFGRB.
D I M E N S I O N 1 : L E A R N I N G & G AT H E R I N G
Teens for Tomorrow – A Lesson in Three Dimensions
I
t’s a learning experience. In the span of nine months each year, around 35 high school students work through the three dimensions of giving. Along the way, they find out how it feels to make decisions that have a real impact, and they learn what $10,000 can do to improve the lives of real people.
A Life-changing Experience Students who join Teens for Tomorrow (T4T) aren’t always aware that they’ll soon gather experiences and gain insights that will cause them to look at the world through new eyes. As teenagers, few have the life experience to understand the important role nonprofits play in the community by working directly with people to
M embers of Teens for Tomorrow meet to decide how to distribute
$10,000 in grants .
10
address needs. They learn this through CFGRB’s youth philanthropy program, which is funded through the Herb and Arlene Elliott Endowment. Each year, members learn about the grant-making process before accepting grant requests from area nonprofits. After receiving the applications, members break into small groups and divide the grant applications among them. The next step involves researching the applicants, including site visits to get a first-hand look at the need that the grant will address. “Usually you only hear about the big nonprofits such as the Red Cross or Goodwill,” says Matt Hamma, a senior at Davenport Central
M embers of T4T present a grant check to E ldridge F ire C hief Tyler S chmidt .
ence in Michigan this summer, Brady gained a new vision for the group.
High School. “But in this group we learned about smaller nonprofits that help people with afterschool services, alcohol treatment, and more. They’re all helping people.” After doing research, T4T members meet in April to present their findings to the complete group – debating, inquiring, arguing, and finally deciding which organizations will receive part of $10,000 in annual grants. This year, members chose to divide the $10,000 grants among six nonprofits.
“Besides just awarding grants, I’d like to incorporate community service and volunteer work into T4T,” Brady says. It’s clear that Brady and all the participants in T4T are gaining leadership experience that will serve them well in the future.
Creating Philanthropists T4T is designed to incubate young philanthropists who will go on to complete their education and enjoy good careers, never forgetting the importance of giving back. T4T has changed Brady Frieden’s life. The junior at St. Ambrose University took a couple of years off after serving in T4T as a high school student. He returned this year as Student Director. At a Youth Grantmakers Leadership Confer-
11
T4T S tudent D irector B rady F rieden with members M att H amma ,
M imi B arney, and O ksana W eir.
D I M E N S I O N 1 : L E A R N I N G & G AT H E R I N G
L indsay, R yan , and J oydene K oresko . I nset photo – L indsay and R yan ’ s father, D onald K oresko .
D
C g d p p
D e u n
A
L T c L
I c t D
s
Overcoming Tragedy with a Little Help from Our Donors D on and C harlotte W illiams
the challenge of a single-parent household. “Lindsay and I had to become adults,” Ryan says. Lindsay admits she had a hard time for a while because there was a disconnect between the deep emotions she was feeling and the attitudes of her friends.
D
“I felt as if I was living in the real world,” she says, “but my friends were obsessed with material things – what am I going to wear today; who’s having a party this weekend?” When Lindsay met a girl who had recently lost a close relative, it was a turning point and they became friends, helping each other get through their tragedies. on and Charlotte Williams loved to give. Once on his birthday, Don surprised co-workers by giving them envelopes with $10 bills inside.
Another time, when Don and Charlotte were dining in a local restaurant, a group of teenagers were at a nearby table, all dressed up for prom night. Don and Charlotte paid the tab for the entire table, giving the young people a night to remember. Don and Charlotte are both gone now, but an endowed scholarship they established continues to give young people a boost when they need it most.
