Tag Archives: Family foundations

Can P-16 Compacts usher Innovation Districts for Education?

Last week, I met with my colleagues from the Ohio Grantmakers Forum (OGF) Education Task Force. The purpose of the meeting was to get an update on how the report recommendation Beyond Tinkering influenced Governor Strickland education budget. The publication purports to help guide policy to “Create Real Opportunities for Today’s Learners and for Generations of Ohioans to Come.” The budget in its current form does little to meet that reality.

The Governor ignored the number one recommendation placed forward by the philanthropic sector which is to create several education “Innovation Zones” throughout the State. He also ignored another compelling recommendation which was to establish a Statewide P-16 Education Technology Plan. Instead his staff appropriated $200,000 in the budget to establish a Creativity and Innovation Center within the Ohio Department of Education (ODE). I suggested the Governor would do well to reallocate that line item to another area because such a center ultimately serves as another top-down management tool for a system that needs another organizational system.

The education reform – dictated by budge constraints promises to be an expensive Tinkering Project informed by political agendas. It is discouraging as a funder to see incredibly innovative approaches to teaching and learning at places like Case and Oberlin College ignored by the pubic school sector. It is energizing to meet the vast number of teachers and people across the country who are pushing innovation in schools in informal networks. It is most disheartening to see how little foundation people, business leaders and school bureaucrats understand the potential technology has to support innovative approaches to learning and understanding. Foundations in particular seem to be risk averse when it comes to seeking out true innovation. Too many of us resist appealing to the god of “Evidence-based practices” which seem only to gain credibilty if funded through expensive consultants from graduate schools of education. To me, that term is becoming argot or those who fear real change to public schools as we know them.

As I watch this budget develop, I find it tragic that those who advise the governor seem to lack any understanding of the power and impact that new learning technologies can have not only in schools but in the market as well. The new technologies and approaches come with massive disruptive change in school management and teaching. Perhaps a concept far too big for policy makers to embrace.

One of the most formidable challenges for this Governor is changing i educational management in communities where the economic downturn continues to erode civic virtue. The following article appeared in the Elyria Chronicle, the newspaper for a mid-west city where the loss of manufacturing jobs has resulted in decreased population and concentration of poverty in the city core. Elyria was once a center of commerce in this part of NE Ohio. Fifty years ago, a working-class family could afford a nice home, have a yard, worship at the church or temple of their choice, join clubs and graduate from schools. The good life attracted families in the post-war boom years. The school district has struggled with low-performing outcomes on State Standardized tests coupled with increases in social ills associated with poverty. On the same day, the paper reported incidents about a shooting of a teen in one neighborhood, the resignation of the county law director who was jailed for drunk driving, a severe beating of one school wrestler with another at a garage party where beer and marijuana was present and a story about the former director of the Community Development Corporation (South Elyria CDC) who is a fugitive from the law – accused of stealing more than $50,000 from the agency.

Many in the next generation of those baby boom families have left the region resulting in population decrease and with that diminished need for the various school buildings. Last week The Elyria Chronicle paper announced the board decided to close two neighborhood schools. As a result, students will be bussed to another building which will now serve as a consolidated school. Note the report on how administration will address the teaching staff. If you are a new teacher, your abilities mean nothing. Union rules make it that no matter what the skill level seniority trumps ability.

In addition to the closings, the district — which also has a projected deficit for 2013 — will lay off 23 teachers — eight at the elementary level, 13 secondary and two special education teachers.

(The), district director of human resources, said the 23 teachers will be notified this week of the reduction plan. At the April 8 board meeting, board members will vote to approve the contract termination of each.

He does not anticipate that enough veteran teachers will decide to leave the district before that time, saving some of the younger teachers from losing their jobs.

So far, only three retirements have officially been announced. There are no plans to offer any sort of retirement incentive, he said.

The teachers slated to be lost have one to three years of experience with the district.

Combined, the cost-cutting measures will save the district $2.25 million annually and erase the projected 2012 deficit while decreasing the 2013 deficit to $700,000, (The)Superintendent said.

As I read the article, I drew parallels to what has happened in the manufacturing sector in many towns in this Great Lakes region. Factories are closing across the county. We see the empty and furloughed factories of the car manufacturers who are now in danger of bankruptcy due to obsolete management and product design that make their cars irrelevant to the American buying public. Other businesses have moved abroad or to the South because they cannot meet union demands. I spoke with one businessman who told me he had a hard time finding workers who could pass random drug tests. These are the realities contributing to the economic malaise in NE Ohio. The malaise is transferred to some of the public schools as well. Teachers stick to obsolete curriculum and assessment tools. Morale is low because they are not treated as professionals and the State pushes them to produce test results in the way a factory pushed workers to produce widgets. In this envorinment, where teaching can be the last hold-out profession for families, I can understand how fear and protection can govern local policy decisions. Change is long overdue, but the community does not seem prepared to even ask the right questions to find a way out.

The Fund for Our Economic Future is a unique collaboration of the philanthropic sector which pooled funds to support organizations by providing early-stage venture capital to innovative individuals with promising businesses. In its first year, the Fund supported a region-wide conversation on the economic challenges called Voices and Choices . This $3 million dollar effort captured community concerns. Number one concern for the citizens of NE Ohio was addressing the poor educational system and the second was jobs. The regions leaders were able to respond quite well to the jobs issue. Working in coordination with the State to leverage Third Frontier Funds into the region the Fund has worked closely with the business and political leadership to create an engine of economic activity for new and emerging business in the region. The effort has resulted in tens of millions of new dollars coming into the region and the creation of jobs. The Cleveland Foundation has taken a lead role in collaborating with business and the universities directing funds to stimulate innovative businesses in energy and nanotechnology.

Elyria has one of Ohio’s best community colleges, Lorain County Community College with a magnificent new LEED certified building called the Entrepreneurship Innovation Institute (EII) that provides training to people with ideas and shows them how to bring it to scale. The Nord Family Foundation provided support to both the Fund for Our Economic Future and to local efforts with Team Lorain County and EII. At the same time, Elyria, it is a tale of two cities. On one end, stands this center for Entrepreneurship and Innovation with a vision of moving this economically desperate community to the future. On the other end the school district is depressed and managing a response straight out of 1960’s. There is little hope for true innovation because the bureaucracies will not allow change to happen if it means changing the way things have always been done. It will not change as long as those in power will protect their jobs to the detriment of the greater good.

This focused region-wide effort to reinvigorate and innovate in the manufacturing sector in NE Ohio has been seriously lacking in the education sector. There is no focus for discussion and no horizion with a vision of what can be. Despite remarkable resources in centers like Case Western Reserve University’s Center for Innovation in Teaching and Education, One Community, Cleveland State (to name only a few) the public school system is stagnating with a system that resists any invitation for innovation. Few in the public education system in the region even know these resources exist much less how to make use of their innovations. The public school system appears to be experiencing a random approach to innovation, and seems more concerned with addressing job retention within the system. There are exceptions. The success of the MC2STEM school initiatives show promise, but these schools are in the minority. Rather than stimulating innovation, the Governor’s draft budget hinder it because it includes language that will cut support to some of the most innovative charter schools in the State.

I cannot understand why a Governor so tuned to the need to stimulate innovation in industry, is so opposed to doing the same in education. Why not create an innovation and entrepreneur district in this town of Elyria? (other cities like Cleveland could be candidates as well) Why not tap into the potential a P-16 compact could have in pushing that agenda. If the car manufacturers and other industries are changing to meet the needs of the next 25 years, why can’t the bureaucracies that strangle innovation in education do the same? To do that requires training and work, which many older teachers are – quite honestly – reluctant to do.

As a funder I hear stories from many people as to how the system does not serve the needs of students. These confessional moments (as I call them) are not mere griping, but passion-felt laments over how “the system” is broken. Most complaints however are whispered for fear of retribution of colleagues and superiors. Recently once colleague shared the following thought with me. He wanted to post it on a blog but was afraid of the consequences.

