editors and readers picks

Did You Know...? Ten Nonprofits that Shaped the Life of Martin Luther King Jr.

NAACP Centennial graphicDid you know that hundreds of nonprofit organizations helped make Dr. King who he was? And do you know what they're up to today?

Do you know...

1. Which national nonprofit did Martin Luther King Jr. join as an undergraduate student?

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Fundraiser Edie Boatman Shares Career-Switching Tips

Edie Boatman photoIn the last issue (9.1.09) of Blue Avocado, we heard from Edie Boatman about Switching Careers at the Worst Possible Time. In addition to the comments that readers posted to her article, one sent a job-seeking question straight to Edie, and her thoughtful answer is worth sharing with everyone, especially people who are uncertain about raising money:

Dear Blue Avocado: "A friend sent me a copy of your newsletter, and I greatly enjoyed it, especially the article by Ms. Edie Boatman about switching from a for-profit position to a nonprofit position. I have an 18+ year history in for-profit Marketing, and would dearly like to get involved with a nonprofit here in Idaho. What can I do to make the same change? Sincerely, K."

reply from Edie Boatman:

Dear K: . . .

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Nonprofit Job Sites Directory

December is famously a bad month in which to look for a job, and a
bad
monthJob Sites Directory graphic in which to bring on someone new. Get a leg up on January with Tom Battin's guide to nonprofit job sites:

In this article, we review 33 websites for people seeking nonprofit jobs, and of course, for nonprofits seeking to hire new staff. Job sites serve two audiences: job seekers and employers. Job seekers can look for potential positions as well as upload their resumes so that employers can seek them out. For employers, such job sites allow them to search posted resumes to find people with specific characteristics.

This is not a complete list. We have focused on sites that are exclusively for nonprofit jobs, or that have a substantial number of nonprofit jobs. We have not included the hundreds of websites such as those of nonprofit associations where members can post openings, nor have we tried to find all the listservs and association newsletters where members post openings. Instead, we focused on sites that are primarily about job seeking: that are updated daily, that have features such as being able to search only for executive jobs, and so forth. Be sure to ask people in your chosen field or geographic region or the sites, listservs and newsletters that they know.

For each of these 33 job sites in this Directory, we include the number of jobs that were posted on our test day as well as the key features . . .

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Nonprofit Budgets Have to Balance: False!

As nonprofits serving people and communities in these difficult financial times, Surplus Deficit road sign graphicwe don't expect things to turn around for our communities in the near future. Many of us are wondering: how can we achieve a balanced budget in these times? When is it okay not to have a balanced budget?

A potentially harmful habit practiced in many community nonprofits is presuming that a break-even budget is mandatory. Board members and staff may be under the influence of the false but persistent ‘nonprofits can't make money' myth as they develop the year's income and expense plan. Like other conventional wisdom, the balanced budget is based on sound concepts, but can become unnecessarily constricting. Instead of "How can we make the budget balance?" the annual budgeting cycle should begin with the question, "What financial outcome does our organization want or need this year?" Different scenarios lead to different decisions about what the budget's bottom line should look like:

1. We need to increase reserves or pay down debt: adopting a surplus budget. When the organization's leaders decide that its cash and other reserves are lower than ideal, the organization can plan to generate more income than expenses, creating surplus funds that can be used in future years.
A surplus may also be needed to provide funds for paying down debt or for easing cash flow. The board should direct staff to develop the draft budget by determining realistic income targets that nonetheless outpace expenses. If the organization can deliver on a surplus budget, it will have higher net assets (net worth) at the end of the year, and enjoy a stronger financial position.

2. We can't gain ground now, but we can't lose ground either: the break-even budget.
Typically, organizations choose break-even budgets by default and the skin of their teeth. A first cut on the budget shows expenses much higher than revenue, so the staff then tries to figure out how to increase the revenue number (but still stay close to reality) and decrease the expenses (but not damage programs). The staff and the Finance Committee tack their way towards a break-even budget, and hope that their cautiously optimistic projections work out.

3. There are three typical reasons for adopting deficit budgets. First and rarest, the organization's leadership decides that its cash and other reserves . . .

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Announcing the Just Awards

Just Awards logoNominations are coming in for the Just Awards! We are very pleased to be co-sponsoring this new prestigious, nonprofit sector award series created jointly by Blue Avocado and Nonprofit Online News.

The first "Justie" will be awarded to a foundation or funder for Narcissism in Philanthropy in 2009, and the second "Justie" to a newspaper, website or media outlet for Abominable Media Coverage of the Nonprofit Sector. Full information and nomination forms are available at the new Just Awards website: www.justawards.org.

