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Ronald Reagan Presidential Library
Digital Library Collections
This is a PDF of a folder from our textual collections.
Collection: Roberts, John G.: Files
Folder Title: JGR/PSI (Private Sector Initiatives)
(8 of 10)
Box: 44
To see more digitized collections visit:
https://reaganlibrary.gov/archives/digital-library
To see all Ronald Reagan Presidential Library inventories visit:
https://reaganlibrary.gov/document-collection
Contact a reference archivist at: [email protected]
Citation Guidelines: https://reaganlibrary.gov/citing
National Archives Catalogue: https://catalog.archives.gov/
Task Force on
Private Sector
Initiatives
BUILDI
PARTNERSH
THE PRESIDENT'S TASK FORCE ON
PRIVATE SECTOR INITIATIVES
DECEMBER 2,1981 - DECEMBER 8,1982
BUILDING
PARTNERSHIPS
The President's
Task Force on
Private Sector
Initiatives
BUILDING
PARTNERSHIPS
The President's
Task Force on
Private Sector
Initiatives
December 8, 1982
The President
The White House
Washington, D.C. 20500
Dear Mr. President:
Your Task Force on Private Sector Initiatives completes its
designated one-year assignment today. Its mandate is ending
successfully as you intended: to report results as opposed to
resulting only in a report.
At the very outset please let us thank you for giving, time
and again, the power and prestige of your office to our work.
Your personal commitment to voluntarism, to encouraging
neighbor helping neighbor, has been an inspiration and source
of strength to the Task Force.
Throughout the year, beginning with the luncheon you hosted
on December 2, 1981 and to this closing luncheon today, you
personally supported over 25 White House meetings where you
urged leaders from all sections of our society to join with you
in finding new ways to meet the needs of America. And we are
grateful for your extra effort in visits to cities all over the
country where you honored especially innovative and productive
private initiatives.
A compilation of your "extra-efforts" support of the Task
Force is included in the appendix.
The forty-four members of the Task Force -- a cross-section
of political opinion and leadership from academia, business,
organized labor, government, foundations, religious, civic and
not-for-profit organizations -- devote themselves to being a
catalyst to encourage existing organizations, individuals and
communities to take leadership roles in finding new and
innovative ways to meet the needs of society. All Task Force
members made important contributions to this work. I am truly
grateful for their help and support and am particularly
indebted to the committee chairs, who offered so much of their
time and talent.
By the same token, the staff of the Task Force, organized
initially by Dorothy Drummer and guided since March by Jerry
Guth, did a remarkable job. Comprised as it was of people on
loan from, or underwritten by, a variety of businesses and
organizations, the staff "mirrored" the same sense of
dedication as the appointed Task Force members.
Starting in November 1981 with 3 loaned staffers, and
willing volunteers, and 2 telephones, our offices at 734
Jackson Place soon became a hub of activity and excitement.
To staff each of our committees, to house the data bank, to
respond to the opportunities for increasing private initiative
throughout the country, we expanded also to all 4 floors, 730
Jackson Place; fourteen telephone lines, 35 loaned or
contributed staffers, 40 interns, who processed "Project Bank"
forms for the data bank, and literally hundreds of volunteers,
many of whom devoted as much as 60 hours per week.
It became the most exciting place to work in town.
With financial contributions from many organizations
matched by donations of materials and supplies by many others
-- and with Task Force quarters provided by the Department of
Commerce -- the entire effort became a show-case example of
public/private partnership.
We concerned ourselves with fulfilling the two principal
functions outlined in the Executive Order which established the
Task Force:
1. Promote private sector leadership and responsibility in
meeting public needs.
2. Foster an increased level of public/private
partnerships in order to decrease dependence on
government.
We adopted five key missions in our role as catalyst:
1. To identify examples of successful or promising private
initiatives and partnerships and to give these national
recognition in order to promote their broader use.
2. To encourage increased and more effective use of human
and financial contribution resources of religious
groups, businesses, organized labor, foundations and
philanthropic organizations, including more creative
use of leadership, management expertise, training and
volunteer work.
2
3. To encourage the formation and continuation of
community partnerships -- private organizations working
with local government -- to identify and prioritize
community needs and then to marshal human and financial
resources.
4. To identify government obstacles to private initiative
and make recommendations for their removal, and to
formulate incentives to inspire and incite the private
sector to undertake new initiatives.
5. To contribute to the development of public policy in
areas of concern to the Task Force.
In all five areas, we found that success depends on
volunteers and the spirit of voluntarism so essential to the
strength and progress of our nation.
To carry out the mission of the Task Force we divided work
among eleven action committees. All Task Force members were
assigned to committees and each acted as an autonomous group in
fulfilling its mission. Their respective findings are
delineated in committee reports which outline mission and
detail results achieved, and are attached to this letter.
The Task Force membership did not seek a consensus
statement on such matters as the impact of changes in federal
spending patterns, or the proper role of government and of the
private sector in meeting the needs of society, or the
appropriate role of government and the private sector in
support of not-for-profit organizations. This was not our
mission.
Neither did Task Force membership, as a body, seek
concurrence on each and all reports, or undertake to analyze
policy implications for the range of findings and observations
offered. One exception is the report of the Contributions
Strategies Committee, whose recommendations on goals for both
cash and in-kind giving by individuals, corporations and
foundations was approved by the full Task Force.
Where we did find consensus was on the importance of
reinforcing the volunteer spirit and building partnerships,
both important traditions in American history, and both never
more needed than today.
We successfully fulfilled our first mission by establishing
a computerized project bank. As of December 1, it contained
2,500 examples of how organizations, individuals and
communities have met their needs. It has been very helpful to
those organizations and communities seeking solutions.
I believe that the project bank should be continued and
have formed an ad hoc group of Task Force members to help
3
determine where best to place it. We have received specific,
thoughtful proposals from three private sector organizations
indicating their desire to continue, maintain, and expand the
data bank.
Because of the great interest in the subject of private
initiative and community partnerships, many institutions have
issued comprehensive studies in the past year, such as the
Committee for Economic Development and SRI International. The
Task Force commends particularly the report by the American
Enterprise Institute, Meeting Human Needs: Towards a New
Public Philosophy, which was commissioned by you in June 1981.
It is an outstanding work and has been extensively used by the
Task Force.
In addition to promulgating strategies for giving, and to
joining with Independent Sector in funding an Advertising
Council campaign on voluntarism, we stimulated the formation of
State Task Forces by 42 Governors, encouraged several hundred
national organizations (religious, civic, trade and
professional, organized labor, academic, business, not-for-
profit) to add private sector initiative to their work agenda,
and identified impediments which deter private initiative
action, and incentives which might be used to encourage job
creation and job training.
The Marshalling Human Resources Committee, assisted by
leaders from twenty-one national volunteer organizations, has
published Volunteers: A Valuable Resource, Prepared for Policy
Makers. Also, it brought fifty youth volunteers from more than
thirty communities to Washington, D.C. to meet with you
personally. Your inspiration resulted in their returning home
committed to new collaborative youth volunteer initiatives in
1983.
The Community Partnerships Committee has published "How-To
Guides" to stimulate development of community partnerships, and
is publishing an outstanding book entitled, "Investing in
America." Their efforts focused particularly on the need to
cut across the lines between public and private, between for-
profit and not-for-profit institutions. Outstanding examples
of these are contained in the Journal of Community Action
autumn issue, which is devoted exclusively to partnerships. It
was published jointly by the Task Force and the Center for
Responsive Governance. There are literally thousands of
public/private partnerships now in existence or being formed
throughout the country.
The Committee on Government Liaison has worked closely with
all major departments and agencies, first to determine private
sector initiative activity, and second, to encourage greater
sensitivity in all policy making matters to private initiative
and public/private partnership potential.
4
Mr. President, we have found new commitment by both private
and public sector leadership to work in partnership. There is
an exciting opportunity for this initiative, creativity, and
commitment to be joined with local government in finding new
ways to meet needs.
Nowhere was this better illustrated than in the work of the
Communications Committee, which developed scores of these
stories for print and broadcast media.
More than 70 television stations stressed these themes in
both news and feature programming.
The videotape which you, Mr. President, made specifically
for the Task Force, was used widely on television and in our
speaking appearances across the country.
Hundreds of newspapers featured the "Brighter Side of
Today's News" human interest stories, and these continue to be
run in scores of association and company magazines.
Pat Boone's musical theme, "Lend a Hand, America, and the
feature stories which he recorded, have been distributed to
some 5,000 radio stations.
As the Task Force phases out its activities, I recommend:
1. That the Task Force Executive Order be permitted to
expire on December 31, 1982.
2. That you continue to articulate the need for increased
private sector initiative in every aspect of our
nation's life and that you continue to urge all
community leaders to join in local partnership as a
most effective way to meet the needs of the community.
3. That there be created an inter-agency committee chaired
by a cabinet officer. This group would:
a. Encourage increased sensitivity in policy-making to
impacts on initiative, voluntarism, and private
sector involvement.
b. Encourage cabinet initiatives which increase agency
reliance on the private sector and public/private
partnerships, in program development and
implementation.
4. That the White House Office of Private Sector
Initiatives be strengthened and that the Special
Assistant to the President for Private Sector
Initiatives be the focal point for federal government
initiatives in this area.
5
5. That you create a Bi-Partisan Advisory Council on
Private Sector Initiatives, comprised of no more than
15 distinguished individuals. This new Council should
meet regularly with you to review private sector
initiative goals and objectives for your Administration.