A Deep Personal Loss Lindsay and Ryan Koresko can testify to that. Ten years ago, their father, Donald, died from complications of ALS. Ryan was in fifth grade – Lindsay was in eighth grade. It’s never easy to recover from such a loss. The children and their mother, Joydene, had to work together to keep going. After struggling to care for Donald during his illness, Joydene now took on
Results of Hard Work Both Lindsay and Ryan put their heads down and focused at school. The hard work paid off. In different years, both were awarded the Don E. and Charlotte Williams Scholarship. The scholarship is renewable each year of college (maximum four years) as long as the students maintain their grades. “We did the numbers,” Ryan says, “and it would have been a lot harder to go to school without the scholarship. It meant a lot less pressure, and less debt to pay off in student loans.”
13
Lindsay graduated from college and is now employed by United Healthcare. Ryan will graduate from Monmouth College next year and plans to be a teacher. Joydene Koresko says, “I think the kids got me through this. They both get a lot from their dad, especially his work ethic. I’m very proud of them.” Ryan and Lindsay are very grateful for the scholarships, and Lindsay wants to pay it forward by developing her own nonprofit event – an ALS Walk in the Quad Cities area. Don and Charlotte Williams would approve. D I M E N S I O N 1 : L E A R N I N G & G AT H E R I N G
Dimension 2:
Earning & Growing John Pedersen Sparks Engine of Growth for Clients and Community
I
n the second dimension of life, we enter our earning phase. We build our assets, raise our families and plan for the future.
At the Community Foundation, the second dimension of giving involves growing the gifts of our donors through careful management and wise investment. In John Pedersen’s office at Merrill Lynch in Davenport, three small antique gasoline engines – Clinton engines -- sit on the windowsill. As a child, John loved gas engines and he thought he would grow up to become an engineer. Instead, in 1974 he became a financial advisor because “it was the closest thing to being self-employed.” John is First Vice President-Investments at Merrill Lynch and a member of CFGRB’s Advisor Circle. He has built a career on helping people build for their futures, and now that he’s a grandfather, he understands very clearly the idea of returning – of making the community a better place for the next generation. “People spend their lives building wealth,” John says. “What do you want to do with it when you’re gone? People who are retired seem to be more attuned to the idea of giving back.”
s
,
Our Advisor Circle Members of CFGRB’s Advisor Circle serve their clients through inspired legacy planning. Each member has assisted one or more clients to establish a significant gift at the Foundation to benefit the community. We recognize these professionals, and the vital role they play in making their clients’ philanthropic goals a reality.
The Advisor Circle Ray Allen
Judy Hilgenberg
Henry Neuman
Scott Voigt
Larry Calvo
Roger Hill
John Norton
Dana Waterman
Jack Dane
Peter McLaughlin
John Pedersen
Cal Werner
David Dettmann
Kirk Metzger
John Slover
Pete Wessels
Dan Ellard
John Nagle
Leigh Svacina
Ron Hansen
Jim Nash
Marie Rolling-Tarbox
O pposite - J ohn P edersen in his office in 2011 with a C linton engine and a photo of his grandchildren .
J ohn P edersen in 1989 with ( left to right ) daughter E rin , wife S heryl , and daughter L esley.
Effective Way to Give One of John’s clients was Mary Peterson, who left a substantial gift to the Community Foundation in her estate plan. Mary had been a registered nurse – her husband, who passed away years before she did, was an engineer. At one point, Mary was approached by a university, suggesting that a building on campus with the Petersons’ name on it would be the way to go. Instead, she decided to invest in students. She established a fund that gives scholarships to nursing and engineering students. “I prepared a spreadsheet that showed her how many students she would be able to help over time, as the fund grew,” John says. “She knew that when you help people, you are building a lasting legacy.”
John is one of the investment advisors who manages the Community Foundation’s endowment assets. When John sits down with clients and the subject of giving comes up, he talks about the Community Foundation of the Great River Bend. It strikes a chord. “The Community Foundation is the most costeffective way to leave money to charity,” he says. “Also, it’s local. Your money helps people where you live.” As he speaks, the three small antique engines sit on the windowsill behind him, two red and one white, appearing shiny and brand new. John may not have become an engineer, but he’s helping to build something more important – better lives for his clients, and a better future for our community.