I peeked at one of the nominations, which told the story of a foundation that gives out $5 million a year and is now building themselves an $8 million building. Keep the nominations coming! 

Just Awards are inspired by the IgNobel Prizes, which aspire to "make people laugh, and then make people think." In that spirit, the Just Awards will highlight the irrational, the irresponsible, and the irrelevant organizational behaviors that most affect the work of social service and social change. With a particular emphasis on the world of philanthropy and with the support of respected judges, we will bestow awards each year to those organizations who best exemplify the foibles of our sector.

The "Justies" will be announced during the week of April 19, 2010, immediately preceding the annual conference of the Council on Foundations.

As of this writing, the judges' panel includes: Ami Dar (Idealist.org), Aaron Dorfman (National Committee for Responsive Philanthropy), Pablo Eisenberg (Georgetown University), Ruth McCambridge (Nonprofit Quarterly), and Omowale Satterwhite (National Community Development Institute). Newest judge: Pricilla Hung of GIFT.

Additional judges are still being confirmed and will be announced on the Just Awards website, where nominations forms, criteria and all other information can be found. Anyone can submit nominations, and their names will be held confidential.

Just Awards is a joint project of Blue Avocado and Nonprofit Online News. Jan Masaoka and Michael Gilbert are co-chairing the project. We look forward to your comments and nominations! Click here to nominate.

How I Raised $1,000 on Facebook Without Breaking a Sweat

We at Blue Avocado want to encourage people to make use of Facebook, LinkedIn and other social networking sites as more ways to support our communities. At the same time, there's so much hype about these sites that we also want to demystify them and temper expectations. This First Person Nonprofit story does both perfectly, and at the end we draw some conclusions for organizations.

As my 40th birthday approached I decided to try Facebook Causes Birthday Wish application to raise money for a nonprofit. I had recently dNelson Facebook graphiconated to a Facebook friend's birthday campaign and was impressed that she raised over $2,000. My goal was more modest : $800 (25 friends at $40 each).

Unexpectedly, my first challenge was choosing a . . .

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Teach for America: Icon with Feet of Clay?

feet of clayWhy does Teach for America (TFA) attract so much adulatory praise, so much vitriolic criticism, so much government and foundation money, and so much jealousy/resentment from other nonprofits? And did we mention so much money? Held up as the exemplar of social innovation and civic engagement, the TFA model merits closer attention as to what it really means for public education, to the nonprofit sector, and to society at large. TFA's positive press is so well known that this article focuses on the less-heard concerns and questions about the model:

It's hard to imagine a nonprofit entity that encapsulates the emerging definition of social innovation more than the Teach for America juggernaut. Founded in 1990 by young Princeton graduate Wendy Kopp, TFA now needs no introduction; it has nearly the same brand recognition enjoyed by nonprofits like the United Way and American Red Cross. But as the nation moves toward defining social innovation and handing over the federal Social Innovation Program to private foundations, it cannot hurt to recognize TFA and other vaunted models for what they are:

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The Zen of Handwashing

Zen of Handwashing posterQuotes from an emergency room nurse, a Buddhist monk and a rapper adorn this original Zen of Handwashing poster made for Blue Avocado by Keiko Rosenstiel of Curry Senior Clinic and Center. You might be surprised, too, by how we don't wash our hands effectively. Print a few out and post in your office, clinic, and restrooms! Click below for the pdf (it looks blurry on screen but prints perfectly).

Amaze Your Friends with these Nonprofit Factoids

When we believe something to be true but don't have the data to support that idea, what happens when we do find the hard evidence? Two things: either we find out we were wrong after all or . . . we were right and now we have the facts to put into a grant proposal.

Rick Cohen mined metric tons of data to bring us some newly published, meaningful facts about the nonprofit sector that we should be aware of . . . and use.

1. It's official: we're underpaid.

Nonprofit managers make $34.24/hour on average, compaComparable hourly rates chartred with $36.18 in comparable state government positions, $39.75 in federal government, and $41.86 in private sector positions, according to the Bureau of Labor Statistics National Compensation Survey. Office and administrative support staff in the nonprofit sector also come up short: average hourly earnings of $15.46 compared to $15.53 in the for-profit sector, $15.92 in state government, and $16.76 in local government. On the other hand, the relative gap among positions is smaller in our sector. So . . . should we be demanding more from our funders -- not because we're greedy but for the sustainability of our work?

2. Maybe I should look for a job in local government: Nonprofit human services workers are paid about the same as in the for-profit sector, but considerably less than in government. So . . .  With so much of nonprofit human services supported by government money, why don't government contracts . . .

