Comments on: Paul Brest on General Operating Support http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support Fri, 12 Mar 2010 20:09:19 +0000 http://wordpress.org/?v=2.9 hourly 1 By: Adin Miller http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support/comment-page-1#comment-8292 Adin Miller Fri, 20 Nov 2009 20:50:57 +0000 http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support#comment-8292 The overhead / administration cost issues is an interesting facet of the GOS discussion. In many cases, the funders will provide funds under an internally established indirect rate policy. The challenge in some cases is reconcilling that rate (say 8%) with some grant recipients' federally negotiated indirect rates that can dramatically exceed that level. In my own work that has included education institutions that had indirect rates in excess of 40%. In other examples, the lack of a consistent definition of what constitutes indirect / overhead / administrative expenses -- rent, for instance -- causes more confusion in negotiating the grant award. The overhead / administration cost issues is an interesting facet of the GOS discussion. In many cases, the funders will provide funds under an internally established indirect rate policy. The challenge in some cases is reconcilling that rate (say 8%) with some grant recipients’ federally negotiated indirect rates that can dramatically exceed that level. In my own work that has included education institutions that had indirect rates in excess of 40%. In other examples, the lack of a consistent definition of what constitutes indirect / overhead / administrative expenses — rent, for instance — causes more confusion in negotiating the grant award.

]]> By: Sean Stannard-Stockton http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support/comment-page-1#comment-8291 Sean Stannard-Stockton Fri, 20 Nov 2009 18:30:53 +0000 http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support#comment-8291 Yes, I think it is a pretty common idea that funders should pay the overhead when they make a project grant. I can't tell you how often that actually happens. DonorsChoose does exactly that. When you make a donation to a school project, you are asked to tack on an additional grant to cover DonorsChoose's overhead. My understanding is that many donors make the extra donation. Yes, I think it is a pretty common idea that funders should pay the overhead when they make a project grant. I can’t tell you how often that actually happens.

DonorsChoose does exactly that. When you make a donation to a school project, you are asked to tack on an additional grant to cover DonorsChoose’s overhead. My understanding is that many donors make the extra donation.

]]> By: Noah Flower http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support/comment-page-1#comment-8290 Noah Flower Fri, 20 Nov 2009 17:57:59 +0000 http://tacticalphilanthropy.com/2009/11/paul-brest-on-general-operating-support#comment-8290 Sean, do you know if anyone is advocating that funders interested in just one specific project provide an appropriate percentage of their gift to cover the administrative overhead for that work? Sean, do you know if anyone is advocating that funders interested in just one specific project provide an appropriate percentage of their gift to cover the administrative overhead for that work?

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