Funding

• Overview
• Stories and Models from the field
• Tools
• Tips for RC/EZ/ECs
• Links

Overview

Identifying funding sources for health planning efforts is a constant challenge. However, there are a wide-variety of federal grants, foundations, corporations, and philanthropies that focus on community development efforts and can be tapped by RC/EZ/ECs. These various entities fund projects that include developing community gardens and increasing minority representation in the health professions to teen pregnancy prevention and school-to-work programs. RC/EZ/ECs can also draw on the community for in-kind resources such as supplies, volunteers, meeting space, and services from local businesses or community groups.

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Stories and Models from the Field

Community is Creative in Securing Funding for Childcare Solution
Santa Ana, California, EZ (Round II)

Religious and community leaders in the Latino neighborhoods of Santa Ana have long been concerned with caring for the city's children. Now these leaders have joined their resources, like pieces of a giant puzzle, to create Hands Together– A Center for Children in a leased medical building in the heart of Santa Ana. Hands Together provides high-quality preschool care and childcare as well as vision, speech, and hearing screening for children who live in the lowest income neighborhoods of Orange County. "What is exciting about the project is the extensive partnership of different agencies that has made it happen-thus its name, Hands Together," notes the Rev. Bradford Karelius, President of the nonprofit corporation that administers Hands Together and the rector of the Episcopal Church of the Messiah, one of the center's prime partners. The center provides an optimal environment where children can learn and play, and accommodates 84 children and a staff of 19, most of whom are bilingual. Hands Together provides an opportunity for young families to move from welfare to work, supporting themselves while their children are cared for in a neighborhood setting.

The idea for the center originated when two priests from the Church of the Messiah and the nearby Sisters of St. Joseph of Orange– who had already cooperated in serving local children– together decided to see what they could do with a vacant medical building across the street from the church. They organized a 501 (c) (3) nonprofit corporation with a community board, hired a local childcare expert to manage the center they envisioned, and arranged to renovate the building to fit their vision. The final piece of the puzzle was a grant of $250,000 from the Santa Ana EZ toward the $300,000 cost of remodeling the building. Early in 2000, the Hands Together center opened.

Hands Together is truly a collaborative effort. There were many points where the project could have failed if a new donor had not been identified. Partners include the Church of the Messiah, which has contributed $250,000; the Noah Project Learning Centers, which provide tutoring and computers to 300 neighborhood children; the Sisters of St. Joseph of Orange, who have given $10,000; Taller San Jose, a job skills and education program for local at-risk youth, which has given $5,000; St. Joseph Hospital and Health System, which has donated $42,000 and extended a $400,000 line of credit; the Orange County Superior Court; the City of Santa Ana EZ; and the John Tracy Clinic. Other donations include $2,500 from First American Title and $50,000 from the nearby Lincoln-Mercury World Headquarters. The partner medical organizations also provide nutritionists and staff for vision, speech and hearing testing.

The extensive experience of planning board members and flexibility when obstacles appeared were key to bringing all the funding to make the project a success. By working to build relationships with potential donors, and demonstrating a solid commitment of the community through incremental successes with the childcare center, the Board was able to convince new donors to sign on to the project. The board continues to meet weekly to ensure that adequate attention is given to operational issues. Donors continue to have confidence in the Center and its management.

Building Financial Partnerships for Improving Access to HealthCare
Upper Manhattan, New York EZ (Round I)

Recognizing the need for better health access in the community, the Upper Manhattan EZ worked with a number of partners to help put together a financing package. They worked with the Community Family Planning Council ("CFPC"), the umbrella organization for a network of eight health care centers in New York City and other partners to leverage funds for the project. With adequate capital, CFPC was able to acquire and renovate an abandoned firehouse in Central Harlem from the City of New York to house the Helen B. Atkinson Health Center. The Center provides comprehensive primary care and case management services to Harlem residents. Development of the Center also provided construction and permanent employment in the community (approximately 25 new full-time and permanent jobs).

The direct UMEZ grant is being used for initial occupancy costs and working capital. The remaining $3 million committed to the project includes a $2.4 million loan from a consortium of banks led by J.P. Morgan and a $600,000 grant from the Primary Care Development Corporation (PCDC). The Center's operating revenues include an annual Family Planning grant from the New York State Department of Health.

PCDC and the consortium of banks led by J.P. Morgan Community Development Corporation (MCDC) financed the Helen B. Atkinson project under a risk-sharing arrangement with the State of New York Mortgage Agency. It was the first time a consortium of banks came together to fund a primary care facility as part of their community development program. PCDC provided a $600,000 equity grant, and the bank group provided a $2.4 million loan for the center's mortgage. MCDC's stake was $400,000. In addition, the Upper Manhattan Empowerment Zone provided a $230,000 grant.

Using Financial Incentives to Attract Healthcare Providers
Desert Communities, California EZ (Round II)

The Desert Communities Empowerment Zone has taken an innovative approach in financing their rural health clinics. With many residents living in mobile home dwellings sparsely spread throughout the zone, it was difficult to attract healthcare providers to open practices in the area. The capital investments and risk in developing a clientele were too great for a single provider to make. EZ leaders agreed to invest capital into building the rural clinic, but they plan to remain the owner and operator of the facility. Space will be rented out at inexpensive rates to encourage healthcare providers to move their practices to the zone. Whereas before, the zone found it almost impossible to recruit, they have already received several bids from potential healthcare providers. Community leaders anticipate opening the new clinic in the zone on schedule.

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Tools

When preparing a project budget, it is important to plan for all anticipate expenses. Below is a table of sample budget line items that you may want to consider in developing a request for assistance.

