On November 27th, the Chronicle of Philanthropy featured an article by Eden Stiffman on the growing practice of fiscal sponsorship as a phenomenon in the charitable sector.
Here it is.
I began by “hating” the article’s headline for obvious reasons — it suggests something nefarious is going on.
When fiscal sponsorship is “done right,” the project may or may not be a nonprofit corporation, but it has a 501(c)(3) public charity as its sponsor that accepts deductible gifts and grants for the project’s charitable purpose and exercises discretion and control over the funds received.
Reading to the end of the Chronicle piece, I could only say “fabulous.”
It is an accurate, even thrilling, description of the growth of the field. For me personally, it was gratifying to see fiscal sponsorship taken seriously and to have its benefits to our society painted so clearly.
It was wonderful for her to conclude by showing how the University of Michigan started a community program under its nonprofit status (university departments are HUGE fiscal sponsors). The mental health project grew, moved to Tides, and now is applying for its own 501(c)(3) recognition letter.
I was glad to learn of some amazing fiscal sponsorship successes for the first time in this article.
As for the headline, which may have been written by someone else, its phrasing may have just been an enticement to readers.
I couldn’t be more proud — and so should all of you who have taken so many innovative new projects under your wings — to have made this a better world.
Photo: University of Michigan campus. The university recently was fiscal sponsor to a mental health program serving students and their communities.
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