Grantmaker Benefits

Donors Get More Bang For Their Bucks
When requesting a grant from a grant-making organization, people just naturally request more than is needed for a given project. They pad the request because they don't want the added stress of pinching dollars.

When these same people participate in a local Dream Machine, rewards and hours are substitued for dollars. In a free market situation, the organizations that survive and attract volunteers and donations will be the ones that make the best use of their resources. They might end up letting volunteers do more than they would have under the old grant proposal system. They might make-do by substituting some used or less expensive material. They might save by using a few volunteer professionals to guide larger numbers of willing amateurs, making the resources cover two projects instead of one while doubling as a job-training, mentorship. Such compromises will allow them to accomplish more with the same resources. We know you, as a grantmaker, like getting more bang for your bucks.

Bookkeeping
Hours are assigned to rewards posted on the Dream Machine's database. Matchmakers negotiate large items, such as scholarships and buildings with the donating individual, business, public agency or grant-making institution.

The Old Way
Until last year, Mary Richlady gave $400,000 annually to her Alma Mater, even though the school had acquired a reputation which she found increasingly embarrassing. Mary didn't feel she was making the best use of her dollars because Party University was already heavily endowed due to its successful sports program. However, she was wary about contributing to an unknown entity and didn't have the time or expertise to investigate. Many of her friends had been ridiculed after donating to well known agencies that were later involved in fraudulent scandals. Now Mary contributes to the local Dream Machine but would also like to encourage national programs.

Another Way
Mary logs onto the local Dream Machine with a local phone call from the modem attached to her laptop computer. She clicks on the icon NATIONAL then NONPROFITS and searches by SUBJECT MATTER. She has a special fondness for young people and decides she would like to help them get a good start in life. She types in CHILDREN and the search engine nets 300 organizations. The names are lined up on her screen, 20 at a time. She goes through the first 60, clicking on three or four names which link to information about the chosen organization. Only one organization holds her interest, so with a click she marks the link as a bookmark. (a click on the newly created bookmark will recall the information immediately). Since a name tells her next to nothing about the type of program, Mary decides to narrow her search. She concentrates in three areas: summer camps for special children, research on children's diseases and preschool programs.

Worthwhile Programs?
She decides to glean six organizations from each search. She quickly selected six camps and preschool programs to investigate. In order to get six research choices, she had to focus her search on HEALTH and then search a sub-category, DISEASE and then narrow the search even further to CHILDREN . She had narrowed the preschool search to LOCAL programs and had attempted to do so with the camps, but only two were located within a 200 mile radius of her home. None of the research programs were local-in fact she only had eight to choose from nationally. After a cursory study of the material available on the internet, Mary decided to download detailed information supplied by four preschool programs, two camps and two research projects.

Cost Effective Programs?
Her reading left Mary excited about three of the pre-school programs and both of the camps and research projects. She created a bookmark for each nonprofit, so a simple click recalled information specific to each organization. Now Mary clicked on the ACCOUNTING icon and was able to access tax returns and automated calculations that allowed her to understand and compare the cost-effectiveness of each organization. She decided to contribute to the Wish List of the two more cost-effective local preschool programs and the least cost-effective summer camp. The setting was spectacular and the staff-to-camper ratio was something she cared deeply about and was eager to support. One of the research projects was far more economical than the other, but both intrigued Mary and she clicked on their WISH LISTS. Wish Lists were posted for every participating nonprofit. Like the information for the orientations, wish lists were fed by the local schools and their community-based data gathering programs. The wishes were readable, but faded, until a contributor decided to fund them and then the type darkened to signify a wish was granted and could be relied on.

Wish Lists
Administration costs were $2 million for the MCE (More Cost-Effective) research program. Mary intended to help fulfill the MCE wish for administration expenses. Although not a glamorous use of donor dollars, Mary was a businesswoman and appreciated the need for working space equipped with lights, heat and office machinery. Besides the MCE was frugal. A lot of its equipment was donated and there were some retired volunteer professionals on the staff. Salaries of younger staff members were more reasonable than that of employees with comparable credentials at the LCE (Less Cost-Effective) research program. She thought the free-market would be doing its job if the LCE had trouble covering its overhead and was forced to stretch its resources. Nevertheless, she intended to purchase a $75,000 synthesis machine to fulfill a wish expressed by the LCE researchers.

Mary decided to purchase the lumber needed for an addition to Camp Spectacular's dinning area, playground equipment for Jolly PreSchool and to pick up the tab for one of the paid staff members at Happy Infant Care.

How It Works
Mary knew exactly what her dollars would accomplish. She had become more than a check writer; she was a vital part of the process. With a warm satisfaction she made out a check to her town's Dream Machine, Attention Rewards. She included instructions on how to prorate amounts to MCE's administration and to the salary of a staff member at Happy Infant Care. She instructed one of her own staff to find the best deal on LCE's synthesis machine, and on lumber and playground equipment. She had divided her charitable budget according to the estimates given by the organizations but she thought ,with her contacts, she could get a wholesale price. She intended to fund some of the individual Trade Proposals suggested by potential volunteers. An airline ticket so an elderly man could visit his grandchildren; gas for a teenager's car for a semester; concert tickets and miscellaneous requests like Joe's appliances and motorcycle.

Satisfaction
Mary felt she was stretching her resources. She felt good about the variety and number of programs that would benefit from her concern. She experienced a degree of satisfaction that had been absent in previous years. Private and Public grantmaking foundations could achieve the same kind of satisfaction.

Take Action
Please let us know your concerns and desire to learn more and our director will get in touch with you. E-mail: staff@singerfoundation.org with  your phone # and the best times to reach you.