Defining key terms AN INTRO TO PHILANTHROPY

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FOUNDATIONS

PUBLIC CHARITY

A nongovernmental, nonprofit organization that receives financial support from a broad segment of the general public through donations or the sale of services that further its mission. This includes religious, educational and medical institutions as well as community foundations. (Council on Foundations)

COMMUNITY FOUNDATION

A community foundation is a tax-exempt, nonprofit, autonomous, publicly supported, philanthropic institution composed primarily of permanent funds established by many separate donors living in a defined geographic area. Typically, a community foundation serves an area no larger than a state. There are more than 750 community foundations across the United States today. (Council on Foundations)

PRIVATE FOUNDATION

A nongovernmental, nonprofit organization with funds (usually from a single source, such as a individual, family or corporation) and program managed by its own trustees or directors, established to maintain or aid social, educational, religious or other charitable activities serving the common welfare, primarily through grantmaking. (Council on Foundations)

OPERATING FOUNDATION

Private foundations that use the bulk of their income to provide charitable services or to run charitable programs of their own. They make few, if any, grants to outside organizations. (Council on Foundations)

CORPORATE FOUNDATION

Private foundations that derive grantmaking funds primarily from the contributions of a profit-making business. The company-sponsored foundation often maintains close ties with the donor company, but it is a separate, legal organization, sometimes with its own endowment, and is subject to the same rules and regulations as other private foundations. (Council on Foundations)

ENDOWMENT

The principal amount of gifts and bequests of a foundation. (Council on Foundations)

GRANT

An award of funds to an organization or individual to undertake charitable activities. (Council on Foundations)

PROGRAM OFFICER

Also referred to as a corporate affairs officer, program associate, public affairs officer or community affairs officer, a program officer is a staff member of a foundation or corporate giving program who may do some or all of the following: solicit and review grant requests, recommend policy, manage budgets and process applications for funding. (Council on Foundations)

NONPROFITS

Organizations which exist to take direct actions to advance the public good. While this includes Foundations, the term is often used to refer to organizations that seek grants from foundations.

These include: DIRECT SERVICE ORGANIZATIONS

Nonprofits that provide services directly to individuals and communities

ADVOCACY ORGANIZATIONS

Organizations that advocate on behalf of certain communities or groups of people