Title: Ranting, Nightmares and Interactive Whiteboards

I’ve been struggling to write blog posts lately.

My lack of posting isn’t for a lack of things to say. Nor is it for a lack of enthusiasm for my work with children or other educators.

I’ve been quite simply because I don’t want to lose my job for questioning the administration on the WWW. Nor do I want to anger colleagues, dedicated teachers who are indeed working very hard in their classrooms. I also don’t want to sound like a ranting lunatic or a nitpicking critic. I am not a classroom teacher – I’m a technology teacher – so who am I to critique classroom practices and the instructional designs of my colleagues? Although, I hardly call a 10-page purple packet filled with teacher-generated questions and lines on which to write answers a designed project for student learning.

But…I’m having nightmares. I wake up in the middle of the night in a cold, panicked sweat. I wonder when they’re coming to get me. Which grant funder will expose me as a fraud? In my latest nightmare I was being charged as an accomplice to “Crimes Against Children.”

Crimes Against Children? No, I’m not a pervert. I’m not skimming money off the budget. Nor am I purchasing materials for personal gain with district funds.

What am I?

I am a silent witness to lessons, projects and activities that either are not engaging, serve only the middle, do not provide opportunities for student choice, or only make use of technology to skill and drill students in hasty preparation for standardized tests. The longer I stay in public education, the more schooled I become. And I’m not using schooled in a complimentary fashion. As each day passes, I’m living out my own version of the situations described by the main character in Ted Sizer’s Horace’s Compromise.

Here’s my latest dilemma: My district spent over $250,000 – that’s a quarter of a million dollars of tax payer money – to place an interactive whiteboard in every single classroom in the school’s building projects. A quarter of a million dollars. We also offered numerous in-house courses for graduate credit where teachers could learn how to use the interactive software – the hallmark of the boards is the interactivity of the software. The company provides a marvelous website with free access to downloadable materials created by teachers, free tutorials, discussion forums, video highlights of teachers using the products in their classrooms, courses for nominal fees; we have our own user group; the company reps have been out to troubleshoot, train, provide 1:1 instruction – sky’s the limit! We have access to the whole nine when it comes to getting our teachers trained on the boards and the software.

Do you know what most of our teachers are doing w/ their interactive whiteboards? Guess. Please.

Using them as nothing more than display devices to complete worksheets. Yup. Giant, expensive overhead projectors.

If I were the curriculum director, the tech director, heck! the treasurer of that district – if I were in an administrative role in this district – I’d want to see one – just one – one example per month from each building of an interactive lesson – something that STUDENTS do at the board – an activity created by the teacher, that takes advantage of the interactivity of the board and a sample of what the kids did AT THE BOARD! If I were an administrator I’d want access to a board so I could try out this interactive lesson – see how it feels to learn at the board – try my hand with the magic wand that makes things move on the board – demonstrate my understanding with an innovate piece of equipment.

But…I’m not in charge. I’m not even in a position where I could safely express this observation without being ousted by my colleagues or reprimanded for suggesting that the administration doesn’t know what a technology-rich classroom looks like.

My fear is that my next nightmare will involve a tar and feathering for my unpopular opinions about classroom technology use.

Under normal circumstances, this lament could be considered a complaint by a disgruntled professional. However, by serendipity or destiny, the article below was shared with me by my colleagues from Ohio Grantmakers Forum on the same day I received the e-mail above. This article by Mike Lafferty at the Thomas B. Fordham Foundation in Ohio is a summary of a national report on the successful implementation (or not) of technology in classrooms.

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Ohio earns a D-plus in use of technology in schools

Ohio, birthplace of the Wright brothers, Thomas Edison, and Neil Armstrong has received a D-plus in the use of technology in education (see here), according to an Education Week survey.

Oddly, though, the state received a B-minus in the capacity to use technology, so we seem to have it but we don’t know what to do with it.

However, some Ohio education experts say the survey is misleading in that it misuses the term “technology” by implying only computer-related technologies and that it distorts the issue of “technology standards.” Technology includes aerospace, agriculture, manufacturing, materials, environment, energy, and other issues, they said.

In the survey of the 50 states plus the District of Columbia, Ohio was ranked 47th in the use of technology. Ohio tied Tennessee, Vermont, and Washington (all with D-plus scores). The District of Columbia was last with the lone F.

Education Week evaluated the use of education technology in four categories: Do state standards for students include technology? Does the state test students on the use of technology? Has the state established a virtual school? And, does the state offer computer-based assessments? Ohio met the standard only for having state achievement standards that includes the use of technology.

At the top were Arizona, Georgia, Louisiana, Maryland, North Carolina, South Carolina, South Dakota, Utah, and West Virginia. They all had scores of 100.

If Ohio needs a model, Colorado provides just that. This month, the legislature has approved Bill which allows for innovative districts.

Innovation is the key to education reform

By Dwight Jones

Posted: 04/13/2009 12:30:00 AM MDT

Updated: 04/13/2009 10:19:11 AM MDT

Everywhere we turn, we hear about the need for innovation in education. Four months ago, a Denver Post editorial proclaimed that “tinkering around the edges of reform” is insufficient to produce sustained improvements in public education. I could not agree more.

Education reform is easy to talk about but hard to do. At its core, reform is doing things a better way. With regard to education reform, however, we not only must do things better, we must get better results. Innovation is key.

As highlighted in a recent Post article, Colorado could soon receive several million dollars in federal stimulus money for public education. In addition to a fair share for programs that serve underprivileged students and those with disabilities, there is the prospect of additional funds earmarked for innovation. Known as “Race to the Top” funds, these funds will go to “a handful of states that devise the most innovative ways of improving education” — to the potential tune of $500 million per state.

The article concluded that Colorado has every reason to be optimistic. After all, with initiatives on longitudinal growth, charter school development, updated standards and performance-pay programs, Colorado has been in the forefront with regard to innovation and school reform.

Innovation is more than just a good idea, it’s about putting that good idea into practice. The Colorado Department of Education is presently pursuing a wide variety of innovative education models, including new approaches to teacher preparation, leadership development, school choice and the way in which education is funded. We are organizing strategies and directing resources in ways to innovate intentionally, and, in so doing, increase capacity to take to scale what improves education for Colorado’s students.

At the same time, the department is creating a statewide system of support for districts, built upon internationally competitive standards and greater expectations for ourselves and our students. This system will monitor, measure and foster what matters most — increased student achievement.

The department’s pursuit of innovation began in earnest in September 2007 when the State Board of Education called upon the department to modernize the Colorado Model Content Standards. The spirit of innovation was further kindled last year when Senate Bill 130, commonly referred to as the Innovative Schools Act and led by Peter Groff, president of the Colorado Senate, was enacted into legislation. This bill has allowed Manual High School and Montview Elementary School in Denver to implement new programs outside the constraints of traditional school policy.

This year, through the leadership of state Sens. Evie Hudak and Keith King, Senate Bill 163 promises to streamline accountability and to devote great support to struggling schools and districts. It also promises to shutter those schools that persistently fail. This legislation, if passed, will play a key role in the promotion of intentional innovation by providing a framework for us to fund what works and stop throwing money at what doesn’t. Innovation without accountability is not in our students’ best interests.

Working collaboratively with the Colorado Association of School Executives, the Colorado Association of School Boards, the Colorado Education Association, the governor’s office and our 178 school districts, it is increasingly clear that we all have a role to play in obtaining “Race to the Top” funds.

As mentioned in The Post, “Colorado is positioned well to win innovation money.” Winning the money, however, cannot be the goal, lest we win the race and miss the top. Instead, we must remain focused on supporting initiatives that transform the delivery of education and improve student achievement.Now that’s a race worth running.

