2015 Annual Report - Communities Foundation of Texas

GENEROSIT Y

M U LT I P L I E D

COMMUNITIES FOUNDATION of TEX A S 2015 ANNUAL REPORT

G EN ERO S I T Y

X M U LT I P L I ED

One generous soul can change the lives of everyone she touches. Many generous souls, working for a common good, can change the future.

At Communities Foundation of Texas, boosting the impact of charitable organizations and people is in our DNA . Our resources and guidance allow donors to heighten their outcomes exponentially. Not just to meet today’s pressing needs, but tomorrow’s. Not just to influence this generation, but generations to come.

There is nothing mysterious about how we amplify your impact. It’s a simple formula. We take a community problem that cries out for a solution. Add strategic partnerships that maximize collaboration. Factor in game-changing investments that target root causes while meeting immediate needs. Continually expand the pool of donors and the tools they’re given to work with. Weigh every action by its value to the greater community to gain practical wisdom with each step.

And, finally, act as both a trusted philanthropic advisor and a catalyst for change.

We were created to do good. When we work together, we can be great. By pairing the generosity of donors with our ability to multiply their gifts, the positive effects we can bring to our community are immeasurable.

2015 ANNUAL REPORT

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Scott Sweet was just a second-grader when he was severely burned by a live wire. He spent countless days in the hospital and still remembers the sadness of missed recesses and feeling isolated from his schoolmates.

But the care he received made a lasting impression, inspiring him and his wife Cathy to help other children dealing with similar medical crises.

H EL P I N G

Scott and Cathy established the Sweet Life Fund at Communities Foundation of Texas, and the first grant they made was to Parkland Foundation. Through this grant, they started the Scott and Cathy Sweet Endowment to benefit Parkland’s Burn Center to support, enhance and improve the recovery of burn patients. And while Scott and Cathy would love to see the rooms on that floor empty, they know their partnership with CFT will continue to provide lasting care for current and future patients.

HAN SCOT T SWEE T

Endowment for Parkland Burn Center

SW EET LIFE FUND 2

2015 ANNUAL REPORT

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NDS

FUE

Debra Brennan Tagg is a financial planner. Paul Tagg is an estate planning attorney. They’re well aware of the value of philanthropic investments. But they also know that charitable acts can spark a life of giving in younger generations. That’s why they started the Tagg Family Fund at Communities Foundation of Texas.

LING

PHIL ANTHROPY A service day filling backpacks at North Texas Food Bank, arranged by CFT for Debra’s company, turned out to be so rewarding that the Taggs were inspired to create a philanthropic plan for their own family. Now, while Debra and Paul are helping their clients find the best outlets for their donations, they know that they’re also passing on a philanthropic spirit that will nurture a lifetime of generosity in their children.

PAU L & D E B R A

With their children, Liam and Harper

TAGG FA MILY FUND a t CO M M U N I T I E S FO U N DAT I O N o f T E X A S

2015 ANNUAL REPORT

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In corporate philanthropy, Neiman Marcus has an ear for youth arts education. Research has shown that students receiving arts training graduate at higher rates, score higher on the SAT, are better creative problem solvers and become engaged civic leaders. The Heart of Neiman Marcus Foundation Fund at CFT was established to strategically invest in organizations providing support for arts education for underserved youth. Last year, one of the grantees supported was the Dallas Symphony Orchestra’s Young Strings program, which discovers and develops the talent of young African American and Latino string players.

G I F T ED

MU

CFT is proud to partner with Neiman Marcus through various funds

for their corporate philanthropy. To date, Neiman Marcus has provided over $10 million in grants for disaster relief, youth arts education, associate financial assistance and other charitable efforts. One of Neiman Marcus’ core organizational values is “Be All Heart.” By partnering with CFT, they have ensured that their philanthropic heart will continue to beat stronger than ever.

R A C H E L & YA S M I N E

Dallas Symphony Orchestra Young Strings

HE A RT OF NEIM A N M A RCUS FOUNDATION FUND 6

2015 ANNUAL REPORT

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SICIANS

Angie Dickson spent her childhood on her family’s ranch in West Texas.

As an adult, she built a successful career in finance, but she felt a strong calling to give back. So she turned to CFT to help establish a fund that could accept gifts for Kids on the Land, a nonprofit that she formed with her mother, Katherine Dickson, and Peggy Maddox. Partnering with local landowners, schools and government organizations, this unique program teaches elementary school children about the natural resources in their own region.