The Task Force is grateful for your inspiration and
support. We especially thank Mike Deaver, Jim Rosebush, Jay
Moorhead and Michael Castine for their support.
We conclude our work, Mr. President, where we began, with
the preamble of our mission statement: "The greatness of
America lies in the ingenuity of our people, the strength of
our institutions, and our willingness to work together to meet
the nation's needs."
Sincerely,
Sie Verity
C. William Verity, Jr.
Chairman
6
BUILDING
PARTNERSHIPS
TABLE OF CONTENTS
Page
I.
List of Task Force Members
9
II.
Models Committee
13
III.
Impediments Committee
17
IV.
Governors Committee
29
V.
Liaison with National Organizations Committee
33
VI.
Liaison with Government Offices Committee
37
VII.
Incentives Committee
43
VIII.
Contributions Strategies Committee
47
IX.
Marshalling Human Resources Committee
53
X.
Communications Committee.
57
XI.
Awards and Recognition Committee
60
XII.
Community Partnerships Committee
61
XIII.
Appendix Information
65
7
BUILDING
PARTNERSHIPS
The President's Task Force on Private Sector Initiatives
C. William Verity, Jr.
Terence Cardinal Cooke
Chairman of the Executive
Archbishop of New York
Committee
Armco Inc.
Walter G. Davis
Director of Community Services
William Aramony
AFL-CIO
President
United Way of America
Kenneth N. Dayton
Chairman of Executive
William Baroody, Jr.
Committee
President
Dayton-Hudson Corporation
American Enterprise Institute
Hon. Pierre S. du Pont
Helen G. Boosalis
Governor of Delaware
Mayor, City of Lincoln,
Nebraska
Hon. Dave Durenberger
United States Senate
William R. Bricker
National Director
Luis A. Ferre
Boys Clubs of America
Former Governor of Puerto Rico
Hon. Barber B. Conable, Jr.
John H. Filer
U.S. House of Representatives
Chairman
Aetna Life & Casualty Co.
J. Richard Conder
Immediate Past President
Max M. Fisher
National Association of Counties
Founding Chairman
Detroit Renaissance
9
John Gardner
Dr. Henry Lucas, Jr.
Chairman
Chairman
Independent Sector
New Coalition for Economic
and Social Change
Dr. Daniel Gilbert
President
Leslie L. Luttgens
Eureka College
Ex-Officio Member of the Board
Council on Foundations
Dr. Jean L. Harris
Vice President
Dr. Richard W. Lyman
State Marketing Programs
President
Control Data Corp.
Rockefeller Foundation
James F. Henry
Cornell C. Maier
President
Chairman
Center for Public Resources
Kaiser Aluminum & Chemical
Corporation
Edward V. Hill
Pastor
Elder Thomas S. Monson
Mt. Zion Baptist Church
Church of Jesus Christ of
Latter-Day Saints
Dee Jepsen
Advisory Board Member
Robert Mosbacher, Jr.
STEP Foundation
Vice President
Mosbacher Production Co.
Michael S. Joyce
Executive Director
Dr. Franklin D. Murphy
John M. Olin Foundation
Chairman of Executive Committee
Times Mirror Co.
Edward J. Kiernan
President
William C. Norris
International Union of Police
Chairman and CEO
Control Data Corp.
Arthur Levitt, Jr.
Chairman
Frank Pace, Jr.
American Stock Exchange
Chairman and CEO
National Executive Service Corps
Robert D. Lilley
Chairman
Thomas W. Pauken
Local Initiatives Support Corp.
Director, ACTION
10
George Romney
Alexander Trowbridge
Chairman
President
VOLUNTEER: National Center
National Association of
for Citizen Involvement
Manufacturers
James W. Rouse
William S. White
Chairman
President
The Rouse Company
C. S. Mott Foundation
Andrew C. Sigler
Jeri J. Winger
Chairman and CEO
President-elect
Champion International
General Federation of Women's
Clubs
Ellen Sulzberger Straus
President
Thomas H. Wyman
WMCA Radio
President
CBS, Inc.
Reverend Leon Sullivan
Founder
Opportunities Industrialization
Center
11
BUILDING
PARTNERSHIPS
MODELS COMMITTEE
Chaired by:
William J. Baroody, Jr.
Members:
Senator Dave Durenberger
Max M. Fisher
John W. Gardner
The Reverend E. V. Hill
Henry Lucas, Jr.
James W. Rouse
MISSION STATEMENT
To identify, describe, and analyze exemplary models of private
sector initiatives, to determine their distinctive character-
istics, and to develop appropriate case studies.
STRATEGY
1. To identify exemplary models in specified categories, and
to seek such examples from other Task Force committees.
2. Utilize the resources of existing institutions and struc-
tures rather than establishing parallel or redundant
systems, and rely on existing institutions to authenticate
models.
3. Encourage existing institutions to develop their own
internal system of identifying and disseminating examples
of exemplary models in their own sectors.
4. Cooperate with government agencies, departments, and insti-
tutions in establishing a system of model identification.
13
5. Prepare a draft report enumerating exemplary models, in a
format and style suitable for publication by the Task Force
as a brochure for widespread distribution.
ACTION
The committee inquiries revealed that no precise "models" of
private sector initiatives exist as described in the original
mission statement. Rather, there are countless individual
success stories, but each is unique to its own setting. No
single model can be borrowed, in toto, from one community and
adopted in another. Any single example or illustration must be
retailored for its new setting.
There are, however, tactics and strategies for change which can
be usefully studied, which transcend community differences.
Instead of consensus about models or issues, then, the commit-
tee commends processes, tactics, and strategies for change
tailored to the special needs of each community. Several
recent major studies make this point. The Committee for
Economic Development (CED) has brought its work on partnerships
to a conclusion by releasing the case studies volume in
mid-September, following the release of the CED policy state-
ment last spring. As well, SRI International has completed
important work in this field. The American Enterprise
Institute released a comprehensive book, Meeting Human Needs:
Toward a New Public Philosophy. Other productions include the
KAKE-TV series on private sector responses to human problems,
and Independent Sector's 28-minute movie.
Also, the Incentives Committee has produced a first-rate slide
show which will be of great interest to a wide variety of
audiences; the project bank has been a useful source of infor-
mation for interested parties; and the Task Force book, In-
vesting in America, promises to be a helpful tool.
FINDINGS
1. The committee agrees that the Task Force will have finished
its work by December and should then expire. It also
believes that the momentum established in this past year
should be maintained.
The President should be encouraged to institutionalize this
initiative in a small but important way. He might consider
establishing a standing Cabinet-level committee run by the
Vice President, or he might think of appointing a small
group of advisors from the private sector to meet with him
on a regular basis.
In any case, the best judge of an effective way to continue
this work is the President himself. This is to relay to
14
him the committee's enthusiasm for continuing it in some
form.
2. A remaining outstanding question is that of a "home" for
the project bank. Proposals have been received from
several organizations and are under consideration.
CONCLUSION
The members of the Models Committee are pleased with the
progress made this year. Public awareness has been greatly
increased; scholarship in this important area has expanded;
media coverage has enlarged and promises to continue; and the
White House should continue to be a focus and leader in mar-
shalling private sector resources and energy in our quest to
improve the quality of American life.
15
BUILDING
PARTNERSHIPS
IMPEDIMENTS COMMITTEE
Chaired by: Representative Barber B. Conable, Jr.
Members:
Kenneth N. Dayton
The Reverend E. V. Hill
Michael S. Joyce
MISSION STATEMENT
To identify impediments which prevent or retard the maximum use
of private sector initiatives in the United States.
INTRODUCTION
The Committee recognizes that it is often impossible to draw a
clear distinction between impediments and incentives. This
report's focus is on the identification of areas of public
policy where changes could be made that would release or
encourage greater private sector initiative than already
exists. Throughout the report, the concept of "impediment"
will be used in a broad sense.
We contacted many of those who have been actively involved in a
variety of private sector activities -- tax-exempt organiza-
tions, private foundations, corporations and banks, churches,
government officials, volunteer groups, public policy analysts
and scholars. This report is based largely on the impediments
they brought to our attention and their suggestions for
removing barriers to voluntarism, public/private partnerships,
charitable endeavors and other forms of private sector
initiative. In a few instances, a remedy may be straight-
forward and self-evident. In many, where it is not, we do not
try to suggest specific policy changes. We hope, however, that
others both within the Administration and without will study
the identified areas and make concrete proposals for change
encouraging private sector initiative.
17
It was brought to the attention of the Committee that many
serious impediments to private sector initiative are not the
result of laws or regulations but, rather, involve attitudes
and motivations on the part of individuals and organizations.
Many of these "attitudinal" impediments involve basic questions
of the respective roles of government, nonprofit entities, and
for-profit activities. Often, mutual distrust or concern over
the flow of funding from one to the other prevents a. full
exploration of possibilities and options for new divisions of
responsibilities. Little attention is given, for example, to
seeking private sector alternatives for accomplishing the
purposes addressed by government programs.
Dealing with these impediments based on attitude, motivation,
and tradition requires fundamental shifts in economic activity
and human behavior. The Committee, while acknowledging that
these impediments exist, chose to focus its attention on
impediments which could be resolved through specific legal or
regulatory changes.