Dwight D. Jones is Colorado’s commissioner of education.

I am skeptical that anything like the Colorado approach could happen in Ohio. I say this because of the meeting last week. Those that participated in writing the Beyond Tinkering Report, included representatives from the Ohio Education Association. To the astonishment of the entire group the OEA representatives complained that the Tinkering report that recommended changes in teacher tenure and hiring/firing rules misrepresented their position. These OEA representatives participated in the working group for at least one-year and were at every session where the details of the issues were worked out. I witnessed the representatives endorsement of the final edit. When the publication came out, others in the membership rebelled and urged the same representatives to let the Governor know the OGF report misrepresented their opinion. When our group asked the representatives to help us understand how it was they endorsed the final edit with us but renounced the document publicly the response was a marvel at political doubletalk and disingenuous representation of fact. This reaction helped my understand why the Governor and his staff are genuinely afraid of this powerful constituency that can twist fact to meet a political agenda and appease and seething membership. After the meeting, a colleague of mine was shaking his head saying, “If a liberal democrat like me can leave here disgusted with union behavior, they – as a group are in serious trouble.” It also helped me understand why a Gubernatorial candidate with an eye to another election has disregard innovative recommendations because they will clearly incite t alienate a powerful voting block.

All this being said, allow me to dream for a minute. Suppose the P-16 compact I described in the earlier post were to stand-up to the legislature, the Ohio Education Association and the Ohio Federation of Teachers and say, Enough! There is however one glimmer of hope. The same town of and the Community College are host to a newly created P-16 or (P-20) compact. Suppose that P-16 were to take similar approach that took place as the Denver districts and demand change in the system as it has been brought to the Ohio public with little change since 1835?

Here is where a P-16 compact could have an interesting impact by possibly crafting legislative language that like the Colorado law, would allow that body to override state laws and collective bargaining agreements. P-16’s are comprised of leaders from all sectors of the community including business, nonprofits, government and even education. Suppose that group were to try to effect legislation in Columbus that would allow for the creation of an extension of the Innovation Zone on one side of town to include and Innovation District? Would a P-16 have the political courage to suggest that (for example) the Elyria Schools District be declared an Innovation District that would, “…implement new policy outside the constraints of traditional school policy.” just as Manual High School covered on NPR) and Montview School.

Here is what the law says:

The Colorado State Legislature passed the Innovation Schools Act in 2008 (Senate Bill 08-130). The law is intended to improve student outcomes by supporting greater school autonomy and flexibility in academic and operational decision-making.

The law provides a means for schools and districts to gain waivers from state laws and collective bargaining agreements. The law includes procedures and criteria for a school or group of schools within a school district to submit to its local board of education a proposed plan of innovation. A local school board may initiate and collaborate with one or more public schools of the school district to create innovation plans or innovation school zones.

The law:

Allows a public school or group of public schools to submit to its school district board of education an innovation plan to allow a school or group of schools to implement innovations within the school or group of schools. The innovations may include but are not limited to innovations in delivery of educational services, personnel administration and decision-making, and budgeting.

Requires the local board to review each submitted plan and approve the school as an innovation school or the group of schools as an innovation school zone or reject the plan.

Allows a local board to initiate creation of a plan in collaboration with one or more schools of the school district. The law specifies the minimum contents of a plan, including the level of support needed from the personnel employed at the affected schools.

Encourages schools, groups of schools, and local boards to consider innovations in specified areas and to seek public and private funding to offset the costs of developing and implementing the plans.

Allows a local board to submit the plan to the commissioner of education and the state board of education and seek designation as a district of innovation (following creation or approval of one or more plans by the local board).

Directs the commissioner and state board to review and comment on the plan, and directs the state board to make the designation unless the plan would likely result in lower academic achievement or would be fiscally unfeasible.

Requires the state board to provide a written explanation if it does not make the designation.

Directs the state board to grant any statutory and regulatory waivers requested in the plan for the district of innovation, however, certain statutes may not be waived by the state board.

I am afraid that the first line of this program would result in a collective paroxysm among members of the OEA and teachers union. But without that type of true leadership, nothing will change. An Innovation District would take the report from the educational technologist and go back to the classroom to find out why teachers are not using smartboards to their potential. An Innovation district would encourage teachers to take risks using new technology to enhance learning. An innovation district would arrange to have a district office to share exciting breakthrough in classroom learning with others and discuss ways in which those practices can be shared. An Innovation District would make use of Universal Design for Learning and find ways in which technology can be used to make implicit understanding of subject matter, explicit and in a form that validates their accomplishments. In an innovation district teachers would be treated as professionals and be rewarded for success. An Innovation Zone and a P-16 district would be successful if they can go beyond tinkering which has been the case for far too long. These ailing districts could use the help of Innovation MAN who talks about Innovation but has to be reminded of the most important step – Implementation.

That implementation will require the school bureaucracies to go outside the silo of Public Education and invite the business community to ask questions about how things are done. If the teachers are no using smartboards to their potential, where and or what is the obstacle preventing that? What is the quality of professional development currently offered by the State Educational Services Centers?

A really interesting challenge for the Governor and his advisers is – set up several Innovation Districts across the State. Initiate a five-year competition to see which one can come up with some of the most cost-effective uses of open-source educational tools and demonstrate cost efficiencies and higher learning outcomes. Financial incentives could be put into place to reward teachers and/or districts that can bring those innovations to scale. I am sure many will take on that challenge.

A serious P-16 would challenge the community to ask the same questions posed by Richard Baramiuk of Rice University’s Connextions project, and make use of technology about one simple issue such as text books and how we use them in schools. Why not pose a challenge to this district to come up with an alternative to text books which currently cost a district approximately $800, per child per year. What about challenging a school to become knowledge ecosystems and work with teachers to figure out how to conduct assessment. A successful innovation district, pushed by a strong P-16 compact could possibly re-engineer schools to respond to the needs of children and reinvigorate hope into too many communities where parents cry in frustration over schools that are outdated, mismanaged and leaving too many children without hope of achieving the skills they will need to usher in the next few decades.

If this happens, foundations will be ready to provide support. This is the type of programming will have high impact. Anything less is just more of the same and, quite frankly not worth an investment of private monies. Foundation funding portfolios demonstrate that there are too many charter, private and faith based as well as promising online courses that are meeting the needs of students far more than what the public system currently offers.

If Ohio is serious about stimulating innovation and entrepreneurship in its obsolete manufacturing system, it must make the same honest effort to do the same for innovation in education. The results are likely to pay off just as well.

Philanthropy, Politics and the "Religion" of Public Schools

Many of my previous posts have chronicled my involvement in the Ohio Grantmakers Forum’s efforts to gather input from “multi-stakeholders” who, in some way, influence education in the State of Ohio. The result is a publication for the Governor which I have talked about. Several weeks since the publication the blow-back has begun to be felt. The Governor received input from several other constituency groups but none as diverse as OGF’s. In my opinion, the most promising recommendations from our report were not included, but more on that later. I would like to post a few thoughts on this interesting process. The experience revealed many interesting interactions between politics, philanthropy and school-think.

First, it is now very evident to me that dealing with public school is analogous to dealing with institutional religion. The good comes with the bad. The battles are as intense and based in “belief” systems that, at times defy rational thought – and data. Discussion can be stopped by strong convictions by the faithful who are convinced they have a corner on truth. Such is the case in religion, and so it is -(I find) with devotees of public schooling. People I have met who defend public schools defend their belief with the zeal of converts. And as Shakespeare once said, “An overflow of converts – to bad.” It is my experience that when I or anyone else offers a critique of “the public school system” the comments are tolerated at best but received with a low growl making me feel as if I an uttering heresy against the tenants of “public schooling.” In Lorain County, where I live, my questioning of public schooling was met with the ultimate salvo – “Union-buster!” uttered by a university professor who teaches “education.” Given the permissions that power and control offer, criticism of public schooling as we know it are often met with undertones of threat that can only be launched by those who are certain that what they are defending is true. Such people make it very difficult for political leaders and for foundations to make any real impact on changing education. I often think this is what it must be like for a neutral politician having to introduce political reform with mullahs in Iran. So, I have come to learn that one must take small steps when trying to influence education policy – especially when representing an institution that has a large endowment and which, has the ability to exercise some political influence as well. It is an intricate dance.