E X PA N D I N G

HO

Communities Foundation of Texas invited Angie to share her experience as a philanthropist and Kids on the Land co-founder with CFT ’s 2015 GiveWisely class, which is designed for those wanting to sharpen their giving strategies. During the class, she met a couple who were so moved by her passion for the environment that they chose to give their GiveWisely donation to Kids on the Land—planting seeds for the sustainable future of Angie’s passion and the students she serves.

ANGIE DICKSON

Co-founder

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2015 ANNUAL REPORT

K IDS ON THE L A ND

R I ZO N S

SUPP

ORT

Eric MacFarlane was a successful electrician. But his career came to a halt when a serious car wreck left him injured and out of a job. He turned to Metrocrest Services, whose mission is to help people in crisis get back on their feet and sustain their independence. There he got financial coaching and employment counseling, which led to his acceptance into a local nonprofit IT training program. Finishing near the top of his class, Eric landed a job immediately after his certification. Now he works with Microsoft and continues to work with his coach at Metrocrest to build his financial future.

N E T WO R K

PAT R I C I A G R A N A D O S & E R I C M AC FA R L A N E

Eric’s employment success was partly the result of a partnership between Metrocrest and Communities Foundation of Texas through its Working Families Success program. Through WFS, participating organizations receive tools and knowledge to help their clients overcome barriers to achieve long-term financial stability. Collaborations like these magnify the impact of nonprofits, scaling best practices for far-reaching effects.

Financial Coach & Metrocrest Services Program Participant

WOR K ING FA MILY SUCCESS CENTER a t CO M M U N I T I E S FO U N DAT I O N o f T E X A S

2015 ANNUAL REPORT

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A MPLIF Y ING IMPAC T Letter From the President & CEO

“X” does a lot of things. It marks the spot. It’s a type of ray that gives doctors a picture of your bones or your teeth. As a letter, it gets you a whopping 8 points in Scrabble! But maybe its best use is on a calculator.

Because “X” is used in math to symbolize multiplication: the process of increasing things many times faster than simply adding them together once. It gives a huge boost.

When Al Meadows gave the original gift of $10,000 in stock to start the Dallas Community Chest Trust Fund, which would one day become Communities Foundation of Texas, he had to be thinking about that kind of boost. He and the other business leaders who came together realized that no one alone had the resources to do everything Dallas needed. They needed an X Factor. They needed a multiplier. They saw that by working together to pool resources, and by leveraging knowledge, talent, money, leadership and relationships—it is possible to multiply good.

That’s the whole idea behind CFT. We’re here to boost philanthropy to new heights (like the grantmaking through CFT that just reached an all-time high). In doing so, more positive change is created in the lives of more people than otherwise would have been possible. The stories inside this report will tell you how that happened in the past year. Maybe they will inspire you for the year ahead too. The magic comes from the combination. We don’t do it on our own. We do it together.

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2015 ANNUAL REPORT

Brent E. Christopher PRE S ID ENT & CEO

ONE

Hub for philanthropy

900+

3,500+

Named charitable funds at Communities Foundation of Texas

Nonprofit grantees and partner organizations

COUNTLESS

Lives improved in North Texas and beyond

TOTA L G R A N T S PA I D

(in millions, unaudited) Fiscal years ending June 30 $101

$79

$102

$76 $66

2015 FINANCIAL S

11

12

13

14

15

2015 GRANTS DISTRIBUTION

7% 3% 8%

Arts & Culture

Youth & Recreation

22% Education

Other

11%

Housing & Human Services

22%

12%

Health & Scientific Research

Community Improvement

15% Religion

TOTA L G I F T S R ECEI V ED

I N V E S TM E N T M A N A G E R S

2015 COMPOSITION OF GIFTS

(in millions, unaudited)

Aberdeen Asset Management PLC

(in millions, unaudited)

$134

BlackRock

47.6

BNY Mellon Cash Investment Strategies

Agency Funds

24.2

Brookfield Investment Management

Designated Funds

19.3

Burgundy Asset Management Ltd.

