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beyond charity Nonprofit Business in Montgomery County, Maryland

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Page 1: beyond charity - Nonprofit Montgomery · 2015. 6. 25. · NONPROFITS AT WORK: doing good means doing business Nonprofits are businesses, first and foremost – they just have a different

beyondcharityNonprofit Business inMontgomery County, Maryland

Page 2: beyond charity - Nonprofit Montgomery · 2015. 6. 25. · NONPROFITS AT WORK: doing good means doing business Nonprofits are businesses, first and foremost – they just have a different

beyond charity Nonprofit Business in Montgomery County, Maryland

This report was made possible with support from the Montgomery County Department of Economic Development and the Department of Health and Human Services.

The Department of Economic Development stimulates job growth and encourages business location and expansion in Montgomery County. To learn more, visit: www.choosemontgomerymd.com

The Department of Health and Human Services is responsible for public health and human services that help address the needs of Montgomery County’s most vulnerable children, adults and seniors. To learn more, visit: www.montgomerycountymd.gov/hhs

Nonprofit Montgomery is an alliance of nonprofit leaders working to build the strength, influence and visibility of the nonprofit community towards a more just and caring Montgomery County. We believe in working together to solve problems that no organization can solve alone. In 2012, executives of Nonprofit Montgomery’s member organizations managed 4,275 employees, 61,840 volunteers, and an aggregate budget of $308.6 million. To learn more, visit: www.nonprofitmontgomery.org

Nonprofit Montgomery is an affiliate of the Nonprofit Roundtable of Greater Washington. To learn more, visit: www.nonprofitroundtable.org

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beyond charity Nonprofit Business in Montgomery County, Maryland

executive summary

Nonprofit businesses are a bigger economic driver than most people ever realize.

Consider the following:

• 1 in 10 workers in Montgomery County is employed by a nonprofit – a number in line with the national average.

• In2011,thecounty’s43,371nonprofitemployeesearned$2.2billionintotalwages.

• Thenonprofitjobmarketinthecountyhasseensteadygrowth,eventhroughtheworstoftherecession,increasing9.1percentbetween2007and2011,whileoverallemploymentinthe county decreased2.5percent.

Despitecompellingfactslikethese,nonprofitsareprimarilyknownforthemissionstheypursueandthegoodworktheydo.Thisframeofreferencemakesiteasytooverlookthestrategicandfinancialaspectsofrunningasuccessfulnonprofitbusiness–and,inturn,togreatlyunderestimatethesector’seconomicimpact.

ThisreporttakesacloserlookatthreecentralwaysthatnonprofitscontributetotheeconomicvitalityofMontgomeryCounty,Maryland–withspecialemphasisonhownonprofitshelpcreateandfillgoodjobs.

1. Doing good means doing business.Nonprofitsmayhaveadifferentkindofbottomline,buttheday-to-dayrealityofmanaginganonprofitbusinessisallaboutdollarsandcents.Liketheirfor-profitcounterparts,nonprofitspaywagesthatgeneratetaxdollarsandfuellocalspending.Nonprofitsalsospendmoneyonawidearrayofgoodsandservices.ThetotalpurchasingpowerofMontgomeryCountynonprofitsisnearly$4billion.Learn more on page 2.

2.Buildingastrongerworkforce.Notonlyarenonprofitsemployersthemselves,butmanyalsoaredeeplyinvolvedinworkforcedevelopmentandeconomicempowermenteffortsdesignedtoassistawidevarietyofpopulations–includingyouth,seniors,veterans,smallbusinessentrepreneurs,displacedworkers,second-languagespeakers,andindividualswithphysical and mental disabilities. Learn more on page 6.

3.Multiplyingeverydollar’simpact.Nonprofitsprovidetremendouseconomicvaluebytappingintothepowerofvolunteers,in-kinddonations,andmultiplefundingstreams.Thisisn’tabout“doingmorewithless”–professionalstaffandcorecapacitymustbeinplacetoleverageandmanagetheseresources.Butwhennonprofitshaveadequateinvestmentandsustainedsupport,theyareuniquelypositionedtomultiplyeachdollarmanytimesover.Learn more on page 10.

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beyond charity Nonprofit Business in Montgomery County, Maryland

Providinggoodjobs. MontgomeryCountynonprofitsemploy43,371people,or9.7percentofthecounty’stotalworkforce.Furthermore,thenonprofitworkforceishighlyeducatedandhighlyskilled.Nationally,45percentoffull-timenonprofitemployeeshaveacollegeoradvanceddegree,andprofessionalspecialtyoccupationsaccountfor38percentofemployeesinthesector.Thecultureofmostnonprofitssupportsprofessionaldevelopmentforemployeesateverylevel,andhigh-performingnonprofitsattracttoptalenttothecounty.

Real purchasing power. Likeanybusiness,nonprofitsmustpayemployeesandpurchasegoodsandservices.Fromnonprofitenterpriseswithhundredsofemployeesandcorporate-sizedbudgetstosmallneighborhoodnonprofitsthataremoreakintomicrobusinesses,everynonprofitspendsmoneyandsupportsthelocaleconomy.Thosedollarsaddup,withannualpayrollforMontgomeryCountynonprofitstotaling$2.2billionandtotalspendingofnearly$4billion.

Stimulating economic growth.Becausetheirbottomlinesaremission-drivennotprofit-driven,nonprofitbusinessesareoftenuniquelypositionedtobecornerstonesofeconomicdevelopment.Thisisespeciallytruewhentheyjoinforceswithpartnersinthepublicandprivatesectors.Forinstance,theMontgomeryCountyFoodCouncilisacross-sectorpartnershipworkingtoimprovetheenvironmental,economic,social,andnutritionalhealthofthecountythroughthecreationofarobust,local,sustainablefoodsystem.Artsandculturenonprofitsfrequentlyplayaleadingroleincommunitydevelopment.TwoshiningexamplesofthisdynamicareAFISilverTheatre,whichhasbeenadrivingforceintherevitalizationofdowntownSilverSpring,andBlackRockCenterfortheArts,whichisacenterpieceoftheTownCenterdevelopmentinGermantown.

NONPROFITSATWORK: doing good means doing businessNonprofitsarebusinesses,firstandforemost–theyjusthaveadifferentkindofbottomline.Liketheirfor-profitcounterparts,nonprofitbusinessesareanessentialpartofMontgomeryCounty’seconomiclandscape,contributingtotheeconomyinmultipleways.Inaddition,nonprofitbusinessesoftenfunction as catalysts for economic development.

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beyond charity Nonprofit Business in Montgomery County, Maryland

What is a nonprofit?Anonprofitorganizationdoesn’thaveaprofitobjectiveandexistsforthepublicgood.Section501(c)oftheIRScodedesignates28typesofnonprofits.Byfarthemostcommontypeis501(c)3,which indicates that a nonprofit has charitable purposes,andthatdonationstothegrouparetax-deductible.

