Click on each of the Guiding Principles to view Implementation Options and samples of resource documents available to grantmakers …

1. Serve the public good.

Clarifying statement: Grantmaking organizations benefit from various favorable provisions in tax and corporate law. In return, we are required to serve the public good through our activities, based on the Internal Revenue Service's guidelines for exempt organizations. This Guiding Principle provides the most basic and most crucial of goals for all grantmakers. Because of its general nature, its implementation requires a dedication to values reflected in each of the remaining seven Principles.

2. Recognize and fulfill all fiduciary and legal responsibilities, and abide by state and federal laws that govern nonprofit and grantmaking organizations.

Clarifying statement: ABAG members comply fully with all legal requirements, while also making good faith efforts to adhere to “best practices” in organizational administration.

3. Adhere to the highest standards of professional and ethical behavior.

Clarifying statement: Recognizing the necessity of maintaining the public trust, we take steps to ensure all of our operations are fair, appropriate, and of the highest integrity.

4. Operate with an active governing body that is responsible for establishing and implementing policies and procedures, and for reviewing and revising them on a regular basis.

Clarifying statement: Representatives of governing bodies are vested with three major responsibilities: “duty of care” to make informed good faith decisions, “duty of loyalty” to have undivided allegiance to the organization, and “duty of obedience” to be faithful to the organization's mission. Governing bodies are also responsible for the general oversight, management, and direction of grantmaking organizations.

5. Establish and follow policies and procedures that support clear, purposeful, and informed grantmaking.

Clarifying statement: As grantmaking organizations, we have discretion to choose grantmaking areas based on our own interests and priorities, subject to donor intent (if any). To further these objectives, we make grants using structured, thoughtful methods to maximize the effectiveness of our pursuits.

6. Be accessible and open, and make available basic information about grantmaking priorities, programs, funding guidelines, application requirements, and grant monitoring/reporting procedures.

Clarifying statement: We strive to disclose our particular grantmaking priorities and decisions so that others, especially potential grantees, clearly understand us. In doing so, we help organizations decide the appropriateness of directing funding requests to us, and also foster an environment in which other grantmakers are informed of our work. By clearly communicating this information, we reduce the occurrence of inappropriate or disqualified funding requests, thereby reducing administrative burdens to both grantees and our own organizations.

7. Maintain constructive relationships with applicants, grantees, donors, colleagues, and the public based on mutual respect and candor.

Clarifying statement: Through our philanthropy, we aspire to achieve a lasting and positive impact on society. Because of our high regard for the communities, institutions, and individuals we engage in our work, we recognize the importance of being open and respectful in all of our relationships and communications.

8. Support continuous learning and engagement by members of the governing body, staff, and grantees.

Clarifying statement: The world in which we operate is continually changing, both in legal requirements and best practices. Through ongoing learning and engagement with our grantees, our governing directors and staff ensure that our grantmaking remains relevant, responsive, and effective. In addition, we understand the need for grantees to expand their learning so that they may improve their services and strategies in a similar manner.

Click here to return to the Guiding Principles main page.

Other articles from Explore: Guiding Principles & Implementation Options: