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Strengthening Democracy Building a More Effective, More Accountable Charitable Sector

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Strengthening Democracy Building a More Effective, More Accountable Charitable Sector Strengthening Democracy Building a More Effective, More Accountable Charitable Sector 2005 ANNUAL REPORT Front cover: Independent Sector serves as the “meeting ground” for the leadership of the entire charitable community, most notably through our Annual Conference. The 2005 conference, held October 23-25 in Washington, D.C., featured the theme, “Reshaping the Social Compact,” and also celebrated IS’s 25th anniversary. Those attending included (from left): • Deanna Dunkan-Grand, director of foundation relations, America’s Promise; • Iqbal Noor Ali, chief executive offi cer, Aga Khan Foundation; • Wade Henderson, executive director, Leadership Conference on Civil Rights; • John E. Morton (left), offi cer, planning & evaluation, The Pew Charitable Trusts, and Cinthia Schuman, associate director, Aspen Institute’s Nonprofi t Sector and Philanthropy Program. 2 2005 ANNUAL REPORT Table of Contents About Independent Sector . 4 Message from the Chair and the President . 5 Board of Directors and Leadership . 6-7 Highlights from 2005 . .8-17 Contributors . 18-21 Financial Summary . 22-23 Strengthening the Voice of the Charitable Community . 24 Independent Sector Members . .25-33 Staff . 34 2005 ANNUAL REPORT 3 About Independent Sector The United States is now home to an estimated 1.4 million public charities, private foundations, and religious congregations that work to improve the lives of individuals and communities. Collectively, we refer to these organizations as the “independent sector,” which underscores their unique role in society, distinct from business and government. Independent Sector is the leadership forum for charities, foundations, and corporate giving programs committed to advancing the common good in America and worldwide. Our nonpartisan coalition of approximately 550 organizations leads, strengthens, and mobilizes the charitable community in order to fulfi ll our vision of a just and inclusive society of active citizens, vibrant communities, effective institutions, and a healthy democracy. Our Vision Our Mission A just and inclusive society of active citizens, To advance the common good by leading, vibrant communities, effective institutions, and strengthening, and mobilizing the a healthy democracy. independent sector. Our Values Independence Interdependence Transparency, Integrity, • The freedom to be creative • Productive cooperation between and Accountability and uplift the human spirit the public, private, and nonprofi t • A commitment to the highest • The right to advocacy and sectors possible ethical standards freedom of speech • Effective collaboration between • Open and timely sharing of • A commitment to funders and grant recipients fi nancial, governance, and program information promoting and protecting Inclusiveness and Diversity the independence of the • Embracing a variety of perspectives • Responsiveness to society, sector and people members, and stakeholders • An obligation to serve • Respect for the views of others Operational Excellence as a leading voice for the • Effective programs and common good Social Justice activities that meet meaningful • Full and fair opportunities for all needs • Appreciating the worth and dignity • Effi ciency in the use of of each person resources 4 2005 ANNUAL REPORT Message from the Chair and the President We are pleased to present the highlights of Independent Sector’s work during our 25th anniversary year. Our achievements in 2005 resonate with a theme that has long been at the center of the charitable community: our abil- ity to improve lives is even greater when we join our voices. The past year saw the implementation of the strategic business plan our membership approved late in 2004. Our expanded membership criteria have enabled us to encourage leading organizations on the local, regional, and state levels that share our values to join IS. As these groups increasingly become part of the IS coalition, we better refl ect the growing strength and diversity of the sector. We are also fulfi lling the second main element of the business plan. Present and former members said that the charitable community needed a stronger voice on the pressing issues of the day, and they called on Independent Sector to embrace that role. We have, as our work over the past year demonstrates. We have been a leader in strengthening ethics and accountability, particularly with the Panel on the Nonprofi t Sector. As convener of the Panel, IS brought together thousands of people from across our sector to strengthen the transparency, governance, and accountability of charitable organizations. The results of this effort, particularly the Final Report the Panel issued in June, have