Family Foundations:
A Resource List

The term "family foundation" does not have any legal meaning, but the Council on Foundations defines a family foundation as one in which the donor or the donor's relatives play a significant role in governing and/or managing the foundation.

This reading list contains selected citations to works from the Foundation Center's bibliographic database, Catalog of Nonprofit Literature, on the topic of family foundations. Materials cited are journal articles and books. For a complete bibliography on this topic, including materials from earlier years, use Catalog of Nonprofit Literature, entering the subject headings "family foundations", "foundations — management", or "foundations — establishment and termination" in the subject search field box. You may also search by the name of a specific foundation.

Starting a Foundation

Edie, John A. Family Foundations and the Law: What You Need to Know. 3rd ed. Washington, DC: Council on Foundations. 2002. vii, 80 p.

Identifies legal issues of concern for members of family foundations and provides "user-friendly" explanations. Some of the topics explained are rules about charitable deductions, excise taxes, self-dealing, minimum payouts, international grantmaking, and the 990-PF. This volume is not intended to discuss every type of legal problem a family foundation could face but rather focuses on those rules that are unique to private foundations and the process of grantmaking from the perspective of family philanthropy.

Edie, John. First Steps in Starting a Foundation. 5th ed. Washington, DC: Council on Foundations, 2001.

Written for the non-lawyer, the donor, and the person seeking advice on establishing a foundation. Edie discusses in detail the numerous types of organizations that are all generally labeled as foundations by the public, and the requirements for establishing, and regulations governing, each type.

Freeman, Douglas; Hausner, Lee. A Founder's Guide to the Family Foundation: How to Use, Enjoy and Govern Your Family Foundation. Washington, DC: Council on Foundations, 1996. vii, 34 p.

A basic primer that includes discussions of foundation governance, grantmaking, the role of family members, transferring leadership, and terminating the foundation. Appendices include sample grant application forms and a bibliography.

McCoy, Jerry J. and Kathryn W. Miree. Family Foundation Handbook. New York, NY: Panel Publishers, 2001.

A handbook for financial and legal advisors to family philanthropies, but also provides information and guidance of interest to laypeople. Covers basic legal and fiscal matters such as tax benefits, types of foundations, supporting organizations, the steps to creating a foundation, the role of charitable trusts, structure and governance of the philanthropy, operating restrictions, grantmaking, administration, and special issues. Provides numerous worksheets, forms, and tables, as well as IRS statutes and Treasury Department regulations. Indexed.

Nielsen, Waldemar A. Inside American Philanthropy: The Dramas of Donorship. Norman, OK: University of Oklahoma Press, 1996. xii, 292 p. ISBN 0-8061-2802-X

Addressed primarily to philanthropists in the process of forming or revamping their foundations, the book probes the personal factors involved in donors' decisions. In a series of case studies, the philanthropies of John D. Rockefeller, Andrew Carnegie, and Julius Rosenwald are detailed; three successors, Mary Lasker, Arnold Beckman, and Walter Annenberg are profiled; and the new super-rich, Warren Buffett, Bill Gates, Leslie Wexner, and George Soros are discussed. Other sections explore the rising role of women in philanthropy, the hazards of donorship, entrepreneurial philanthropy, and the author's concluding recommendations for donors.

Prince, Russ Alan; Rathbun, Gary L.; File, Karen Maru. The Perfect Legacy: How to Establish Your Own Private Foundation. Fairfield, CT: HNW Press, 1998. viii, 80 p. ISBN 0-9658391-1-7

A non-technical guide to charitable planning and the options available to individuals and families. Discusses what a foundation is, and the alternatives to establishing foundations, how to set up procedures and protocols, and case studies of four families' experiences.

Management

Born, Jason (ed.) Investment Issues for Family Funds. Washington, DC: National Center for Family Philanthropy. 1999. xi, 169 p.

Published as volume 2 of the "National Center Journal". Chapters are "Considering the Question of Perpetuity"; "Developing a Spending Policy"; "Funding a Foundation"; "Avoiding Conflicts of Interest and Self-Dealing"; "Training the Next Generation"; "Understanding Trustee Responsibilities and Duties"; "Developing and Overseeing an Investment Strategy"; "Selecting and Working with Investment Advisors"; "Thinking About Mission-Related Investing". Includes bibliographic references and glossary of investment terms.

Buhl, Alice C.; Healey, Judith K. Family Foundation Retreat Guide. Washington, DC: Council on Foundations, 1995. v, 35 p.

Comprehensive guide for family foundations considering their first board retreat or looking for ways to have more effective retreats. Explains how to structure a retreat and how to find a good facilitator. Includes bibliographic references.