It is probably no surprise to discover that foundation personnel can bring their own beliefs about public schooling to the table when providing advice to political leaders. In my opinion foundations should try very hard to base their policies on evidence and knowledge drawn from evaluation of projects they have funded. That is the only authority by which they can contribute to political discourse.

In the field of philanthropy, there is no consensus as to how to support public schooling in the United States. There are people and organizations that can tend to attract people of similar mind-set and experience. Grantmakers for Education is a great organization that supports foundations that support a variety of projects. GFE tends to attract foundations that are sincerely interested in reforming public education as we know it. There have few sessions addressing the future of education and influence in alternative ways of learning – although that is changing. Philanthropy Roundtable is a fantastic organization that attracts a more conservative group of funders. Roundtable hosts regional programs and site visits to innovative schools that tend to be charter and sometime voucher schools. It would be fair to say that the Roundtable members would be more likely to support alternative educational business models that demonstrate success in learning.

In many ways, philanthropy and those who work in it, reflect the diversity of opinion held by the general public. Personal belief can influence objectivity when philanthropy begins to take on policy as an organized front. There, we need to exercise supreme caution. As alluded to above, I have come to the realization that offering critique of public education is as dangerous as critiquing a person or group’s religious beliefs. There is a strong cultural aesthetic that if pushed too far, could have negative repercussions for the sector. So again, caution is offered and here’s why.

The American public generally believes in the universal access to education espoused by the founders of this Republic. It should – universal education in the U.S. is the reason why the democratic experience has worked for 250 years. Over the years, that concept has been institutionalized in a public schooling system which is as much a part of the American aesthetic experience as churches. The variety of ways in which education is expressed has been the “public school” – typically a brick building with a flag on the front lawn, run by principals who lord over the function of the teachers in classrooms. There is equal diversity about how the actual curriculum should be conducted and assessed. The storm around the barrage of testing NCLB has produced is only one example of what and how assessment can take place. That’s the way it has been for years and that is the way many people would like it to remain. Public schools have a romanticized aesthetic to it that includes yearbooks, proms and most importantly sport’s teams. Films like like Hoosiers, and Television shows like Friday Night Lights celebrate the American aesthetic experience of high school by romanticizing stories of public schools and the role they play in the civic life of the community. This is American public schools as believers see it, much like Bing Crosby’s role as Father O’Malley in The Bells of Saint Mary’s romanticized but served as the iconic representation of the ideal of the Catholic Church in the 1940’s. Hoosiers does not capture the agony of union disputes nor does the Bells of St. Mary’s capture alcohol or sex abuse that ran parallel to the aesthetic. Probably one of the most relevant films on the role of public schools and their place in the community was the recent series by NOVA on the battle over intelligent design. (A must see).

My frustration withGovernor Strickland’s plan to change public schooling in Ohio is that he seems to be bowing to the romanticized notion of what public schools should be. I mentioned that he got advice from many constituencies with huge influence from leaders in the Ohio Department of Education and the Ohio Federation of Teachers . Let us not forget that these two entities represent strong voting blocks and as such, a group any political leader does not necessarily want to alienate. The problem is the ODE and the OFT are entrenched entities that have an interest in maintaining power and control over the way the educational system is run. Much like the Roman curia or a Houses of Bishops, mullahs or any other gathering of “elders,” this organization will not only justify but its reason to control how public schooling is shaped but it will also fight if need be. Retribution can be fierce and good lawyers can be hired to contest any opposition. Much like a religious hierarchy, the structure needs to maintain strong vertical reporting structures. Control is easily maintained with a unified understanding and approach to the religious teaching. Organizations of this type cannot handle diversity of opinion and clearly have no room for experimentation.

I have found that the ODE, the OFT and even some program officers in philanthropy can thwart innovative programming by making appeals to what I call the god of research. Clearly there is a need to have solid research around quality programming. In fact there is too little research funded by philanthropy as indicated in the last chapter of Clayton Christensen’s book Disrupting Class. The problem I see however is that too much of the education research suffers from what Ellen Gondfliffe Langemann writes in her book An Elusive Science – The Troubling History of Education Research

I believe it would not be inaccurate to say that the most powerful forces to have shaped educational scholarship over the last century have tended to push the field in unfortunate directions – away from close interactions with policy and practice and toward excessive quantification and scientism. p ix.

The Governor had an opportunity to implement some truly innovative programs that could launch education in Ohio into the 21st century appears to have caved to the zealots of public schools who are more comfortable with 19th century schooling because they know it and can control it. His policies to shut down on charter schools, eliminate “early-college” programs and to focus on improved testing looks to me like a reactive attempt by the State to clamp down on opposition and innovation and demand conformity to thought and ultimately this idea of public schools. Much of this is fueled by an important voting block – the Ohio Teacher Union. Some of it supported by program officers who tend to favor quantified educational data before making a move. I think that is an easy out allowing people to hold back support for innovative programs that diverge from the public school norm. In reality hiding behind data can be interpreted as an attempt to appeal to the power brokers like School Superintendents of large metropolitan areas, State Superintendents of Schools and ultimately Governors.

To me, the action from the Governor’s mansion looks like the Vatican and its need to control uniformity of thinking with little tolerance for oppositional thinking. (Women’s ordination, liberation theology, contraception, even teaching faculty at catholic universities are only a few of the issues that have met with little tolerance on the part of the curia). This administration cannot tolerate any innovative change in education that takes place outside the paradigm and control of the State Department of Education and the Board of Regents.

Just as theists accept the proposition that God exists, so too public school devotees posit that public schools (which is different from public schooling), should and must exist for the benefit of the community. How that concept of public schools is expressed is as varied as they way Catholics, Protestants, Evangelicals, Jews, Muslims and all other religions develop aesthetic. Each has an aesthetic and iconography based on their respective interpretations of what the word of god means to them and their followers. The analogy can easily flip to the area of education where there is certainly no unanimity of thought about how learning can and should take place. Just read my previous post called “Philanthropy, Education and Class -what are we thinking?” which discusses the work of. Dr. Kusserow on how class affects parents educational expectations for their childrens education and the people who teach them.

Elected officials have an ostensible allegiance to the voting constituency who put them in office but politicians must also appeal to general consensus if they want to be reelected. They must also figure out how to raise the general public to act out of virtue and pursue what which is wise. Just like people in philanthropy, elected officials are stewards of that form of public money. Often, what is thought to be general consensus, especially in highly emotional issues such as schooling, might not be grounded in practical wisdom. Too often, irrational belief trumps rational judgement resulting in decisions that might be politically expedient but fundamentally unwise. The challenge for any elected leader is how to manage truly innovative and imaginative education policy dealing with a strong political force that is poised to destroy you if you diverge too far from their own interest.

Unlike politics, foundations do not have to appeal to voters. Their constituency is smaller – i.e. the trustees that serve on the boards and the communities they serve. A community foundation is comprised of members of that community and more often than not, has purview to restrict grants within a geographic area. The board is typically comprised of people who live in the community and experience the rhythm of daily life in places like Cleveland. The director of a community foundation must appeal to current donors who also advise officers on how and where to direct distributions. He or she must also try to find new donors who will be comfortable with making financial contributions that will increase the size of the foundation’s endowment, and thereby increase the amount of funds for charity.

