Mexico Community Foundations: A Comprehensive Profile
Study Highlights
February 16, 2009
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Study Goals
To generate a comprehensive picture of Mexican
community foundations, their financial and organizational
status;
To identify obstacles the community foundations face in
regard to carrying out their work.
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Definition of a Community Foundation*
A CF is a nonprofit organization that focuses its work in a
specific geographic area, serves the diverse needs of its
community, works toward generating a broad range of local
resources, is or clearly is seeking to become a grantmaker,
and is striving for permanence.
*Definition was developed at the funder/consultant meeting, January
16, 2008.
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Research Questions
What is the financial and organizational status of CFs?
How are they getting their development (e.g., capacity
building, funding) needs supported now?
What are their needs and what key obstacles do they face
in serving their communities and promoting social change?
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Who Participated: 21 CFs
Diverse methods for gathering information Classified into three groups
Conducted document review, in-person (site visit) and telephone interviews, electronic survey, financial information review, analysis and follow up
Benefited from high level of interest and participation 34 interviews of CF board and staff
11 interviews of experts
17 of 21 CFs responded to the electronic survey
14 CF submitted financial information (e.g., audited statements)
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COMMUNITY FOUNDATIONS
Corporativa de Fundaciones, A.C.
Fondo Córdoba, A. C.
Fondo Estrategia Social, A.C.
Fundación Comunidad, A.C. (statewide)
Fundación Comunitaria Bajío, A.C.
Fundación Comunitaria Cozumel, I. A. P.
Fundación Comunitaria Frontera Norte, A.C.
Fundación Comunitaria Malinalco, A.C.
Fundación Comunitaria Matamoros, A.C.
Fundación Comunitaria Morelense, I.A.P.
Fundación Comunitaria Oaxaca, A.C.
Fundación Comunitaria Puebla, I. B. P.
Fundación Comunitaria Punta de Mita, A.C.
Fundación Comunitaria Querétaro, A.C. (statewide)
Fundación Comunitaria San Miguel
Fundación del Empresariado Chihuahuense, A. C.
Fundación del Empresariado Sonorense, A. C.
Fundación Internacional de la Comunidad, A. C.
Fundación León A. C.
Fundación Merced Coahuila, A.C.
Fundación Merced Querétaro, A. C. (statewide)
Area Covered by Mexican CFs
Morelos
Baja
California Sonora
Chihuahua
Coahuila
JaliscoMichoacán
Cozumel,
Quintana
Roo
Oaxaca
Puebla
Querétaro
Córdoba, Veracruz
DF
Matamoros,
Tamaulipas
Cd.
Juárez
León
San Miguel de Allende
GuanajuatoPunta de Mita,
Nayarit
Jalisco
Malinalco, México
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A Snapshot
Cutting-edge: Mexico has more CFs than any other Latin
American country
Growing philanthropy: The CFs have assets of over $300 million
pesos (2007 information from 13 CFs providing financial data),
more than the total assets of all CFs in Africa and Asia
Young groups: 18 of the 21 are under 12 years old; 11 were
incorporated between 1996 and 2000
Small staff: Total staff is 136 (for the 17 foundations responding
to the electronic survey). 127 are full-time (50 are FECHAC
staff)
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A Snapshot
FECHAC
offices and
reception area
FC Puebla
F Comunidad
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A Snapshot
FC Querétaro
FC Oaxaca9
CFs are Developing Working Boards
Boards show diverse representation both by professional affiliation and gender
66% are from business, followed by 14% from CSOs, 8% from academia, 4% from education, and other
61% are men; 39% women
Board members are actively involved in fundraising and contributing
16 (of 17) said that members give cash contributions
Half of these said that cash or land donations increased between 2005-2007
10 (of 17) donate office space
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Staff Face Challenging Work Conditions
Organizations are thinly staffed and pay is low.Almost 2/3rds have six or fewer staff
9 CFs said lowest pay levels were $3,000-$6,000 pesos/mo.; highest reported by six CFs is $8,000-$16,000 pesos/mo.
Executive directors are well educated and experienced, but receive low pay given their backgrounds and scope of their jobs.
Just under half receive a monthly net salary below $20,000 pesos/mo., although two reported salaries of above $40,000 pesos/mo.
¾ of the EDs spend 25% or more of their time raising funds
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CFs Act as Facilitators and Convenors
Promote and support capacity building programs for CSOs,
grassroots organizations
Foster the creation of networks of community-based
organizations
Engage in building bridges across organizations and sectors
Promote civic awareness
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Grantmaking/Operating Programs
15 of 15 respondents to the survey said they do grantmaking
Budgets for grantmaking are quite modest: 12 reported budgets
below $5 million pesos.
Main areas of interest are youth, education, women, families,
and children and health
Primary sources of funds for grantmaking are various kinds of
donor funds (e.g., advised, designated) and writing proposals to
foundations for regranting
Grantmaking is used as a means for modeling transparency
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Grantmaking/Operating Programs
CFs reported “operating” community development (7),
educational (6), health (2) and social service (1) programs, i.e.
they run their own programs
Several CFs have programs that are a hybrid, including both
operating and grantmaking characteristics (FC Oaxaca—micro-
region program, FC Puebla—development in the mountains)
There is an unfortunate tension/split among CFs over whether
CFs should operate programs vs. make grants
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Scaling up Philanthropy
Lack of homogenous financial information
Assets have grown over the last 3 years
For the 13 foundations reporting in 2007 the cumulative
total is $301.5 million pesos, a 29% increase from 2005
(FECHAC accounts for 75% of the assets)
10 CFs have under $10 million pesos in assets
11 CFs report endowment funds in 2007 totaled $27 million
pesos (more than double the 2005 sum)
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Developing a Local Base for Philanthropy
Total income (13 CFs reporting) in 2007 was $220.4 million
pesos, 39% higher than 2005
Nine report income of less than $10 million pesos
The overwhelming source of funds is domestic (Mexico), and
there is a significant reliance on individuals as the main source
of support
Resources have local origins—8 of 15 CFs report that 90% of
income comes from the city or state in which they are located
Less than 10% of the income is from international sources
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Summary of CF Status
CFs have made notable progress in institutional development in
a comparatively short period of time
CFs are building a base of local philanthropy
CFs have been making strides playing a role in strengthening
civil society
Beyond convening and facilitating CFs, in general have small
grant budgets to advance their work
CFs model transparency through their process of grantmaking
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Nine Major Hurdles to Furthering CF Development
1. Concept, roles, and potential of CFs not well understood or known
2. Lack of a shared and cohesive identity among the CFs
3. Prospective donors prefer to give directly to organizations/programs
rather than through an intermediary
4. Significant legal and fiscal impediments
5. Lack of operating support
6. Lack of a culture/ongoing support for endowment building
7. Grantmaking budgets are modest
8. Access to and quality of training and technical assistance for CFs are
uneven
9. CFs are building their own capacity while also building the capacity of
other nonprofit and grassroots organizations.
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Building a Field of CFs:Five Recommendations
1. Build a Sense of Community among CFs
2. Foster the Ability to Articulate Impact and Increase
Visibility
3. Foster Professionalization and Institution Building
4. Increase Resources
5. Create a More Favorable Systemic Environment
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