|
|
 |
|
| Feature |
Sound Counsel
John Egan
11/01/2007
|
To ensure that his philanthropic dollars are actually working
to change lives, Pickens directs Carlin to track charitable gifts to make
certain the money is accomplishing what the foundation intended. He also
believes in squeezing as much as he can out of a donation—just as he would
handle an energy investment. In the case of the $50 million contributions to the
M.D. Anderson Cancer Center and UT Southwestern Medical Center, the gifts came
with strings attached. The foundation offered the money with the caveat that the
gifts will serve as the basis for special funds at the institutions, requiring
that they grow to a total of $1 billion ($500 million each) within 25 years. If
they do not achieve this goal, the two institutions must turn over the interest
earned over the years to Pickens’ alma mater, Oklahoma State University. That
sort of leverage forces fundraising officials to work harder and produce more
results, according to Pickens.
 | "THE PROBLEM is that foundations get too big, unless you’re iron-fisted
with the controls and you have an absolute road map of where the money
goes.’’ —Tim Blixseth (Photograph by Andrew Geiger.) |
"We hunt with a rifle. We don’t hunt with shotguns," he says.
"We’d rather give meaningful gifts that are going to make a difference than a
lot of little gifts. We want to make an impact."
Tim Blixseth: Going With Gut Feelings
Not everyone finds value in the team approach to philanthropy.
In fact, some donors find too much advice a cumbersome layer of bureaucracy that
detracts from the pleasure of spontaneous giving. "I really don’t consult with
anybody," Blixseth says. "I just go with my gut feelings."
Ignoring the warnings of professionals on the dangers of not performing extensive pre-donation due diligence, Blixseth embraces a strictly
informal vetting process. There were no lengthy meetings with advisors or formal
sit-down sessions with consultants prior to his giving 40 acres to the Coachella
Valley Unified School District in the desert community of Thermal, Calif., for a
K-12 school. Blixseth’s gift also included an adjoining 276 acres of land for a
community sports complex featuring a championship golf course designed by PGA
legend Tom Weiskopf. Blixseth Group will build the golf course and operate it
for 10 years, while pursuing donations for a foundation that eventually will run
it for the school district.
THE FAMILY THAT GIVES TOGETHER
The Bank of America/ Center on Philanthropy study showed that 70.9
percent of affluent households discuss philanthropy with children, but
just 35.2
percent allow children to be involved in the process, and
only 23.4 percent set
criteria for the children’s participation. Wealth
advisor Paul Comstock says
that although he does not advocate that
every wealthy family form a charitable
foundation, those that do should
pull all family members into the philanthropic
experience—a philosophy
that McCombs, Pickens and Blixseth heartily embrace. |
Blixseth also gravitates toward pumping his money into
charitable organizations with low overhead—such as Habitat for Humanity
International. "There are a lot of these charities that mean well, and they’re
great charities, but they’ve built such a machine to raise money," he says. "For
administration, they end up taking 40 to 45 percent of every dollar just to run
their deal."
To circumvent that sort of administration-heavy style, Blixseth
often spontaneously gives out of his own pocket. "I like to wildcat it. I like
to ferret out the one-off deals where you say, ‘You know what, you have changed
one person’s life.’" Unlike Pickens and McCombs, Blixseth’s family does not
have a foundation to oversee gift giving. Declining to participate in the trend
toward more strategic, planned giving, Blixseth wants to keep his approach to
philanthropy rather casual. "The problem is that foundations get too big, unless
you’re iron-fisted with the controls and you have an absolute road map of where
the money goes," he says. "Pretty soon your family foundation is like these
other big 501(c)(3)’s—they’ve got administrators and they’ve got staff, and all
of sudden you end up with more time administering than giving."
John Egan is a freelance writer and editor in Austin,
Texas.
Additional Information
 Advise and Consent
|
|
|
|
|
|
|