I. Definition of impediments and incentives:
A law or regulation need not totally stifle private initiative
in order to impede it. An impediment can be viewed as a
behavior, rule, regulation, or law which increases the costs,
reduces the potential benefits, increases the risk or precludes
a specific strategy of private sector initiative. Of course,
it is possible for an impediment to prevent private sector
initiative altogether -- as appears to be the case with the law
which currently prohibits volunteers from serving in federal
agencies unless an exception has been specifically legislated.
Conversely, a behavior, rule, regulation, or law which permits,
encourages, increases the potential benefits, or reduces the
cost or risk of a private sector initiative is considered to be
an incentive.
Impediments and incentives at the federal level receive most of
the attention in this report; they are most readily identified
and impact activity on a nationwide basis. A few specific
impediments have been identified at state and local levels.
There are, undoubtedly, many more which parallel federal
impediments, as well as some which are unique to the laws and
regulations of individual states. The Committee has
communicated with the state level private-sector initiative
task forces to urge them to replicate this examination of
impediments and incentives.
In summary, the Committee's focus has been on the identifica-
tion of substantive legal or regulatory impediments at the
federal level. No attempt is made to recommend action on
specific impediments.
18
II. Private sector initiatives face no overwhelming, major
impediments:
The United States has enjoyed a lengthy, rich and diverse
tradition of private initiative, voluntary association and
creative cooperation among its citizens to solve mutual
problems and meet common needs. This enduring tradition is
evidence that no insuperable barriers or legal impediments
exist which preclude a continuation of this type of activity.
Generally, where there is motivation and strong determination
that a particular private sector initiative be undertaken,
those involved have usually found a way to succeed.
Failures of specific initiatives do occur -- for lack of proper
or sufficient motivation, insufficient resources, lack of com-
munity support or perceived need -- but the Committee believes
that the climate in the United States today continues to en-
courage and favor private initiatives, voluntarism and non-
governmental approaches to problem solving.
Therefore, the impediments discussed in this report, while
burdensome to specific projects, do not constitute insurmount-
able barriers that preclude private sector initiative in
general.
III. Prevent creation of new impediments:
Before addressing existing impediments, the Committee wishes to
stress the importance of not creating new impediments inadver-
tently as programs and policies are developed by government.
It is therefore suggested that: Policymakers at every level of
government should review and study the possible consequences on
private sector initiatives of proposed policy initiatives prior
to their implementation.
Many policy changes are motivated by factors which have little
or nothing to do with fostering private sector initiatives.
However, while keeping these principal aims or motivations in
mind, it is still possible to assess whether a particular
proposal would help or hinder private sector initiative
compared with one or more alternative approaches, and to
consider ways that basic policy thrusts could be modified to
create a climate favorable to private sector initiative.
Examples of broad public policies currently being debated which
have potential impediments for private sector initiative are:
--
Flat or consumption-based income tax: while recogni-
zing that broad changes in the tax structure must be
judged by many other standards, what would be the
impact on charitable contributions and could these
19
methods of taxation be adjusted so that they would not
decrease such contributions?
-- New Federalism: what impact would reallocating
government responsibility for meeting human needs have
on nonprofit groups involved in helping the needy?
-- Repair of infrastructure: what would be the impact of
decisions relating to the repair, relocation or closing
of roads, bridges, schools, public housing on the sense
of community and neighborhood identification and soli-
darity which propel many private sector initiatives?
-- Minimum wage: what would be the impact on state or
federal decisions to increase minimum wages on the
employment of youth, trainees and others who private
sector initiatives often try to help?
The Committee is NOT recommending that a formal study or
exhaustive impact analysis be launched every time a new policy
is considered. However, it suggests that just as policymakers
attempt to assess the impact of proposed changes on the econo-
my, the environment and on families, some thought be given to
what the potential impacts on private sector initiatives might
be and how any possibly negative impacts could be avoided.
One example of this occurred during the consideration
of The Economic Recovery Tax Act of 1981. It was
realized that the full operation of the new rules for
depreciation of capital assets would mean that some
corporations would show reduced taxable income on their
ledger books. If the limit on deductibility of cor-
porate charitable contributions had been left at five
percent, this would have meant that at least a few
corporations with aggressive philanthropic programs
would have to have reduced their contributions in order
to stay within the allowable limit. Therefore, the
limit was doubled to 10 percent -- not because anyone
expected corporate contributions to double, but merely
to prevent other changes in the law from having an
unintended, negative impact on existing patterns of
charitable giving.
It should be noted that another of the major changes
in this same legislation, reduction in individual in-
come tax marginal rates, increased the cost of indi-
viduals' charitable contributions and, therefore, has
probably reduced their rates of giving. In this case,
although this effect was perceived while the bill was
under consideration, the main thrust of the tax-
cutting legislation was felt to be of primary impor-
tance, despite its probable impact on contributions.
20
IV. The Crucial Role of a Strong Economy:
The Committee wishes to emphasize that a strong economy consti-
tutes the greatest incentive to private sector initiative.
None of the specific impediments identified below begins to
match the negative effects of a weak economic climate on
stifling private sector initiative, be it charitable contribu-
tions, the development of public/private partnerships, the
creation of the jobs and income that reduce the need for
philanthropy or the development of creative alternatives for
meeting needs in the private sector.
VI. Specific Impediments and Incentives:
A great many individuals and organizations identified for the
Committee specific impediments and needed incentives which they
have encountered in trying to foster private sector initia-
tives. These impediments and incentives are listed below as
they affect several areas of private sector initiative: con-
tributions by individuals, volunteering, tax-exempt organiza-
tions, private foundations, and for-profit corporations. This
abbreviated version of the Committee's report contains only an
inventory of major items brought to its attention. A longer
version of the report and an appendix contain further details
and are available as separate documents. However, in no
instance does the Committee make action recommendations con-
cerning specific impediments or incentives.
No member of the Impediments Committee necessarily agrees that
every item discussed below should be part of an agenda for
future action. The listing is based on responses from people
actively involved in fostering private sector initiatives and,
as such, reflects their experience and opinions as to barriers
they have encountered in pursuing specific projects and
programs.
The Committee stresses that it is not necessarily advocating a
specific legislative or regulatory response to these impedi-
ments and incentives. Instead, it urges that these areas be
reexamined to determine whether the original rationale behind
the existence of these impediments outweighs the problems they
create for private sector initiatives.
A. Contribution of funds by individuals
1.
Make the above-the-line income tax deduction permanent
for charitable contributions. Government and inter-
ested groups should continue to make taxpayers aware
of this new deduction for people who do not itemize
their other deductions.
2.
State income taxes should lower the cost of giving by
recognizing charitable contributions by taxpayers who
21
do not itemize deductions. Such a change was recently
enacted in California.
3.
Increase the limitations on the percent of income
which can be claimed as a charitable deduction.
4.
Consider policies which would permit individuals to
make charitable contributions of Series E savings
bonds, IRA's and Keough accounts, such as removal of
the penalty for liquidating IRA funds before age 59-
1/2.
5.
Bargain sale provisions. Under pre-1970 tax law, a
taxpayer might have an improved case position as a
result of contributing appreciated mortgaged property
to a charitable organization. Under current law, it
is no longer advantageous to do so. This impediment
might be alleviated by revising the law to tax only 25
percent of the cost of such a donation.
6.
Contribution of artistic works. Tax treatment of
gifts made by artists of their own works discourages
such gifts to museums, galleries and educational
institutions in the United States where they would be
accessible to the public.
7.
Charitable trusts. Several tax impediments to the
creation of charitable trusts have been identified.
These include the uncertainty as to the right to
reform defective trusts under certain circumstances,
the 20 percent limitation on the percentage of
adjusted gross income which can be deducted for the
creation of a trust, and the lack of a carryforward
provision.
B. Volunteers
1.
Federal law currently prohibits federal agencies from
permitting volunteers to contribute their services,
unless a statute has been enacted specifically
exempting the agency from this provision. Those
agencies which have been permitted to use volunteers,
the SBA, Forest Service, and Savings Bond program, for
example, have found that volunteers contribute impor-
tantly to accomplishing agency functions. Considera-
tion should be given to lifting this blanket govern-
ment-wide prohibition on volunteer services.
2.
Members of civic and charitable associations are not
permitted to place unstamped mail in residential mail
boxes. Permitting such a practice might help these
organizations mitigate the impact of high postage
rates.
22
3.
Accounting methods used by the Federal Government in
calculation of amounts to be reimbursed under grants
or contracts have the effect of penalizing organiza-
tions for the heavy use of volunteers.
C. Tax-exempt organizations
1.
Nonprofit organizations
Qualifying for tax-exempt status:
a. An organization involved in channeling funds to
low income, deteriorating communities has found
that it might be in violation of the requirements
for tax-exempt status because it assisted for-
profit businesses which provided a mainstay for
revitalization efforts, and because it assisted
housing which included an economic mix of resi-
dents. Rulings in this area appear to be contra-
dictory, and it is believed that clarification of
permissible activities might spur innovative
revitalization efforts.
b.
Nonprofit organizations caring for infants and
school age children during out-of-school hours
have experienced extraordinary difficulty in
qualifying for tax-exempt status because they
could not show they were organized and operated
exclusively for educational purposes, as required.
It has been suggested that the provision of these
types of services would be facilitated if the
definition of tax-exempt organizations were
expanded to include work-related dependent care.
C. The rules governing whether an organization quali-
fies as a public charity require that at least
one-third of its annual contributions come from
broadly based public contributions, fees, admis-
sions and so forth. This requirement jeopardizes
the organization's status if it accepts large con-
tributions, the income from which would reduce its
public contributions to less than one-third. This
in turn discourages efficient means of husbanding
and distributing funds for charitable purposes.
