WebJunction

Excellent question Bobbie, anyone have any suggestions? I wonder if the <a href="http://www.fdncenter.org/">Foundation Center</a> website would offer any clues? I did a search on their site for the word libraries and found a few resources but I didn't dig very far - Tocker Foundation is one that comes up...

Max

We just got our 501(c)(3) a few months ago.

While you can get grants without it, it limits the number you can apply for. Having a 501(c)(3) is basically a filtering method for foundations -- they know you meet a lot of their requirements if you have it.

Concerning the Tocker Foundation. It says it funds grants "principally" to Texas organizations. Does that mean I could still apply being from Colorado? I qualify for the rural,under 12,000 population restriction.

Bobbie

It's not difficult so much as time consuming. And the time depends on how well your budgeting system is already set up. Ours was relatively easy to adapt into the format the IRS needs.

It takes about six weeks to 2 months after filing, if memory serves. Our only problem was we had a CPA help us fill out the paperwork (pro bono -- I filled it out and he double-checked my work before I sent it in), but he told us the wrong fee to pay (it's based on your budget), so I had to send in a second check.

Is it worth it? If you want to apply for any foundation money -- yes. You simply can't apply for many of them without the 501(c)(3) designation.

If you do not want to apply for 501.c3 status if you have a Friends of the Library Group they usually have a 501.c3. There are grants out there that will allow you to apply under their status. You will still do all the work, be the contact, and receive the funds.

Bobbie,

I would also see if a larger organization or association in your state might be willing to serve as a fiscal agent for you. Illinois has a statewide non-profit organization to address this exact question of making it worthwhile for an investment of time to garner the 501c3 designation. More information here about that organization -

http://www.ilsdo.org/on_fund.html

I think to help answer your question it might be useful to talk to a local lawyer or CPA and find out if they would be willing to donate the time and if not, how many hours of their services it would require. Balancing the investment of your time and their time and possible fees and comparing that to what you MIGHT receive in grants could provide some needed perspective on whether it is worthwhile to your library.

Greetings,
Let's see:
I am Rebekah, I work as director of a mid-sized upstate NY public library chartered to serve a small city of 11,886. However, we really serve the area of the entire School District which is a population of about 25,000. I have been here since Jan. 2005.

We are at the start of a several-step process so that we can get ourselves placed to do some serious looking for funds in 2007 & beyond.

Our City Gov't is pretty generous to us, especially considering the state of the economy in our region, and we get a bit of funding through vote of the School District, as well as our County and State -- but any increments we see on a year-to-year basis are simply to maintain the status-quo, as other costs go up. So, if we want to make any serious strides, we need new sources of funds.

The group which was our so-called "Friends" had no desire to become a 501 c 3 or take any other really motivated action, so they have recently disbanded.

Just as they were hiring me the Board of Trustees decided to begin reaching out to our patron base and created a "Paron's Society" which is not yet tax-deductible, but will be once we have our 501 c 3 -- it is simply that group of our patrons willing to voluntarily contribute at any level of giving -- we have no meetings, no officers, etc. and periodically publish a newsletter so folks know how their money is being spent. Since the first mailing was done in Dec. 2004 we have generated about $6,500 this way. Again, nice, but not sufficient for real change.

That is how we came to determine that the cost and trouble of getting the 501 c 3 IS WORTH IT.

We have applied to NY State Ed. Dep't for an amendment to our charter so we can apply. As soon as that comes through we will send in our application. We got great help from our public library system -- one of the consultants has made it her business to make the process as painless as possible -- and then, after we get the approval from the Federal Gov't we intend to apply for a bulk rate postal permit.

For the 3 Patron's Society mailings since Dec. 2004 we have been able to "borrow" the permit of other local not-for-profits, but the time has come for us to step up and pay for our own.

We anticipate this entire 3-step process will cost about $1,000 for us, and well, I am just thankful we already have the Patron's Society in place so that the cost does not have to come from my annual budget. But even if it did -- I still believe in the long run, it would be worth the time, effort and dollars.

I have some experince writing LSTA and NY State Arts grants and have just this Spring begun applying to local companies for small sponsorships. I think that I have the skills to write the kinds of grants that will meet the approval of foundations, but until we have the 501 c 3 I dare not even think about it... I guess I am of the belief that the grantee has the responsibility of knowing what the funder wants to fund, to write a grant that meets that desired purpose, and then to carry it out as stated in the proposal document. To try to get a funder to do what you want ... while it would be nice, is just a waste of their time (and yours).

So to the CO person asking about Texas money, I say -- look elsewhere.

Ok -- that is my soap-box for today.
Sorry,
Rebekah

And another good place we hope to get some free / discounted assistance from once we have our 501 c 3 in place is Gifts In Kind International:
http://www.giftsinkind.org/receive/registration/educational.asp
-- Rebekah