Initiative Foundation

What it reported doing in 2024

Communitychildcare solutions: the childcare solutions program enhances community and workforce development through access to affordable, quality childcare. In 2024, $275,000 was allocated to partner organizations to foster economic growth through expanded childcare options and a skilled early childhood workforce. The foundation funded efforts in 10 central Minnesota communities to develop and implement strategic plans addressing the childcare shortage. These communities received specialized childcare consulting and technical assistance to explore new partnerships and creative solutions with the public and private sectors. As a result, new childcare support programs were created with employers, local units of government, and community organizations. These efforts resulted in 10 childcare centers opening more than 350 new slots. Additionally, 80 family childcare businesses were established or increased the number of slots, creating over 150 new childcare slots in the region. Funding to attract, train, and maintain the early care workforce resulted in support for more than 700 early care professionals. Preliminary design bids to create or expand businesses, training and support to enhance business practices, as well as other developmental and safety training to increase quality rating scores and early potential were funded. The three local regional community colleges collaborated on early childhood workforce initiatives, enabling students to obtain scholarships to receive credentials to enter the field or advance their careers.community resiliency: our long-standing support for economic transition associated with the decommissioning of the sherburne county coal generation station continues to yield benefits for becker and other surrounding communities. Our most recent pilot project supported an analysis of the cost benefit of energy investments at elk river (sherburne county) and walker (cass county) food shelves. This analysis will help both partners secure grants for installation so they can quickly retire any debt and generate revenue. Grantmaking: our discretionary grantmaking delivered over $365,000. We served as the state-wide administrative hub for the 2024 round of otto bremer trust community responsive fund which totaled $3 million. We awarded over $600,000 in Minnesota main street economic revitalization grants to businesses within qualified communities. The investments served as matching funds to spur private reinvestment in downtowns.nonprofit development: the nonprofit academy suite of programs, including executive roundtable, vibrant and equitable communities cohorts, fundraising summits, continuous improvement, and various single-day trainings and lunchtime learning sessions, served 260 total organizations and more than 457 unique participants across the region. Cohort trainings focused on organizations led by and serving underserved communities. In 2024, the nonprofit academy program provided consulting, training, and served as a trusted intermediary to award almost $1 million in grants to support specific regional nonprofit projects. Nonprofit academy further refined the foundation's continuous improvement program, opening the training to local government units and nonprofit organizations.

Financial Efficiency

• Mission deployment rate: 98%; rating input score 98
• Program expense ratio: 86.3%; rating input score 86
• Fundraising efficiency: $14.59 raised per $1 spent on fundraising; rating input score 49; 49th percentile among comparable filings

Transparency & Controls

• Consistency checks: 94.7%; rating input score 95; 24th percentile among comparable filings
• Pay-setting controls: 4 of 6 controls in place; rating input score 67
  • Compensation committee: Pass
  • Independent consultant: Missing
  • Other Form 990s reviewed: Pass
  • Written employment contract: Missing
  • Compensation survey or study: Pass
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: 58.5%; rating input score 58; 12th percentile among comparable filings
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Yes; rating input score 100

Accountability

• Independent voting board: 100%; rating input score 100; 66th percentile among comparable filings
• Governance controls: 9 of 9 controls in place; rating input score 100
  • Conflict-of-interest policy: Pass
  • Whistleblower policy: Pass
  • Document-retention policy: Pass
  • CEO compensation review process: Pass
  • Other executive compensation review process: Pass
  • Form 990 shared with the board: Pass
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: -3.3%; rating input score 20; 20th percentile among comparable filings
• Total-asset coverage ratio: 7.3; rating input score 89; 89th percentile among comparable filings
• Liabilities to assets ratio: 0.08; rating input score 78; 78th percentile among comparable filings
• Officer compensation ratio: 3.3%; rating input score 66; 66th percentile among comparable filings

Growth

• Program expense growth: 11.1% per year; rating input score 100; 74th percentile among comparable filings
• Revenue growth: 8.9% per year; rating input score 100; 69th percentile among comparable filings
• Asset growth: 6.4% per year; rating input score 100; 45th percentile among comparable filings