The
Robert Wood Johnson Foundation (RWJF) invites
many types of grantmaking organizations including
independent and private foundations, family and
community foundations, and corporate and other
philanthropies to recommend dynamic projects for
this funding partnership.
Dollars to match grants given through RWJF’s Local
Initiative Funding Partners program may come
from any of the foundations defined below. Matching
funds may also come from charitable trusts and
endowments, individual benefactors, religious groups,
special fundraising entities and other grantmakers.
Typically, multiple funders contribute to the match
over the life of the grant.
Types of Foundations
For more information go to The
Foundation Center.
Community foundation: A
501(c)(3) organization that makes grants for charitable
purposes in a specific community or region. The funds
available to a community foundation are usually derived
from many donors and held in an endowment that is
independently administered; income earned by the
endowment is then used to make grants. Although a
community foundation may be classified by the IRS
as a private foundation, most are public charities
and are thus eligible for maximum tax-deductible
contributions from the general public. See also 501(c)(3);
public charity. (To find a community foundation
in your area go to the Council on Foundations.)
Community fund: An
organized community program that makes annual appeals
to the general public for funds that are usually
not retained in an endowment but are instead used
for the ongoing operational support of local agencies. See
also federated giving
program.
Corporate foundation/Company-sponsored
foundation: A private foundation whose
assets are derived primarily from the contributions
of a for-profit business. While a company-sponsored
foundation may maintain close ties with its parent
company, it is an independent organization with
its own endowment and as such is subject to the
same rules and regulations as other private foundations. See
also private foundation.
Corporate giving program: A
grantmaking program established and administered
within a for-profit corporation. Because corporate
giving programs do not have separate endowments,
their annual grant totals generally are directly
related to company profits. Corporate giving programs
are not subject to the same reporting requirements
as corporate foundations.
Family foundation: An
independent private foundation whose funds are derived
from members of a single family. Family members often
serve as officers or board members of family foundations
and have a significant role in their grantmaking
decisions.
Federated giving program: A
joint fundraising effort usually administered by
a nonprofit "umbrella" organization that
in turn distributes the contributed funds to several
nonprofit agencies. United Way and community chests
or funds, the United Jewish Appeal and other religious
appeals, the United Negro College Fund, and joint
arts councils are examples of federated giving programs. See
also community fund.
501(c)(3): The section
of the tax code that defines nonprofit, charitable,
tax-exempt organizations; 501(c)(3) organizations
are further defined as public charities, private
operating foundations, and private non-operating
foundations. See also operating
foundation; private foundation; public charity.
General purpose foundation: An
independent private foundation that awards grants
in many different fields of interest. See
also special purpose
foundation.
Health conversion foundation: Federal
law requires that proceeds from the sale of assets
of tax-exempt entities go to charity. There are a
number of ways this requirement can be met. One is
the establishment of a foundation to benefit the
community previously served by the nonprofit. Sometimes
a foundation is formed when nonprofit hospitals and
HMOs convert to for-profit status. While most new
health foundations are dedicated to healthcare, they
typically have adopted a broad definition of health
and sometimes support much wider community purposes.
New health foundations are rapidly becoming major
financial forces in their local communities and beyond.
Independent foundation: A
grantmaking organization usually classified by the
IRS as a private foundation. Independent foundations
may also be known as family foundations, general
purpose foundations, special purpose foundations,
or private non-operating foundations. See
also private foundation.
Operating foundation: A
501(c)(3) organization classified by the IRS as a
private foundation whose primary purpose is to conduct
research, social welfare, or other programs determined
by its governing body or establishment charter. An
operating foundation may make grants, but the amount
of grants awarded generally is small relative to
the funds used for the foundation's own programs. See
also 501(c)(3).
Private foundation: A
nongovernmental, nonprofit organization with funds
(usually from a single source, such as an individual,
family, or corporation) and program managed by its
own trustees or directors. Private foundations are
established to maintain or aid social, educational,
religious, or other charitable activities serving
the common welfare, primarily through the making
of grants. See also 501(c)(3);
public charity.
Public charity: A
nonprofit organization that qualifies for tax-exempt
status under section 501(c)(3) of the IRS code. Public
charities are the recipients of most foundation and
corporate grants. Some public charities also make
grants. See also 501(c)(3);
private foundation.
Special purpose foundation: A
private foundation that focuses its grantmaking activites
in one or a few areas of interest. See
also general purpose
foundation.
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