Campbell, Colin G. Telling Our Story: Accountability for Family Foundations. Washington, DC: Council on Foundations, 1996. ix, 8 p. (Voices from the Field).

Adapted from a speech given by Colin G. Campbell, president of the Rockefeller Brothers Fund, at the Council on Foundations' 1996 conference for those involved in family philanthropy. Calls for foundations to tell the story of what they do and how they do it.

Carmichael, Marc L. Options and Opportunities in Family Philanthropy: A Guide for the Professional Adviser. Washington, DC: Council on Foundations, [1997]. 12 p.

Cooley, Martha; Council on Foundations. Family Foundation Library: Management. Washington, DC: Council on Foundations, 1997. xv, 223 p. (Family Foundation Library series).

In nontechnical language, and organized into ten chapters, provides basic information of interest to family foundations: mission and management, board/family issues, asset management, grantmaking, board meetings, accounting, communication, new technologies, and evaluation. Sample policies are given. Includes glossary and resource list. Indexed.

Flather, Newell; Phillips, Mary; Whitney, Jean. Family Foundation Library: Governance. Washington, DC: Council on Foundations, 1997. xi, 193 p. (Family Foundation Library series).

Focuses on the responsibilities and tasks of foundation board members with information about current best practices. Includes sample administrative documents and samples of articles of incorporation and bylaws. Includes glossary and index.

Gast, Elaine C. The Guide to Small Foundation Management--from Groundwork to Grantmaking. Washington, DC: Council on Foundations, 2002.

Written with family foundations and those with less than $10 million in assets, the book summarizes good operating principles and practices. Beginning with the need for mission and vision statements, the author provides non-technical coverage of legal issues, setting up an office, technology, records management, accounting, investments, boards, staff, consultants, grants management, communication, and networking. With numerous sample documents and forms.

Gast, Elaine and Arica White. Trends in Family Foundation Governance, Staffing, and Management, 4th ed. Washington, DC: Council on Foundations, 2001.

Adapted from the "Foundation Management Series," 10th edition, and the "2000 Grantmakers Salary and Benefits Report," both published by the Council on Foundations.

McCoy, Jerry J.; Norcott, Claude O. Resources for Family Philanthropy: Finding the Best People, Advice, and Support. Washington, DC: National Center for Family Philanthropy. 1999. viii, 128 p.

Published as volume 1 of "National Center Journal". Chapter headings are "Managing a Family Philanthropy", "Working with Consultants", "Choosing Legal and Investment Advisors", "Connecting with the Larger World of Philanthropy" and "Finding Resources for Family Philanthropy". Includes numerous appendices with sample forms.

The Trustee Notebook: An Orientation for Family Foundation Board Members. Washington, DC: National Center for Family Philanthropy, 1999. ix, 83 p.

An introduction to managing a foundation for those new to the field. Explains what trustees must do and cannot do, how to be an effective grantmaker, how to develop the board, and how to ensure public accountability, among other issues. Provides several resource lists, and sample forms and policies related to grantmaking and board membership.

Grantmaking

Best Practices in Grants Management: A Project of the Grants Managers Network. Washington, DC: Council on Foundations, 2001.

A manual designed to assist grantmakers in the entire spectrum of the grants process ranging from pre-grant activities, approvals and notifications, through grant monitoring. Sample letters and forms for each stage are provided. Includes glossary, bibliographic references, and an index.

Foote, Joseph; Knowles, Louis L. Family Foundation Library: Grantmaking. Washington, DC: Council on Foundations, 1997. x, 131 p. (Family Foundation Library series).

Provides case studies of the grantmaking programs of several family foundations. Discusses choosing a grantmaking style, building an effective grantmaking capability, assessing and evaluating grants, developing relationships with other grantmakers, and family relationships when working as philanthropists. Includes samples of letters and forms used by grantmakers, as well as a glossary and index.

Lawrence, Steven. Family Foundations: A Profile of Funders and Trends. New York, NY: Foundation Center. 2000. xiii, 55 p.

Published in collaboration with the National Center for Family Philanthropy, the report provides a comprehensive measurement of the size and scope of the U.S. family foundation community. Through use of objective and subjective criteria, the report identifies the number of family foundations and their distribution by region and state, size, geographic focus, and decade of establishment; and includes analyses of staffing and public reporting by these funders. Also examines trends in giving by a sample of larger family foundations between 1993 and 1998 and compares these patterns with independent foundations overall. An appendix presents a discussion of the issues now affecting family foundations.

Inclusiveness

Arocha, Zita. Inclusiveness and Family Foundations. Washington, DC: Council on Foundations, 1993. iii, 30 p.

