colleges and .

•.

universities is

Dr. Steven W. Jones is chancellor of Phillips Community College of the University of Arkansas, as well as serving as the CEO of the college foundation.

currently threatened by level or decreasing funding from all government sources. Private financial support has become increasingly important for public institutions of higher education. This is true for colleges and universities that have historically been successful at private resource development, and it looms as an even more crucial element of community college fundraising. Consequently, it is critical that community colleges studiously determine which sources and strategies . for private support have the best potential for their institu-

investment of funds. Financial support for community colleges - from sources other than the traditional local/state taxes and student tuition - has moved to center stage as the most pressing challenge facing the future of our nation's 1,200 community colleges. Community colleges can no longer concede private fundraising success to their university counterparts. The challenge is a formidable one. Institutional resource development is a relatively new venture at public community colleges. The tradition of fund-raising is strongest in older, more established private liberal arts colleges and elite private universities. These private institutions have a well-

tions in the future. Given the cutbacks in government funding and their late entry into the private fund-

established capacity for development and tend to be successful in raising private

raising arena, it has become increasingly difficult for

support from a variety of constituencies. And these continued on page 4

Fund Raisers continued from pg 1

institutions have had decades, some centuries, of tradition and success that lend strength to fund-raising efforts. But fortunately within this critical, competitive arena, community college foundations are beginning to assume a leadership role in connecting private resources with the growing needs of these comprehensive public institutions. Community colleges, most of which have only come into existence since the early 1960s, have short histories in active fund-raising and often lack the experienced development staff present at more established four-vear

Alumni. While

universi-

ties consider alumni as a logical, primary target for fund- raising, community colleges have not been nearly as successful in this arena. The main reason is that community college graduates who are the most financially able to provide private support often feel stronger alliances to the fouryear institutions from which they graduated after leaving the community college. Community colleges are now beginning to enjoy modest success in alumni fund-raising, but it is

increasingly complex economy. But these are often competing ends for community college resources and require major investments by the colleges who, in turn, often look to those same industries for financial support. Despite this relationship, the doors of many corporations have historically been closed to community colleges. While community colleges have increased their success rates with corporate giving in recent years, many of the larger corporations still have policies

The most traditional and successful .

•.

strategies for fund raising at the

universities. Consequently, fund-raising at community

university have not proven to be as

colleges takes on unique perspectives and strategies.

successful for the community college.

Distinctive Approaches Required for Fund Raising at the Community College

doubtful that they will ever have the same level of success in this area as universities.

The most effective ways to increase private giving at public community colleges in the future will be markedly different from those at private universities, even different from those strategies employed at public universities. The most traditional and successful strategies for fund-raising at the university have not proven to be as successful for the community college. These targeted areas include alumni giving, corporate philanthropy and major foundation support.

6

.

Corporate Philanthropy.

Many colleges and universities have pursued fund-raising strategies that seek to develop strong ties with major corporations and industry. Such connections seem both logical and necessary for community colleges. The relationship between business and community colleges is often viewed as a partnership in which colleges are expected to produce the technical workforce for industries, while simultaneously serving at-risk students who need education to obtain entry-level employment in an

that exclude two-year colleges from receiving their support. Community colleges that are not located in the same geographic area as a major corporation typically have had limited success in securing corporate support. Foundation Support.

Major foundations, like many major corporations, have historically favored universities in their funding decisions. Foundations appear more interested in an institution's past successes and its prestige than in its future potential, a practice that clearly places the community college, with its brief history, at a relative

disadvantage. Because of their highly conservative focus, foundations are inclined to give to established and larger institutions. While community colleges have recently improved their success rates in this area, they still receive less than 3 percent of all gifts to education made by foundations. As a result, the philanthropic future for community colleges is replete with both challenges and opportunities. Public community colleges have taken deliberate approaches to solicit and receive private support and have sought ways to become more competitive with four-vear institutions. Uncertain government funding, at both the federal and state levels, has required community colleges to create their own niche in resource development - to develop a comparative advantage.

The Comparative Advantages of the Community College in Private Fund Raising Community colleges may be at an historic disadvantage when it comes to fund-raising from alumni, corporate and foundation sources; however, they seem to have a distinct comparative advantage in three critical areas: • the spirit of the community • the vision of the community college president, and • the return on the investment realized at a community college.

