Alumni Giving - Rates of Participation

<p>I just got an e-mail from my alma mater encouraging me to donate. They mentioned a couple other schools...as a way to inspire us to join in.</p>

<p>Check this out: Groton Academy (52%), Deerfield Academy (51%).</p>

<p>Wow. That's remarkable.</p>

<p>I think this is a very important number. In my annoyingly anal retentive Excel spread sheet of every possible boarding school metric, I definitely would place this before the letter J, perhaps even as far up as E.</p>

<p>Most of the schools have this information if you go to the alumni section of their web sites. Sometimes you have to dig for a .pdf file of the annual alumni report or latest newsletter with the past year's giving information. But I regard this number as one quantifiable indicator of the school's past, its present and its future, all rolled into one.</p>

<p>I wish I could find a single source that has this information. But, I can't. Instead, as people do their homework or just want to brag on their alma mater or child's school, we can collect that information here. Most schools operate on a July 1 - June 30 fiscal year. The schools will be updating this information soon. If you stumble into it for the schools your'e researching or decide you'd like to add this info for your school, I hope you will plug it in here. I'll report on Delbarton for 2006-7 in a couple weeks, but until then I'm agog over the numbers that Groton and Deerfield are posting.</p>

<p>I did some volunteer work at my son's previous independent day school. What I learned is that, in general, independent day schools receive the most annual fund money from current parents, and that this percentage is significantly higher than alumni participation. The highest alumni participation is generally found in boarding schools. I'm sure Delbarton knows that, but wants to encourage participation. </p>

<p>Here is a link to Blair's information: <a href="http://www.blair.edu/Charitable_Giving/giv_blair_fund_alumni.shtm%5B/url%5D"&gt;http://www.blair.edu/Charitable_Giving/giv_blair_fund_alumni.shtm&lt;/a> Annual fund participation was at 30% for 2005-2006. Annual fund plus other funding like endowment is a larger percent, but they do not roll it up. This will probably be updated soon.</p>

<p>I took a look at my high school alma mater which is an international school. They only started an annual fund 8 years ago, and did little to build alumni loyalty up until 10 or so years ago. As a result, alumni giving is at the bottom of the donor list. Current parents were clearly the largest group of donors. </p>

<p>BTW, I know alumni volunteers for Deerfield and Exeter who coordinate their classes. They have sophisticated processes in place to encourage giving.</p>

<p>Over 50% alumni participation is quite remarkable.</p>

<p>I searched for info on participation at other schools, and found the following:</p>

<p>-Deerfield's website confirmed that over 50% of alumni participated in last year's Annual fund, which raised nearly $4.5M.</p>

<p>-Choate's annual fund raised $3.9M last year. Over the past 5 years, Choate has averaged 34% alumni participation.<br>
<a href="http://www.choate.edu/supportchoate/annualfund.asp%5B/url%5D"&gt;http://www.choate.edu/supportchoate/annualfund.asp&lt;/a&gt;&lt;/p>

<p>-Lawrenceville's annual fund rasied $5.2M, with 37% alumni participation. (FY05)
<a href="http://www2.lawrenceville.org/alumni/welcome/detail.asp?newsid=179767&archives=1&bhcp=1%5B/url%5D"&gt;http://www2.lawrenceville.org/alumni/welcome/detail.asp?newsid=179767&archives=1&bhcp=1&lt;/a&gt;&lt;/p>

<p>-St. Paul's annual fund raised $2M last year, with 48% alumni participation.
<a href="http://www.sps.edu/podium/default.aspx?t=6023%5B/url%5D"&gt;http://www.sps.edu/podium/default.aspx?t=6023&lt;/a&gt;&lt;/p>

<p>-Andover raised $7.4M for its annual fund, with 39% total participation
<a href="http://www.andover.edu/alumni/council/SpringCtteRpt_05.asp%5B/url%5D"&gt;http://www.andover.edu/alumni/council/SpringCtteRpt_05.asp&lt;/a&gt;&lt;/p>

<p>my grandfather's secretary sent me a site a while back which had all of the financial information for basically every prep school. it was a philanthropy site which aimed to inform philanthropists of the finances of nonprofits which they wanted to give to. it had the salaries of deans and directors of admissions, etc... i THINK it might have this alumni generosity info.. idk. i'll dig it up. if it did, that would be a great resource, and you wouldn't have to search through all of those pdf's.</p>