Providing services:
a. State and local zoning laws, health, fire and
safety regulations pertaining to neighborhood-
and home-based daycare for children, handicapped
and elderly individuals are often based on require-
ments intended for residential institutions and
23
large schools. The expense of complying with
these requirements prevents some care facilities
from operating even though the safety and well-
being of those in care is well protected and leads
others to operate outside the regulatory structure
b. Grants by charitable organizations to needy indi-
viduals who receive Supplemental Security Income
(SSI) payments from the federal government are
counted against the benefits received by those
individuals. An unintended consequence of this
rule is that charitable organizations quickly
learn not to extend assistance to SSI recipients,
even though the needs of these people are often in
excess of the support provided under the govern-
ment program.
Financing:
a. Late payments of federal funds (by federal agen-
cies or by state agencies on a "pass-through" or
block-grant basis) sometimes force nonprofit gran-
tee agencies to borrow, at high rates of interest,
to cover cash-flow requirements until the federal
payment arrives. However, these interest costs
are not reimbursed by the government and must be
absorbed by the grantee agency. This reduces the
funds available for their charitable purposes and
makes it difficult for them to plan for and allo-
cate their funds on a reasonable basis.
b. Postage rate increases for nonprofit third-class
mail has reduced the ability of many charitable
organizations to generate income and carry out
their functions.
C. State and local regulations regarding charitable
solicitation within state boundaries were enacted
to safeguard against fraud and deception. Unfor-
tunately, these well-intended laws have made it
difficult for reputable national organizations to
comply with the patchwork of different require-
ments in each state.
d. Charitable tax-exempt organizations are taxed on
income from debt-financed properties (mortgaged
real estate) held in their portfolios. This
deters them from purchasing real estate as an
investment or from holding such property received
as a gift, even though the return on such property
might be more attractive than that of other
investments.
24
2.
Foundations
a.
The 2 percent excise tax on private foundations
generates revenue far in excess of amounts spent
by the IRS to monitor tax-exempt organizations and
diverts funds away from charitable purposes.
b. Community foundations are required to obtain at
least 10 percent of their support from public
contributions in order to maintain public charity
status. This, in effect, penalizes community
foundations for their earlier success in attrac-
ting contributions. As the value of the founda-
tion's endowment and that of endowment income
increases, it becomes more and more difficult to
attract sufficient annual contributions to meet
the 10 percent test.
C. It has been alleged that a major factor in reduc-
ing the "birthrate" of new foundations, and dis-
couraging the flow of additional funds into the
foundation field is the prohibition under current
law of excess business holdings. In summary,
these rules provide that a private foundation
cannot hold more than 20 percent of a
corporation's voting stock, less the percentage
owned by all disqualified persons. Should a
foundation acquire excess business holdings as a
result of the receipt of a gift, bequest or
corporate merger, the foundation must dispose of
such holdings within five years or incur severe
penalties. This places such a foundation at a
substantial disadvantage in negotiating with
prospective purchasers who may prolong negotia-
tions in the hope of obtaining a lower price as
the deadline pressures on the foundation increase.
Faced with the prospect of a forced sale, many
potential donors simply decide against making a
gift of closely held stock to a foundation.
d. Private foundations are not allowed to rely on IRS
rulings as to a grantee's public charity status.
This forces the foundations to expend their
resources in order to make these determinations on
their own, thus resulting in less funds available
for charitable purposes.
e.
Donors to private foundations may not deduct the
fair market value of contributions of appreciated
property without adjustment for capital gains tax
unless the foundation distributes 100 percent of
all their contributions to qualified charities
within 2-1/2 months after the end of the taxable
25
year of the donations. This means a foundation
must be certain of selling all the properties it
receives in order to fund its distributions within
the same year. These requirements are too rigid
in the case of real properties subject to market
uncertainties to permit a substantial contributor
to fully fund its foundation with appreciated
properties and, therefore, may reduce the amount
contributed.
f. The penalties and sanctions on both public chari-
ties and private foundations for relatively minor
infractions need to be reviewed. In the case of
private foundations, a multi-level set of penalty
taxes have sometimes created problems for smaller
foundations which lack the resources to retain
adequate legal counsel. Public charities' viola-
tions are sanctioned by the loss of their tax-
exempt status altogether; a punishment which may
be too harsh to match minor violations.
g. Presently, only one of four eligible candidates
for corporate-related foundation scholarship
programs may receive an award. This "25 percent
test" was devised by Congress to prevent
corporations from funneling compensation to their
employees through educational scholarships to
their children. These limits restrict the freedom
of company foundations to engage in a charitable
activity of broad benefit to the community.
h. The law and regulations pertaining to private
foundations impose severe restrictions on the
relationships that may exist between a foundation
and its "disqualified persons." Violations of
these restrictions trigger substantial penalty
taxes. Some foundations have literally hundreds
of disqualified persons and must spend consider-
able administrative funds to track their invest-
ments and corporate and business involvements in
order to avoid transactions prohibited between the
foundation and disqualified persons. This rule
can impose a substantial administrative burden on
private foundations, the magnitude of which
increases geometrically with each passing
generation.
D. The For-Profit Sector
1.
Private pension funds: The prudence standard, the
"solely in interest" test, and the "exclusive purpose"
rule under ERISA are not in and of themselves deter-
26
rents to socially sensitive pension fund investment.
These rules appear to allow the fiduciary flexibility
to consider such investments within the pension plan
philosophy that the participants' assets are set aside
for investment for their future benefit, which itself
satisfies a social purpose. To advocate liber-
alization of such provisions would undermine the basic
tenets of pension plan regulation.
2.
The enterprise zone concept should be considered as
one means of responding to the plight of distressed
urban and rural areas. Phased implementation of the
concept on an experimental and limited basis would
permit development of the information and experience
needed for full-fledged implementation.
27
BUILDING
PARTNERSHIPS
GOVERNORS COMMITTEE
Chaired by: Pierre S. du Pont
Members:
Luis A. Ferre
Robert D. Lilley
Robert Mosbacher, Jr.
George W. Romney
Alexander B. Trowbridge
Thomas H. Wyman
MISSION STATEMENT
The mission of the committee was to enlist the Governors of
each state and American territory to take the leadership in
encouraging greater involvement by private citizens and insti-
tutions in the solution of public problems.
STRATEGY
The committee sought to encourage establishment of private
sector initiative task forces at state or territorial level.
While each state task force would set its own priorities and
activities, the committee suggested that the state task forces
promote the formation of community partnerships; seek to elimi-
nate impediments; create incentives, and initiate an awards
program.
ACTIONS
In mid-February at a meeting with the National Governors Asso-
ciation in the White House, President Reagan and Task Force
Chairman Verity asked the Governors to lend support to the
private sector initiative concept and the mission of the Task
Force.
29
On March 3, President Reagan wrote all Governors asking them to
form private sector initiative task forces in their jurisdic-
tions. He requested five specific actions:
1. That the statewide task forces be composed of 30-50 indivi-
duals of which two-thirds should be drawn from the private
sector.
2. That the Governors serve as co-chairmen of the task forces
and be engaged actively in their formation.
3. That the Governors, as appropriate, consider formation of
regional or municipal task forces.
4. That the Governors work with the national Task Force on
Private Sector Initiatives in applying successful examples
of private sector initiatives to community problems.
5. That the Governors adopt the following objectives for their
statewide task forces:
Promoting the formation of community partnerships;
Identifying governmental impediments and recommending
incentives;
Creating a program to recognize outstanding examples
of private sector actions and focusing attention on
those models which could be replicated.
On March 24, Governor du Pont wrote the Governors, stressing:
1. The Private Sector should not only include the business
community but also voluntary organizations, civic and
religious groups, organized labor, educational and philan-
thropic institutions, and service clubs.
2. The President's bi-partisan Task Force had been
commissioned to enlist the active involvement of these
private sector groups by working throughout the nation to
establish com- munity partnerships.
3. Governors, as "first citizens," are in a unique position to
help focus public attention on privately sponsored efforts.
4. That statewide task forces be convened -- designed to
recognize existing private sector initiatives as well as to
encourage the formation of new ones.
Governor du Pont attached a memorandum from the President's
Task Force suggesting a possible model and guidelines. It
addressed five main concerns: Rationale for a Governor's Task
Force; How to Create a Governor's Task Force; Suggested
30
Function of a Task Force; Issues for Consideration; and
Possible Committee Structures.
From that point on:
1. The Chairman of the Task Force met with or called indivi-
dual Governors.
2. The Executive Director and staff spoke at appropriate con-
ferences around the country and in the territories, and the
Task Force staff worked with appropriate contact points
throughout the nation and territories to stimulate interest
and act as a catalyst in this effort.
On August 23, the Task Force staff met with Governors' aides in
Washington to discuss examples of existing organizations or
organizational problems.
Each state representative was given a comprehensive binder of
materials illustrating specific examples of what other states
had done in the private sector initiatives area. Contact
persons in Governors' offices and in national organizations
were included in the packet, as well as a chart giving the
status of the activity within each state.
THE RESULT
Forty-two Governors have either formed or are in the process of
forming statewide task forces or private sector mechanisms
within their respective states.
CONCLUSIONS
1. That a concentrated effort should be continued to encourage
the remaining Governors to establish task forces.
