Giving in Minnesota, 2006 Edition
Key Findings
Giving in Minnesota, 2006 Edition, discusses grantmaking in the state relative to 2004, the year with the most recent comprehensive data. This report provides an overview of giving by individuals and organized philanthropy in the state. It also provides an in-depth analysis of trends and patterns of giving according to subject area, geographic area, intended beneficiary and support type by the Giving in Minnesota sample, which comprises the 110 largest active grantmakers in the state
that make more than $1 million in grants. This sample represents just 8 percent of the state’s total number of grantmakers yet 83.5 percent of total grants.
Minnesota Giving Overview
Total giving in the state rose by 9 percent from $4.5 billion in 2003 to $4.9 billion in 2004. The improvement reflects continued economic recovery after the recession earlier in the decade following the 9/11 terrorist attacks.
Increase in individual giving. Individual charitable giving continued to rise in 2004, with Minnesotans giving an estimated $3.9 billion, up from $3.5 billion in 2003. The average contribution per itemized return was $3,528, compared to $3,214 in 2003. Average contributions were lower than the national average of $4,012, a traditional trend related to more Minnesotans itemizing on their federal tax returns.
Foundation and corporate giving increases to over $1 billion. Foundations and corporate grantmakers made total grants over $1 billion in 2004, the highest amount ever recorded by the Council. This increase is attributable in part to an increase in gifts from donors particularly to community foundations, increases in company profits from which corporate contributions are made, and improved foundation investments.
Foundation assets increase. Foundation assets increased from $13.5 billion in 2003 to $15 billion in 2004, a 9-percent increase, compared to a 16-percent increase in the prior year.
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Expanded overview
Grantmaking by Giving in Minnesota Sample
Grants Paid by Grantmaker Type
Both private foundations and corporate giving programs increased their size of grants in 2004 over 2003, while community foundations showed a decrease in size of grants.
Private foundations. A $20-million one-time gift by the Blandin Foundation and E.M. Pearson Foundation’s end of operations, leading to
a payout of $30.9 million in assets, boosted the average grant size for private foundations.1
Corporate grantmakers. The average grant size of corporate giving increased to $21,484 in 2004 from $17,830 in 2003.
Community/public foundations. A decrease in average grant size by community foundations from $51,021 in 2003 to $24,054 in 2004 is attributable to two large grants by The Minneapolis Foundation in 2003 that were not repeated in 2004.
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More information about grantmaking by grantmaker type
Grantmaking by Subject Area
Education, Human Services and Public/Affairs continued to rank as the three subject areas with the highest percentage shares of grant dollars, despite shifts in percentage shares among the three subject areas.
Education remains the highest funded subject area. As in previous years, Education continued as the highest funded subject area, receiving $188 million in grants, or 25 percent of total state grant dollars. There was a dip in the share of grant dollars to Higher Education, as well as a significant rise in grants to Student Services, attributable to the high level of giving by community and corporate grantmakers to Scholarship America Inc.
Arts, Culture and Humanities grantmaking show robust activity. Arts, Culture and Humanities saw a 2-percent increase in share of grant dollars, from 13 percent to 15 percent in 2004. There also were special grantmaking activities in this subject area: a single $3.57-million grant to the Minneapolis Institute of Arts by The Wood-Rill Foundation and a $2.43-million grant to the Walker Art Center by The Minneapolis Foundation. There were also more arts organizations receiving $1 million or more in grants, up from 15 in 2003 to 18 in 2004, as well as a number of major capital campaigns.
Share of grant dollars to Health rose by 3 percent. Besides incremental growth, the large improvement is attributable to a $20-million grant from the Blandin Foundation to Grand Itasca Clinic & Hospital, some $4 million in Health grants from E.M. Pearson Foundation, and the first year that Healthier Minnesota Community Clinic Fund was included in the Giving in Minnesota sample.
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More information about grantmaking by subject area
Grantmaking by Geographic Area
In 2004, the state overall saw a 5-percent growth in giving, up from 54 percent in 2003 to 59 percent in 2004.
Grants to Greater Minnesota increase. Greater Minnesota and Areas Outside Minnesota witnessed the greatest shift in percentage shares of grant dollars. The increase in giving to Greater Minnesota from 9 percent to 14 percent is attributable a $20-million gift to the Grand Itasca Clinic & Hospital from Blandin Foundation. Areas Outside Minnesota saw a decrease, from 46 percent in 2003 to 40 percent in 2004, which is attributable to The Minneapolis Foundation’s single $20-million gift to Northwestern University in 2003.
Community/public foundations giving to the state returns to historical levels. In 2004, grantmaking by Community/Public foundations reflected a more historic trend in shares (80 percent of grant dollars) made within state and areas outside Minnesota following a dip to 64 percent in 2003. Areas Outside Minnesota received a smaller share of grant dollars from these grantmakers, from 36 percent in 2003 to 19 percent in 2004. This decrease in share is attributable to the one-time grant to Northwestern University.
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More information about grantmaking by geographic area
Grantmaking by Intended Beneficiary
General Public/Unspecified populations, Children and Youth, and Adults continued to rank as the top three most highly funded beneficiary groups.
Other Named Groups. Other Named Groups witnessed an increase from 3.3 percent in 2003 to 3.9 percent in 2004. This increase is attributable to an increase in the number of beneficiaries that were coded, up from 775 in 2003 to 847 in 2004, as well as the size of grants made. In 2004, there were six grants over $400,000, compared to only one grant of the same amount the previous year.
General Public/Unspecified Groups. All three grantmaker types gave the highest shares of grant dollars to benefit the General Public, with community/public foundations giving the highest share, 60 percent, private foundations giving 53 percent, and corporate foundations and corporate giving programs giving 48.7 percent.
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More information about grantmaking by intended beneficiary
Grantmaking by Support Type
Program Support continues to rank first. Despite a decrease in share of grant dollars, from 48.6 percent in 2003 to 45.6 percent in 2004, Program Support continued to rank first among the types of grants with the highest share of grant dollars.
Capital Support increases. Capital Support increased by 1.5 percent from 13.9 percent to 15.4 percent in 2004, due to a number of large capital projects.
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More information about grantmaking by support type
1 From time to time, large gifts can skew the comparisons and, in these cases, the gifts are mentioned in the discussion of trends and patterns of giving.
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Giving in Minnesota
2006 Edition
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Table of Contents
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Index
Section I:
Introduction
Section II:
Key Findings
Section III:
Minnesota Giving Overview
Section IV:
Sample Trends
Section V:
Methodology
Section VI:
Appendices
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About This Report
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Giving in Minnesota, an annual research report produced by the Minnesota Council on Foundations since 1984, provides a comprehensive analysis of the trends and patterns of giving by organized philanthropy in the state.
This report provides an overview of giving by Minnesota foundations and corporations domestically and internationally, as well as giving by individual Minnesotans. The report also provides an in-depth analysis of the Giving in Minnesota sample of the largest Minnesota foundations and corporations by subject area, geographic area, intended beneficiary and support type.
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