15
Professional Advisors and the Community Foundation You want to discuss the many benefits of charitable giving with your clients, but you want to avoid recommending specific charitable causes or organizations. The simple solution is the Community Foundation. We are a trusted organization that can help your clients make an impact on the causes they care about most, while gaining maximum tax benefits under state and federal law. CFGRB is your partner in providing service and a variety of giving options to your clients. The Community Foundation of the Great River Bend can help you: •
Identify your clients’ charitable giving interests and motivations.
•
Match personal charitable interests with tax and other financial planning needs.
•
Create and implement charitable plans that are integrated into major business, personal and financial decisions.
•
Facilitate complex forms of giving, such as charitable remainder trusts or real estate gifts.
•
Provide information on community needs – and on the local agencies and programs that make a difference on the issues your clients care about most.
Simple Steps for Professional Advisors •
16
• •
Ask your clients if they have considered charitable giving. Remind them of possible tax and other planning benefits. Bring us into the conversation.
Check out the wealth of information on our website to help advisors talk to their clients www.cfgrb.org/advise
Nonprofits Enjoy Benefits When They Become Endowment Partners Nonprofit organizations that become Endowment Partners with the Community Foundation of the Great River Bend enjoy benefits such as: • • • •
Save money and time on endowment administration and reporting. Ability to focus on the organization’s mission, not fund management. Access to tax credits for many of the organization’s endowment donors. Access to the endowment and planned giving expertise of the Community Foundation’s staff.
6- year old M olly B reidinger and her physical therapist , S arah P olich .
•
•
•
Provides a secure, permanent source of funds for the stability of the organization. Increases giving opportunities for interested donors by offering gift annuities, real estate gifts, charitable remainder trusts, and other complex forms of gift arrangements. Improves investment opportunities and lowers investment costs.
maor ani-
rtuniors es, able
f
rs
Endowment Partners – Growing the Seeds of Nonprofit Security
A tender age.
t six years old, Molly Breidinger has learned to face hurdles in life that most people don’t experience at such a
Molly goes to the Children’s Therapy Center once a week. Physical Therapist Sarah Polich helps her stretch, then takes her through exercises designed to strengthen her leg muscles. When she gets onto the treadmill, she puts on a princess dress. “Molly is the reason we do this,” says longtime Executive Director George McDoniel. “She gets tired like anyone else. She gets sore like anyone else. But she keeps going.”
Overcoming Obstacles That type of determination not only enables children like Molly to grow and overcome the obstacles she faces – it also drives a nonprofit like the Children’s Therapy Center to focus on long-term goals for the organization. George and the Board are determined to build the organization’s endowment. Unlike annual donations, which are vital to day-to-day operations, gifts to an organization’s endowment provides a source of support forever. George has been Executive Director since 1984. Helping children like Molly is a passion. Some children come to the Center for therapy, but
because it isn’t always easy for them to come to the Center, many children have in-home sessions. “Since 2002,” George says, “we’ve more than doubled our services, but we’ve only increased our budget by 13%. We’ve been very successful at increasing our efficiency.”
Security of Endowment For George and the Board of Directors at the Children’s Therapy Center, building endowment is necessary for financial security. An endowment grows over time, with a percentage paid out each year to the organization (see page 26 for a chart on how an endowment grows). An endowment will help ensure the Center weathers dips in the economy. In better economic times, it will help to fund more equipment for the children, training for staff, and other operating expenses. “It may take a while to build,” he says, “but an endowment is absolutely worth it.” George and members of his Board of Directors have worked with the Community Foundation to build endowment. CFGRB and its affiliates have more than 150 endowment partners in 17 counties. “The Foundation has coached us through this,” George says. “We wouldn’t be building endowment without their help.”
