Chapter 9 Exploring Grant Possibilities and Searching Funding Databases and Resources
Chapter 9
Exploring Grant Possibilities and Searching Funding Databases and Resources
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Government-Funded Grants
• Project Grants – medical research.
• Categorical Grants – narrowly focused purposes; beneficiary matches funds.
• Block Grants – more leeway in how the money is used.
• Earmark Grants – congressional appropriated.
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Grant-Making Foundations
• Nongovernmental entities that are recognized as non-profit, corporate, or charitable trusts.
• The purpose of these entities is to make grants to organizations, agencies, institutions, and individuals for charitable purposes.
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Independent/Private Foundations
• Established to aid or maintain social, educational, cultural, religious, or other charitable activities that serve the common welfare of society.
• Funds are usually set up through a single source such as a family, individual, or a corporation.
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Family Foundations
• Independent, private foundations whose funds are derived from members of a family.
• The family plays a significant role in the grant-making decisions.
• The Bill and Melinda Gates Foundation is currently the largest family foundation.
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Community Foundations
• Organizations that make grants within a specific geographic location.
• Usually focus on community needs.
• Significant portion of the funds are usually raised from the public.
• The income earned by the endowment is used to make the grants.
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Corporate Foundations
• Company-sponsored foundations.
• Philanthropic entities created by corporations.
• Assets are derived mainly from the contributions of for-profit businesses.
• Abide by the same regulations as private foundations.
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Corporate Giving Programs
• Established within a for-profit corporation.
• Administered by the public relations or marketing unit of the organization.
• The grant making is closely tied to the company’s profit.
• Gifts and grants go directly to charitable organizations.
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Operating Foundations
• Primary purpose is to conduct research or social welfare.
• Generally operate libraries, research institutions, and museums.
• Can award general purpose or program development grants.
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General-Purpose Grants
• Support the general operating expenses of the organization.
• Can be used to cover expenses such as a particular service or program or utility bills.
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Program Development/Project Support Grants
• Funds are connected to a specific activity.
• Have a specific start and end date.
• Grants are restricted and must be used for the particular purpose it was intended.
• Examples include Planning, Seed Money, Endowment, and Program-Related Investments.
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Funding Databases
• Searchable databases of funding sources available to support agency programs, services, and projects.
• Funding databases allow agencies to electronically locate and apply for grants.
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Databases
• Catalog of Federal Domestic Assistance
• FederalGrants.com
• The Foundation Center
• GrantDomain.com
• Grants.gov
• GrantStation
• US Department of Education and HHS
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Funding Resources
• Legal information, charity reviews, public policy information, e-newsletters, audio conferences, access to membership directories, conference information, and webinars.
• Information that can be used in tandem with, or separate from, funding databases.
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Resources
• The Chronicle of Philanthropy
• Council on Foundations
• Grantmakers in Health
• GuideStar
• Nonprofit Works, Inc.
• The Philanthropy Journal
• Miscellaneous Affinity Groups
Chapter 10
Writing, Submitting, and Revising Grant Proposals
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Prior to the Grant Writing Process
• Keep a journal/notebook to note ideas.
• Gather documents before writing begins, such as tax certificates and bylaws.
• Develop a grant-tracking form to record grant applications, funding cycles, funding received, etc.
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Initial Steps of the Grant Writing Process
• Make a plan; identify needs/wants.
• Locate potential funders.
• Identify the audience.
• Draft the grant proposal.
• Revise/edit and prepare the final proposal.
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Elements of a Grant Proposal
• Grant proposals vary.
• There are usually a number of elements, but the sections will likely vary.
• Grants are extremely competitive and each section must be prepared meticulously in order to not be rejected by the reviewers.
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Letter of Inquiry/Intent
• Sometimes required to determine if the agency’s project falls within the funder’s criteria.
• Includes contact information.
• Presents overview of agency’s mission.
• Provides the total amount requested.
• Includes a statement of gratitude.
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Cover Letter
• Some grants only require an agency submit a cover letter to the grantor.
• Very much like a cover letter does for a job applicant, it introduces an agency to a prospective funder.
• Short, friendly, stand out.
• Charm the reader and display enthusiasm.
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Title Page/Cover Sheet
• Project’s title.
• Names of the principle investigators.
• The agency’s name, address, and phone/fax numbers.
• Project dates, type of grant, amount of funding, and the grant period.
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Abstract/Executive Summary/Introduction
• One of the shortest yet most important sections of the grant proposal.
• Often forms the first impression; must convince grantor the proposed is worth the investment.