A family and/or private foundation is different from community foundations because it is comprised of members who have ties to those who established the foundation (typically a successful ancestor). Members of these foundations may or may not be living in those communities, and by nature of their election to the board, may be one-step removed from the political pressures a community foundation may have. A family and/or private foundation operates from the endowment established by the ancestor. It does not have to raise new money from the community. As an institution, it does not have to dance as much around the politics that come into play with controversial issues. That being said I must qualify that if a private foundation engages in education funding, that organization has a supreme obligation to conduct research on why education programs succeed. It has a duty to support programs that promise to bring new-thinking to how education is conducted. Free from some of the constraints to think with the rest of the community, the private foundations can seek out and support those who are not afraid to go against the grain and raise our sites to that which is virtuous and right in modeling moral skill. It can and should seek out programs and people that demonstrate wisdom but also brilliance.

A family foundation that fund education must have a high tolerance to permit improvisation and allow itself and organizations to fail occasionally. Its staff and trustees need to be mentored by wise teachers, and the staff must learn how to learn how to respond wisely to brilliant and gifted people in the field. As I will reference below, wisdom without brilliance is not enough.

There is a nuanced but important difference here, and nothing is a better illustration of this than foundation involvement in public school education. Similar to the constituency issue our Governor faces, Community Foundations must be careful not to ruffle the feathers too much of the standard concept of public schools. Community Foundation must also guide the lead the larger community with practical wisdom drawn from experience and research. Most, if not all, succeed in doing that. As I mentioned above, concepts of public schooling are based in what I see as a “religion of public schools” which are grounded in the belief that public school is a good thing. In the ideal, public school levels the playing field for all citizens and is an egalitarian solution to the need to educate all children. Teachers unions are strong voting blocks. In the economically ravaged mid-west, teachers and their unions are a solid source of employment. In challenging times, people are scared so any challenge to the unions and their membership will be perceived as a threat to livelihood. The push-back will be fierce. Community foundations must be sensitive to the political factions in the communities it serves and thereby may be more risk-averse to change in school bureaucracies.

Getting back to practical applications of my theorizing, the philanthropic effort by OGF to involve stakeholders in the effort to advise the governor how to prepare Ohio Schools for the 21st Century had its fallout. The document contains recommendations for significant change to the way teachers can be dismissed, and receive tenure.

In a follow-up meeting with the head of the Ohio Teachers Union, the OGF team was informed by the union head that OGF had “misrepresented” the views of the Union leadership. That was a disappointing response. I was in the meeting when the draft of the final document was being discussed. There was no confusion about what was to be put into the document. The representative warned the “multi-stakeholders” this would be a controversial set of recommendations. When I heard the feedback that the union’s felt the recommendations were “missrepresented” we all wondered what happened. One can only assume that when the recommendations were made to the membership, they pushed back vigorously and the leader had to find an “out.” This is a coward’s game, but one that is all part of the cycnical system depicted in the clips I provide in earlier posts from The HBO series “The Wire.”Therein lies the blowback. When pushed to the wall, political interests will claim they were maligned, or misrepresented. It lacks moral will to do the right thing. It lacks virtue.

Governor Strickland and his staff are beginning to take heat for what came out. The results of thousands of dollars and hours of people’s time, is an education “plan” that reads like a document from the Vatican of the Religion of Public Schools. The plan reads like a dogmatic dictum that will assert the State power of public schools across the country. The Governor’s staff calls the plan “Historic Reform” Yet my read is that is incorporates few of the innovative recommendations from the Ohio Grantmakers Forum group. In fact, it ignores the number one recommendation to create innovation districts in the county modeled on Colorado’s Innovative Schools Act of 2008. This idea, if passed would lift the typical barriers to innovation in schools and allow teachers to be creative in addressing student learning styles. Technology would be introduced to support these learning styles and a focused plan for teacher professional development would complement this plan. Instead, we have a plan that extend the school day (with no allowance for new teaching styles), reformed tests for assessment and – most schocking a clamp down on charter schools and early college programs all of which show early signs of true innovation in learning. The Dayton Daily News for Sunday March 8, 2009 ran an editorial voicing a very succinct and clear protest of the Governor’s attempt to take this drastic and unnecessary action.

Foundations can and should continue to fund charter schools as well as initiative such as the early college programs.

I wish all members of the OGF Task Force including the public school bureaucrats could spend time viewing this remarkable talk by Barry Schwartz during the 2009 TED Conference. Listen especially around miniute 9:30 and on.

In my opinion, philanthropy in general, and family philanthropy in particular should constantly question and challenge the educational system in this country. In fidelity to the successful businessmen and women who created companies that account for the wealth, family philanthropy should push public schools to adopt strategies that will increase efficiency, honor professionalism but most importantly succeed by adopting practical wisdom to the endeavor. This role can be played out by funding models that appear to work – like the KIPP Schools, the National Association of Street Schools, the Cristo Rey and Nativity schools, and successful programs such as CAST and Project Lead the Way. They should support the research that will help bring them to scale in cities and rural areas across the country. Public schools need not be afraid of these models, and would do well to apply practical wisdom among their leadership.

To repeat the words of Dr. Schwartz, foundations and especially political leaders (and even the general public) need to reconnect to a sense of virtue and practical wisdom as it shapes an education plan for the next decade. It must embrace new concepts and technologies and support new and exciting applications of brain research to learning. In fact we need to revise the very way that educational research has been conducted on the district and state level. We must move from an empasis on outdated metrics to more entrepreneurial problem solving approaches to education.

In his book The Future of Educational Entrepreneurship, Frederick Hess writes,

The public dollars that comprise more than 90 percent of all k-12 spending rarely support entrepreneurial problem-solving. This meand that philanthropic giving, which accounts for a fraction of 1 percent of educational spending, has played an outsized role in the launch of new ventures like the KIPP Academies, Aspire Public Schools, New Leaders for New Schools and Teach for America. Because k-12 education is nominated by government spending and because this money is consumed in salaries and operations, precious little is invested in research and development of new ventures. Outside of the limited funding for charter school facilities and start-up costs, almost none of it support entrepreneurial activity.

In the private sector, the torrent of venture capital is accompanied by an ecosystem of institutions and actors that provide quality control, support new ventures and selectively target resources. In education, especially when it comes to directing philanthropic dollars, such infrastructure is sparse. The venture-capital communities that have sprung up in corridors like Silcon Valley and Route 128 in Boston are not plugged into K-12 education and equivalents do not exist in the world of schooling.

History has shown that Religion abhors scientific discovery. Until the national community is willing to break out of its religious belief in a public school model that no longer represents the needs for 21st century learning skills, we will continue to be dominated by the dictums of those who control the religions of public school. Practical wisdom will prevail and foundations have a role by giving voice to those who espouse it in education.

Collaboration in times of economic downturn – challenges for foundations, business and the public sector

I spoke about the foundation’s response to economic downturn in a previous post. My colleagues from other foundations have been talking about the fact that the economic downturn and scarce resources will create an urgency for nonprofits to “figure out ways” to merge and collaborate better. On January 13th Cleveland’s WCPN public radio show called, The Sound of Ideas held great conversation on a topic called When Charities Can’t Afford to be Charitable.