<p>found it.</p>

<p><a href="http://www.charitynavigator.org/index.cfm?bay=search.summary&orgid=4327%5B/url%5D"&gt;http://www.charitynavigator.org/index.cfm?bay=search.summary&orgid=4327&lt;/a&gt;&lt;/p>

<p>and i found this... this is the school's net assets.
so... is bsreview.com really that outdated? PEA has probably reached 1 billion by now.. this was 2.5 years ago and they were only 35M away
2005/2004/2003
Net Assets -- $965,348,625 / $843,013,608 /$740,186,187</p>

<p>it seems like all of the schools had a big jump in gifts from 2003 to 2004, as opposed to other years... was that when the US news prep school ranking came out?</p>

<p>Blairt: Thanks for the link. The website looks like it has some excellent info. It's too bad they haven't been updated with FY06 data.</p>

<p>FYI, Net Assets is not the same as endowment.</p>

<p>net assets is the assets sans the liabilities... isn't that what an endowment is? I didn't think an endowment was all cash..? I thought it included property and whatnot.</p>

<p>Net assets is a different measure from endowment. </p>

<p>I think revenue here measures more than gifts. I think it includes tuition revenue, investment income, gifts, etc. What I believe they are trying to show is how efficiently the development office works so that charity $s go far. </p>

<p>I don't know why Exeter's revenues took a dip in 2003. However, in general, these were years of rapidly rising tuition revenues for independent schools. Read -- Large price increases. </p>

<p>This is an interesting website, but it doesn't show alumni participation unless I missed something. I didn't sign-up so perhaps there are more numbers broken down once you sign-up.</p>

<p>signing up takes 2 min. and theres not even an email confirmation.. and it's free. the info you get it really just the history and background of what you already see.</p>

<p>so is the endowment like.. liquid assets? and the net assets measure is just how much it's worth, not spending power?</p>

<p>The numbers I see on the website do not include a measure of endowment. No doubt that Exeter's endowment is amazing. </p>

<p>Here is an explanation of what the numbers are: <a href="http://www.charitynavigator.org/index.cfm/bay/content.view/catid/2/cpid/182.htm%5B/url%5D"&gt;http://www.charitynavigator.org/index.cfm/bay/content.view/catid/2/cpid/182.htm&lt;/a&gt;&lt;/p>

<p>Blairt: </p>

<p>Endowment can be generally defined as the capital which the school has set aside in long term investments. This capital is meant for two purposes. First, it is carefully invested in stocks, bonds, and alternative investments in order to appreciate over time. Second, these investments provide a stream of income which is used to pay for the schools expenses.</p>

<p>The Net Assets figure you see in CharityNavigator includes assets that are in the schools endowment and assets that are NOT in the schools endowment. For example, Net Working Capital is part of Net Assets, but not typically part of the endowment. NWC is the liquid capital (cash + short term investments) that the school uses to pay for daily operating expenses.</p>

<p>thanks! with that, i would say that net assets is a better indicator of a school's wealth than endowment because net assets includes nwc, which is what finances the operating expenses, which, well, is important and an indicator (at least somewhat) of the quality of education/daily life at a given school.</p>

<p>but who knows</p>

<p>50%+ participation? for the entire alumni community? are you sure that isn't a figure for recent grads?</p>

<p>i smell BS.</p>

<p>bolgona sandwich, right?? ;) not bull s***.... jk. i thought it was bologna sandwdich till i was ... well, 14.</p>

<p>Actually, it's not BS (Bicarbonate of Soda). For my alma mater our annual giving was at 16% just 10 years ago. About 5 years ago, when I plugged in myself, it was up to 28%. And they expect to hit their goal of 47% this year (ended yesterday). They look to Deerfield and Groton as the tops in this and want to be above 50% consistently like those schools.</p>

<p>You can usually find a .pdf newsletter by digging around the alumni section of a school's web site and they even list giving by class -- with the names of the donors indicated. So you can pretty much count, name-by-name, who has given and compare that to the average class size to see if they're making it all up (including crediting individuals who haven't given).</p>

<p>Net assets is <em>NOT</em> a good measure because it includes the value of the campus (plant assets less depreciation), which is an illiquid asset that costs money to maintain, as opposed to the Endowment, which generates a rate of return.</p>