The record clearly shows that gifts from individuals who are not affiliated with a community college comprise the greatest source of funding support for these institutions. To be sure, people tend to support community colleges for some of the traditional reasons they support other charitable organizations. Community college donors generally like to: provide services to others; further causes or goals in which they believe; and enjoy the sense of accomplishment that comes from supporting a needed and worthy activity. But individuals, businesses and industries that make sizable donations to community colleges tend to have other motivations as well.

The spirit of community is a commonality community colleges share with other local stockholders. These colleges are committed, as an integral part of their missions, to help build and rebuild communities. Given that the hallmark of the community college is to foster good teaching coupled with a sense of community service, opportunities for fund-raising abound once this perspective is effectively emphasized. The successful pursuit of community-based support from individuals and industries •.

the center for cultural, intellectual and economic development. This is a particularly important role for rural community colleges, which comprise 60 percent of the nation's two-year colleges. Those who financially support community colleges in community development activities can literally help those colleges ''broaden their presence in the gaps.'' Donors to community colleges can promote literacy by supporting adult education initiatives. In return, these initiatives can

... fund-raising success among

smaller local business and industries has dramatically escalated over the last decade.

The Spirit of the Community. Community

is the word that defines community college. There is an incumbent commitment to community development at a community college that simply does not exist at any other ty e of higher education institution. Community colleges must declare with pride their record in serving both the social and economic interests of their communities. The motivation of private donors is often intensified when their gifts enable them to promote both an educational agenda (social) and a community development (economic) agenda.

requires the community college to vigorously affirm their partnership with community institutions, agencies and industries. In those communities with community colleges, there are typically ''gaps'' in social, educational and public services. In many instances, local public schools lack the resources to provide their students with the kinds of educational support they need; local service providers lack the trained professionals to best serve their clientele; and public servants need external assistance to meet the needs of their varied constituencies. Community colleges ''stand in the gap" in those communities and serve as

improve the capabilities of the local workforce, which can have a positive and direct influence on the industrial and economic development of the local community. Corporate donors can donate technology, equipment and manpower to the instructional process that can, in return, be used to train current and future employees to meet the specific workplace needs of the corporate donors. While community colleges have not generally enjoyed the fund-raising success among major national corporations that has been historically enjoyed by large universities, their fund-raising success

among smaller local business and industries has dramatically escalated over the last decade. Local industries increasingly cite the following reasons for giving to their community colleges: the college is an integral part of the community where their plant is located; the college provides new employees to the company; the college provides training programs for current employers; and the college serves the children and families of current employers. In addition, joint programs and seminars with business and industry have become one of the top avenues for successful private fund-raising activities among community colleges. A major impetus to successful relations with the corporate sector in local communities lies in the spirit of community that the college fosters through these types of alliances that it builds with industry, business, social organizations and professional agencies. The sense of wholeness and belonging that the college engenders in the local community will assign the college its own unique place in the ''community development'' network. It is this network that will, in return, determine the success of the college's fundraising efforts. The college's integration into this community network is either promoted or diminished by the relationship that the college's faculty and staff establish as thev work with various segments of the continued on page 1 8

I

Fund Raisers continued from pg 5

community. A faculty that is highly community-oriented is a distinct advantage, but the critical linking pin between the community and the college is often the college's president. The Vision of the Community College President. The

success or failure of private fund raising in a community college may not depend solely on the college president, but he or she certainly is the pivotal person around which an effective fund-raising program evolves.

support that can meet those needs. The critical element of success is often the president's ability to effectively articulate a vision for the community that is made more achievable through the community college's mission. This vision then becomes the basis for the college's private fund-raising program. It requires a way of thinking that may be unique to the presidency but must be understood by the faculty, staff, board and community leadership as well. The president's job is to conduct a series of strategic

In the local community, prospective donors want to talk to the president. Other staff members or board members can do the cultivation work, but before a donor makes a commitment of funding support to a community college, they will almost certainly want to discuss the gift with the president and hear how the donation will fit into the college's vision for community development. In so many ways, the college truly is the shadow of the president when it comes to fund raising at the community college.

Without strong, communityoriented, presidential leadership and commitment, little will be accomplished in private fund-raising efforts at a community college. The president must be able to secure formal endorsements from the institution's governing board for not only the projects and activities for which fundraising is necessary but for the fund-raising strategies as well. Selling an underfunded faculty and staff on the importance of fund raising is also a major challenge for the president. But the most significant determinant of fund-raising success is the president's connectivity to the community itself. The president must be able to listen to the community's interests and needs, match donor or agency priorities and college/community needs, and

thoughtfully package the

Before a donor makes a .

commitment of funding support to .

community college, they will almost certainly want to discuss the gift with the president. conversations about the institution and its role in community development: what the community needs and how the college can help it meet those needs; what the college can contribute to the economic and industrial efforts of the community; how the college can help the community grow and prosper in the future. These strategic conversations about the institution and the community can invariably lead

institution's expertise and

to resource support. Such a quest requires a total commit-

capacity to serve in a manner that will lead to the financial

ment and immersion for the community college president.