Outof6,390nonprofitsinMontgomeryCounty:• 5,125are501(c)3,whichincludesprivatefoundationsandpubliccharities(charitable,religious,educational,scientific,literary,publicsafety,andanimalwelfareorganizations).

• 293are501(c)6,whichincludesorganizationsthatseektoimprovebusinessconditions,suchas chambers of commerce.

• 246are501(c)4,adesignationthatincludescivicleagues and associations.

What about national and international nonprofits?Montgomery County has a significant number of national and international nonprofits because of its proximity tothenation’scapital–includinglarge,well-knownnonprofitenterprisesliketheHoward Hughes Medical Institute,Goodwill Industries International,andtheNational Association of the Deaf. Past research by TheUrbanInstitute’sCenteronNonprofitsandPhilanthropy,basedon2000IRSdata,foundthat65percentofMontgomeryCounty501(c)3nonprofitswerelocaland35percentwerenationalorinternational.Thecountyisalsohometomorethan400professionalandtradeassociations,someofwhichare501(c)3,butmanyofwhichhaveotherIRSdesignations,liketheNational Association of School Psychologists and the American Nurses Association,bothofwhichare501(c)6.Eventhoughnationalandinternationalnonprofitsmaynotprovideservicestolocalresidents,theirpresenceisaneconomicassettothecounty,providingjobsforthousandsandpumping millions of dollars into the local economy.

Does size matter? In2012,3,147MontgomeryCounty501(c)3nonprofitshadbudgetsunder$25,000.PTAs,sportsleagues,neighborhoodassociationsand other worthwhile groups fall into this category,andeventhetiniestnonprofitcanhelp strengthen the fabric of our community. However,forthepurposesofthisreport,wewanttodrawattentiontothe1,978nonprofitsabovethe$25,000threshold–allthewaytothe208withrevenuesof$5million or more. Not represented here are a number of large nonprofits in the county withotherIRSdesignationsthatalsohavesignificant economic impact.

5125 (80.2%) – 501(c)3

246 (3.8%) – 501(c)4 55 (0.9%) – 501(c)5

293 (4.6%) – 501(c)6

143 (2.2%) – 501(c)7

63 (1.0%) – 501(c)8

465 (7.3%) – All Others

Montgomery County Nonprofits by IRS Subsection Designation

Source: Maryland Association of Nonprofit Organizations analysis of IRS data, September 2012

3147 (61.4%) – Under $25,000

579 (11.3%) – $25,001 - $100,000

413 (8.1%) – $100,001 - $250,000

224 (4.4%) – $250,001 - $500,000

216 (4.2%) – $500,001 - $1M

338 (6.6%) – $1,000,001 - $5M

208 (4.0%) – Over $5M

Montgomery County 501(c)3 Nonprofits by Size of Annual Revenue

Source: Maryland Association of Nonprofit Organizations analysis of IRS data, September 2012

5125 (80.2%) – 501(c)3

246 (3.8%) – 501(c)4 55 (0.9%) – 501(c)5

293 (4.6%) – 501(c)6

143 (2.2%) – 501(c)7

63 (1.0%) – 501(c)8

465 (7.3%) – All Others

Montgomery County Nonprofits by IRS Subsection Designation

Source: Maryland Association of Nonprofit Organizations analysis of IRS data, September 2012

3147 (61.4%) – Under $25,000

579 (11.3%) – $25,001 - $100,000

413 (8.1%) – $100,001 - $250,000

224 (4.4%) – $250,001 - $500,000

216 (4.2%) – $500,001 - $1M

338 (6.6%) – $1,000,001 - $5M

208 (4.0%) – Over $5M

Montgomery County 501(c)3 Nonprofits by Size of Annual Revenue

Source: Maryland Association of Nonprofit Organizations analysis of IRS data, September 2012

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beyond charity Nonprofit Business in Montgomery County, Maryland

How many people do nonprofits employ?AccordingtounemploymentinsurancedatacollectedbytheMarylandDepartmentofLabor,LicensingandRegulation,therewere43,371nonprofitemployeesinMontgomeryCountyin2012,or9.7percentofthetotalworkforce.

Someofthecounty’sbiggestnonprofitsandlargestemployersinanysectorarenonprofithospitals.Takentogether,Holy Cross Hospital,Medstar Montgomery Medical Center,Shady Grove Adventist Hospital,Suburban Hospital,andWashington Adventist Hospitalemploymorethan9,000people.Inadditiontofulfillingtheircoremissionstoprovidemedicalandsurgicalcare,thesenonprofithospitalsoperatemanyprograms that reach deeply into the community. Some other large nonprofit employers in the county include The ARC Montgomery County,whichservesfamiliesaffectedbyintellectualanddevelopmentaldisabilities,andCHI Centers, Inc.,whichalsoassistsindividualswithdevelopmentaldisabilities,eachwithmorethan600employees.Inadditionto501(c)3charitableorganizations,othertypesofnonprofitsalsoaremajoremployers.Forinstance,theAmerican Speech-Language-Hearing Association,a501(c)6withover150,000members,has260employeesatitsnationalheadquartersinRockville.

Attheotherendofthespectrumaresmallnonprofitswithfewerthan10full-timeemployees,likeBethesda Green,whichiscurrentlyincubating14next-generationgreenbusinesses;Korean Community Service Center of Greater Washington,whichprovidessocialservicesto3,500Korean-AmericanresidentsinMontgomeryCounty;Hospice CaringinGaithersburg,avolunteer,non-medicalhospice;andStepping Stones Shelter inRockville,whichprovidesemergencyshelterandlong-termsupportivehousingtohomelessfamilieswithchildren.

Nonprofit employees

Total employees in the county

2007

39,769

459,313

2008

40,279

457,482

2009

41,648

443,284

2010

42,721

441,544

2011

43,371

447,755

1-yr growth

1.5%

1.4%

5-yr growth

9.1%

-2.5%

Nonprofit Employment in Montgomery County 2007-2011

Nonprofit Employers Show ResilienceAccording to Lester M. Salamon and the Center for Civil Society Studies at Johns Hopkins University, “The nonprofit sector is not only a significant employer, but also a very resilient employer during economic recessions. While the private sector as a whole was losing jobs, nonprofits continued to create new ones.” Salamon and his group found that U.S. nonprofit employment grew every year between 2000 and 2010, with an average annual growth rate of 2.1 percent, while the for-profit sector lost jobs at an average annual rate of minus 0.6 percent.

Nonprofit Density Linked to Lower UnemploymentResearch by the National Conference on Citizenship has shown that the number and type of nonprofit organizations in a community predicts resilience to unemployment. For instance, an individual living in a metropolitan area with low nonprofit density had a 5.5 percent chance of losing his or her job between 2008 and 2009, compared to a 2.7 percent chance for someone living in an area with high nonprofit density. More research will be needed to explain the link between nonprofit density, civic health, and unemployment, but one explanation is that nonprofit density, as part of a larger measure of civic engagement, may be a buffer that lessens structural unemployment (mismatches between the skills that employers are looking for and the skills that potential employees have).

