Soup-Kitchen Accounting - NYTimes Op-Ed

Image by Getty Images via Daylife

Did you read this op-ed column in the NY Times this week? As a grant writer and citizen, I don't know which I think is better -- make the bailout more like the government grant-making process for nonprofits or make grants to nonprofits more like the bailout.

Op-Ed Contributors - Soup-Kitchen Accounting - NYTimes.com: "Executives of banks that have received TARP cash have said that it is too hard to account separately for how they spend their federal dollars. Money is fungible, they argue, and therefore they cannot readily distinguish between outlays of their own resources and those provided by the government. But that’s the type of doublespeak that would get the head of a town’s homeless shelter thrown in jail. If bankers are unable to segregate cash by source and specifically account for expenditures, why are they in charge of banks in the first place? ..."

"...However, this is where additional practices common to federal financial assistance come into play. Before a charity can receive a federal grant, it must prepare a proposal outlining precisely what it will do with the funds. Bailout recipients should do the same, or at least sign contracts agreeing to spend the money in accordance with terms set forth by the Treasury and to refrain from certain types of expenditures during these troubled times."

Which do you like better? Easier terms for us or tougher terms for them?

Limits on Exec Compensation in Grant Applications

Image by DavidDMuir via FlickrNow, here's a clause in an RFP that I've never seen before. This is from an OJJDP Gang Prevention RFP that came out this past week. I guess if Wall Street had to give up their bonuses, nonprofit managers have to make sacrifices, too.

Limitation on Use of Award Funds for Employee Compensation; Waiver. No portion of any award of more than $250,000 made under this solicitation may be used to pay any portion of the total cash compensation (salary plus bonuses) of any employee of the award recipient whose total cash compensation exceeds 110 percent of the maximum annual salary payable to a member of the federal government’s Senior Executive Service (SES) at an agency with a Certified SES Performance Appraisal System for that year. (The salary table for SES employees is available at www.opm.gov.) This prohibition may be waived at the discretion of the Assistant Attorney General for the Office of Justice Programs. An applicant that wishes to request a waiver must include a detailed justification in the budget narrative of the application.

To save you time, here's the link to the Salary Table No. 2009-ES The maximum compensation for a Federal Sr. Executive Service with a "Certified SES Performance Appraisal System" is $177,000. So, if any of your executives are paid more than $194,700, don't charge any of that compensation to your proposal budget.

My clients are all wishing this was relevant to their compensation! Oh, well...

We'll probably see more of this. Do you think it will be applied to Federal contracts in the for-profit sector?

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What Can Grant Writers Expect from the Obama Administration?

Image via WikipediaOne of my clients sent me a link to this article anticipating what the new administration may focus on. I pass it on to you.

eCivis: Improving Grants Performance: "Grants in the Obama Administration

With the election of Barack Obama, many in the grants world have been reviewing campaign materials, speeches, and debates to determine what is likely to happen in terms of grants. In general, funding can be expected to increase dramatically in many areas, including programs for low-income individuals and families, child education, and law enforcement. eCivis has reviewed many of the recent materials, and while there are no guarantees of what will actually happen versus what has been promised, there are some indications of what grant-seeking organizations are likely to see: read more here"

For most of us, the news is good -- more money for after school programs, head start programs, community development.... Of course, to quote an earlier presidential campaign, "It's the economy, stupid." So, we'll see.

#63: Sustainability -- Another Word for Long Term Survival

Image via Wikipedia SAMHSA has just published a useful guide for grassroots nonprofits that as grant writers we should add to our resource file. A comprehensive RFP almost always has a question about sustainability and I often find that the team wants to answer "We'll look for another grant." -- Clearly, not what the funder is hoping to hear.

Although as grant writers we seldom carry responsibility for implementation, we should be prompting the team to think long and hard about implementation and sustainability. This toolkit addresses the full range of issues that impact survival including marketing, financial management and fundraising. It contains lots of links to on-line resources. And, of course, you can't beat the price. it's free!

Sustaining Grassroots Community-Based Programs: A Tool Kit for Community-and Faith-Based Service Providers

#62: TIPS & RESOURCES FROM GRANTORS

Here's another grant resource from Grants.gov. They've collected links to all the grant pages for many of the government agent ...your tax dollars at work! I must say, it's pretty nice to have all these links in one place.

TIPS & RESOURCES FROM GRANTORS: "TIPS & RESOURCES FROM GRANTORS
... a listing of the 26 Federal Agencies and their resources.
Simply find the agency you are interested in and click on the link to be directed to their resources."

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