Donor-Advised Funds $98 $86 $73 $54

Discretionary 5.1

Cushing Asset Management

Other

Credit Suisse

TOTAL GIFTS

1.8 $98

Disciplined Growth Investors, Inc. Hotchkis and Wiley Capital Management, LLC State Street Global Advisors The Investment Fund for Foundations ( TIFF )

11

12

13

14

Trinity Street Asset Management

15

Western Asset Management Company William Blair Investment Management, LLC

ASSETS

2015 COMPOSITION OF ASSETS

(in millions, unaudited) $1,065 $1,067

(in millions, unaudited)

CUS TODIAN BNY Mellon

$982

$853 $801

$769

$754

$705

$700 $651

W.W. Caruth, Jr. Foundation

384.7

Donor-Advised Funds

319.9

Discretionary Funds

122.2

Designated Funds

86.6

Other Supporting Organizations

89.1

Nonprofit Agency Funds

34.0

Scholarship Funds

15.4

Charitable Remainder Trusts

8.0

General Operating Funds 06

07

08

09

10

11

12

13

14

15

TOTAL ASSETS

7.1 $1,067

LEG AL COUNSEL

K&L Gates LLP Thompson & Knight LLP

INDEPENDENT AUDITOR RSM

I N V E S TM E N T C O N S U LTA N T Segal Rogerscasey

For a listing of named funds at CFT and to review the annual independent audit report and the related audited consolidated financial statements with footnotes, please visit www.CFTexas.org.

2015 ANNUAL REPORT

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E XCEEDING E XPEC TATIONS

NORTH TEX AS GIVING DAY 2015

With your help, North Texas Giving Day raised $33 million for over 2,000 nonprofits in just 18 hours. Coming in at an amazing 110 gifts per minute, it was the largest total in the event’s history and a national record.

The reach of donors’ generosity continues to expand as well, with gifts coming from all 50 states and 28 countries.

$14.4

$25.2 MILLION

$26.3

$33

MIL LION

MIL L ION

MILLION

$10.7 M ILLION

2011

Dallas County Donation Station at NorthPark Center featured free nonprofit performances

2012

2013

2014

N O R T H T E X A S G I V I N G DAY G R OW T H

2015

$33 M I LL I ON RAISED IN

ONE DAY

20 1 5 H I G H L I G H T S

118,663

2,022

Total number of donations made in 18 hours

Number of nonprofits receiving donations on North Texas Giving Day

Pictured at left: WFAA Daybreak featured North Texas Giving Day

128 Most nonprofits funded by one individual 2015 ANNUAL REPORT

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HIG HER DEG REE OF SUCCESS

Rio Grande Valley Sets High School Students on the Path to College Success

“All RGV learners will achieve a degree or credential that leads to a meaningful career.”

In four counties within the Rio Grande Valley, the poorest region of Texas, CFT ’s Educate Texas leads RGV FOCUS—a collaborative impact initiative committed to ensuring all of the region’s learners achieve a degree or credential that leads to a meaningful career. Launched in 2012, RGV FOCUS engages a robust partnership of educators, community leaders, businesses, nonprofits, funders and policymakers who focus on collectively and consistently measuring key indicators in the education to workforce pipeline, identifying key strategies to improve these indicators, and determining how best to implement efforts for increasing postsecondary success.

KE Y FISCAL YE AR 2015 ACCOMPLISHMENTS

Supported nearly 1,000 students across

Published the region’s first

Aligned five colleges and

7 campuses for the second annual

Baseline Report (in Spanish and English)

universities, 39 school districts and

Financial Aid Super Saturday

for publicly measuring education

more to create two common college prep

to workforce success

courses defined by HB5

ENLISTING VOLUNTEERS

EFNT’s Freedom Day—the Largest 9/11

Commemorative Service Event in Dallas

“Every single veteran and military family member who participates in Hooves for Heroes from this point forward will be touched by the mark you made.”

1 DAY of service

Jeff Hensley, Director of Clinical Services, Equest

On September 11th, Entrepreneurs For North Texas hosted its 14th annual Freedom Day, a community service event honoring those lives lost and changed by the tragic events of September 11, 2001.

This year, EFNT deployed a massive troop of more than 750 member company volunteers who served side-by-side with over 150 active and veteran members of the military from the Dallas-Fort Worth area.

In recognition of the courage and bravery of the men and women who fight for our freedom, EFNT dedicated this grand day of service to Equest and River Ranch Educational Charities, two organizations providing essential services to veterans and their families along with other members of our community. Volunteers laid stone paths, installed bleachers and irrigation, built raised garden beds, cleared trails and installed landscaping.