17
In the next room, Molly continues to work hard with Sarah. She walks on the treadmill wearing her princess dress and a determined look on her face. Occasionally, she turns and smiles. Seeing that smile makes it very clear -- perseverance and a focus on the future are essential For information on elements of success becoming an endowment for both Molly and for the Children’s partner, visit Therapy Center.
www.cfgrb.org/nonprofit
DIMENSION 2: EARNING & GROWING
Affiliates Grow Endowment for Their Communities
C
ommunity foundations almost always start small, launched by people with a sense of community and a desire to make a longterm impact. Foundations usually build slowly, but once they hit a certain point and begin to make grants into the community, the growth happens faster. The Community Foundation of Des Moines County turned 5 years old this year. In the past two years, it has grown from around $200,000
18
in assets to almost $800,000. Most of this has come from organizations. “We’re making great strides,” says Margaret Hansen, Executive Director for the past two years. Helping Endowment Partners is a key role for a foundation, but one of the top goals is to build discretionary endowment known as a Community Impact Fund. Grants from a discretionary fund can be directed at the community’s most crucial needs, which can vary from year to year.
Affiliates of the Community Foundation of the Great River Bend
To build their grant-making capacity, the Community Foundation of Des Moines County is focusing on building their Community Impact Fund. The first major goal is to reach $500,000 in donations – at that point, they will begin making grants.
Benefits of an Active Board “One asset the foundation has going for it is a strong, active board,” Margaret says. “We have a good mix of people from throughout the county.”
Community Foundation of Cedar County
Davenport Legacy Foundation
Community Foundation of Des Moines County
Fulton Association for Community Enrichment (FACE)
Community Foundation of Louisa County Community Foundation of North Lee County Community Foundation of Van Buren County Community Foundation of Washington County
Geneseo Is For Tomorrow (GIFT) LincolnWay Community Foundation Morrison Area Community Foundation River Bluff Community Foundation
CFGRB has 13 affiliate foundations Clarence Community in 17 counties. Affiliates in both Iowa Foundation and Illinois have grown in number, recognizing the added strength, stability and resources CFGRB offers. Also, the Community Foundation of the Great River Bend has achieved National Standards for U.S. Community Foundations as established by One of the challenges for a new organization like the Council on Foundations. In addition to recogthe Community Foundation of Des Moines Counnizing an outstanding level of service and profesty, Margaret says, “is to tell people what on earth sionalism, the National Standards designation is a Community Foundation. That’s the question I affords our donors an added opportunity. hear most. It’s a brand new concept here in BurBeing a qualified community foundation enables donors who pay taxes in Iowa (individuals, organizations and corporations) to take advantage of the Endow Iowa tax credit of up to 25% when they donate to an endowed fund through CFGRB or one of our affiliates. When Illinois passes similar tax credit legislation, Illinois taxpayers who make qualified gifts to CFGRB or its affiliates will also enjoy the benefit.
lington and Des Moines County, but people here have open minds and accept new ideas.”
19
With a strong, active board and a new Community Impact Fund drive, it won’t be long before this young foundation is ready to make a real difference in the lives of people all across Des Moines County.
Learn more about our affiliates on our website at O pposite : T hree B oard members of the C ommunity
–
www.cfgrb.org/affiliate
F oundation of D es M oines C ounty ( left to right ), D ennis H inkle , J erry P arks , and K eith S chulz .
DIMENSION 2: EARNING & GROWING DIMENSION 2: EARNING AND GROWING
Dimension 3:
Returning & Granting Russell Construction Builds the Community Through Corporate Philanthropy
J
im Russell was surprised by a statistic his staff discovered recently. In the 28 years since Russell Construction has been in business, the company has given more than $1 million to charitable and civic causes.
20
Russell Construction has made an innovative mark on the Quad Cities and the region through the design and construction of some of the most prominent commercial buildings of the past three decades. But Jim, the principal owner, looks ahead and wants to build a permanent legacy for the community that has given the company success. “We build the community through construction,” Jim says, “and through corporate philanthropy, we are able to give back.”