<p>Delbarton has a very strong showing for any school, and especially a day school (I know they have a limited number of boarders). I'm just curious -- what steps did they take to get such a dramatic increase?</p>

<p>@ Burb Parent: I asked them about this myself when I called in my donation -- and I can add in my two cents as one of those who is counted as part of the delta from 16 to 47.</p>

<p>For me, there are several factors. First on the list is "PEER PRESSURE." That sounds like a pejorative, but when you get right down to it, I started giving because my friends were doing it. Better still -- my friends were calling me (not leaving messages, but making real contact) to ask me to join in. And, as part of that, when the annual report came out, there was a comment written by hand from one of the development office leaders noting how my class compared (e.g., "Thanks for helping your class have the biggest increase this past year," or "Your class has really made a difference overall!"). I think everyone gets a comment, even if it's only to give a pat on the back to your class. (We all look to that page, right?) They also have started designating which classmates have been giving 5 years in a row. I get calls from student-run phone banks asking for pledges from other schools. I used to be a student-caller myself (free pizza!) at Delbarton. But I don't even think they do that. In my case, I get called by George who's taking time out from his $600/hr. job on Wall St. and by Bill who thinks calling me about supporting our school today is a good way to spend a "take 5!" from the set of his next Oscar-winning production. You practically have to be a sociopath to decline to send in even $10. And if you are a sociopath, you'll still send it in just to keep people from realizing that you are one.</p>

<p>Second, there's "CONNECTING THE DOTS." They make sure that we know all that's going on. Delbarton's reputation has improved dramatically since I went there. It wasn't for slouches, but compared to other prep schools it had a more "blue collar" flavor and the matriculation list was not nearly as impressive as it is now. They've really made an effort to let you know (or make you think) about the ways that the things that are happening at Delbarton today ("Delbarton Today" is the alumni newsletter) have a direct and tangible impact on alums. Each time I'm at an event or meeting and someone I'm speaking with so much as recognizes the school's name, I'm getting a benefit from the things that have happened since I graduated. It wasn't that long ago that I had to answer the question, "What's a Delbarton?" -- even in northern NJ -- when I mentioned the school. But I don't think this tactic works only for schools that have recently had dramatic improvements. If people recognize your school -- and it's Exeter or Andover -- you're benefiting from people who are sustaining the positive association people make with your school. When people here, on this board, recognized the name of the school I attended...it was honestly a surprise to me. Then, when people here wrote favorable things about it, I decided I needed to dig deeper this year. They've made sure that we connect those dots and understand that that warm fuzzy feeling inside costs the school money to deliver.</p>

<p>Third, there's "SMALL COMMUNITY BUILDING." They cite the regional meetings they hold and other events that bring together small groups of alums on a geographic basis. I'm forever getting postcards asking me to RSVP for various get-togethers and cookouts all over the place. And by "place" I mean "nation." I haven't been to one since I was in Washington, DC but they still send them because travel plans might make it possible. And it's just a reminder that you're still connected and still valued. This had no impact for me, but they rank it very high on the list for improved giving. I suspect that the less far-flung and not-so-isolated alums connect in two ways: temporally (by graduating class) and spatially (by communities based on where they live and/or work). Maybe, in addition to a classmate calling to ask to donate, the guy you met at an after-work event who works in your office building might call to ask you to donate as well. (I'm just guessing about that very last part.)</p>

<p>Fourth, as a parent, I see more and more the importance of leaving something good lying around (educationally-speaking) for someone to walk into. I've mostly been the beneficiary of such largesse. My immigrant grandmother always told us that she would never vote down a school board request for more taxes because when she arrived the schools were all built and waiting for her family and, since she couldn't possibly pay back what she was given, it was her responsibility to make sure those things were in place for the people who come afterwards. My son is receiving FA and I'm very much indebted to the benefactors of his school who made it possible for him to attend. It's not a loan, and maybe it's counterintuitive to think of donating to a school that's giving you financial support (or donating, even modestly, to another school), but I hope to be able to repay it by supporting that school. So, for me, I guess I'm just at a point where I'm very conscious of the concept of "paying it forward" when it comes to education and I had reached that point where instead of being a recipient of other people "paying it forward," I was able to do the paying. And now, with BS, I'm also back in the recipient category...making the concept more confusing, if not more profound and urgent.</p>

<p>Thank you for the thorough response.<br>
It's great that your school had the vision and will to get alums involved like that.</p>