Fourteen years ago, September 11 was a day of national tragedy. Since the first Freedom Day in 2002, it has become a day of triumph for EFNT member companies, veterans and our community.

750+

Volunteers from EFNT Member Companies

5,000+ Volunteer hours

2015 ANNUAL REPORT

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TRIPLING PROTEC TION FOR THE ELDERLY W.W. Caruth, Jr. Foundation Funds the Elder Financial Safety Center By the year 2030, the number of adults over 65 in Dallas County is expected to double to 470,000.* Their financial security is critically threatened by a perfect storm of issues around retirement assets, living costs, debt, frauds, scams, employment and public assistance. The Elder Financial Safety Center was created by The Senior Source, probate courts and DA’s office to increase the financial security of older adults by focusing on three areas: prevention, protection and prosecution.

Will Caruth once said, “Without security of person and property, the other desired objectives are of no consequence.” By funding the Center, the Caruth Foundation is carrying on his legacy, offering a blanket of security to those who need it most.

PREVENTION Financial safety services including money management, fraud advocacy, budgeting, benefits counseling and employment services.

PROTECTION Guardianship services for those requiring protection and in-home monitoring of care.

PROSECUTION Investigation and prosecution of elder financial abuse and exploitation, and education and training for law enforcement. *US Census, 2010

SPOTLIGHTING POVERT Y

K ER A One Crisis Away—Highlighting Real People on the Edge

“Communities Foundation of Texas has been critical in helping us shine a light on the issue of asset poverty” Mary Anne Alhadeff, President & CEO of KERA

Thousands of North Texans live so close to the financial edge that a single life event—a layoff, health emergency or educational setback— could push them over.

With CFT funding and encouragement, KERA created two awardwinning series about real people living on the brink: One Crisis Away: Living on the Financial Edge and One Crisis Away: Inside a Neighborhood.

These KERA journalism projects are earning national recognition and spurring other cities to consider similar programs. President and CEO Mary Anne Alhadeff says, “The impact of the series continues to be felt, not only through the national attention it has received, but also through the personal connection it made—people were inspired to help because of the stories they saw and heard. The support from Communities Foundation of Texas has been critical in helping us shine a light on the issue of asset poverty and its effects on North Texas families and communities.”

BOARD OF TRUS TEES & LEG AL COUNSEL

Frank Risch

James E. Bass

Becky Bright

Brent Christopher

Alfreda Norman

Judith W. Gibbs

Frederick B. Hegi, Jr.

Kenneth Hersh

Board Chair Civic Leader

President Ojai Goliad, LLC

Civic Leader

President and CEO Communities Foundation of Texas

Senior Vice President Federal Reserve of Dallas

Civic Leader

Immediate Past Chair

Co-founder and CEO NGP Energy Capital Management

Jack M. Kinnebrew

Chris Kleinert

Bobby B. Lyle

John McStay

President and CEO Lyco Holdings, Inc.

John McStay and Associates

The Honorable Florence Shapiro

Karen Shuford

Hunt Consolidated Investments, LLP

Harold Montgomery

Carlos González Peña

Attorney Strasburger & Price, LLP

Chairman and CEO Calpian, Inc.

President and Founder Peña Search Consulting, LLC

Principal Wingate Partners

Former Texas State Senator

Civic Leader

CFT’s funds and underlying assets are governed by an independent board of trustees composed of respected

community leaders from diverse backgrounds. CFT board members are selected for their knowledge of community needs and for their professional expertise. The trustees’ charge is to understand donors’ interests and the roles of nonprofits, acting as stewards for more than 900 funds. Trustees serve without compensation and exercise final authority with regard to all CFT investments and charitable grants.

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Nicole G. Small

Ruth Sharp Altshuler

Vester T. Hughes, Jr.

President Lyda Hill Foundation

Ex-Officio, Chairman’s Circle

K&L Gates LLP

Civic Leader

2015 ANNUAL REPORT

Senior Tax Counsel

In addition to its board of trustees, CFT also has an advisory council that includes leaders from myriad businesses and civic and cultural organizations. Beyond generating public support for the foundation’s work, advisory council members provide educated and objective viewpoints that are valuable to CFT’s projects and endeavors. For a full listing of our advisory council, please visit www.CFTexas.org.