Short and Long-Term Goals Russell Construction started two funds at our Community Foundation. One is the Russell Foundation Endowment – a Corporate Foundation Fund that Jim and his employees will build
J im R ussell in the lobby of R ussell C onstruction .
over ten years. Once complete, the endowment will award grants to nonprofits every year in perpetuity. The second fund is the Russell Foundation Fund -- a Charitable Giving Fund which is totally spendable (non-endowed) and will be used to make grants during the ten years that the endowment is growing.
Benefits of Establishing A Corporate Fund with CFGRB Partnering with the Community Foundation allows your company to give back to the community, give more for less and gain visibility and goodwill for the good work your gift makes possible. Benefits to your company:
“This is a cyclical, boom and bust business,” Jim says. “We’ll have several great years, then a flat year, then a couple of mediocre years, then a great year. An endowment helps us create a longer-term, accumulating ‘bucket’ from which to give. That way, our giving can continue even when it doesn’t make sense during one particular year. It’s a leveling, long-term giving strategy.”
Personal Giving Jim and his wife, Michelle, also have a personal giving history with the Community Foundation. They are interested in a wide variety of causes in the community. They have also recently started a nonprofit entitled “Live Uncommon” to champion a balanced life while striving for excellence. As Russell Construction builds its own funds, Jim says employees will have input into where grants are directed. He sees the Community Foundation as a more personal way to give. As he talks, he laughs and says, “I’ve always seen Russell Construction as a person.” If Russell Construction is a person, it’s living a three-dimensional life at an early age. And with a foundation built on this type of philanthropy, it’s likely to return wonderful things to the people of this area for generations.
•
CFGRB has a knowledgeable staff with in-depth grantmaking and corporate giving expertise.
•
Flexibility in making donations -- you can give cash, appreciated stock, real estate, or other assets.
•
Training for your employee giving committee on how to read and evaluate grant proposals.
•
Tax benefits including a possible Endow Iowa credit if your business pays taxes in Iowa.
•
An easy and secure online portal (MyFund) so you can recommend grants and have complete, accurate grant records available 24/7.
•
Grants administration and processing. We issue checks to your chosen charities.
•
Name your corporate fund and issue grants in the company’s name or anonymously.
•
You or a team of employees can recommend uses for the fund to support the causes and nonprofits you care about most, or you can devote your fund to a specific organization or cause.
•
No federal excise tax on investment income, as there is with a private foundation.
•
No minimum annual payout requirement and no separate tax return, unlike a private foundation.
•
The Community Foundation remains in full compliance with state and federal regulations as they relate to grants and contributions.
Contact Dick Kleine, Susan Skora or Barbara Melbourne for more information.
Strategic Grants Aim at “Moving the Needle” on Issues Our Community Impact Fund gives the Foundation the flexibility to address the evolving needs of our region. In recent years, rather than simply responding to grant requests, we have directed substantial grants to try and “move the needle” on issues that have been identified as important to the community: •
Raising the graduation rate at area high schools;
•
Developing the workforce at early childhood centers; and
•
Increasing the capacity of nursing education institutions.
CFGRB is part of a regional alliance supporting Achieve Quad Cities, a partnership aimed at raising the graduation rate at area high schools by 5% over 10 years. The program celebrated its first anniversary this spring. In its first year, more than 300 volunteers helped more than 2,600 students through site visits, classroom presentations, and by becoming mentors to at-risk teens. S usan S kora and her “L ittle ” M ackenzie G ibson CFGRB provides funding at the first anniversary celebration for Bi-State Early Childhood of A chieve Q uad C ities . Leadership, a strategic partnership to boost the skills of the workforce at early childhood centers. Through this program, center directors are assisted in becoming credentialed through AIM 4 Excellence and National Louis University. Training is also available for center staff to help them gain skills for working with children, and to help them see that this is more than just a job – it’s a career. A co-sponsor of this program is Scott County Kids.