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beyond charity Nonprofit Business in Montgomery County, Maryland

THEECONOMICIMPACTOFONENONPROFITFamily Services, Inc. wasfoundedin1909andisthecounty’soldestandlargestprivatenonprofitsocialservicesagency.In2012,ithad290employees,payrollof$9.1million,andspendingof$7millionforgoods,services,anddirectsupporttofamilies.

THESTORYBEHINDTHEIMPACTFamilyServiceshasgrowndramatically,adding200full-timejobsbetween1998and2012.FamilyServicesestablishedamodelnonprofitcollaborativethatco-locatescommunitypartnerstoservefamiliesmoreeffectivelyandefficiently,fromprimaryhealthanddentalcare,totaxassistanceandhousingassistance.Partners currently include Community Clinic, Inc.,Dwelling Place,Teen and Young Adult Health Connection,Oakmont School,Foundation School,Manna Food Center,andtheHousing Initiatives Partnership.Notunlikefor-profitbusinesses,nonprofitssometimesmergebecauseit’sagoodbusinessdecision.InJanuary,2013,theGuide Program, Inc.,abehavioralhealthandsocialservicesnonprofit,mergedwithFamilyServicestostrengthentheirmutualcapacities.Annually,themergedorganizationswillserve22,000individualsandfamilies,withacombinedbudgetof$22million.

THEECONOMICIMPACTOFAFIELDOFNONPROFITSArtsandCulturenonprofitsinMontgomeryCountyandtheiraudiencesspent$151millionin2010–including$43.2millioninevent-relatedspendingbynon-residents.

THESTORYBEHINDTHEIMPACTTheArts&EconomicProsperityIVsurveyconductedbyAmericansfortheArts,inpartnershipwiththeArts and Humanities Council of Montgomery County,foundthatartsandculturenonprofitsinthecountyspent$76.7millionin2010.Thisspendingwasnearlyequaledbytheiraudiences,whogeneratedanother$74.3millioninevent-relatedspending(excludingthecostofadmission).Event-relatedexpendituresthatweretalliedincludemealsandrefreshments,souvenirsandgifts,groundtransportation,andovernightlodging(onenightonly).ArtsattendeeswhoresideinMontgomeryCountyspent$31.1million,oranaverageof$15.51perperson,andnon-residentattendeesspent$43.2million,or$30.14perperson.Agoodexampleistheweek-longSilverdocsdocumentaryfilmfestivalandconference,presentedbyAFI Silver Theatre and theDiscoveryChannel,whichattracted27,000attendeesin2012.

THEECONOMICIMPACTOFANALLIANCEOFNONPROFITSParticipants in the Nonprofit Energy Allianceusedtheircollectivepurchasingpowertosave$536,000onafixed expense.

THESTORYBEHINDTHEIMPACTTheNonprofitEnergyAlliance(NPEA)isnotaformalorcontractualgroup,butanallianceoflike-mindednonprofitsthatjointogethertoenhancetheirnegotiatingpowerforcleanenergyandhelpbuildagreenereconomy.NPEAisorganizedbyNonprofit Montgomery,the Arts and Humanities Council of Montgomery County,andtheNonprofit Roundtable of Greater Washington with technical assistance fromthecounty’sDepartmentofEnvironmentalProtection.Savingonelectricity–afixedexpense–freesup dollars for programs and services while also introducing environmentally sustainable business practices. Since2010,atotalof64nonprofitshavesavedacombined$536,000duringaone-yearperiodcomparedtostandard-offerservice.Thewindpowerpurchasedbythealliancehasoffsetabout40millionpoundsofcarbondioxide–equivalenttotaking3,500passengervehiclesofftheroadsforoneyear.

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beyond charity Nonprofit Business in Montgomery County, Maryland

Moreworkers,morewages. Thecounty’sWorkforceServicesprogrampartnerswithseveralnonprofits,includingWorkforceSolutionsGroup,whichoperatestheMontgomeryWorksOne-StopCareerCentersinWheatonandGermantownthatserve14,000jobseekerseachyear.Inaddition,manynonprofitsofferworkforceprogramsforspecificpopulations.Forinstance,eachyearCASAdeMarylandworkswith7,500low-incomeimmigrantsatthreeemploymentcenters,helpingthemfindday,temporary,andpermanentjobsthatpayalivingwage.Singlemoms,woundedwarriors,homelessfamilies,adultswithdisabilities–forthesegroupsandmanymore,nonprofitsofferspecializedservicesthatconnectpeoplewithjobsandgreateropportunity.

Learning and earning. Frompre-Kprogramsthatpreparechildrenforlong-termsuccessinschoolandlife,tocomputertrainingforseniorworkers,toEnglishliteracytrainingforrecentimmigrants,theright education at the right time in life can move people from poverty to earning a living wage–orfrombasicself-sufficiencytopersonalprosperityandasset-building.Nonprofitsmeetpeoplewheretheyare,helpingthemovercomepersonalchallenges,culturaldivides,andsocio-economicbarriersinordertoaccesseducationthatcanopenthedoorstogreaterearning potential.

Stabilityandself-sufficiency.Veryoften,nonprofitshelppeoplestabilizetheirlifesotheycanbenefitfromjobprogramsandeducationalopportunities.Forinstance,it’shardtokeepajob–orevenapplyforone–ifyou’rehomeless.WhennonprofitslikeMontgomeryCountyCoalitionfortheHomeless,MontgomeryHousingPartnership,andHousingUnlimitedhelpindividualsandfamiliesfindstablehousing,thatisahugefirststeptowardeconomicself-sufficiency.

NONPROFITSATWORK: building a stronger workforceNonprofits are on the front lines of workforce development and economic empowerment.Fromworkreadinessandcareertraining,tointernshipsandplacementservices,toloanprogramsandbusinessincubators–nonprofitsplay a big role in putting people to work in Montgomery County.

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beyond charity Nonprofit Business in Montgomery County, Maryland

THEIMPACTIn2012,theVocationalServicesProgramatInterfaith Worksserved128individuals,leadingto59full-timeand12part-timejobplacements,withamedianhourlywageof$11.13.

THESTORYBEHINDTHEIMPACTInterfaithWorksisanon-sectarianinterfaithcoalitionof165congregationsofdiversefaiths,workingtogethertomeettheneedsofthepoorandhomelessinMontgomeryCounty,withthegoalofhelpingthemachieveself-sufficiency.Ofthe71jobplacementslastyear,63werelong-term(sixmonthsorlonger).TheVocationalServicesProgrampreparesclientsforemploymentbyofferingjobreadinessclasses(59graduatesin2012),skillsassessment,computerskills,financialliteracy,andjobplacement.Clientsworkone-on-onewithVocationalCounselorstodevelopskills,identifytrainings,writeresumes,practiceforinterviews,andsecureandmaintainjobs.