2. Governors should be encouraged to sponsor seminars aimed at
the development of community partnerships and the promotion
of voluntarism.
3. Regional Governors' Associations should consider setting up
regional task forces as links among the state task forces.
4. Each Governor should be encouraged to include youth repre-
sentatives among appointees, with full participation.
31
BUILDING
PARTNERSHIPS
LIAISON WITH NATIONAL ORGANIZATIONS COMMITTEE
Chaired by:
John H. Filer
Members:
William R. Bricker
Walter G. Davis
John Gardner
Andrew C. Sigler
Alexander B. Trowbridge
MISSION STATEMENT
To encourage a broad range of national organizations to support
private sector initiatives and public/private cooperative ef-
forts in their national policy agendas through the activities
of their local affiliates.
STRATEGY
The committee sponsored five meetings at the White House, at
which President Reagan acquainted various national organiza-
tions with the missions and objectives of the Task Force on
Private Sector Initiatives, and solicited assistance in carry-
ing out these objectives. The meetings were conducted with:
National Community, Service,
Religious Organizations
March 24
Religious Leaders, Organizations
April 13
National Civic Organizations
April 27
Broadcasting Organizations
May 5
Trade Associations
September 14
33
RESULTS
Five hundred and fifty leaders of national organizations
attended one or more of the five meetings at the White House.
One hundred forty-four responded to a followup inquiry regard-
ing activities undertaken as a result of the work of the com-
mittee. Activities undertaken by national organizations were:
23 adopted board resolutions supporting the Task Force in
general and committing resources to achieving the
activities advocated by the committee;
17 held conferences, meetings or workshops to familiarize
their membership with private sector initiatives;
6 established clearinghouses or data banks to assist
members and affiliates in their private sector
initiative activities;
5 initiated private sector initiative awards or
recognition programs; and
44 highlighted private sector initiatives in their
newsletters and publications.
In addition to this activity, several business organizations
including the American Bankers Association, American Bar
Association, American Business Conference, Business Roundtable,
National Association of Broadcasters, National Association of
Manufacturers, National Federation of Individual Businesses,
and the U.S. Chamber of Commerce are examining ways of institu-
tionalizing their ongoing programs for keeping private sector
initiatives before their members and affiliates.
RECOMMENDATIONS
The National Organizations Committee, realizing that the work
of national organizations is essential to the effective perpet-
uation of the work of the Task Force, recommends the following:
A Presidential commendation for national organizations
which undertake activities resulting in private sector
initiative activity by their members and affiliates.
This commendation should simultaneously recognize a
national organization and one or more of its local
affiliates or members.
The White House Office of Private Sector Initiatives
should be continued as the principle link between the
White House and national organizations.
The leaders of national organizations that have been
active in the work and activities of the Task Force
34
should collectively examine the feasibility and value
of creating an inter-organization committee to assist
national organizations to continue and expand on the
activities begun as a result of the work of the Task
Force.
Governors and major national organizations should
establish awards to honor local organizations which
support the development and activities of local part-
nerships.
35
BUILDING
PARTNERSHIPS
LIAISON WITH GOVERNMENT OFFICES COMMITTEE
Chaired by:
Jean L. Harris
Members:
William R. Bricker
Senator Dave Durenberger
Dee Jepsen
Robert Mosbacher, Jr.
Thomas W. Pauken
MISSION STATEMENT
To coordinate the work of the Task Force with private initia-
tive programs conducted by federal departments and agencies,
and to serve as liaison in presenting Task Force recommenda-
tions on incentives, impediments and other policy proposals to
appropriate government officials.
STRATEGY
Working with the White House Office of Private Sector Initia-
tives, to undertake a Cabinet Program on Private Sector Initia-
tives. The President informed the Cabinet of his personal
interest in the program and asked the agencies to review pro-
grams and procedures with a view toward stimulating private
initiative and to establish a senior-level point of contact for
private initiative activities.
RESULTS
More than 40 departments and agencies provided information on
some 480 programs or projects with private sector implica-
tions. Some examples:
37
Creating a mechanism for private sector initiatives:
The Secretary of the Department of Health and Human
Services established a Working Group on Private Sector
Initiatives with representatives from all the major
agency components and chaired by the Undersecretary.
The objective was to expand public/private partner-
ships which address health and human service needs and
involve the regional offices of the department in
promoting public/private collaboration.
The Department of Education has a 16-member working
group to coordinate private sector initiative activ-
ity, with established contacts in departmental and
regional offices.
The United States Information Agency uses the Office
of Private Sector Programs to coordinate 14 committee
efforts, and Peace Corps has established an Office of
Private Sector Development. The Office of Volunteer
Liaison -- Public/Private Partnership has the mission
of promotion of private initiatives for ACTION.
The following are some specific techniques which agencies are
using to promote private sector initiatives.
"Seed money" and "pump priming" grants: The use of grants to
leverage increased private sector involvement is evident in
some agencies.
Health and Human Services makes child welfare services
grants to those states providing for the use of volun-
teers as program components. The Transportation
Department is also looking at ways for the Urban Mass
Transporation Administration to encourage grant recip-
ients to engage in ventures with the private sector.
The Department of Energy is making planning grants
available to foster collaboration between industry and
minority universities to facilitate entry of minori-
ties into the energy industry.
In the area of contracting, the Departments of Trans-
portation and of Defense are considering "profit-
sharing" arrangements with contractors who finish work
ahead of schedule or other similar improvements.
ACTION selected a few key areas in which the private
sector initiative approach is especially effective,
and is concentrating its demonstration grants, Older
American Volunteer Programs and other programs in
those areas. They include: refugee resettlement and
assimilation; the Vietnam Veterans Leadership Project,
38
which encourages veterans to assist those with
problems: literacy; drug abuse; particularly the
"parents' movement"; runaway youth; citizen crime
prevention; and community development on the "enter-
prise zone" model.
Recognition Programs: Several agencies reported on awards and
recognition programs ranging from individual to program-wide
commendation.
In particular, the Department of Housing and Urban
Development established a new National Recognition
Program for partnerships utilizing Community Develop-
ment Block Grant (CDBG) funds.
ACTION administers the annual President's Awards for
Voluntary Action. Health and Human Services and the
U.S. Department of Agriculture sponsor annual awards
to recognize service by volunteers. The Small Busi-
ness Administration annually honors business councils.
The director of the Federal Bureau of Investigation
has a more aggressive program which recognizes 20
citizens each month for outstanding contributions to
law enforcement.
Procurement and privatization: Procurement of goods and ser-
vices is a constant interaction between government and the pri-
vate sector. Operations must be reviewed constantly to ensure
that government is not producing items at a greater expense
than for which they could be purchased, and/or that the pur-
chase process is yielding the best goods and services for the
money spent.
In its effort to strengthen Defense programs, DOD is
seeking wider private sector participation and compe-
tition in its buying activities. Action is underway
to streamline the procurement process and help local
communities and economically disadvantaged groups
achieve a larger share of defense business.
The Small Business Administration, Energy and Housing
and Urban Development have initiatives to ensure and
encourage small and minority business participation in
procurement activity.
Many agencies are looking toward spinning off programs
to the private sector where it can be demonstrated
that those programs can be run more efficiently and
effectively. For example, at the Department of
Commerce:
:
The National Technical Information Service exam-
ple is being considered for privatizing. The
39
center is the central source for the public sale
of government information needed by business for
innovation and decision-making.
The Secretary of Commerce and the National
Oceanic and Atmospheric Administration have as a
major objective the turnover of the Landsat earth
satellite program to the private sector.
The Department is also considering spinning off
to the private sector selected specialized
weather forecasting programs such as fruit frost
prediction. In addition, the National Advisory
Committee on Oceans and Atmosphere is studying
user-fee and private sector takeover options for
the National Weather Service.
Limited privatization is occurring within other agen-
cies. For example, the National Credit Union Associ-
ation and Federal Emergency Management Agency are
exploring ways to allow private insurance to replace
government insurance in several cases. The General
Services Administration is planning to lease unused
space. Interior is looking at private operation of
camp grounds, and the Veterans Administration wants to
increase private participation in caring for its 106
national cemeteries.
Volunteers: One of the most successful techniques for increas-
ing service delivery while limiting expense is the utilization
of volunteers. Throughout the federal government, many volun-
teers are being utilized in the delivery of human services.
Medicaid screening, counseling, transportation,
readers for grant processing, aging and nutrition
services, phone answering, babysitting, childhood
immunization programs, VD hotlines, surrogate mothers,
runaway youth aid, and daycare are just a few of the
ways in which the Department of Health and Human
Services has been able to utilize volunteers. In
their report Health and Human Services, in conjunction
with ACTION, identified over 760,000 volunteers
involved in their programs.
The Department of Justice encourages volunteers in
crime watch programs and in working with troubled
youth. Several bureaus of Interior have volunteers
cleaning and maintaining trails, working on campsites,
and supervising recreational activities. The Small
Business Administration uses volunteers to assess
damages at disaster areas and as technical advisors,
helping small businesses. Treasury uses some
volunteers to help the elderly file tax returns and to
help sell savings bonds.
40
Legislative and regulatory relief: Many federal agencies and
departments identified legislative and regulatory impediments
to private sector initiatives. While some steps are being
taken within the agencies to remove some impediments, others
are common to several agencies and deserve Executive Branch
consideration.
State and federal laws which prohibit the use of
volunteers.
The unavailability of Workmen's Compensation to cover
volunteer workers.