CFGRB is a sponsor of Partners in Nursing, aimed at boosting the capacity of nursing education institutions in the Quad Cities area. The Ilowa Partners in Nursing is now in its third year (a twoyear grant was extended one year). One of the issues PIN is working with now is the call by the Institute of Medicine that by 2020, 80% of nurses will have a baccalaureate degree.
For grant applications, go to www.cfgrb.org/receive For a listing of funds and donors, go to www.cfgrb.org/donors
Giving is Easier with 24/7 Online Access to Funds
D
an and Jenny Molyneaux have a Charitable Giving Fund with the Community Foundation. When it’s time to make decisions on grants, Jenny goes online and calls up her fund information through MyFund, the Foundation’s online Fund management tool for donors. “It’s very convenient and user friendly,” Jenny says. “We don’t have the need to check it often, but when it’s time to make our annual distributions I call up what we did last year and then execute our new recommendations.”
Family Tradition Philanthropy isn’t unusual in their families. Jenny’s father started a fund in the state where he lives, and Dan grew up in a home where philanthropy was taught early on. “We had these two great examples,” Dan says of their parents, “and we had the means to do it, so we took advantage of the opportunity.”
D an and J enny M olyneaux use M y F und to make grant decisions for their C haritable G iving F und .
“There have been charities we’ve given to over the years,” Jenny says, “but our fund with the Community Foundation consolidates everything and makes giving easier.” MyFund is a service available online to all CFGRB fund holders, giving them access to their fund anytime, anywhere. To learn more and to register for MyFund, visit our website at www.cfgrb.org or call Hannah Morrell at 563-326-2840.
Stay Up-to-Date On Your Community Foundation Stay informed on the issues and events you care about by visiting our website and blog, and through Twitter and Facebook.
23
Our website (www.cfgrb.org) is a place to search for grants and scholarships, keep track of funds, download applications, find information about programs and services, and watch videos about your Community Foundation and the wonderful donors who make it all possible. Susan Skora’s blog (www.susanskora.org) serves as our “electronic newspaper.” Updated often, you can see the latest news, events, and issues that affect you and your Foundation. You can also subscribe to receive alerts when there’s a new post. We also use Twitter (www.twitter.com/cfgrb) and Facebook to reach out to our donors, endowment partners, grant recipients, and interested people throughout our region.
DIMENSION 3: RETURNING & GRANTING
Sophia Hapke: “How-To” Build a Lasting Legacy
S
ophia Hapke “wrote the book” on living a multi-dimensional life.
Sophia learned about tragedy at an early age. When she was 8 years old, her parents were killed in an accident. Her uncle sent her to Catholic boarding school. As she grew up, she became devoted to lifelong learning.
There aren’t many photos remaining of Sophia. A newspaper article from 1960 (from the paper that became the Quad-City Times), shows Sophia standing in front of a group children from the Priester family who had all been in her classroom at various times. The photo showed her receiving a silver tray as a gift from the family.
Sophia became an elementary school teacher, spending her career in Davenport schools. She also earned while helping people learn, writing many “how-to” books – how to sew, how to hang wallpaper, how to garden, and many more.
Walter Priester is in that photo and still lives in Davenport. Fifty-one years later, he has nothing but fond memories of Sophia Hapke.
Converting Private Foundations
And Sophia loved young people. Perhaps she wanted to make life easier for children because she had experienced tragedy at a young age. Her motivation will never be known, but Sophia Hapke built a legacy that lives on nearly three decades after she left us. For many decades to come, Sophia will continue to assist young people through the learning phase – helping them achieve their educational goals – so they may also live multidimensional lives as she did. And each year, these students will know who was responsible for the gift – a woman who overcame hardship and loved to learn, loved to teach, and loved to give.
Using some AT&T stock that she inherited, she and her husband, Fred, learned how to invest wisely. They also learned the art of thriftiness, and lived simply as their fortune grew.
24
Priester Family Remembers
“She was a lot of fun,” he says. “She was a great lady. My family loved her.”
