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By Clint Carpenter The checkbook of Ellen Stafford is much lighter since she joined the board of New York City-based Girls, Incorporated. But, she knew what she was getting into from the beginning. "They were up-front with me," Stafford said of Girls, Incorporated and its policy that board members annually contribute or obtain for the organization a minimum of $10,000 to $15,000. "I have chosen to do both," she explained. "It is a significant amount of money," she said, although she would not specify how much she personally contributes. "I am part of a large company (Deloitte & Touche of New York City) and we are in support of Girls, Incorporated and its mission." Stafford also is able to garner corporate contributions that credit toward her annual giving. Girls, Incorporated is not alone in requiring board members to contribute more than time. Some 47 percent of organizations that responded to a recent survey by the National Center for Nonprofit Boards (NCNB) in Washington, D.C. reported board members are required to make annual monetary contributions and 52 percent are required to identify possible donors and/or solicit funds. Some 49.2 percent require board attendance at fundraisers. And, 36 percent of board members overall give to the nonprofit whether it is required or not, according to the NCNB statistics. The data from the Year 2000 survey is still being tabulated and cross-tabbed, with more detail expected to be published later this year by NCNB. The survey is similar to one done in 1997 by NCNB when 1,028 nonprofit organizations responded with information. Of the respondents, 4 percent were nonprofits with reported annual revenues of less than $100,000, 14 percent between $100,000 and $249,000; 18 percent between $250,000 and $499,000; and 19 percent between $500,000 and $999.999. The largest group (41 percent) reported revenues between $1 million and $9.99 million. The remaining 4 percent had revenues of $10 million or more. The 1997 results showed that arts and cultural organizations were more likely to have policies requiring annual contributions (58 percent) than the other nonprofits studied. Some 33 percent of human service organizations reported having such a policy, while 29 percent of health groups and 21 percent of education groups reported a policy in place. Of the organizations that require an annual contribution, 29 percent reported a suggested minimum amount which averaged to $684. The largest minimum amount reported in the survey in 1997 was $5,000. According to Judith O’Connor, president and chief executive officer of NCNB, it is important for board members to contribute based on their ability to do so. Board members should give "depending on their own means," she said. "There are no legal requirements (regarding annual contributions) or regulatory (restraints)," O’Connor said. "It’s more of a good practice." O’Connor said there does seem to be reluctance on the part of some nonprofits in being up-front about annual gift requirements to potential board members. "I do think people expect it," she said. "But generally speaking, I would hope people would start being more up-front (about monetary requirements)." Many experienced nonprofit executives, past and present, believe it has always been nonprofit board members’ perceived duty to donate or solicit money. As is the case in many other areas, the larger the 501(c)(3), usually the higher the donation the nonprofit expects of the board member. "The operative word is guideline. It’s not written in stone," commented Isabelle Stewart, president and chief executive officer for Girls, Incorporated. A board member’s connection to colleagues and friends is also vital because they donate to the cause, Stewart said. She believes that board members should be committed to more than just one board — but three should be the limit. Giving possible board members a job description up front is a good policy, Stewart suggested, including the financial responsibilities. "It’s very healthy to give board members a job description up front for clarity," she added. As for board members contacted on the West Coast, donation ranges varied, and sometimes were not required. However, the general consensus was that all board members should give on an annual basis. Gregg Trugg, president of the National Alliance of Colorado, agreed with O’Connor. A lot of nonprofits are "uneasy to talking about money (board member contributions)," he said. As far as he is concerned, a number of nonprofits throughout the country are not forthright about board member obligations. In the San Francisco bay area, a board member of a nonprofit ballet company (who asked not to be identified) said members were required to give a minimum of $2,500 annually. "A lot of things (concerning annual monetary contributions) are heavily rumored," she said. According to Mary Cefalu, director of Silicon Valley programs for CompassPoint Nonprofit Services (previously known as the San Francisco Support Center) and nonprofit board member at a pair of nonprofits in the area, there is more involved in being a board member then just writing a check. "Board members are going to contribute in some other way like in fund development and need to work with the staff on fund development," Cefalu said. "I’m a believer that all board members should be expected to give at some level." Cefalu explained that at San Jose, Calif.-based Career Closet, a nonprofit that specializes in providing business clothing to welfare women, there is a strong, implied expectation that board members contribute a minimum of $250 annually. However, the money is not donated as one might think. An annual auction/event is held each year at which board members are encouraged to spend money, as well as sell tickets and recruit friends to attend and shell out cash that is donated to the cause. Cefalu estimates that each board member disposes of at least a few hundred-dollars at the event. "Most spend a lot more," she said. Not to mention what friends and guests contribute, she added. There are no annual benevolence guidelines for Chicago-based YMCA of the USA’s national board, said member Tom Beerntsen. "(Contributions) are only inferred this way: if you believe in the mission . . . contribute to the best of your ability," he said.
NPT staff writer Jeff Berger also contributed to this story
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