The concept is great and I support my respected colleagues comments. I once heard it said, “Everyone wants collaboration, but no one wants to be collaborated on.” In my work at this foundation, I have seen redundancy in programs in both nonprofit and public sectors, many of which have received grants from us. I see an awful lot of waste in private and taxpayer dollars, but I must be careful not to appear the perennial town crier. I, like many foundations and their board members, like to consider ourselves social innovators on the lookout to support like-minded social innovators and social entrepreneurs. After all, that’s what the philanthropy industry is supposed to promote. The fall 2008 edition of the Stanford Social Innovation Review an article called Rediscovering Social Innovation by James A. Phillis, Jr.; Kriss Deigelmeier, & Dale T. Miller describe what many foundation directors, program officers and their boards hope to be in their service to the community,

The underlying objective of virtually everyone in the fields of social entrepreneurship and social enterprise is to create social value (a term we define later). People have embraced these fields because they are new ways of achieving these larger ends. But they are not the only, and certainly not always the best, ways to achieve these goals. Social entrepreneurs are, of course, important because they see new patterns and possibilities for innovation and are willing to bring these new ways of doing things to fruition even when established organizations are unwilling to try them. And enterprises are important because they deliver innovation. But ultimately, innovation is what creates social value. Innovation can emerge in places and from people outside the scope of social entrepreneurship and social enterprise. In particular, large, established nonprofits, businesses, and even governments are producing social innovations.” p. 89

I can think of one crisis in particular our foundation has taken on and has asking for community leaders to explore innovative ways to better serve the needs of the medically uninsured and under insured in our community. I have discovered that is a huge task and one wrought with landmines.

In 2008 the foundation provided funds to facilitate conversations and strategies to address the growing number of uninsured and under-insured people in the county. The foundation paid a consultant to assemble representatives of “established nonprofits, businesses, and even government” with the purpose of providing an “idea mart” to see if we could come up with innovative solutions to the crisis at-hand. The conversations continue but I observe a decrease in interest and engagement especially when the conversation gets a little too close for comfort.

You see, I think we at foundations do a good job of convening meetings and encouraging people to submit themselves to be collaborated on! It is clear to me however that convening people who represent long-standing institutions often with a history of relative financial stability, go into protective mode very quickly when it becomes clear their entity is being critiqued. Too often, the jobs in public health institutions, federally funded agencies and nonprofit organizations develop around an administrative personality. In these cases, I have found very often that critique of the organization and perhaps a questioning of its relevance is interpreted as a criticism. The individual in charge of that agency becomes defensive; feeling vulnerable to the exposure that peer-to-peer conversation can produce.

I have learned that making collaboration work depends in great measure to sustaining urgency. Urgency is fueled by passion – a passion that derives from visiting places like the Lorain Free Clinic or, emergency rooms at the charity hospitals. It is a passion that derives from knowing people for whom the economic downturn is proving not just a misfortune but a disaster. Any healthy human being to wants to “do-something” when one touches that level of suffering.

A person with a sense of social entrepreneurship and the funding to support innovation, will by nature want to ask, why the system seem to not be working well and how can a constituency be served better. The response means more than just convening the meetings. The convener must have the expertise (in-house or external) to keep the conversation and going and to keep the participants focused on the passion and urgency. Foundations typically hire consultants to take on that task. Although consultants do their jobs very well, it is my experience that “hiring” the consultant removes the foundation one step from the center of the activity. If the foundation convenes the meeting to address and urgent problem, then it is my opinion that the foundation (or collaborative of foundations) should try to maintain a visible role and presence in the conversations. If not, the sense of urgency may dissipate. I believe fully that foundations can serve to keep passion buoyant in rational civic discourse.

Too often, people come to meetings, agree on the urgency of the problem and are sincere in their desire to find solutions. They come willing to contribute and discuss. Few come prepared to really think about giving up they way they have been doing things.

The public health disaster in our county is a good example. The county which is 25 miles west of Cleveland has a population of 280,000. There are three separate public health entities – two city agencies Lorain City Health Department and the Elyria City Health Department as well as the Lorain County Health District. These entities were created in the 19th century when the cities of Elyria and Lorain were rapidly increasing in population due to the need for labor in the steel industry, auto industry, shipbuilding and manufacturing. Immigrant labor poured into the region. Public health agencies were created to address the reality of contagious diseases. The hospitals, (primarily charity hospitals run by orders of Catholic religious women) were created to deal with chronic disease and tertiary care.

Today, the cities are emptying out as the industries that sustained families have left the area. The second and third generation of the immigrant families have left town, or move to subdivisions that were once farms outside the towns. The cities now have families and elderly who live at or below the federal poverty level.

As we explore ways to reinvent health care delivery in the county, one of our questions has been, “In an age of technology and rapid information exchange, are three separate public health offices really necessary and relevant?” We agree, they continue to serve medically indigent populations in very specific state funded programs, but in most cases they deal with people suffering chronic disease – something public health agencies were never really created or equipped to do. Also what is the role of a public health agency when down the street, Walgreens (“America’s Online Pharmacy”) offers patients in-store clinics. If you can come up with enough cash, you can be seen and treated by a health-care affiliate and given a prescription for your illness and pick it up at the in-house pharmacy conveniently located next to the health clinic.

In the case of the health care coalition the foundation convened, the catalyst was the sense of urgency around the news that the Lorain County Health and Dentistry – which provides significant health care to medically uninsured or underinsured – did not recieve a $700,000 operating grant from the Federal Government. The charity hospitals gave compelling evidence of the number of patients flooding their emergency rooms to treat the uninsured. The Nord Mental Health Center, which treat patients with mental and behavioral diseases. reports a steady increase in the number of new patients requireing services, attirbuted in some measure to sresses associated with the economic depression.

The health situation is in crisis but after a year of conversation, it was difficult to get people to really change the way they did business. In particular, it was hard to have the public health agencies roll-up sleeves with the charity hospitals to explore possible innovations in combining services. Perhaps this can be attributed to the realization that such a move would constitute the elimination of the public health service system as it is currently structured. Similarly, the Nord Behavioral Health Center, which is a nonprofit agency with almost 85% of its revenue channeled through the Lorain County Board of Mental Health has undergone convulsive administrative challenges with board members spending tax dollars to sue each other. Conversations to explore how the charitable hospitals could take over many of the emergency services and need for in-patient beds is too threatening for people to contemplate. So, after the initial good-faith effort to talk, the parties go into protective mode. The desire to collaborate is threatening when one realizes one is about to be collaborated on! Meanwhile people that need the services are hampered by services that are difficult to access which is why people still flood the emergency rooms when they need health care.

The Fund for Our Economic Future is a collaboration of virtually all the grantmaking institutions in Northeast Ohio. For more than four years FFEF has gathered regularly to address the need for economic transformation in the Northeast Ohio region. Aside from is main function which is to pool funds to provide early stage venture capital for organizations that promise to create new businesses for the region, the Fund has hosted several meetings of “stakeholders” to provide a strategy for how the region can move out of its economic stasis. The first was the incredibly expensive and nominally productive engagement with AmericaSpeaks which evolved into the highly productive and provocative arm of the Fund called Advance Northeast Ohio. Aside from pushing the public to engage in conversations about how to move the economy forward, Advance Northeast Ohio, the fund, as well as several foundations funded the production of a study demonstrating the cost inefficiencies in doing government in NE Ohio. The document is called, Cost of Government Study for Northeast Ohio. Subsequent feedback from the larger community in NE Ohio shows that citzens want to see more collaboration among government agencies. Few know how to get there. All realized there are too many separately incorporated towns and small cities in the region, each with very expensive infrastructure. These towns developed in the mid 1800’s when transportation and communication infrastructure were primitive and it made good sense to have government pockets serve scattered populations. Today is makes no sense whatsoever to have separate jurisdictions when collaboration and shared services would probably result in costs savings to taxpayers.

Unfortunately, getting public entities to change their administrative structure (which would mean eliminating some jobs) or, to give up power (probably the MOST guarded treasure for elected officials) is practially an impossible task.

As long as tax dollars and State and Federal monies continue to support these organizations, there is little incentive for people to change. The reality is that the economic crisis may result in drastic cutbacks that will force agencies to close and services to be eliminated.

As foundations look to encourage collaboration, they might do well to read a great new book by John Kotter, Professor Emeritus at the Harvard Business School. Dr. Kotter does a great job describing how business loose their sense of urgency. The same applies to public and private entities when they begin an initiative to make change in society.