When she died in 1982, Sophia had made plans to return good things to the community, and left an estate worth more than half-a-million dollars. Two private foundations were established – one a permanent fund to support Sacred Heart Cathedral in Davenport and another to provide scholarships to deserving graduates of Davenport schools. Because of the complexities of administering a private foundation, both of them – the Sophia N. Hapke Charitable Fund and the Sophia N. Hapke Scholarship Fund – were brought in as funds of Just answer these questions: the Community Foundation this year. The 1. What causes and issues do you care most about? funds continue to operate as they did before, but no longer have the burdensome 2. What will be the name of your fund? taxes, reporting, and other requirements 3. What type of fund will it be? and restrictions of a private foundation. Next, there are three simple steps: Sophia’s sorority, Delta Kappa Gamma, is still in charge of awarding scholarships 1. Talk with your family. each year. Sophia’s private foundations 2. Talk with your financial/estate advisor. are among 40 that have converted to become funds of the Community Foundation 3. Then talk with us. in recent years.
Opening a Fund is Easy
S ophia H apke is shown above with the P riester family in a 1960 newspaper photo . P hoto at right shows
W alter P riester today ( in the newspaper photo he ’ s standing second from left in the back row ).
25
A Legacy Built to Last This is the story of our Community Foundation. It starts with wonderful people with charitable hearts like Sophia Hapke, Dick and Mary Lou Kleine, Jim Russell, John Pedersen and his client Mary Peterson, and all the donors and volunteers who are part of our organization. They are people who see the value of giving, of helping those less fortunate, and of making the community a better and more vibrant place to live.
Each day we work to make philanthropy easy for them, and to turn our donors’ charitable goals into reality. As the years and generations pass, there will always be three dimensions of living and three dimensions of giving. Our donors will learn, earn, and return, and we will gather, grow, and grant – for good, for ever.
DIMENSION 3: RETURNING & GRANTING
$40,000
$30,000
$20,000
$10,000
$0 Year 1
Year 5
Year 10
Year 15
Cumulative Annual Grants
The power of endowment – a gift that gives AND grows
Year 20
Fund Balance
A gift to create an endowment today will keep giving forever. In just 20 years, a $25,000 endowment gift could distribute nearly $30,000 in grants, which is more than the original gift amount. At the same time, the gift of $25,000 will grow to $38,000. This illustrates the power of endowment – a permanent way to give back to the community.
(This example is for informative purposes only. Assumptions include an 8% annual investment return, 4.5% annual grant distribution, and a foundation support charge. Those assumptions may vary from future results.)
Become A Member of the Legacy Society
H
ow do you want to be remembered?
When the time comes in your life to consider giving back to the community, we’d like for you to join our Legacy Society. It’s made up of people with charitable hearts who have included the Community Foundation of the Great River Bend in bequests or other planned gifts. Think of the community as one of your heirs. Consider leaving five percent of your estate to our Community Impact Fund. Your gift, when combined over time with your neighbors’ and friends’ gifts, will become an unending resource to meet pressing community needs. Examples of Planned Gift Arrangements:
•
Bequest through a will
•
Gift through a charitable trust
•
Beneficiary designation in a retirement plan
gift in 1966, is the first photo on our
•
Beneficiary designation or a gift of life insurance
to our offices .
•
Charitable remainder trust
•
Charitable lead trust
•
Charitable gift annuity
•
Remainder interest in a home or farm
•
Contingent beneficiary gift
Legacy Society members share a special bond. They’ve worked hard and saved wisely. They know the assets they leave the community will make a huge difference, becoming a source of
A portrait of B eatrice C onrad , who gave the F oundation its first estate
“F amily P hoto W all ” greeting visitors
27
strength for the community in good times and bad. Legacy Society members understand the power of endowment. The legacy they build will truly last forever. Call Susan Skora, Barbara Melbourne, or Jim Horstmann to discuss your legacy. To see a list of our Legacy Society members, go to our website at www.cfgrb.org/legacy-society.