THEIMPACTTheJewish Foundation for Group Homes(JFGH)helpsyoungadultswithdevelopmentaldisabilitiesand/orchronicmentaldisordersjointheworkforceandbecomemorefinanciallyindependent.

THESTORYBEHINDTHEIMPACTVocationaltrainingisakeypartofayearlongindividualizedprogramatJFGHdesignedtofacilitatesuccessfultransitionintotheadultcommunity.Of34participantswhofirstcametotheprogramin2008,18havemovedintoemployment;ofthose,10areworkingwithdailysupports,fourwithdrop-insupport,twoareattendingcollege,andtwoareworkingonentrepreneurialpursuits.

THEIMPACTLastyear,IMPACT Silver SpringfacilitatedthecreationofaYouthJobsCircle,acommunity-basednetworkof20African-Americanteenagebasketballplayersand15homeownersandbusinessowners,whichresultedintheyoungpeopleearning$6,000.

THESTORYBEHINDTHEIMPACTTheYouthJobsCircleisslatedforreplicationin2013,anditreflectsIMPACT’snewlyre-focusedmission:tobuildandsustaincommunity-basednetworksthatsupportpeoplewhoarecreatingsocial,economic,andcivicmomentumthatcontributestostronglocaleconomiesandvibrantcommunities.IMPACThasinitiatedseveralotherprototypeprojectsfocusedoneconomicempowermentandselfandcollectivesufficiency.Forinstance,theElRosalSewingCircleisagrowingmicroenterpriserunbyfourCentralAmericanwomen.

THEIMPACTLastyear,theLatino Economic Development Center(LEDC)providedmicroloanstotaling$317,000to18small businesses in Montgomery County.

THESTORYBEHINDTHEIMPACTLEDCequipsLatinosandothermetro-arearesidentswiththeskillsandfinancialtoolstocreateabetterfuture for their families and communities. Microloans are made to microbusinesses that would otherwise nothaveaccesstocapital.Nationally,eachloanofthistypegeneratesanaverageof1.9jobs,so18microloanshavethepotentialtocreate34jobsinthecounty.LEDCalsoprovidestechnicalassistanceandentrepreneurialeducationthroughitsSmallBusinessDevelopmentProgram,whichservedmorethan350entrepreneursinMontgomeryCountylastyearwithtrainingandtechnicalassistance.Inadditiontoitsfocusonhelpingmicrobusinessesformalizeandthrive,LEDCalsoworkstoretainsmallbusinessculture,includingeffortstomitigatetheimpactofredevelopmentonaround75smallbusinessesinWheaton.LEDC’scomprehensiveapproachtocommunity-basedeconomicdevelopmentalsoincludespreparingfamiliesforhomeownership and foreclosure intervention.

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beyond charity Nonprofit Business in Montgomery County, Maryland

2.5%

2.4%

3.6%

4.9%

6.8%

8.7%

9.4%

14.1%

$1,551Doctoral degree

$1,665Professional degree

$1,263Master’s degree

$1,053Bachelor’s degree

$768Associate degree

$719Some college, no degree

$638High school diploma

$451No high school diploma

Note: Data are for persons age 25 and over. Earnings are for full-time wage and salary workers.Source: Bureau of Labor Statistics, Current Population Survey.

Average: $797

Average: 7.6%

Median weekly earnings in 2011Unemployment rate in 2011

Education PaysEvery level of educational attainment steadily increases earning power while drastically reducing the chances of unemployment.

THEIMPACTIn2011-2012,CollegeTracks USAprovidedintensivecollegeadmissionsandfinancial-aidadvisingto600juniorsandseniorsatWheatonandBethesda-ChevyChaseHighSchools.

THESTORYBEHINDTHEIMPACTCollegeTracksgiveslow-incomeandfirst-generationcollegestudentsthechancetogotocollegeswheretheycansucceed,withenoughfinancialaidandcontinuingsupporttoattainadegree.Fortytrained,supervisedvolunteersmeetwithstudentsatleastweekly,withanother20volunteersfocusedexclusivelyonACTtestpreparation.In2012,theprogram’s330graduatingseniorsallgainedacceptancetocollegeortechnicalschool,with63percentadmittedtofour-yearcolleges.Thesegraduateswereofferedmorethan$6millioningrantsandloans.Ofthe1,225CollegeTrackshigh-schoolstudentswhograduatedbetween2008and2011,83percentenrolledincollegewithinayearofhighschoolgraduation,exceedingthe74percentrateforallMontgomeryCountyPublicSchoolstudents.Ofthose,91percentpersistedtoasecondsemester,93percenttoathird,and87percenttoafourth.(Graduationismeasuredonasix-yeartimeframe,socollegecompletionnumberswillbeassessedstartingin2014).StudentsenrolledintheCollegeTracksCollegeSuccessProgram,whichworkedwith120studentslastyear,enrolledandpersistedatevenhigherrates.

ACES Aims to Pave the Way to College SuccessAchieving Collegiate Excellence and Success (ACES) is a new program designed to create a seamless educational pathway from high school to college completion. ACES is a collaborative effort among Montgomery County Public Schools (MCPS), Montgomery College, and the Universities at Shady Grove (USG), created to support students who are underrepresented in higher education and first-generation college students. MCPS will identify ninth-grade students who will benefit from ACES and provide support and interventions to keep them in a college-going mindset; coaches from Montgomery College work with students starting in grade 11 to provide ongoing support and advising when they enroll; and USG will advise students as they attend Montgomery College, keeping them on track to enroll at a USG institution (or in the University System of Maryland) and complete a bachelor’s degree. The program will launch in eight MCPS high schools in 2013-2014 and is expected to expand to more schools in the future. ACES anticipates that 60 students will participate at each grade level, for a total of 240 students at each school. All three organizations are working with their foundations to establish scholarship funds that will benefit participants.

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beyond charity Nonprofit Business in Montgomery County, Maryland

PHILANTHROPYATWORK: foundations invest inworkforce developmentPrivatefoundationsarenonprofits,too,andphilanthropyis an important source of revenue for many nonprofit businesses,oftenhelpingtoleveragepublicandprivatedollars.Conversely,governmentfundingcanpositionanonprofit to attract funding from private foundations and corporatedonors.Herearejustafewexamplesoflocalgrant programs that focus on workforce development and economic empowerment.

TheCommunity Foundation for Montgomery County housescharitablegivingfundsforindividuals,families,and businesses. Many of its donors give through Sharing Montgomery,agrantprogramtoassistnonprofitsthatservethecounty’sgrowingpopulationoflow-incomechildren,families,andseniors.Lastyear,SharingMontgomerygranted$640,000to60localnonprofits,many of which offer workforce development programs.