In addition to Dr. Kotter’s call for groups to understand the role of Urgency in social interaction, a recent article in the December 2008 edition of the Harvard Business Review, called Which Kind of Collaboration is Right for You by Gary P. Pisano and Roberto Verganti. This is a great article best described by as side script that says, The new leaders in innovation will be those who figure out the best way to leverage a network of outsiders.” The authors describe four modes of collaborative innovation which are:

The Elite Circle in which one company selects the participants, defines the problem and chooses the solutions.

The Innovation Mall where one company posts a problem, anyone can propose solutions and the company chooses the solutions it likes best.

The Innovative Community where anybody can propose problems, offer solutions and decide which solutions to use.

The Consortium Which operates like a private club, with participants jointly selecting the problems, deciding how to conduct work and choosing solutions.

Each of these models have correlates in the public sector. I will end this post with a quote from the article in question. Although it is directed to companies, I suggest foundations that urge collaboration read it with an eye to their admonition that non-profits and the public sector figure out ways to merge and collaborate. It is – no doubt – easier said than done.

All to often firms(foundations?) jump into relationships without considering their structure and organizing principles – what we call the collaborative architecture. To help senior managers (read public officials and nonprofit leaders?) make better decisions about the kinds of collaboration their companies adopt, we have developed a relatively simple framework. The product of our 20 years of research and consulting in this area, it focuses on two basic questions. Given your strategy, how open or closed should your firms network of collaborators be? And who should decide which problems the network will takle and which solutions will be adopted?” p.80

I am encouraged by the fact that many people I make reference to in this post continue to come to the table to discuss the issue because they do have the best interest of the community at heart. The fact is this economy is only beginning to reveal the hard choices and sacrifices we face as a community. People are meeting that challenge overcoming a fear of the unknown.

Family Philanthropy – How to Respond in the Economic Downturn

Imagine yourself a trustee of a charitable foundation. It is your job to collaborate with 11 other trustees to decide how to distribute charitable funds to organizations that have requested your support. In a typical year you would have $1 million to distribute but the requests this year amount to $2.5 million. All the organizations have proven themselves to be effective in contributing to the social and financial well being of some of the poorest citizens. Your job is to choose how to distribute those dollars.

Your decisions will be informed by written analysis provided by competent program officers who have conducted all the “due diligence” on the organizations making sure the administration is solid, that the board is contributing to the operational expenses and that the financials are in order.

The meeting begins and you are informed that due to the economic collapse, the money you have to give out is reduced from $1 million this quarter, to a mere $350,000. You know that some of these organizations and the great programs they deliver will receive much less funding from you than in prior years. Other organizations will not likely survive because your past grants gave a credibility to them that enabled them to leverage funds from other foundations and some governments.

Included on the list are: The Second Harvest Food Bank (read their intro page)

Also, there are several requests to support alternatives to failing public schools like those described in my favorite HBO series The Wire.

Given the crisis in education in public schools and knowing that each year thousands of young people are lost, do you consider the request from schools like those of the Cristo-Rey network that are transforming the lives of children and families in inner city neighborhoods. These schools like other faith-based receive no State support and will not survive without private individuals and foundation support. The total requested from four of these schools is $125,000.

In the Health and Social Services areas, there is a request from Providence House that provides a shelter for homeless women and their infants. They need a new roof on the building which costs $150,000.

Then there is the Youth Arts Program for schools. Without the support of the foundation they will have to cut their artist in residency programs in schools. Children in seven targeted public schools will NOT get any exposure to art curriculum unless they get at least $50,000.

There is the Free Clinic, serving the needs of the ever-expanding number of medically uninsured and underinsured. They have asked for $50,000 to assist with a pharmacy respository that will provide desparately needed medicines to those in need, especially the alarming number of uninsured patients with clinical mental illness.

Their counterpart, the Federally Funded Community Health Center lost out on a $700,000 federal grant they hoped to secure and must now ask for $250,000 to help them get through a cash flow challenge.

There are many other worthy organizations on the list.

So, how do you make your decisions?

Direct all money to the Second Harvest Food Bank that will provide another six months of food to hungry families? What about that great faith-based schools which over the past ten years accepted children from failing public schools and in one year provides remediation that gets them to grade-level reading and math. Ninety-eight percent of their children go to college whereas their friends who remain in the public schools drop out or fail to graduate and never get to college.

Do you direct all money to the free clincs to help the unisured. What happens next year when they ask again but at increased levels?

Trustees at the foundation I work with will be faced with very similar situations when we meet. This will not be the first time difficult decisions are to be made, but the current economic climate has made it even more difficult.

Family foundations function under a set of rules established by the Federal government and the Internal Revenue Service. The States Attorney General has the duty to make sure the charitable institutions are registered and that they are complying with the federal regulations. The State Attorney General has the power to revoke the charitable status of an organization. If you are interested in the federal rules and regulations on foundations and nonprofits Marion Freemont-Smith’s book, Governing Nonprofit Organizations: Federal and State Law and Regulation,is by far the most comprehensive.

Briefly, the government allows families of wealth to establish foundations as charitable entities . Instead of going to the government as taxes, this money is invested in with managers and typically include a mixed portfolio that inclues equities (stocks) and fixed income (bonds). Whereas taxes would collect the dollars and direct them to general funds for immediate needs, foundation dollars are invested with the hope that they would earn between 10 and 17% interest on the principal. Rather than congressional representatives appropriating laws that will spend tax dollars, family foundations are overseen by citizens who serve as stewards of these funds. They are charged with allocating those funds, just as congressional representatives approve laws that allocate funds for many projects, including bridges to nowhere 🙂

The IRS is very specific about how these foundation funds must be directed. For the most part only agencies that IRS determines to be charitable entieis are eligible recipients of foundation dollars. There are exceptions for individuals but in all cases, the funds must be used for charitable purposed or to benefit the community at large.

As stewards the trustees must abide by the government rule that requires of minimum of 5% of the interest earnings on the endowment must be “paid-out” for the benefit of the community. So, a family foundation with $100 million dollars must pay out an minimum of $5 million year on a rolling average of three years. Ninety-nine and 44/100% of family foundations I know take their job VERY seriously. Distributing $5 million responsibly to worthy institutions is a complicated endeavor. Doing it well requires time, research analysis. There are a few stories of foolish and/or ignorant foundation trustees that misappropriated funds for their own enrichment. The press loved those stories which resulted in an expensive and public witch hunt against foundations and people of wealth headed by a federal bureaucrat named Dean Zerby serving as Sancho Panza to the quixotic and self-aggrandizing Sen. Chuck Grassley. Fortunately most legislators have realized the value philanthropy plays in this country and the punitive legislative responses by Sen. Grassley have subsided for the moment.

One useful way to understand how philanthropic decisions can be made by trustees of family foundations or by individuals for that matter is the Philanthropy Toolbox which I believe was developed out the Center on Philanthropy at University of Indiana. The toolbox is really a spectrum of philanthropy that categorizes types of philanthropic giving. I used the following slide show to demonstrate the types of giving.

Philanthropy Toolbox

View SlideShare presentation or Upload your own. (tags: civicfabric philanthropy)

The categories serve as headers and we “plot” all grant requests under each of the categories to get a sense of where the family is directing its giving. This exercise allows the trustees to see where they have concentrated their giving over periods of time. Of the organizations I described above, think of where you would place them among the categories within the toolbox. The try to determine which request and category on the spectrum would give one organization priority over another. Now you have entered the world of a family foundation trustee.

