Posted on February 22, 2005

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2003 Foundation Giving Declines Overall But Some Areas See Increases

Despite an overall decline in foundation giving, several key areas — including voter education, disaster preparedness, national security, and arms control — realized substantial growth in funding in 2003, according to a new report from the Foundation Center.

The report, Foundation Giving Trends: An Update on Funding Priorities, which tracked grants of $10,000 or more awarded by 1,010 of the largest U.S. foundations, revealed that priorities remained largely consistent in 2003, with education and health leading by share of total funding. Still, grant dollars for all major fields declined, with the exception of public affairs/society benefit.

Within the public affairs field, funding for voter education/rights more than tripled, to $15.7 million from $4.7 million — reflecting support for activities related to the 2004 elections. Funding for disaster preparedness also showed strong growth, nearly quadrupling to $24.2 million, from $6.1 million. In addition, foundations continued to increase their giving for operating support, which reached a record-high 22 percent share of grant dollars in 2003, in an effort to help nonprofits weather a challenging funding environment. At the same time, foundations cut back on major capital commitments, with capital support, including funding for building and renovation, equipment, and endowments, declining to a record-low 17 percent of share of grant dollars.

"The impact of stock market losses on giving by large foundations peaked in 2003," said Loren Renz, vice president for research at the Foundation Center. "Yet, funders maintained a consistent set of grantmaking priorities and managed also to respond to several emerging issues."

To download highlights of the report (4 pages, PDF), visit: http://fdncenter.org/research/trends_analysis/pdf/fgthiltes05.pdf

“Despite Overall Decline in Foundation Giving, Several Key Issues Gained Increased Support in 2003.” Foundation Center Press Release 2/22/05.

Primary Subject: Philanthropy and Voluntarism
Location(s): National, New York, New York City, United States

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