In2012,SharingMontgomerygranteesincludedCareer Catchers,forone-on-onecareercounselingandjob-skillstraining;CASA de Maryland,foritsCenterforEmploymentandTraininginGaithersburg;Catholic Charities of the Archdiocese of Washington,foritscenterintheWheatonneighborhoodthatprovideshousingstabilizationservices;Empowered Women International,foranentrepreneurshiptrainingprogramforimmigrant,refugee,andlow-incomewomen;the Latino Economic Development Center,foritsSmallBusinessDevelopmentProgram(seepage7);Maryland Multicultural Youth Center,foritssummerwork-skillsandinternshipprogram(seepage13);Red Wiggler Community Farm,forvocationaltrainingforadultswithdevelopmentaldisabilities;andSunflower Bakery,foron-the-jobtraininginbakingandfoodpreparation for individuals with developmental and cognitive disabilities.

TheWashington Area Women’s Foundation’s SteppingStonesgrantprogramhelpslow-income,female-headedhouseholdsintheregionoutofpovertyand onto a path of economic security and financial independence.In2012,grantstotaling$175,000wereawarded to five nonprofits working in Montgomery County,includingCasa de MarylandforitsWomen’sWorkforceInitiative;Latino Economic Development

Center to provide coaching and financial tools to low-incomewomen;andtheMontgomery College Foundationtosupportjobtrainingandopportunitiesintheapartmentindustryfor20low-incomewomen.

TheWomen’sFoundationalsosupportstheGreater Washington Workforce Development Collaborative at the Community Foundation for the National Capital Region. Philanthropies and businesses pool resources to invest in a stronger workforce developmentsystemfortheregion.Since2009,thecollaborativehasawarded$335,000toMontgomeryCountyworkforceprogramsand$100,000forstateworkforcepolicyadvocacyandorganizing.Recently,theCollaborativegranted$105,000toMontgomery College FoundationtosupporttheApartmentMaintenanceTechniciantrainingprogram,andaninnovative partnership with Montgomery County hospitalshasprovidedEnglishliteracy,ESOL,orcollegepreparatorytrainingto56entry-level,frontlineworkers.Thisefforthasempowered26oftheemployeestoenroll in college with employer sponsored tuition assistance,andhashelped14moreearnapromotion.

TheJim and Carol Trawick Foundation funds health and human service and arts nonprofits in Montgomery County,andmanyofitsgrantssupportworkforcedevelopmentandeducation,withpreferencegiventoinnovativeapproachesandprograms.Forinstance,in2011,Trawickanditsco-fundertheHSC Foundation awarded$300,000totheMarylandMulticulturalYouthCenters(MMYC)forINSPIRE(InternshipsProvidingReadinessforEmployment),aone-yearprogramfocusedonprovidingjobreadinesstrainingandworkskillsdevelopmentforyoungadults,ages16to24,whowerepregnant,parentingoragingoutofthefoster-caresystem.Toassisttheseyoungpeopleduringtimesofcriticaltransitionintheirlives,MMYCpartnered with Pyramid Atlantic,Dance Exchange,theDepartmentofHealthandHumanServices,theDepartmentofRecreation,andlocalemployers.Ofthe51youthparticipants,44completedpaidinternships,eightobtainedtheirGED,twoobtainedpermanentemployment,and14enrolledinpost-secondaryeducation.

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NONPROFITSATWORK: multiplying every dollar’simpact

Thepowerofbeinga501(c)3. EightypercentofMontgomeryCountynonprofitshave501(c)3charitablestatusthatallowsthemtopursuemultiplefundingstreams.Mostofthesenonprofitsleveragefederal,state,andlocaldollarsearmarkedforaspecificcauseorpopulation.Forinstance,inFY12,MontgomeryCountyhadalmost500contractswithnonprofitsvaluedatnearly$97million.County dollars and other public funding streams are typically leveraged with donations from nationalandlocalfoundations,corporations,andindividuals.

Thepowerofvolunteers.Nonprofitshavetheuniqueabilitytoharnessthepowerofvolunteersofalltypes,fromprofessionalswhoprovidepro-bonoservicesorserveonboardsofdirectors,toprogramandadministrative volunteers who work on the front lines and keep things running behind the scenes.Forinstance,lastyeartheCenterforAdoptionSupportandEducationleveraged50hoursofHRconsultationservices,20hoursoflegalconsultation,640hoursfromits16boardmembers,1,040hoursofvolunteertimeintheformofgraduateinternships,3,300servicehoursbyAmeriCorpsyouthworkers,and100hoursofgeneralvolunteertime.

Thepowerofin-kinddonations.Fromfooddrivestoharddrives,theabilitytoaccepttax-deductiblein-kinddonationsgivesnonprofits another way to leverage resources and multiply impact. Donations of goods include itemstohelpneedyfamilies(food,clothing,diapers,schoolsupplies,furniture),computersandprofessionalclothingforworkforcereadinessandplacementprograms,buildingmaterialsforcapitalprojects,anddonationsforauctionsandotherfundraisers.

Asmission-drivenbusinesses,nonprofitsaremotivatedtomakeeverydollardoasmuchgoodaspossible.Thisbeginswithbeingfiscallyprudentandworkingincost-efficientways–butthat’snotusuallyenough.Achievingmeaningful,lastingoutcomesdemandsgoingbeyondspendingmoney wisely to finding ways to multiply every dollar many times over. Howdononprofitsmanagethisfinancialalchemy?Byusingtheircharitablestatus to leverage resources.

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THEIMPACTManna Food Centerleveragesfooddonationsandvolunteerstoprovideareturnoninvestmentof$3.49forevery dollar donated.

THESTORYBEHINDTHEIMPACTLastyear,Mannaserved184,000low-andmoderate-incomeresidentsatriskforhungerinMontgomeryCounty.Mannaconductsfooddrivesandpartnerswithabout40localsupermarketstorescuefoodthatwouldotherwisebedisposedof.In2012,thevalueoffooddonationstotaled$5.4million,withvolunteersdonating52,000hourstohelpsort,pack,anddistributefood–theequivalentof25full-timeemployeesinadditiontoManna’spaidstaffof20.

THEIMPACTPrimary Care Coalition(PCC)ofMontgomeryCountyobtainsaround$1millioneachyearinspecialistmedical care for uninsured residents.