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Criminal Records Checks for Prospective Staff and Volunteers

Dear Ask Rita: I keep being told we should do criminal record checks on prospective employees and even volunteers and board members. But how? Is there a simple and cheap way to do this? And do we need their permission to do it?  -- Reluctant to get into the fingerprint checking business

Fingerprint graphicDear Reluctant: Background screening is a good idea for all organizations, especially those working with vulnerable populations, so we're glad you asked. As you know, there are many types of screening, such as checking criminal history or credit history, verifying credentials or licenses, reviewing motor vehicle history, or doing reference checks. This article addresses only checking on criminal history.

Whoever is suggesting criminal background checks probably also told you . . .

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Should Board Members Be Required to Give?

Board Cafe logoAre board giving requirements a best practice or a bad idea? We report on trends and explore the real questions:

Few debates can rile up board members more than the question, "Should our board have a giving requirement?" Many of us know from firsthand experience that responses to this question are often characterized by frustration, bewilderment, sarcasm, absolute certainty, or even anger.

Unfortunately, there's no definitive answer to the question, because having a requirement for giving does work for some boards, but not having a requirement works just as well for others. There are substantive, valid arguments to be made on both sides of the debate:

Proponents of required giving believe it signals board member commitment, at the same time giving board members a sense of investment and shareholder stake in the organization.

Institutions such as universities, operas, museums, and others whose board members are recruited mostly for fundraising are where one sees required giving most frequently, at levels ranging from $500 to $2,500, $10,000 and so forth. And in the stratosphere of board giving, one major university expects (requires) trustees to make personal gifts of $20 million each during the period of their trusteeships.

Reflecting frustration dealing with her board, an executive recently exclaimed in anger and disgust . . .

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Switching Careers at the Worst Possible Time

Edie Boatman photo

Edie Boatman left a for-profit career for fundraising  just as the economy crashed. With irony and humor her First Person Nonprofit essay reflects on her sense of timing and what she's learned so far.

August 4, 2008 - Just one month before the economic meltdown . . . my first day begins on my new job as Director of Fund Development for a small nonprofit focused on arts and literacy with inner city kids. At 43, after a career in corporate marketing and publishing, I had to ask myself: What did I know about raising money? Nothing, outside of managing a few appeal letter projects. What did I know about the economy? Nothing, other than having a belief things would start to change for the better after the election.

If I had known then what I know now, would I have jumped into a job with no experience  during the worst slump in the economy since the 1930s? . . .

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Ten Quick Ways to Invigorate Board Meetings

Board Cafe logoBoard members invest a tremendous amount of time and energy at board meetings. A few simple changes can often make that investment pay off in important ways. Make a resolution to implement at least one of the following ideas this month:

1. Supply name tags for everyone at every meeting. It's embarrassing to have seen people at several meetings and wondered what their names are . . . and later it's really hard to admit you don't know their names.

2. Make a chart of frequently used external and internal acronyms(such as CDBG for Community Development Block Grants or DV for domestic violence) and post it on the wall of every meeting. (If you distribute the list on paper, it is soon lost.) The chart will help people unfamiliar with the acronyms know what others are talking about.

3. Write an anticipated action for each agenda item. Examples:

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Social Innovation Fund: Where Is the Money Going?

Washington Nonprofit Insight column logoWith this issue, we inaugurate a new column from Washington's pithiest, most independent critic: Rick Cohen. Although many of us aren't deeply involved with policy matters, all of us do want to have a general view of what's going on. In future every-other-issue columns Rick will report on the role of foundations in tax cuts, how the Obama administration sees the nonprofit sector, and the apparent disappearance of faith-based funds. His first column takes on the much-publicized, little-analyzed new federal Social Innovation Fund:

Despite the fact that President Obama's staff is still trying to figure out what social innovation really means, we've got a pretty good idea on what will be in the $50 million Social Innovation Fund -- and what won't be. For starters, it's now the $35 million Social Innovation Fund (more on this below).

First, grants to regrantors

Because the program needs non-governmental grantmakers that can provide matching funds, the Fund is largely structured to pass money to and through established grantmakers, particularly community and private foundations.

Of the total amount, 5% comes off the top for evaluation and R&D, and only 10% will go as grants awarded directly to "community organizations." The remaining 85% will go in grants sized between . . .

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Six of Our Board Members are in Prison

Misty and CynthiaDo you have a hard time getting board members to meetings? Justice Now, a California organization working in women's prison issues, has ten board members, of whom six are imprisoned. There is much to learn from them about involving board members in strategic decision-making, about board member mentoring of staff, and about how board members can raise money from their peers in unexpected circumstances. In this issue Board Treasurer Misty Rojo and Co-Founder/Executive Director Cynthia Chandler talk with Blue Avocado.