All the requests that come to the trustees for consideration are organizations that are doing great work and having positive impact on the lives of people they serve. Decisions as to where to allocate funds and why can be personal and vary from one individual to another. What makes foundations exciting places to work is that each person shares his or or reason for making the decisions they do. the others listen to their points . Some agree and some don’t. Debate is likely to ensue. At the end of the meetings decisions are arrived not by secret ballot but by consensus. On other occasions, I have described board meetings to be similar to deliberations by congressional delegations either federal or state. Trustees are usually people of varying backgrounds and even level of wealth. They range on the political spectrum and have deeply held passions. Representatives from one generation often have points of view and interests that differ from their parents; so in many ways their portraits reflect the diversity of opinion, character and even race that one sees among citizens serving in elected office. The image of foundation trustees as a homogeneous club of bow-ties and boiled wool is simply not true. It is a miniature version of any civic organization gathered to enhance the common good.

The economic crisis is placing pressure on State, Federal and local governments budgets that have not been seen since the early 20th Century. Scarce resources may place pressure on family foundations in the cross-hairs of government and question whether they and their endowments should continue to exist. This is a challenging question that was discussed recently at a conference at the National Center for Family Philanthropy. One of the sessions addressed the role of family philanthropy in a democratic society. It is worth listening to the panel moderated by my colleague Lance Lindblom, Director of the Nathan Cummings Foundation.

If you were to be part of the decisionmaking on the board, you would be reminded that the Federal government requires a minimum payout of 5%. You and board could make a decision to pay well beyond the 5% minimum to meet the needs of the community in times of economic distress. Of course one would need to balance generosity with prudence. Anyone who creates a foundation must be an optimist by nature. Doing so assumes that a carefully managed endowment will grow and will remain as an asset to draw upon to help those in need and, at times, support innovative and creative programs that challenge the status quo. The two brothers Eric and Evan Nord who established the Nord Family Foundation were men of profound optimism and faith in the community. They were known to say on many occasions, when the times are difficult the foundation has a responsibility to make sure it does not cut back on grantmaking, but be extra careful about directing funds that will have the greatest impact on the community. Most importantly, the funding should challenge the larger community to give what they can – personal giving – that will help their neighbors. With that in mind, I anticipate some of our grantmaking in the future will be challenge grants that will require others to give of themselves in either money or time.

Your decision to choose one group over the other is neither right nor wrong. Just the fact you bothered to read this far into the blog reflects your own interest in philanthropy and giving. Your thoughts of giving to benefit the lives of others honors not only those you consider, but yourself. I leave you with a quote by Thomas Jefferson

The good opinion of mankind, like the lever of Archimedes, with the given fulcrum, moves the world.

Foundation Support for Independent Schools – new opportunities for public school education

The publicity about the Obama’s choice of the Sidwell Friends School shed light on the apparent contradiction of those who support public schools but elect to send their children to private schools. I am sure this fact makes the Obama’s and others like them feel a bit defensive when attending parties. In Oberlin, Ohio where I live, people who send their children to the independent school are literally shunned by those who keep their children in the public system.

One of the great challenges facing Independent schools, and the foundations that support them is how to make the excellent quality of education available to those outside the walls of these relatively small institutions. The winter 2006 edition of Independent School, published by the National Association of Independent Schools gave voice to a growing number of members who struggle with perception that independent schools are institutions only for the elite. In an environment where the gap between wealthy families and poorer families grows, fewer middle class families are able to afford private school education. The quality of Independent School education, such as the institution I send my children (Lake Ridge Academy) can not be disputed. In fact trustees of foundations tpically send their children to independent schools places like: Noble and Greenough School, Heathwood Hall, Buckinham, Browne and Nicols and others of pedigree based on a history of quality education. Read the mission statments of any of them and compare that aspiration to those of public schools. This reality presents an unease because these same trustees approve grants that try to improve the quality of public school education. We all know that undertaking can have pockets of success but due to the enormity of the task of reform rewards are elusive.

Faith-based schools such as Epiphany School, Nativity Prep, Arrupe Prep as well as non-denominational charter KIPP schools. supported by the foundation I serve, offer the quality education that rivals the atmosphere, academic dicipline and values of higher priced independent schools. However these schools are expensive to maintain and require constant funding from private sources. The State simply will not fund these entities. In the case of KIPP and Charter Schools, the national discussion is typically met with a vitrol accompanied by public policies that keep State funding to a minimum. Tacitly, the policy carries a hope that charters will fail and, like apostates, will someday realize the waywardness of their action and return to the public school system as we know it. That system of course is failing millions of children in the U.S. daily, but there remains no strategy to address that reality.

How can one make the quality of Independent School education available to families of the middle class and even children of low-income families has remained elusive. D. Scott Looney, Head of Hawken School in Cleveland suggested, “The benefits of having the broadest possible exposure to students with other backgrounds, races, ideas, and experience must be part of that education, and must include children from families in the bottom 50 percent of the socioeconomic tier.”

How can an independent schools do that when the availability of scholarship monies is limited? Technology provides answers.

Independent Schools can make better use of web-based technology to break down the walls of their institutions and make their curriculum available to a larger number of students.

The Harvard Crimson reported an innovative adaptation of SecondLife™ at Harvard University in 2006 whereby students at the Harvard Law School will co-learn with students at the Harvard Extension School – linking a divergent student body in a cooperative learning process. Independent Schools can and should do the same thing with outreach to public schools. Foundations can support these activites.

SecondLife offers very tremendously exciting opportunities to explore how the quality of independent school education may be open to others who cannot afford a typical four-year education. What can that look like? Check out the site that explains how Secondlife works for educators.

Independent schools can and should explore the possiblity of creating their schools in Secondlife and inviting their professors and other educators to work with selected students in a virtual envorinment. This is particularly true of the children in the lower 50% of the economic tier Mr. Lowney mentions.

Phillips Exeter Academy is known for the Harkness Table. This seminar-styled approach to high school education was developed in 1931 and invites young people to share thought together in a collaborative learning experience. Why not re-create a Harnkess Table in Secondlife whereby children from schools across the country could benefit from this educational style and interact with students who typically will not have access to these inistitutions of privilidge.

The Burton D. Morgan Foundation in Hudson, Ohio funded one of the first business/entrepreneurship programs at the high school level to Lakeridge Academy. The teachers developed a very fine curriculum which serves the 20 or so students in that program. I can imagine a very interesting project where, for example students from the business/entrepreneurship at Lakeridge Academy participated in SecondLife with students from the E-City program and the related Entrpreneurship Academy or E-Prep in Cleveland. (E-Prep received a start-up grant from The Nord Family Foundation and continues to receive yearly operating support s0 I disclose my interest and passion for this great school). A project of this type would expand the number of people who share in the curriculum and widen the perspectives on what entrepreneurship means in the suburbs and what it means on “corners” in Cleveland.

Foundation should consider funding these types of projects as a means of opening quality education they can (and often do) provide their own children and to talented and able children attending failing public schools.

I have had the priviledge to get to know some of the people at The Center for Institutional Technology and Academic Computing (ITAC) . This institution is currently supporing several innovative uses of Secondlife in the educational settings including pioneering work in the high school curriculum.

Although SecondLife has been tremendously successful in higher education, the potential for its use in high school settings has been thwarted because SecondLife restricts its users to a minimum age of 18. Students under that age are pointed The Teen Grid. It is the hope of many educators that someday soon, SecondLife and its creators at Linden Lab will allow for less restrictive use by high school teachers.

Another very interesting organization to watch for application for Independent schools is the work of the remarkable Aaron Walsh at MediaGrid at Boston College. This organizations provides high quality virtual environments that rival those of expensive interactive games.

Foundations that restrict themselves only to supporting projects in public education are selling themselves short by not opening themselves to exploring these new ways to blend independent school and public school education. It is my experience that most independent school faculty would welcome this innovation to expand their educational mission to those outside their walls.

It is time the philanthropic sector open itself to this important discussion with colleagues from Independent and Public Schools. For those unsure about all this, may I suggest reading a report published by the MacArthur Foundation’s and the Digial Youth Resesarch at U.Cal. Berkeley. Great reading!

The Civic Fabric

Thoughts From the Stair Stepper

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