THESTORYBEHINDTHEIMPACTPCC’snetworkof100specialistsservespatientswhoreceiveprimarycarepaidforthroughthecounty’sprograms for uninsured adults and children. PCC also offers technical assistance to clinics receiving MontgomeryCaresfundingastheybeginandgrow.Thenumberofclinicsservingtheuninsuredhasgrownfromjusttwoin1998to12clinicorganizationstoday(manywithmultiplesites),andthenumberofuninsuredresidentsservedeachyearhasgrownfromaround4,000to30,000.Donatedspecialtycaresavesmoneyand is an efficient way for primary care physicians to refer uninsured patients to specialists. PCC also obtains donationsofbrand-namemedicinesforuninsuredresidents,valuedat$3.7millioninFY12alone.This,too,savesmoneyforthecountyasthemajorityofthesemedicinesgotoindividualsservedbycountyhealthprograms,andaccesstomedicationsforchronicconditionsalsoreducesdoctorandhospitalvisits.

THEIMPACTIn2012,A Wider Circlefurnishedthehomesof3,650familieswithdonatedfurnitureandhomegoodsthathadanaveragevalueof$1,500perfamily.

THESTORYBEHINDTHEIMPACTThemissionofAWiderCircleistohelpchildrenandadultsliftthemselvesoutofpoverty.Morethan12,000familiesdonatedfurnitureandhouseholditemstotheorganizationlastyear,anditemsweredistributedfreeofchargetomorethan13,000adultsandchildren.AtitsnewCenterforProfessionalDevelopment–openinginSilverSpringinFebruary,2013–AWiderCirclewillexpanditsabilitytoleveragedonatedgoodsbycollectinganddistributingworkattireandaccessories,withthegoalofprovidingprofessionalclothingto3,000individualsinitsfirstyear.TheCenterwillalsoofferjobskillstrainingandlifeskillsclassesandplanstoprovidejob-placementsupportto500individuals.

THEIMPACTTrainedvolunteersatMontgomery County Hospice(MCH)worked16,000hoursin2012,timevaluedat$364,000ortheequivalentofeightfull-timeemployees.

THESTORYBEHINDTHEIMPACTMCHprovidesprofessionalmedicalhospicetoinsured,underinsured,anduninsuredpatients.MCHsupplementsitspaidstaffof260employeeswithabout270volunteers,anumberthatstaysconstantfromyeartoyear.Volunteersmustattendanintensivethree-daytrainingsessionandtakeseveralrefreshercoursesannually,andtheyarerequiredtomakedetailednotesabouttheirinteractionswithpatients.In2012,volunteershelpedMCHprovidehospicecareto2,098patientsandtheirfamilies.

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THEIMPACTLastyear,16nonprofitsleveragedthecounty’sinvestmentof$500,000inadultEnglishliteracyclasseswith$1.85millioninrevenuefromothersourcesandin-kinddonationsvaluedat$640,000.

THESTORYBEHINDTHEIMPACTThirty-ninepercentofcountyresidentsagesfiveandupspeakalanguageotherthanEnglishathome.TheMontgomery Coalition for Adult English Literacy(MCAEL)isacoalitionofpublic,nonprofit,andbusinesspartnersthatsupports80adultEnglishforSpeakersofOtherLanguagesandliteracyserviceprograms.In2012,MCAELawardedcounty-fundedgrantstotaling$500,000to16nonprofits.Thosegranteesserved3,456students(whoattended75,732hoursofclass)atanaveragecosttothecountyofjust$144perlearner–cost-effectivenessmadepossiblebyMCAEL’scoordinationandcapacitybuilding,alongwitheachnonprofit’sabilitytomultiplythevalueofcountydollarsusingvolunteers,in-kinddonations,andotherfundingstreams.Inadditiontothedollarsanddonationsleveragedbyits16grantees,MCAELitselfalsoleveragedthecounty’sinvestmentinadultEnglishliteracywith$92,000inotherrevenueand$42,500ofin-kinddonations.

the value of volunteersSome nonprofits utilize a handful of volunteers, while others rely on hundreds of volunteers to support their mission and programs in myriad ways. For instance, 500 volunteers work with the George B. Thomas Sr. Learning Academy each year to tutor and mentor more than 3,000 Montgomery County Public School students through Saturday School programs offered at 12 locations.

According to the Corporation for National and Community Service, 27 percent of Marylanders volunteered in some way in 2011, giving an average of 40 hours of their time over the course of a year. In 2012, the Montgomery County Volunteer Center’s website referred 9,135 individuals to 37,369 volunteer opportunities at 722 agencies – and this level of interest represents just one point of entry for volunteer engagement in the county.

What is a volunteer worth?The standard rate assigned to volunteer time in Maryland is $22.77 per hour (2010 estimate, Independent Sector). Last year, 141 volunteers worked a total of 2,177 hours at the Jubilee Association of Maryland, which provides residential services and support to adults with developmental disabilities. Using the standard rate, that donated time has a dollar value of $49,570. Another way to think about the value of volunteer time is to translate volunteer hours into their full-time equivalent. For instance, MobileMed utilizes 130 volunteers who work 15,540 hours a year, the equivalent of 7.5 full-time employees.

Special skills and expertiseMost nonprofits also rely on volunteers with special skills, from carpenters and clinicians, to gardeners and graphic designers. In the case of MobileMed, 80 of the volunteers are medical clinicians. When people apply professional expertise to their volunteer work, the market value of their service is not reflected in the standard hourly rate for volunteer time. This extends to the volunteers who serve on nonprofit boards, which can include lawyers, judges, activists, academics, doctors, nurses, dentists, teachers, business executives, realtors, developers, architects, financial experts, and marketing specialists.

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NONPROFITSATWORK: 360°economicimpact

Ultimately,everynonprofitbusinesscontributestothelocaleconomyinmultipleways.Bydesign,theexamplesfeaturedelsewhereinthisreportprovide a narrower view of each nonprofit through a single economic or strategiclens.However,it’simportanttorememberthatallbusinessesare multidimensional economic agents. Here are three examples that take abroaderview,showinghowasinglenonprofitbusinesscanhavewide-ranging economic impact.

JewishCouncilfortheAgingofGreaterWashington(JCA)JCAhasanannualbudgetof$5million,spentprimarilyinMontgomeryCounty,althoughtheagencydoesoperatesomeprogramsinFrederick,MD,andNorthernVirginia.JCAemploys54full-timeandpart-timeworkers,48ofwhomliveinMontgomeryCounty,withatotalpayrollofaround$2million.

JCAistheolder-workerexpertattheMontgomeryWorksOne-StopCareerCentersattheWestfieldWheatonShoppingCenter,andattheannual50+SeniorEmploymentExpo,wherethousandsofmid-lifeandolderjob-seekersnetworkwithareaemployersandresourceorganizations.JCAhasbeenoperatingtheSeniorCommunityServicesEmploymentProgram(SCSEP)fornearlythreedecades.Thisprogramhasaround100participantseachyear,andbetween2006and2012,JCAbrought$3.5millioninfederaldollarsintothecounty’seconomytopaysubsidizedwagestoSCSEPparticipants,averaging$580,000peryear.