Blue Avocado: Misty, I understand that you were released three months ago after nearly ten years in prison, and you've been on the board for six years. How did you get involved with Justice Now?

Misty: When I was just starting my time in prison, I had some health problems. I met two women who were fellow inmates who were founding members . . .

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Alligators in the Boardroom and Urban Legends about Nonprofits

Board Cafe logo
An influential but under-the-radar form of popular culture is the urban legend. Like the mythic alligators in the New York sewers or the man who woke up in an ice-filled bathtub without a kidney, nonprofits are the victims of urban myths and legends. Common assumptions -- just by being passed along through so many people -- gain a measure of credibility just by their frequent telling and longevity. This Board Cafe article may be useful for your fellow board members, your neighbors, and others.

Urban Myth #1: Nonprofits can't make a profit. Truth: In fact, the Internal Revenue Service (IRS) guidelines do not say that nonprofits can't have profits, but they do clearly state that any profits can't be simply distributed to board members (as corporate profits are to shareholders). The IRS requires surpluses ("profits") to be reinvested in the organization's work. Such cash reserves -- built through . . .

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Nonprofits Portrayed in Popular Culture

Queen Latifah in Life SupportThanks to dozens of Blue Avocado readers who sent in examples of nonprofits in popular culture, here's a look at the mostly-fake world of nonprofits on the big and small screen.

Queen Latifah in "Life Support" is a refreshing exception to how nonprofits are typically portrayed in popular culture. As Ana in this 2007 film, she works her butt off at Life Support, an AIDS education noprofit, but neglects her family and endangers her own health (sound just a little familiar?). Through Ana, we catch glimpses of what we know community nonprofits to be: fiercely committed,under-staffed, and essential life support to their clients and the community writ large.

In contrast, nonprofits are more usually invisible, stereoptyped, or off-camera employers of minor characters. For example, in "The West Wing," Mary Louise Parker played the director of a women's rights group deeply enmeshed in policy work. Several "Curb Your Enthusiasm" characters interact with  NRDC, a nonprofit where producer Larry David's ex-wife is active in real life. References to the real-life Los Angeles Gay & Lesbian Center as well as to the fictional California Arts Center pop up in "The L Word."

Nonprofit issues . . . but not nonprofits

But mostly what we learn about nonprofits in popular culture -- and not just in mainstream culture -- is wrong twice over. First, while the issues that nonprofits . . .

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Economic Downturn Articles from Blue Avocado

Avocado graphicWe've compiled a listing of Blue Avocado articles related to the economic downturn, including layoff how-tos, a debate on whether there are too many nonprofits, a Board Cafe article on closing down, help for people who have just lost their health insurance, a Board Member's Guide to Nonprofit Mergers, and more . . .

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Survival Strategies for the Arts

John Killacky photoJohn Killacky, artist and arts funder, not only knows that we need the arts now more than ever, but gives us ten survival strategies for arts organizations and one for audience members -- and
reminds us that all of us are audience members.

The arts are where hope lives. And right now, as the very tenets of civil society are being re-written, and as health and human service needs rise, there is legitimate concern about whether the arts will survive, how the arts can thrive.

The arts, like every other nonprofit sub-sector, are being challenged by significant contribution losses from government, corporations, foundations, and private donors. Box office and gallery admissions are also eroding as discretionary dollars evaporate. Almost everyone agrees funding problems will become more acute in the upcoming three to five years. Adaptability is replacing growth as a barometer of success. There's no question to me but that the arts organizations that have dynamic, interactive, authentic relationships with their constituents, audiences, and neighbors are the ones that will come out of this maelstrom stronger. Here are ten . . .

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Fundraising Confessions of a Former Camp Fire Girl

Carrie Avery photoCarrie Avery is both a foundation president and a volunteer fundraiser. In this First Person Nonprofit article  she looks at fundraising from both angles:

Growing up in Southern California, I loved being a Camp Fire Girl: the beach camping trips, my uniform with its red neckerchief, earning beads by doing science experiments and helping elderly people . . . it was all good. Every year our group leader told us that if we wanted to continue to enjoy these privileges, we needed to do something for the Camp Fire Girls: sell candy. So each spring, I would trundle around the neighborhood pulling my brother's red wagon behind me, peddling Mint Sticks (yum) and Fruit Jellies (kind of gross).

Like Camp Fire Girls on a spring day, many board members can think of many things they would rather do than . . .

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