There are literally thousands of alternative recipients for a benefactor's gifts. People support institutions and organizations for a variety of reasons, but a major motivation is because it makes them feel good about themselves. People give because they want to make an impact and be recognized for their community-mindedness. Institutions of higher education have no special claim to such support and must prove that they provide a good return on the investments that donors make. In this respect, community colleges have an advantage. over larger institutions. A $10,000 contribution is considered a sizable gift by most community colleges, and the president, board and staff will spend more time and effort in cultivating and thanking that donor than will a four-year

In America, people like to give to people. The right people asking people who like to give will result in successful fund raising. And at the community college, -the right person to ask for a

college or university. To that extent, such a gift will not only be more highly valued by the community college; it will usually produce a much higher return on the investment as well. Even modest donations can have a tremendous impact at the community college. A small donation that establishes a badly needed program, changes the college's

gift is the president or chancellor. But there is another factor in successful fund raising that is a distinct advantage to the community college.

image in the community, provides for an innovative faculty development program or revitalizes a training program with new equipment

The Return-onInvestment of Giving to a Community Coiiege.

can make a greater long-term difference at a community college than can a larger grant to a major research university.

Large grants of this type are often so narrowly focused that they serve only a very tightly defined population for a limited period of time. Both types of financial support have their place, but the impact is the essential criterion. Community colleges enroll the majority of the nation's college freshmen. In other words, the collegiate success of most Americans now begins at the community college. And the majority of the nation's community colleges are located in rural geographic areas. These rural colleges serve the needs of Americans that are not served by other major educational or service organizations. Gifts to these rural community colleges can literally benefit thousands of people for decades. Gifts to community colleges tend to produce innovative responses and create new programs and services that have previously been unattainable because of the scarcity of resources. Some larger universities have received external support for so long that they have internalized the expectation of continued private funding. This expectation often leads to those universities actually budgeting private gifts into their ongoing activities. At the community college, more often than not, private external support actually creates new, innovative programs and

services that provide expanded opportunities to thousands of Americans who have never before had access to them. This might be in the form of scholarship support, cultural events, advanced technology programs, lectures series or

Conclusion

SOURCES:

Almost a hundred years ago, H.G. Wells said that,

Adams, Karen et al. ''Going Public With Private Fundraising: Community Colleges Garner Fairer Share of Support.'' Community College Journal American Association of Community Colleges. Washington, DC. August. 1994.

"Human history becomes more and more a race between education and catastrophe." With the majority of America's

adults. Some have suggested that this kind of "return on

college students beginning their studies at a community college and with the overwhelming number of adults who turn to

investment ,, - this type of "community building'' - can

their local community colleges for workforce training and re-

only be achieved at a commu-

training, these institutions of higher learning are rapidly being recognized as a good return on the investment of private financial support. Community colleges stand in the gaps in education and

continuing education for

nity college. This is the very reason the philanthropic arms of more major corporations, like the Ford Motor Company and BellSouth and more major

People give because they want to make an impact and be recognized .

for their community mindedness. foundations, like the Kellogg Foundation, are targeting community colleges - more specifically, rural community colleges - in their grantmaking decisions.

public service in cities throughout these United States. They are worthy of private support and they represent a uniquely American response to the needs of the 21st century. Supporting America's community c is supporting America's strength and competitiveness In the race between education and catastrophe, it is a choice that more private donors are making.

Chitwood, James P. A Decisign Makina Analysis of Fund Raising options at Public Community Colleges. Okalloosa-Walton Community College, ERIC Clearinghouse, November, 1990. Jones, Steven W. et al. Shaping the Community College Image. National Council for Marketing and Public Relations and the Association of Community College Trustees. Washington. DC, 1993. McNamara, Danette. "Characteristics of an effective two-year college private fundraising program. Dissertation Abstracts International 50-1191, 1988. Nicklin, J.L. ''Tight Budgets Spur more Two-Year Colleges into Fund-Raising. '' Chronicle of Higher Education, 38(48), A33-34, 1990. Ryan, Jerry et al Marketing and Development for Community Colleges. Council for the Advancement and Support of Education. Washington, DC, 1989.