OUR TE A M L E A D ER S H I P Brent E. Christopher

President and Chief Executive Officer

Amanda Roberts

Executive Assistant to the President, CEO and CFO

FI N A N C E A N D A DM I N I S T R AT I O N Beth Bull

Senior Vice President and Chief Financial Officer

Investments and Accounting Josh Chastant

Investment Analyst

Brian Doyle

Vice President of Investments

Donna Langdon

Facilities and Administration

Sarah Higdon

Kirsten Delay

Kate Putney

Matt Allen

Claire Hodges

Denise Devora

Isaac Ricard

Beverly Garner

Geri Jacobs

Trevor Ferris

Esther Rodriguez

D’Etta Hughes

Sally Kurtz

Kelty Garbee

Andrew Scripps

Lisa Causey

Elizabeth Liser

Melba Garcia

Eugenio Longoria Saenz

Jenny Daugherty

April Lynch

Priscilla Aquino Garza

Teresa Pottorff

Carolyn Newham

Amy Groff

Policy Officer Public-Private Partnerships

Shelly Haines

PHIL ANTHROPY

Information Technology Director Facilities Director

Human Resources Director Meeting Coordinator Hospitality/Facilities Associate Human Resources Coordinator

Jessica Robinson

Administrative/HR Assistant

Ann Marie Warrick

Project Coordinator/HR-EFNT

Accounts Payable Administrator

R EL AT I O N S H I P S

Bobby Lewellen

Susan Swan Smith

Accounting Manager

Jennifer Parkinen Investment Assistant

Ruth Polanco

Senior Accounts Payable Administrator

Sylvia Sanchez

Accounting Assistant

Leigh Schaefers

Special Asset Manager

Kristine Thomas

Vice President, Accounting

Chief Relationship Officer

Amelia Barber

Donor Initiatives Officer

Leslie Chatman

NTGD Data Project Coordinator

Yvette Elkins

Data Integrity Manager

Carol Pierce Goglia

Marketing and Communications Director

Karen Gutierrez

Data Management Director

Melissa Hardage

Donor Initiatives Officer

Abigail Hazlett

Projects Coordinator Design by O&H Brand Design Photography by Kim Ritzenthaler Leeson

Donor Relations Officer Marketing and Communications Manager Director of Charitable Gift Planning Palacios Area Fund Coordinator Donor Services Director Grants Associate Donor Relations & Fund Administration Director

Angela Woodson

Advisor Relations Officer

EN T R EP R EN EU R S FO R N O R T H T E X A S Catherine Cuellar Director

Sejal Desai

Education Pioneer Analyst Fellow Associate Program Officer Education Pioneer Program Analyst Associate Program Officer Administrative Assistant Policy and Advocacy Director of Finance Executive Assistant/Office Manager

Melissa Henderson Policy Officer

Susan Henderson Program Manager

Brandy Khamesi Team Assistant

Program Director

Kristin Kuhne

ED U C AT E T E X A S

Lora McKeown

John Fitzpatrick Executive Director

George Tang

Chief Operating Officer

Luzelma Canales

RGV FOCUS Executive Director

Chris Coxon

Chief Program Officer

Denise Davis

Associate Program Officer

Director of Insights & Analytics Accounting Assistant

David Patterson

Finance & Project Manager

Jennifer Pearson

Director of Development

Catherine Pena

i3 Project Manager

Program Management Associate Marketing and Communications Manager RGV FOCUS Project Manager Strategy Implementation Manager Director of Knowledge & Capacity, RGV FOCUS Project

Jarrad Toussant

Sarah Cotton Nelson

Chief Philanthropy Officer

Wende Burton

Community Philanthropy Director

Jennifer Clifford

Philanthropy Officer

Gillian Locke

Community Philanthropy Officer

Ashley McIver

Community Impact Project Coordinator

Lisa Pearrow

Executive Assistant

Lori Price

Community Impact Specialist

Stefanie Valenzuela

Philanthropy Operations Officer

Program Officer

W.W. C A R U T H , J R .

FO U N DAT I O N

Nischal Prakash

Community Philanthropy Director

Reo Pruiett

Data Analyst

Monica Egert Smith

2015 ANNUAL REPORT

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Thanks to your collaborative spirit and generous giving, the potential for making our communities stronger appears to be infinite.

5500 Caruth Haven Lane Dallas, Texas 75225-8146 214.750.4222 Fax 214.750.4210 CF Texas.org | EdT X .org | EFNT.org | Nor thTexasGivingDay.org