Winters, Mary Frances. Include Me: Making the Case for Inclusiveness for Private and Family Foundations. Washington, DC: Council on Foundations, 1996. 19 p.

Ethics

Bedsole, Ann; Feldhouse, Lynn; Lord, David. "Ethics: Favoritism in Family Funding". Foundation News & Commentary, vol. 37 (July-August 1996): p. 47-9.

Three grantmakers offer advice on how to handle a possible conflict of interest.

Rion, Michael. Responsible Family Philanthropy: A Resource Book on Ethical Decisionmaking for Family Foundations. Washington, DC: Council on Foundations, 1998. v, 99 p.

Presents an introductory Frequently Asked Questions section that covers purpose and accountability; board membership; board decision-making processes; and management of financial resources. Broader ethical themes are discussed as Issue Briefings, which include case studies. The Council on Foundations' "Principles and Practices for Effective Grantmaking" is reprinted, as well as two sample conflict of interest policies. With bibliographic references.

Intergenerational Issues

Frey Foundation. Preparing the Next Generations: A Workbook of Practical Ideas and Activities to Foster Intergenerational Involvement in Family Foundations. Grand Haven, MI: Council of Michigan Foundations, [1994]. 69 p. (The Family Foundation Project).

Designed to provide motivational tools for family foundations. Sections cover early training, informal activities, and structured training. Appendix gives sample documents, including checklists for site visits, planning a retreat, internship learning objectives, trustee application form, and others. Lists additional resources.

Gersick, Kelin E.; Stone, Deanne; Desjardins, Michele; Muson, Howard; Grady, Katherine. The Succession Workbook: Continuity Planning for Family Foundations. Washington, DC: Council on Foundations. 2000. ix, 102 p.

A comprehensive treatment of the practicalities of succession planning, including definitions, descriptions of different approaches, case studies, survey, meeting and retreat planning, and exercises.

Ylvisaker, Paul N.; Council on Foundations. Family Foundations Now — and Forever? rev ed. Washington, DC: Council on Foundations, 1997. ii, 27 p.

A revised edition of Ylvisaker's 1991 Family Foundations Now — and Forever? The Question of Intergenerational Succession". Examines the roles played by the succeeding generations of a founding donor's family in the governance and administration of his or her foundation. Includes brief case histories of six family foundations.

Stone, Deanne. "The Truth About Succession Planning". Foundation News, vol. 35 (January-February 1994): p. 46-7.

Uses brief sketches to illustrate how family foundations relinquish control to successive generations.

Donor Legacy

Brody, Deborah. "Interpreting Donor Intent". Foundation News & Commentary, vol. 35 (November-December 1994): p. 35.

Healey, Judith K. "Dad Would Have Wanted It This Way: Three Ways Family Foundations Handle Donor Legacy". Foundation News, vol. 35 (January-February 1994): p. 14-7.

Excerpts "Families and Their Foundations: On the Charitable Side of the American Dream", a work in progress by Judith K. Healey. Discusses the role of donor intent, with illustrations from three family foundations, the Lawrence Welk Foundation, the Patrick and Aimee Butler Foundation, and the Z. Smith Reynolds Foundation.

Hirschfield, Ira S. "An Interview with Ira S. Hirschfield, Director of Philanthropy, Rockefeller Family and Associates". Family Business Review, vol. 3 (Winter 1990): p. 395-404.

Family Issues

Stone, Deanne. Family Foundation Library: Family Issues. Washington, DC: Council on Foundations, 1997. xiii, 141 p. (Family Foundation Library series).

In six chapters, discusses the issues of the effects of family culture in relation to family behavior, succession planning, confronting power-sharing issues, philosophical and interpersonal conflicts, and strengthening communication and conflict resolution. Includes resource list and index.

Stone, Deanne. "Fostering Family Philanthropy". Foundation News, vol. 34 (January/February 1993): p. 37-9.

Advocates that families can benefit themselves and their foundations by starting their children's financial education early.

Stone, Deanne. Privacy and the Family Foundation: The Impact on Grantmaking. Berkeley, CA: Deanne Stone Publications, 1998. iv, 56 p.

Drawn from interviews with family foundation trustees, explains some of the typical concerns about confidentiality and loss of privacy related to their personal wealth: being overwhelmed by requests, inability to live a normal life, unwanted scrutiny, divulging family confidences, and threats to personal safety. How these concerns often affect grantmaking by family foundations is explored, and the option for "going public" is examined. Recommends that family foundation trustees remain cognizant of community needs, and balance privacy issues and a public presence in order to avoid grantmaking in isolation.

"To Pay, or Not to Pay". Foundation News & Commentary, vol. 39 (March-April 1998): p. 52-4.