DIMENSION 3: RETURNING & GRANTING
Financials, Board & Staff Financials (as of 12/31/2010)
$
Community Impact Fund Grants: $554,800
$
$
G reat G rants Achieve Quad Cities (8) Aim for Excellence (4) Partners in Nursing (1)
183,700
Others (4)
$
7,200
$
10,000
Matching Funds (1)
$
50,000 11,300
R esponsive G rants Opportunity (65)
194,900
Fast Track (40) Emergency (4) Presidential (8) Awards (9) Others (5)
28
47,600 21,500 4,800 9,000 14,800
Total Number of Funds: 634
E
Designated Funds (130) Endowed Donor Advised Funds (41) Charitable Giving Funds (91) Organization Endowments (175) Scholarship Funds (99) Project Funds (32) Field of Interest Funds (20) Trusts (8) Gift Annuities (9) Other (29)
Total Advised Grants: $4,984,700
Total Gifts Received: $11,431,000 $4,500,000
$2,000,000 $1,800,000
$3,500,000
$1,600,000 $1,400,000
$2,500,000
$1,200,000 $1,000,000
$1,500,000
$800,000 $600,000
$500,000
N
nd
s
t
Fu g in
iv G
le
ha
rit
Af
en
w do
En
fil
ab
ia
te
tE ofi
m
en
t
s
ow
m
nd
in iv
G
pr on
le ab
rit
te
C
C
ha
nd
g
Fu
da un
Fo e
th of
s nd ie
Fr
tio
nd
t
ct pa
Im ity
un
m om
C
Fu
en m w
do En
hi
d
rs
te
la ho
Sc
D
es
ig
na
m op
el
ev
p
En
t en
hi
p
m
la
ho
D
Af
fil
ia
th
Sc
Yo u
& y
op hr
rs
is
n
er
tio
te
Vo l
un
ic
ec
ot Pr
&
an ila
nt
nd
U
se
um H La
es
lth
rv
H
Se
ea
ed
n ith
-B
as
io
es
at
uc
Ed
Fa
t
iti
en lA
ct
iv
m
tu
ra
el ul C
Ph
C
om
m
un
ity
D
ev
C
hi
ld
op
C
ar
e
do
w
m
en
t
$200,000
n
$400,000
Endowment Pool: $58,079,000
Total Assets: $72,486,000
Equities Fixed Income Cash & Cash Equivalents
29 CFGRB Assets Affiliate Assets Operating
CFGRB Board of Directors M ichael K. Drymiller, Chair
D eann R. Thoms, 1st Vice -C hair
Pete M. Wessels , 2nd Vice -C hair
C hris Wahlig , Treasurer
J ill N. Mc L aughlin , Secretary
D iane B. H arris , Past C hair
Alan D. A nderson
Katherine A. A ndrios
D aniel P. Ellard
Jenny R. Kimball
R andy A. Moore
L inda K. Neuman
J ean H. Steffenson
William R. Storm
Terry D. wilson
CFGRB Staff r
os
n
F ront row : L indsey wheeler, S usan S kora , C arrie D earborn J eys , H annah M orrell M iddle row : A l Z willing , N icole F reise , M aryfrances S wartout , C heryl N arby, M arcia M einert , M att M endenhall
To all of the people who have worked with us to make the past year a success – donors, grant recipients, organizations, affiliates, volunteers, board members and staff: Thank You!
B ack row : K athy G raves , B arbara M elbourne , K en G ullette , J im H orstmann , P at M iller N ot pictured : H ap Volz , D ick K leine
Acknowledgements: Printing: The Brandt Co. Writing and Photography: Ken Gullette Trent Folz Layout and Design: Jill Weitzel, MVP Design Works, Davenport, Iowa
F I N A N C I A L S , B O A R D & S TA F F
852 M iddle R d ., S te . 100 B ettendorf , IA 52722 P 563.326.2840 F 563.326.2870
S can this code with your smart phone
www. cfgrb . org
to visit our website .