Tool I: Budget Worksheet: Health Improvement Project of Planning Group

Below are some suggestions for identifying sources of financial assistance for health improvement planning efforts and projects that may be relevant to RC/EZ/ECs.

Tool II: Checklist: Potential Funding Strategies

Important to Explore ( ) Responsible Party Potential Strategies to Ensure Resources For Health Improvement Planning and/or Implementation of Health Projects     Request legislators to appropriate additional funds to implement priority health activities based upon RC/EZ/EC or local health improvement plans and objectives.     Private and public partners create a non-profit organization to raise and distribute funds for RC/EZ/EC health related initiatives.     Ask public agencies to voluntarily adopt policies to focus their current human and financial resources on priorities or certain objectives.     Ask private groups to voluntarily redirect current program resources to address health objectives.     Encourage legislators to evaluate new budgets against the RC/EZ/EC or local health improvement plans and priorities.     Use policy and regulation to focus private sector and public sector efforts on RC/EZ/EC health priorities.     Ask private foundations to consider RC/EZ/EC health priorities when developing grant making programs and awarding funds.     Request private organizations to provide technical assistance, leadership, administrative support, and donated services to planning efforts, programs, and policy initiatives.     Require local health and community agencies or other grantees to address health priorities as a condition of using EZ/EC funds. (Recipients choose which objectives to address.)     Earmark funding for particular health activities, objectives, or strategies in the RC/EZ/EC plan, in order to ensure certain priorities are addressed.     Request local and state health agencies contribute in-kind resources such as personnel to health improvement planning efforts.     Set aside RC/EZ/EC funding or technical assistance resources to help local businesses or community groups with their health improvement efforts.     Apply for private or public grants to support health initiatives.

Checklist: Potential Funding Strategies adapted from the Healthy People 2010 Toolkit: A Field Guide to Health Planning.

When looking for financial resources, it is suggested that a log of all potential funders be kept in a central place. This way you will have a record of who has been contacted, what funding opportunities there are, requirements for grant submission and follow up.

Tool III: Funding Prospect Worksheet

Sources of Above Information 990-PF -- Year: Requested Received Annual Report -- Year: Requested Received Directories/grant indexes Grantmaker Web site Notes: Follow-up:

The above tool is from the Foundation Center website.

These technical assistance resources for RC/EZ/ECs were funded by the Office of the Assistant Secretary for Planning and Evaluation, U.S. Department of Health and Human Services (HHS), through a cooperative agreement administered by the Health Resources and Services Administration (HRSA), and prepared by the Public Health Foundation. Duplication and adaptation, with credit, are encouraged.

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Tips for RC/EZ/ECs

• Align RC/EZ/EC health planning priorities with available tax incentives and grant opportunities.
• Consult the Tax Incentive Guide for Businesses in the Renewal Communities, Empowerment Zones, and Enterprise Communities or call 1-800-998-9999 for a hard copy.
• Look for funding that is specific to rural or urban areas.
• Be creative and expand your funding targets.
• Involve HHS Regional Health Administrators. Let them know of priorities so they can assist with U.S. Department of Health and Human Services grant opportunities.
• Consult Increasing Access: Building Working Solutions for information on tapping into unused Disproportionate Share Hospital Payment Adjustment Program or Temporary Assistance for Needy Families funds.
• Consult the EPA on funding sources available for brownfields clean up.  
• Be realistic - do not underestimate your costs.
• You can't get funding if you don't ask for it.
• Small pots of money add up.
• In-kind resources add up.
• Re-allocate existing staff and/or resources. Look at what's NOT working and be willing to give it up.
• Be aware of "conflicts of interest."
• Timing is important - have a wish list ready to go in case funding becomes available.
• Collaborating with other entities in the RC/EZ/EC will increase the likelihood of receiving funding. Remember - RC/EZ/ECs are attractive as partners to others!
• Find matching funds.
• Consider hiring a professional grant writer.
• Appoint board members who have access to funds or fundraising expertise, such as corporate leaders.
• Look at what makes you, as an RC/EZ/EC, different from others competing for the same funding and stay focused on what you do best.
• Solve funding shortages through policy development. For example, work to pass legislation on health insurance coverage.
• Evaluate your health improvement efforts to show their worth and increase chances for continued funding.

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Links

Department of Health and Human Services-GrantsNet
GrantsNet is a tool for finding and exchanging information about HHS and other selected federal grant programs. This site provides access to up-to-date government resources available to the general public.

Office of Minority Health. Funding
The Office of Minority Health Resource Center maintains a list of funding resources that can help support minority health projects and other health related programs. Resources include an online database that contains information on opportunities with private and public foundations; pharmaceutical and insurance organizations; journal articles, directories, books; fellowship, scholarship and internships; and federal state and community resources. Also available online are listings of recent OMH funding announcements, the OMH newsletter Closing the Gap which contains funding opportunities, and other funding resources.

Robert Wood Johnson Foundation
The Robert Wood Johnson Foundation's mission is "to improve the health and health care of all Americans." To stay up-to-date about RWJF program developments, new ideas and recent calls for proposals, subscribe to the Foundation's free quarterly newsletter, ADVANCES®, read their annual report, or regularly visit their web site where all new publications and requests for proposals are posted.

W. K. Kellogg Foundation
The mission of the W. K. Kellogg Foundation is "to help people help themselves through the practical application of knowledge and resources to improve their quality of life and that of future generations." The searchable grants database is organized around the W. K. Kellogg Foundation's programming interests.

The Foundation Center
This site is a general resource for grant writing; it contains a searchable database of funding organizations as well as tips and tools for grant writers.

Top 100 Foundations

Healthy People 2010 Toolkit: Appendix A
The "Identifying and Securing Resources" section of this Appendix provides links to various sites with information on funding sources and grant writing.

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