The question of tort liability relating to the actions
of the volunteers.
Health and Human Services and General Services Admini-
stration are evaluating the potential for legislation
which would revise the Public Benefit allowance author-
ity to permit donations of surplus federal property to
a broader spectrum of nonprofit and profit organiza-
tions involved in volunteer activity.
The use of voluntary approaches to regulatory compli-
ance, such as compliance bubbles which allow plants to
exceed Environmental Protection Agency emission stan-
dards for less control in other plant operations.
The revision of regulations to permit the use of fed-
eral buildings and facilities for other purposes by
voluntary organizations during their nonuse.
The amendment of Title II of the Federal Credit Union
Act to allow private sector insurance companies to
serve as an alternative to the Federal Insurance
Program for credit unions.
The review of agency and departmental efforts in the area of
private sector initiatives reveals a substantial amount of
effort. However, much more needs to be done to ensure that
federal agencies develop policies aimed at encouraging public/
private collaboration.
The review also shows that the efforts are fragmented and
uneven among the Cabinet agencies and departments. Moreover,
no mechanism exists to replicate the successful agency
activities, nor to exchange such information among them.
RECOMMENDATIONS
The President should be encouraged to establish a
Cabinet Council Group on Private Sector Initiatives to
provide policy guidance to an Interagency Working
41
Group on Private Sector Initiatives. Both organiza-
tions should be supported by the White House Office on
Private Sector Initiatives. Membership should come
from the relevant agencies and departments.
Departments and agencies should identify opportunities
for the increased use of volunteers in their programs
using the model of Health and Human Services, the
Veterans Administration and ACTION.
Departments and agencies should use discretionary
funds both at the programmatic and Secretary's level
to encourage private sector initiatives. Small "seed
money" and "pump priming" grants demonstrate a commit-
ment to private sector initiatives that goes beyond
conferences and technical assistance. This does not
require increased overall funding, but merely a real-
location of a portion of already appropriated funds.
Ongoing categorical programs that were not redrafted
legislatively because they were scheduled for elimina-
tion, e.g., the Labor Department's Title V program,
should now be managed with greater attention toward
their private sector initiative potential.
Discretionary and program funds should also be made
available for interagency and cooperative agreements
in support of private sector initiatives. Discretion-
ary funds should be used to enable strong nonprofit
programs to replicate their activities, not merely to
demonstrate the possibility of such replication.
"Seed money" grants can be used both to defray some
operating expenses and to encourage a program's pri-
vate sector initiative components, e.g., an expanded
use of volunteers.
Categorical programs should be examined to see if
their legislative authorization can be reoriented
toward the private sector, in the manner of the
increased role of PICs (Private Industry Councils) in
the new employment and training legislation.
Each agency and department may wish to establish an
awards and recognition program for its employees
involved in exemplary volunteer work or private sector
initiative activity.
Departments and agencies should identify programs that
could be more efficiently and productively run by a
private sector entity.
Each major department and agency may wish to establish
an intra-agency working group or office of Private
Sector Initiatives along the lines of Health and Human
Services and Department of Education models.
42
BUILDING
PARTNERSHIPS
INCENTIVES COMMITTEE
Chaired by:
William C. Norris
Members:
James F. Henry
Leslie L. Luttgens
William S. White
MISSION STATEMENT
To identify incentives for increased initiatives by private
sector organizations, from the largest corporations to the
smallest businesses, foundations and nonprofit agencies. In
addition, identify incentives for individuals, as employees,
shareholders, or private citizens, which will increase personal
participation in voluntarism, and provide examples of such
activities.
STRATEGY
Expanding employment was the primary mission adopted by the
Incentives Committee. Every community needs a means by which
to assure the continuing process of creating new jobs. This
can best be accomplished by combining voluntarism, contrib-
uting, and investing in a focused approach through local
public/private partnerships.
FINDINGS
1. Expanding employment requires that new jobs be created, and
that people be made job-ready through counseling, education
and training, and supported by necessary social services.
Due to limited time and resources, it is not feasible to
devise a program embracing all aspects of expanding
employment. Therefore, the Incentives Committee concluded
that it should concentrate on a limited program whereby
43
public/private partnerships stimulated new job creation by
focusing on assisting small businesses, since studies show
that they create most of the new jobs.
2. Local assistance needed most by small businesses is invest-
ment in programs supporting their startup and growth.
Investments in small businesses can take a variety of forms,
such as seed capital, debt, or equity; by providing
technology or management assistance.
3. To encourage such investments in small business, local
public/private partnerships should consider setting targets
and having their achievements recognized --- very much as
that now given for contribution by "membership" in the Two
Percent and Five Percent Clubs.
Local investment standards should take into account the
size and character of both the community and investing
organizations.
4. To provide further stimulus for contributing, volunteering,
and investing in job creation programs, the Committee is
also recommending a variety of potential incentives. The
following suggests types of incentives that can be
considered at the federal, state, and local levels.
Together, local targets and incentives are intended to aid
local partnerships to undertake a commitment to a continuing
program of job creation.
POTENTIAL INCENTIVES
1. Job Creation. To focus investments in job creation, the
following incentives could be applied:
Tax credit for contribution to community-based
organizations engaged in activities that expand
employment.
Double tax credits for volunteers for volunteering
time to community organizations such as cooperation
offices assisting small businesses.
Tax credits for investments in "incubators" for small
businesses.
Tax credits for investments in small companies in
designated areas.
Tax credits for making technology available to small
companies in designated areas.
Special investment tax credits for large companies
that locate branch plants in poverty areas.
44
2. Employment Preparation/Education and Training. It is
critical that education and training be linked to jobs.
Tax incentives such as the following could induce the
needed investments in training and subsequent hiring:
Tax credits for linking education and work experience
for disadvantaged youth and disabled in skills in
acutely short supply.
3. Community Revitalization: Incentives should be extended
not only to corporations for investments, but to encourage
individuals to assist the needy and participate in
community development affairs.
A significant incentive has to be a new spirit which
legitimizes volunteer work and defines it as the desirable
behavior. Financial incentives could include:
Up-front government funding to get redevelopment
stimulated. Higher levels of funding to communities with
comprehensive revitalization and employment expansion plans
in place.
Tax exemptions for banks on interest paid to provide loans
for stimulating housing and commercial development in inner
cities.
Federal insurance and tax exemptions on interest income for
insurance companies, pension funds and other similar
sources for large commercial and housing projects.
Credits for volunteers for car mileage and a percent of
donated time. (Double credit for time to efforts focused
on expanding employment.)
Tax credits to corporations that provide reimbursement of
employees for percent of time spent on priority volunteer
activities.
Tax credits to corporations that grant additional increases
in retirement pay for seniors who are volunteering.
45
BUILDING
PARTNERSHIPS
CONTRIBUTIONS STRATEGIES COMMITTEE
Chaired by:
Arthur Levitt, Jr.
Members:
Terence Cardinal Cooke
Kenneth N. Dayton
John Gardner
Dee Jepsen
Richard W. Lyman
Cornell C. Maier
Elder Thomas S. Monson
MISSION STATEMENT
To identify and encourage programs that offer the potential for
stimulating improvements in the amount and patterns of giving
by corporations, foundations and individuals.
ACTIVITIES AND RESULTS
The committee has developed and the Task Force has approved
statements concerning contribution strategies for corporations,
individuals and foundations. These statements have been widely
disseminated through the general press and to the specific
constituencies involved. For example, the statement on cor-
porate public involvement has been distributed to individual
corporations, general business organizations such as the
National Association of Manufacturers, the Business Roundtable
and the American Business Conference, as well as to a wide
range of industry trade organizations. Similarly, the state-
ment on foundations has been distributed through the Council on
Foundations and Independent Sector to memberships of each, and
to the newsletters of many national membership organizations.
47
RECOMMENDATIONS
The committee's specific recommendations concerning corporate,
individual and foundation involvement as approved by the Task
Force are:
The Task Force believes that while the private sector is
already making a major contribution to the social and economic
progress of America through a variety of contributions of time,
talent and money, more can be done to make the private sector a
strong partner with government in meeting the needs of American
communities.
The private sector includes business, organized labor,
religious and civic groups, educational and philanthropic
institutions, service and neighborhood organizations, trade and
professional associations, individuals and families; the broad-
est possible cross-section of American life. Each part of the
private sector has an important role to play in shaping the
future of our nation.
CORPORATIONS
The Task Force recommends that corporations:
1. Within four years, double the level of cash contributions
to nonprofit organizations engaged in public service, with
a goal of tax-deductible contributions equaling at least
two percent of pre-tax net income.
2. Within four years, double the overall level of their
involvement in community service activities, both in
financial contributions and in the mobilization of their
human resources in volunteer capacities.
3. Reassess the pattern and direction of both their cash
contributions and other forms of public involvement to
insure that the most pressing human, social and economic
needs in their communities are being addressed effectively.
4. Commit themselves to active involvement in the development
and enhancement of partnerships between the private and
public sectors in their communities.
In recent years, corporations have gone far beyond cash contri-
butions in their involvement in the community; to job creation
and training for the unemployed, targeted urban investments,
loaned technical expertise to local and state governments and
support for employee volunteer programs. Their total cash con-
tributions of approximately $3 billion have been matched by a
variety of in-kind contributions of goods, services, and loaned
personnel. These contributions are a vital resource in com-
munities nationwide.