Foundation executives from the Albert Kunstadter Foundation, the Northwest Area Foundation, and the Americana Foundation discuss the issue of family and non-family trustee compensation.

Tobin, Gary A.; Sales, Amy L.; Tobin, Diane K.; Maurice and Marilyn Cohen Center for Modern Jewish Studies/Institute for Community and Religion. Jewish Family Foundations Study. Waltham, MA: Maurice and Marilyn Cohen Center for Modern Jewish Studies, 1996. 78 p.

Results of a study of Jewish family foundations conducted by Brandeis University's Maurice and Marilyn Cohen Center for Modern Jewish Studies and the Benjamin S. Hornstein Program in Jewish Communal Service. Three different methodologies were used: in-depth interviews of foundation founders, trustees, and employees; research compiled from a database of 2,500 Jewish family foundations; and a content analysis of the mission statement, application guidelines, brochures, and other published materials obtained from a sample of foundations. Includes charts and graphs.

Our Family's Story

Anders, George. "Giving Away $9 Billion Isn't Easy: Just Ask the Packard Children". Wall Street Journal, (6 March 1998): p. A1, A8.

The four grown children of David Packard, who have gone their separate ways, are being called upon to determine exactly how best to fulfill the philanthropic wishes of their father, whose foundation now has assets in excess of $9 billion.

Briggs, John. The Face of a Family. Greenwich, CT: United Publishing Corporation, 1992. 83 p.

Profiles the Jeremiah Milbank family. The narrative encompasses the personal and public life of Jeremiah Milbank, (1887-1972). Recounts the founding of the International Center for the Disabled by the Milbank family and the establishing of the JM Foundation. Includes photographs.

Brody, Deborah; Williams, Roger M. "Strong Commitment". Foundation News, vol. 33 (May/June 1992): p. 16-9.

Profiles the Hattie M. Strong Foundation of Washington, DC. Portrays the foundation as a modest grantmaker whose family ties play a significant role in its activities. The foundation provides interest-free loans for higher education and is deeply committed to maintaining personal contact with the individual grantees for decades after their funding has expired.

Moore, Jennifer. "How One Family Involves Two Generations in Giving Away a Fortune". Chronicle of Philanthropy, vol. 6 (16 November 1993): p. 10.

Describes the formation and activities of the Jacobs Family Foundation of San Diego, California.

Richmond, Jim. "Looking Inward". Foundation News, vol. 33 (March-April 1992): p. 31-3.

Reports on the efforts of Michigan's Frey Foundation to evaluate how grantseekers and the community perceive its staff and programs.

Robbins, Carol. Community Kinship: The Story of the Springs Foundation. Washington, DC: National Center for Family Philanthropy, 2000.

Recounts the history of the Springs Foundation, established in 1942, and one of the largest and oldest family foundations in the South. Describes how textile entrepreneur Eliott White Springs focused its grantmaking exclusively in South Carolina.

Rockefeller, Steven C. Family Philanthropy and Creative Democracy: One Family's Experience. Washington, DC: Council on Foundations, 1996. v, 28 p. (Voices from the Field series).

Describes some of the experiences and thinking of members of the Rockefeller family as they wrestled with the challenge of family philanthropy in recent years. Briefly explains the development of the Rockefeller Brothers Fund (RBF-founded in 1940), the Rockefeller Family Fund (founded in 1967) and The Philanthropic Collaborative, Inc. (founded in 1991). Appendices include the Rockefeller & Co. Inc. statement on social policy and investment activity.

Stone, Deanne. Building Family Unity Through Giving: The Story of the Namaste Foundation. San Francisco, CA: Whitman Institute, 1992. v, 38 p. (Family Foundation at Work Series).

Describes development of Namaste Foundation, a family foundation started by Bob and Wendy Graham to further their philanthropic interests and educate their children in the use and management of money. Namaste has three funds: discretionary fund for unilateral donations to favorite projects; high personal involvement fund for programs which board members initiate or participate; and the open pool for individual sponsorship of projects with special merit, e.g. "young heroes grants" where provider or recipient of service is under thirty-five years of age.

Stone, Deanne. Hands-on Grantmaking: The Story of the Boone Foundation. Washington, DC: Council on Foundations, 1998. viii, 48 p.

Personalized history of the foundation established in 1983 by George and Mary Lou Boone.

Williams, Roger M. "Sober Commitment". Foundation News & Commentary, vol. 38 (May-June 1997): p. 54-6.

Profiles the Hanley Family Foundation, which began by building a facility to treat alcoholism.

In addition to print resources, you may want to browse the following Web sites for more information about family foundations.

• Council on Foundations
• The American Foundation
• The Family Foundation Forum
• The National Center for Family Philanthropy