already improved the operations of charities and foundations and shaped the views of government offi cials. The IS coalition brings together all elements of the sector—charities, foundations, and corporate giving pro- grams—in many other ways. The staff from member organizations who make up our committees, task forces, and other networks have helped the charitable sector develop better approaches in key areas such as public policy, civic engagement, and international issues. Our Annual Conference increasingly serves as one of the foremost meeting grounds for leaders from across the sector. Running through the enormous variety in our work and in that of our members are two main themes: strength- ening democracy and building more effective, more accountable organizations. We could not do this work without the vital voices of our members, and we look forward to continuing this chorus in the future. William E. Trueheart Diana Aviv Chair President and CEO Vital Voices The staff and volunteers of Independent Sector’s members are vital voices in the work to advance the common good. Their efforts, both for their organizations and as part of the IS coalition, are crucial to our ability to improve the lives of individuals and communities around the world. The following pages profi le a few of the millions of people in the charitable community whose contributions strengthen democracy and build a more effective, more accountable sector. 2005 ANNUAL REPORT 5 Board of Directors Offi cers Chair Vice Chair Diana Aviv * William E. Trueheart Gary L. Yates President and CEO President and CEO President and CEO Independent Sector The Pittsburgh Foundation The California Wellness Foundation * ex offi cio Treasurer Paula Van Ness Secretary Chief Executive Offi cer Hilary Pennington Starlight Starbright Children’s Vice Chair and Co-Founder Foundation Jobs for the Future Board Members Edward H. Able, Jr. J. Bryan Hehir Edward Skloot Special thanks to these President and CEO President Executive Director dedicated leaders who American Association of Catholic Charities, Surdna Foundation retired from the IS Museums Archdiocese of Boston board during 2005. Donald M. Stewart Kathleen W. Buechel J.D. Hokoyama Visiting Professor Angela Glover Blackwell Former President President and CEO Harris School of Public Policy Chief Executive Offi cer Alcoa Foundation Leadership Education for Asian Studies, University of Chicago PolicyLink Pacifi cs Robert W. Edgar Arturo Vargas Hodding Carter III General Secretary Kevin Klose Executive Director President and CEO National Council of Churches President and CEO National Association of Latino John S. & James L. Knight of Christ in the USA National Public Radio Elected and Appointed Offi cials Foundation Educational Fund Lewis M. Feldstein Stanley S. Litow Christopher T. Gates President President Luz A. Vega-Marquis President New Hampshire Charitable IBM Foundation President and CEO National Civic League Foundation Vice President Marguerite Casey Foundation Global Community Relations Kathleen D. McCarthy David S. Ford IBM Corporation M. Cass Wheeler Director Chief Executive Offi cer Chief Executive Offi cer Center on Philanthropy and Richard and Susan Smith Janet Murguía American Heart Association Civil Society, City University Family Foundation President and CEO of New York National Council of La Raza William S. White Barry D. Gaberman President and CEO Karen Narasaki Senior Vice President William D. Novelli Charles Stewart Mott President and Executive Director The Ford Foundation Chief Executive Offi cer Foundation Asian American Justice Center AARP Brian A. Gallagher Ruth Wooden Mary Beth Salerno President and CEO John R. Seffrin President President United Way of America Chief Executive Offi cer Public Agenda American Express Foundation American Cancer Society Vice President, Philanthropy Darell Hammond American Express Company CEO and Co-Founder KaBOOM! Inc. 6 2005 ANNUAL REPORT Leadership Committee Chairs Executive Committee Building Value Together John W. Gardner Virginia A. Hodgkinson William E. Trueheart Steering Committee Leadership Award Research Prize Committee President and CEO Paul Brest (co-chair) Committee Steven Rathgeb Smith The Pittsburgh Foundation President and CEO William S. White President-Elect The William and Flora Hewlett President and CEO Association for Research on Investment Subcommittee Foundation Charles Stewart Mott Nonprofi t Organizations and Robert E. Swaney, Jr. Foundation Voluntary Action Vice President and Chief Hilary Pennington (co-chair) Investment Offi cer (Retired) Vice Chair and Co-Founder Leadership IS Award Charles Stewart Mott Jobs for the Future Committee Foundation Janet Murguía Communications and President and CEO Audit Committee Marketing Advisory National Council of La Raza Arturo Vargas Task Force Executive Director Lewis M. Feldstein National Association of Latino President
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