48
Individual corporations vary widely in the extent and nature of
their current involvement and in their potential for increased
involvement over time. Thus, the Task Force recommendations
address the overall commitment that must be made by the busi-
ness community in the years immediately ahead. Likewise, the
Task Force recognizes that the most active and lasting commit-
ment will come as the product of each company's own recognition
that the condition of the communities in which they operate is
as much a part of their business as the products they make and
the services they offer.
INDIVIDUALS
The Task Force recommends a goal of doubling individual giving
in the next four years.
Almost 90 percent of private giving is by individuals. In
1981, the total of individual contributions exceeded $44
billion. In addition, individuals contribute an enormous
amount of personal volunteer time, equivalent in 1981 to an
estimated $64.5 billion.
When individuals give money and time, our society benefits in
three ways:
-- specific people and causes are assisted;
-- there is a greater awareness of community needs and
issues;
-- the givers gain an important sense of service.
Since its beginnings, this country has benefited from an extra-
ordinary willingness on the part of individuals to participate
in addressing communities' needs and aspirations. It is impor-
tant to our nation, and to its givers and receivers that we
strengthen that voluntary impulse. A doubling of individual
giving in four years will raise personal donations to a level
of approximately $100 billion.
The present average of personal contributions is about two
percent of annual income, with many individuals and groups
contributing the traditional ten percent "tithe." The Task
Force proposes that Americans work toward an average contribu-
tion of five percent of personal income.
The increased support should go to the causes of one's choice.
That, too, is an important part of our democracy and the plura-
lism that strengthens it.
Individual giving and volunteering go hand in hand. If, within
the next four years we can double the levels of contributed
time and money, we will have multiplied all of the benefits of
49
this country's unique pattern of private initiative for the
public good.
FOUNDATIONS
Foundations are independent nonprofit organizations that have
been funded from private sources, managed by their own trustees
and established to serve the public interest by addressing
social, educational, cultural and other charitable needs. The
majority of foundations are known as independent foundations
originally established and funded by individuals or families.
A second important category is community foundations. They are
a flexible vehicle through which individuals and corporations
can make gifts or bequests of any size for the benefit of a
community or a region and are governed by a publicly appointed
board of trustees. A third category, corporate foundations,
receive their funding from a corporation and their activities
are included in the foregoing statement about corporate public
involvement.
The first two categories of foundations account for about five
percent of all private sector giving in the United States.
Their share of the total has gradually declined over the past
decade due to such factors as inflation, government regulation,
the impact of tax laws and the effect of the securities markets
on foundation assets. The net result has been a continued slow
decline in foundation giving in real dollars over recent years.
At the same time, foundations occupy a unique position in the
private sector and have the potential for playing a more impor-
tant role in helping to address the social and economic needs
facing the country. Foundations are unique in their flexi-
bility to respond to needs, in their ability to take risks and
in their freedom to explore problems. The diversity among the
nation's 22,000 foundations is a classic example of the plura-
lism in America's private sector and provides an opportunity
for a rich and creative response to those issues and needs
which are within the resources of the foundation community.
The Task Force recommends that:
1. Foundations reassess the pattern and direction of their
giving to insure that the most pressing human, social and
economic needs are being addressed effectively.
2. Foundations commit themselves, where appropriate, to active
involvement in the development and enhancement of partner-
ships between the private and public sectors in their com-
munities, and to the nurturing of community-based organiza-
tions that play so important a role in such partnerships.
3. Foundations voluntarily recognize their continuing account-
ability to the public as nonprofit organizations and follow
50
the example of many foundations in openly communicating the
amount and nature of grants made and their grantmaking
objectives and priorities.
4. Every effort should be made to reverse the declining birth
rate of foundations by aggressively promoting the formation
of new foundations.
COMMUNITY FOUNDATIONS
Community foundations have an especially vital role to play in
community partnerships because of their staffs' broad knowledge
of the geographic area they serve, and their ability to pool
gifts from many sources to meet community needs. These founda-
tions often are in a position to provide expert grantmaking
assistance to local corporations who desire to increase the
level of their giving. They also make excellent partners with
national corporations and foundations desiring to make contri-
butions in cities or regions where they lack information about
local needs. As a bridge between the donors and the local
nonprofit sector, community foundations are natural partners to
work with local governments to address community problems.
The Task Force recommends that:
1. The cities and regions without community foundations take
steps to form such foundations. The key persons in such a
process are community leaders, heads of nonprofit organiza-
tions and bank trust officers, and attorneys and estate
planners working with individual donors to establish a
pooled community trust committed to addressing local needs
and concerns. In addition, independent foundations and
corporate foundations can play an important role in
providing technical and financial resources for the
formation of new community foundations.
2. Localities with community foundations mobilize resources to
obtain additional gifts, bequests and corporate contribu-
tions to provide a substantial asset base from which grants
can be made.
3. Existing community foundations place a high priority on
providing technical and financial assistance in the forma-
tion or enhancement of public/private partnerships in their
communities.
The Economic Recovery Tax Act of 1981 includes a feature which
establishes the annual payout requirement for foundations at five
percent of assets. This change from prior law increases the
ability of foundations to preserve their assets at a level which
should insure a steady payout of grant dollars in future years.
At the same time, there may be other legislative and regulatory
changes which will further enhance the responsive ability of
foundations and facilitate the creation of new foundations.
51
BUILDING
PARTNERSHIPS
COMMITTEE ON MARSHALLING HUMAN RESOURCES
Chaired by:
Frank Pace, Jr.
Members:
William Aramony
Terence Cardinal Cooke
Walter G. Davis
Daniel Gilbert
George Romney
The Reverend Leon Sullivan
Alexander Trowbridge
MISSION STATEMENT
To encourage increased commitment, recruitment, placement and
management to volunteers in community service and to enhance
the atmosphere for volunteering.
STRATEGY
To pursue its mission, a decision was made to directly involve
the volunteer community and other related groups. Thus, a
first major activity was to form an advisory group of persons
from major national volunteer organizations. (See Appendix
Information.)
This advisory group then suggested that it be expanded to in-
clude representation from labor, the corporate community, and
religious institutions. Small working groups were formed to
help carry out the agreed-upon committee objective:
1. To reaffirm the fact that volunteering is an essential part
of the fabric of American society.
53
The Committee developed a publication for policy
makers entitled Volunteers: A Valuable Resource which
includes: "Volunteering: The Policy Maker's Role;
"The World of Volunteering: Questions and Answers;
"Who Volunteers? A Statistical Survey;' "What
America's Leaders Say About Volunteering: Selected
Quotations;" Suggested Remarks; and Acknowledgments.
This will be distributed to the White House, Congress,
Governors, Mayors, national volunteer organizations,
and other interested national organizations.
The Committee, with the help of the Postmaster
General, paved the way for a commemorative stamp on
volunteering to be issued in 1983-the first of its
kind.
The Committee participated in discussions with the
Advertising Council on its campaign to promote volun-
tarism. In particular, on the film commissioned by
the Independent Sector.
2. To recognize contributions made by young people as volun-
teers in community service and to encourage more young
people to volunteer.
Dr. Gilbert and Mr. Bricker prepared a paper for the
Task Force on youth, emphasizing the need to challenge
young people by offering opportunities for them to
become involved, as well as the importance of working
with youth rather than for youth.
The Committee organized a three-day event in Washing-
ton, attended by 47 young people representing 23
national volunteer organizations (see Appendix
Information) which provide youth volunteer activities.
Over thirty communities were represented. The
highlight was a meeting with President Reagan,
including opportunities to question the President, and
having individual photos taken with the President.
These youth representatives also visited the Greater
Washington Youth Fair. This event was coordinated by
the Boys Club's Jelleff Branch, which worked
collaboratively with over 25 other local volunteer
organizations. The D.C. Fair was designed as an
example of a local private sector initiative for in-
volving youth in community service. These youth
representatives plan to return to their communities
and produce a similar local initiative during 1983. A
goal of participation by many more communities annual-
ly was established.
54
3. To reconfirm the relationship of volunteer organizations
with corporations and unions.
Material was gathered on the subject of existing cor-
porate volunteer activity and is reflected in a Letter
to Chief Executive Officers and a Corporate Community
Involvement Action Guide. The letter and the guide
will be disseminated through major business
associations.
Representatives of volunteer organizations met with the
AFL-CIO's Community Service Department, with the intent
of preparing a paper on cooperation among unions and
volunteer organizations on how better to work together.
The AFL-CIO will host an educational meeting with
volunteer organizations, and both the AFL-CIO and
volunteer organizations would continue to address the
subject of volunteering at conferences, meetings and
other forums.
4. To stress the effectiveness of volunteer organizations.
The Committee worked with the Gannett Newspaper chain
and the American Society of Newspaper Editors to en-
courage local newspapers to include a column on volun-
teer opportunities. Mr. Pace sent a letter to 1100
newspapers around the country, encouraging the use of
such a column.
The Committee has developed plans for publication of a
directory of available management development, educa-
tion, and training for nonprofit organizations (paid
personnel and volunteers) at universities, schools,
and in nonprofit organizations.
RECOMMENDATIONS
The Committee acknowledges the fact that volunteers play an
essential role in the fabric of American society and recommends
that policy makers continue to find new ways to publicly
recognize volunteers. The Committee clearly feels it has only
begun an effort which needs to be sustained and built upon.
Therefore, the advisory group recommends that:
1. It continue its efforts through 1983 to complete these
activities. Mr. Pace has agreed to coordinate them.