Inthesametimeperiod,JCAgraduated118participantsintounsubsidizedfull-andpart-timeemploymentinMontgomeryCounty,turningrecipientsoffederalsupportintotax-payingindividuals.Basedon the average starting wage and hours at the time of placement,JCAestimatestheAnnualEconomicValueof these participants in terms of taxable earnings to be $330,000onaverageeachyear,totaling$2millionoversix years.

Lastyear,itcostJCA$75,000forvehiclerepairstoitsnine-busfleet,andanother$75,000forparticipant

meals–allofwhichwasspentinthecounty.Another$100,000waspaidtotheBethesdaNorthMarriottHotel&ConferenceCentertoputontheProductiveAgingDinner(itsannualawardevent)anditsSeniorEmploymentExpo.Relatedcostsfortheseevents,totalingaround$45,000,werepaidalmostexclusivelytocountybusinesses.JCAveryconsciouslytriestobuylocally,fromofficesuppliestocapitalinvestments.In2008,JCApurchaseditscurrentbuildingfor$5.5million,andcompletelyremodeleditforanother$1.75million,usinglocalconstructionfirms.

JCAmultipliesitsimpactwith600volunteers.Lastfiscalyear,thosevolunteerscontributed9,500hours–valuedat$216,000andtheequivalentof4.5full-timeemployees–forfront-lineactivities,includingteachingcomputerskillstoseniors,generalofficesupport,andhelping set up and staff the annual employment expo.

MarylandMulticulturalYouthCenter(MMYC)MMYCistheMarylandbranchoftheLatinAmericanYouthCenterandhasservedMontgomeryCountysince2005.MMYC/LAYCserves1,000youthannuallyatfoursitesinMontgomeryandPrinceGeorge’sCounty.Theseyoutharelow-incomeand95percentareminorities.Tofulfillitsmission,MMYCemploys12staffatitscentralofficeinSilverSpring,withannualcompensationrangingfrom$35,000to$70,000,andwillbehiringthreemoreemployeesin2013.MMYCpays$80,000ayearinrentforitsSilverSpringoffice,and its employees spend money at local retailers and restaurantseveryday,justlikefor-profitemployeeswould.

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MMYCmanagesthecounty’syouthworkforceprogram and focuses on serving young people ages 14-24withjobreadinesstraining,computertraining,high-school/GEDcompletion,collegepreparation,paidinternships,jobplacements,andjobretention.From2008to2012,732youthparticipatedinMMYCjobreadinesstraining,and568wereplacedinjobsorinternships,withanaveragehourlywageof$8.85.MMYCalsoholdsanannualjobfairforabout900youth,with40-50participatingemployers.Inpastyears,thejobfairhasresultedinmorethan100youthhiredforsummer,part-timeorfull-timejobs.Lastyear,MMYCalsohelpedmorethan40youthobtaintheirhigh-schooldiplomaorGED.

Lastyear,MMYChadannualrevenuesof$2.6million,including$500,000infederaldollarsawardedbythecountyfortheyouthworkforceprogram,andanadditional$223,000inothercountyfunds.MMYCwasrecentlyawarded$390,000bytheDepartmentofHealthandHumanServicesforFY13toruntheMontgomeryConservationCorpsprogram,whichtargetsveryhigh-riskyouth.Typically,MMYCalsoleveragesbetween$30,000and$60,000inprivategrantseachyear.InFY11-12,a$300,000grantfromtheJimandCarolTrawickFoundation,partiallyfundedbytheHSCFoundation,supportedaspecialjob-readinessandwork-skillsprogramcalledINSPIRE,whichworkedwith50youthwhowerepregnant,parenting,oragingoutofthefoster-caresystem.

Inadditiontopurchasingsuppliesandmaterialsneededtorunitsofficeandprograms,MMYCmultipliesthesecounty and private dollars by leveraging tens of thousands ofdollarsindonatedgoods,includingcomputersfromInter-AmericanDevelopmentBankandIBM,officefurniture,officesupplies,businessclothesforyouth,andconstructionmaterials.MMYCalsoemployees30additionalstaffandutilizes25AmeriCorpsvolunteerstostaffitsyouthcenters(whicharelocatedinPrinceGeorge’sCountybutservebothcounties).

MMYCpartnerswithlocalemployerstofindinternshipsandjobsforyouth,includingHolyCrossHospital,whereeightyouthcompletedinternshipsin2012andtwoweresubsequentlyhired;alocalStateFarmoffice,ownedbyRayandTawannaMensah,which provides summer internships to two or three youtheachyear;andthelawfirmStrandbergandAssociates,whichtookontwointernslastsummerandhiredoneofthemtocontinueparttime.MMYCuses evaluation data from employer partners to continuallyrefineitsjobreadinesscurriculum.

MentalHealthAssociationofMontgomeryCounty(MHA)MHAhas61full-timeand18part-timeemployees,ofwhich52areMontgomeryCountyresidents,withatotalpayrollof$3.8million.MHAhasbeenrecognizedbyWashingtonianMagazineasoneofthe“50GreatPlacestoWork”inthemetroarea,andhasreceivedtheWorkplaceExcellenceSealofApprovalfromtheAllianceforWorkplaceExcellencesevenyearsrunning.MHAsupplementsitsstaffandhelpsdevelopa stronger mental health workforce in the county by supervising20-25internseachyearwhoareworkingonaMasterofSocialWorkorsimilardegree.

MHAhasanannualbudgetofaround$5millionandleverages funding from multiple sources inside and outsidethecounty,includingnationalfoundations.Forinstance,afour-yearRobertWoodJohnsonFoundationgrant,whichprovides$125,000annuallythatmustbematchedlocally,isfundingMHAastheleadagencyonServingTogether,acoordinatedsystemofcaretosupportthe50,000veteranslivinginMontgomeryCounty.OnefacetofServingTogetherisconnectingveterans with employment opportunities through a websitedirectoryandpeersupport,andin2013,MHAwill host its second annual forum for businesses about best practices for hiring veterans.

Todeliverservicesthroughits11programsandatmultiplelocationsacrossthecounty,MHArelieson700volunteerswhoworked26,000hourslastfiscalyear.Thosevolunteerhoursarevaluedat$592,000andequivalentto13full-timeemployees.MHAmultiplesitsimpactbyacceptingawholehostofin-kinddonationsforthefamiliesitserves.Forinstance,localcongregations and businesses make annual donations offood,clothingandsuppliesfor200childrenintheKensingtonWheatonYouthServicesprogram,and employees at Discovery Communications make holidaydonationstoprovidegiftsandsuppliesfor40-50familiesintheFamiliesForemostprogram,atanaveragedonationvalueof$500perfamily.

ManyofMHA’sprogramshaveaworkforcedevelopment or economic empowerment component. Forinstance,theFamiliesForemostCenterprovidesfree,comprehensiveservicesfor250primarilylow-incomepregnantwomenandparents,manyofwhomhavelimitedEnglishlanguageproficiency.Job-relatedsupportsincludeclassesincomputerliteracy,employmentreadiness,ABE(AdultBasicEducation),ESOL(EnglishforSpeakersofOtherLanguages),andGEDpreparation.