• A strong abstract is concise, limited to key points, strongly written.
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Literature Review
• Sometimes required to provide crucial background information.
• Compiled reviews highlighting published writings on subjects related to the project.
• A basic literature review is comprised of the introduction, body, and conclusion.
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Needs/Problem Statement
• Proves that the grant meets a vital societal need.
• Clear, well-supported statement of the problem that will be addressed.
• Addresses the need and how the agency’s clients are affected.
• Both qualitative and quantitative.
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Goals and Objectives
• Provide a map to the project, influence the design of the program, determine the methods and strategies needed to achieve the goals/objectives.
• Goals are long term statements of hope.
• Objectives are narrow, precise, and short term.
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Program Design/Methods/Strategies
• Methods for achieving the goals/objectives set.
• Include supporting statements that cite research, expert opinions, personal communication, and past experience.
• Justify the course of action that will be taken.
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Evaluation Plan
• Defines how success will be determined.
• Clarifies the purpose of the project.
• Chronicles the progress and assesses the effectiveness.
• Obtains feedback from the individuals served as well as community members.
• Facilitates project improvement.
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Types of Evaluations
• Process Evaluations – descriptive and ongoing.
• Outcome Evaluations – identify if a project’s outcomes have been achieved.
• Impact Evaluations – assess the changes that can be attributed to a project.
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Organizational Information
• Provides a convincing argument of the agency’s credibility to accomplish the goals/objectives of the project.
• Position the nonprofit as the best agency to implement the proposed project.
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Program’s Budget and Budget Narrative
• Lists both administrative and project costs.
• Consists of a spreadsheet or table with detailed line items.
• Explains how the budget will be spent and why it is cost-effective.
• Provides a clear picture of the impact that can be made with the requested funds.
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Special Considerations
• Equipment Purchases
• Additional Space and Equipment
• Increases in the Cost of Insurance
• Salaries
• Indirect Costs
• Matching Funds
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Other Funding/Sustainability
• Describes the nonprofit’s long-term continuation plan or vision for the project after the grant period has ended.
• Explains how the agency will raise funds to continue the project.
• Includes a list of other funders approached.
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Commonly Requested Supplemental Materials
• IRS tax-exempt verification letter
• List of board directors and affiliations
• List of staff experience
• Financial statement for the previous year
• Current fiscal year’s budget
• Next fiscal year’s budget
• List of clients served and annual report
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Review and Proof
• The proposal should be reviewed by a neutral third party.
• Reviewed for continuity, reasoning, and clarity.
• The proposal must not contain any unsupported assumptions or jargon.
• Reviewed for neatness and accuracy.
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Submitting the Proposal
• Copy the entire application.
• Check with the grantor on the preferred format for binding the original proposal.
• Mail the proposal in the format requested and several days before deadline.
• A follow-up call may be placed after a week of not hearing from the grantor.
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Online Grant Applications
• Sometimes paperless formats have limited space.
• Online grant applications can improve the efficiency and accuracy of the process.
• Submission must be made early in order to avoid possible technology issues.
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Some Grant Writing Mistakes
• Hastily assembled.
• Too lengthy.
• Written in first person.
• Included false, inaccurate cost estimates.
• Overkilled a point.
• Not logically formatted.
• Did not follow grantor’s instructions.
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The Review Process
• Proposal reviews are very rigorous and competitive.
• Proposals are normally scored using a grading rubric to ensure consistency of evaluation.
• Process varies based on the type of grant.
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Federal Human Service Grants Proposal Reviews
• A review committee of experts is formed for the review and recommendation of proposals.
• Each funding agency will develop its own set of evaluation criteria.
• Some criteria include significance, approach, match/fit, quality, environment.
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Federal Grant Review Process
• Proposals are reviewed, evaluated, and scored.
• Review committee meeting is held.
• All views/opinions are shared.
• Proposals are given priority ratings.
• Funding decision makers have the final say.
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Foundation Grants Review Process
• Foundation staff verifies the applicant’s eligibility.
• Conducts a review of the proposals.
• Grant review panel discuss the merits of each request.
• Board of directors reviews suggestions and the approved applicants are notified.
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Terms of Award Letter
• Specifies the obligations of both the grantor and the grantee.
• States the terms and conditions of the award, reporting requirements, and public policy requirements.
• Agencies must immediately verify their information.
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Rejection Is a Step to Future Success
• The success rate for most federal grants is less than 25 percent.
• Rejection may mean that there was another proposal that was a better match.
• If possible, organizations should request the reviewers’ evaluations and comments to assist in preparing future proposals.