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WehopethisreportinspiresabroadersharedcommitmenttoMontgomeryCounty’seconomicwell-being,includingdeeperconversationsandnewcollaborationsaroundeconomicdevelopment.Wealsohopeitwillengendergreaterinvestmentforsuccessfulprojectsandpartnershipsalreadyinplace.

Thisreporthaslooked“beyondcharity”tohownonprofitscontributetotheeconomicvitalityofthecounty.Tobeclear,arobuststrategytocreateandfillgoodjobsdoesn’tobviatetheneedforasocialsafetynet,andprovidinglifelineservicesisoftenanimportantfirststeptowardself-sufficiency.Atthesametime,webelievethatnonprofitscandomoretoreachthetriplebottomlineofjobgrowth,ahighlyskilledworkforce,andeconomicself-sufficiency.Tothatend,weputforwardsomenextstepsforthenonprofitsector–includingphilanthropy–aswellasforourpartnersinprivateindustry,government,andeducation.

1.Worktogetheronaunifiedworkforcedevelopmentandjobcreationstrategy.Manypeopleinthecountyarealreadyworkingonboththesefronts.Butiftheplayersacrosssectorshadclearlydefinedrolesandcommongoals,wecouldaimhigher,holdeachotheraccountable,andachievegreaterimpact.Thisstartswithidentifyingwhatisalreadybeingdoneandwherethereareopportunitiestodomore.Wherecanweexpandinitiativesthathavedemonstratedsuccess?Wherecanweincentivizenewprogramsthatdeliverqualifiedworkerstogoodjobs?Howcanwetakeadvantageofopportunitiestoapplyjointlyforfunding?

2.Makesurethatnonprofitleadersareattheeconomicdevelopmenttable.Thisisatwo-waystreet.Nonprofitleadersneedtoestablishcross-sectornetworksandactivelyparticipateincommunitydecisionsonmattersthatgobeyondthewallsofourownorganizations.Atthesametime,leadersingovernment,education,andprivateindustryshoulddrawontheassetsnonprofitsbringtothetable,includingintimateconnectionstopeopletheyserve,socialcapital,andsubject-areaexpertise.

3.Pursuespendingpoliciesandpracticesthatcoulddomoretoboostthelocaleconomy. Forexample,whatelsecanwedo,acrosssectors,toencouragepeopleinthecountytoinvestlocallyinnonprofitbusinessesandbuylocallyfromfor-profitbusinesses?Whatcanwedotoattractmoredollarsandinvestmentsfrom outside the county? How can we promote less traditional but highly effective avenues of economic empowerment,includingmicroenterprisesandmicroloans?

Weinviteyoutojoinusinrefiningandexpandingtheopportunitiesgoingforward.Ultimately,wethinkthere’sadifferentkindofbottomlinewecanallagreeon,nonprofitornot:thebenefitsofbuildingabrighter,moreprosperousfutureforeveryoneinMontgomeryCounty–everyworker,everybusinessowner,everyfamily,everychild.

NEXTSTEPS: partners in shared prosperity

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beyond charity resources

Center for Civil Society Studies, Johns Hopkins University ccss.jhu.edu M@JHUCCSS

CCSS is a leading source of research and knowledge aboutthenonprofitsector,socialinvesting,andthetools of government. Cited in this report: Holding the Fort: Nonprofit Employment during a Decade of Turmoil (2012) Nonprofit Economic Data Bulletin #39,available on the CCSS publication page.

Center on Nonprofits and Philanthropy, The Urban Instituteurban.org/center/cnp M @urbaninstitute

CNP conducts and disseminates research on the role and impact of nonprofit organizations and philanthropy. Of particular interest: The Nonprofit Sector in Brief: Public Charities, Giving and Volunteering, 2012. CNP also houses the National Center on Charitable Statistics: nccs.urban.org

CForward cforward.org M @CForwardUS

FoundedbyRobertEgger(founderandpresidentofDCCentralKitchen),thisnonpartisanadvocacyorganization champions the economic role of the nonprofit sector and supports candidates who include the sector in their plans to strengthen the economy.

Maryland Nonprofits (Maryland Association of Nonprofit Organizations) marylandnonprofits.org M @mdnonprofits

Nonprofits by the Numbers,publishedannuallybyMarylandNonprofits,providesastatewideanalysisandacounty-by-countybreakdownofnonprofitstatistics.AvailableasaPDForinasearchableonlineformatatmdnonprofits.simplicitymetrics.com

National Conference on Citizenshipncoc.net M @NCoC

NCoC’s2012annualthemewas“Jobs,Jobs,Jobs:ExploringtheLinkBetweenCivicEngagementandEmployment.”Citedinthisreport:Civic Health and Unemployment II: The Case Builds,availablealongwithother key resources at ncoc.net/2012theme

METHODOLOGYThis report is modeled on Beyond Charity: Recognizing Return on Investment – How the Nonprofit Community Impacts Greater Washington, published by the Nonprofit Roundtable of Greater Washington in 2007. Examples and data related to featured nonprofits were gathered through a combination of answers to a widely disseminated survey; interviews with nonprofits, government and community experts; and online research. County-level data about the number of nonprofits and employees provided by the Maryland Association of Nonprofit Organizations (based on IRS and DLLR sources). Data on purchasing power of nonprofits provided by The Urban Institute’s National Center for Charitable Statistics.

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ACKNOWLEDGEMENTSFEBRUARY 2013

In keeping with our commitment to working together to solve problems that no organization can solve alone, we hope this report inspires boundary-crossing actions to support job growth and economic prosperity for all in Montgomery County, Maryland. Needless to say, Beyond Charity would not have been possible without the involvement of a great many people and organizations.

Special thanks to:• Steve Silverman, Director of the Montgomery County Department of Economic Development, and

Uma Ahluwalia, Director of the Montgomery County Department of Health and Human Services, for their sponsorship, support, and commitment to the nonprofit business community.

• OurprojectconsultingteamofSharon Friedman (Friedman Strategies), Hope Gleicher (Nonprofit Montgomery), Beth Ponticello (cedc.org), and Amy Southerland (wordhoney.com) for documenting the impact and potential of nonprofit businesses on our economy.

• Shulman, Rogers, Gandal, Pordy & Ecker, Burness Communications, and Discovery Communications for their generous assistance.

• Andallthenonprofitsthatsharedstoriesofworkforceandeconomicdevelopment...manymorethan could be included in the final report.

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Beyond Charity: Nonprofit Business in Montgomery County, Maryland is available as a PDF. Use the QR code above to download it now, or visit www.nonprofitmontgomery.org

12320 Parklawn Drive | Rockville, MD 20852 | 301.219.5775 | nonprofitmontgomery.org