To that end, the advisory group will:
Keep in touch with those youth who came to the three-
day D.C. conference, and assist them with their local
initiatives.
55
Work with the advisory group to identify and remove
impediments to volunteering.
Through business organizations, catalogue and encour-
age non-cash involvement in community service.
Proceed with the Postmaster General on the production
of the commemorative stamp, to be issued in 1983.
Continue to provide comments to the Advertising Coun-
cil on its voluntarism campaign.
Continue to work with the White House Office of Pri-
vate Sector Initiatives.
Continue discussions with organized labor.
Continue to work with newspaper editors.
Complete the resource directory.
2. And that an office within the White House:
Be designated as the Administration locale for infor-
mation about and contact with volunteers.
Continue to work with organizations which provide
youth volunteer activities and, more specifically,
youth fairs.
Provide resource information about volunteer organiza-
tions to the President and assist in the dissemination
of materials produced by this Committee.
56
BUILDING
PARTNERSHIPS
COMMUNICATIONS COMMITTEE
Co-chairs:
Ellen Sulzberger Straus
Thomas H. Wyman
Members:
John W. Gardner
C. William Verity, Jr.
MISSION STATEMENT
The Communications Committee was formed to serve as an advi-
sory group to the Task Force as a whole and its individual com-
mittees in devising and implementing a communications program
with the press and the public.
STRATEGY
The Committee, from the start, began to outline a communica-
tions strategy to assure that the Task Force secure a reputa-
tion of one that reports results rather than one that simply
results in a report.
As the various Task Force committees began to reach out to
hundreds of communities across the country, the private initia-
tive story began to unfold. At the heart of this story were
the classic examples of neighbor helping neighbor, and partner-
ships between local government and private sector leaders. It
was determined that if these examples were emulated elsewhere,
they would bring to life and to vivid definition the concepts
underlying the Task Force's work.
Thus, the Task Force became the "mirror" for these examples of
people helping people and began a nationwide awareness campaign
to reflect them to communities around the country. This cam-
paign was in no way intended to suggest a magic in partner-
ships, but to the extent that they brought disparate elements
of a community together in common cause, they were viewed as
powerful instruments to community social and economic progress.
57
To transmit these partnership examples, the Communications Com-
mittee focused on three vehicles for creating a national aware-
ness: print media, broadcast media, and public speaking oppor-
tunities.
PRINT MEDIA
Editorial roundtables were arranged with major national publi-
cations to highlight community partnerships. These practical
examples of private enterprise became the substance of scores
of feature articles in hundreds of media outlets, as the press
realized that the public was hungry for positive human interest
stories.
Drawing from the Task Force data bank of some 2,500 examples, a
weekly series of feature stories, called "The Brighter Side of
Today's News, was inaugurated by the communications division.
The stories were mailed each week to editors of 2,000 daily and
weekly newspapers.
As the influence of the stories spread, the press began calling
for other data bank examples which could be adapted in their
communities.
Organizations with allied interests asked for examples they
could use. For example, the American Advertising Federation,
which had adopted voluntarism as its theme for 1982-1983, dis-
tributed the material to its 210 members for use in local ad-
vertising and public relations campaigns.
The Advertising Council also accepted the theme of voluntarism
for one of its public service media campaigns, with Ogilvy &
Mather, Inc., as the volunteer agency. Providing funds as well
as counsel, the Task Force joined with the Independent Sector
in sponsorship of the campaign, which will run in 1983 and 1984.
The National Municipal League is scheduling a booklet on the
"Brighter Side" for distribution to thousands. More than a
hundred trade association executives asked for stories to use
in their trade publications.
The Task Force newsletter, "Building Partnerships NEWS,' spread
the spirit of voluntarism and private sector initiative across
the country to more than 7,500 readers on a regular basis.
BROADCAST MEDIA
In the spirit of voluntarism, Pat Boone narrated a dozen radio
and television spots on the "Brighter Side" stories and com-
posed, arranged and sang an accompaniment called "Lend A Hand,
America" for distribution by the Task Force to more than 5,000
radio stations.
58
It became apparent early on that the Task Force story was
powerful visually and television was its earliest proponent. A
broadcast advisory subcommittee was formed, with Charles S.
Mechem, Chairman of Taft Broadcasting, as its head. This group
provided advice to the Task Force for spreading the private
initiatives story across the country through the electronic
media.
Already in existence was the most powerful asset the Task Force
had in the form of a news series produced by KAKE-TV, Wichita,
which became the prototype for scores of individual TV stations
across the country. To date, some 70 television stations have
aired programs on private initiatives, job-a-thons, volunteer-
ing, or special community projects.
ALCOA used one private initiative story line and funded a public
service television spot, which it distributed to 200 television
stations.
Religious television networks were quick to see that the Task
Force objectives paralled theirs, and Mr. Verity and Mr. Guth
appeared on four major religious networks.
The combination of efforts between local and religious sta-
tions, as well as a number of major Task Force announcements
and meetings on private initiatives, turned the work of the
Task Force into a national television story.
CBS News produced a 6-minute network story on private initia-
tives. ABC-TV relayed the news series of its own affiliate,
KAKE-TV, to its 208 stations. The Public Broadcasting Service
covered a Task Force meeting in Wichita on its "Nightly News
Report. And two dozen on-camera interviews with Task Force
members were done by national networks, local stations and
McNeil-Lehrer.
SPEAKING OPPORTUNITIES
It was agreed by the Committee members that the media activi-
ties would be augmented by an active and effective speakers'
bureau, enabling key spokespersons to appear often before
national, regional, and local audiences to encourage volun-
tarism and private sector initiatives.
To that end, the Task Force speakers' bureau scheduled approxi-
mately 150 speeches and panel discussions for members and senior
staff. These appearances ranged from Boston to Guam, and the
staff members alone logged an estimated quarter of a million
miles.
59
AWARDS AND RECOGNITION PROGRAM
An initial committee of the Task Force, the Awards and Recogni- -
tion Committee, completed its work in late spring. Chaired by
Mr. Wyman, the Committee prepared a guide book for governors
and mayors to use in establishing recognition programs to honor
individual efforts and community partnerships long after the
national President's Task Force had expired.
60
BUILDING
PARTNERSHIPS
COMMUNITY PARTNERSHIPS COMMITTEE
Chaired by:
Jeri J. Winger
Members:
William Aramony
Helen G. Boosalis
J. Richard Conder
Edward H. Kiernan
Robert D. Lilley
Robert Mosbacher, Jr.
MISSION STATEMENT
To identify existing community partnerships at the local level
and promote the establishment of similar partnerships through-
out the nation.
To facilitate the development of private sector leadership net-
works at the community level so that communities of all sizes
may become better organized to meet local needs with local and
private resources.
STRATEGY
To establish a framework for community partnerships which set
boundaries and aid in the establishment of priorities for part-
nership activities.
The framework noted three key elements:
1. Community leadership -- To encourage community leaders to
help identify needs, and promote partnership processes
between the public and private sectors to find solutions.
61
2. Entrepreneurship -- To generate entrepreneurial thinking
about financial and non-financial dimensions of partner-
ships.
3. Community building -- To develop programs which become self-
sustaining.
RESULTS
Education and training materials which were developed include:
1. "Building Partnerships for America's Future" -- provides
definition, overview, and case examples of community part-
nerships.
2. "Corporate Community Involvement" -- An action guide on
corporate community involvement in the generation and
strengthening of community partnerships.
The first document ever produced which provides case
examples of volunteers, contributions, and investment
efforts of large, mid-range, and small businesses. The
efforts catalogued describe programs with neighborhoods and
governments, and encompass economic and residential develop-
ment and human services. A resource list is included.
3. Investing in America -- The first book produced with chap-
ters by major institutional investors in the United States
-- banks, savings institutions, insurance companies, pen-
sion funds, credit unions, cooperatives, community develop-
ment corporations, small businesses and venture capital
firms, foundations (program related investment), corpora-
tions (non-financial), mutual funds, and religious organi-
zations. There is also a chapter on investment partnership
innovations. This book is a report by these organiza-
tions. The theme is investing in community partnerships
and includes resource lists and hundreds of case examples.
4. "Partnerships in America" (video tape) -- A 23-minute
training film with general information on community
partnership formation and community investment. The tape
includes footage from Task Force-sponsored meeting of chief
executives, highlighting speakers from the public and
private sectors and nonprofit groups.
WORKING MEETINGS
1. Corporate Community Involvement (July 26-27) A White
House meeting with the President. This was the first
meeting of chief executives ever convened to discuss their
role as investors in community partnerships. Eighty-five
62
corporate leaders from 44 cities, representing 24 states,
attended a program that included presentations by 17 civic
leaders from corporations, local governments, foundations,
community development organizations - representing private
profit, nonprofit, and public sector interests in community
partnerships. Eight Task Force members participated in
this working meeting as keynoters, panelists, and panel
convenors. The focus of the working meeting was on commu-
nity investment.
2. American Community College Trustees (August 24) : Eleven
trustees and their representatives from community colleges
attended this meeting designed to provide information about
partnerships and establish a follow-up program of forums in
their communities. Four federal departments also sent
representatives. Follow-up forums were scheduled in:
Kansas City, Kansas; Chicago, Illinois; Omaha, Nebraska;
Annandale, Virginia; Pittsburgh, Pennsylvania; Kirkwood,
Iowa; Seattle, Washington; San Jacinto, Texas; Cumberland,
Maryland; Jacksonville, Florida, and San Francisco,
California.
3. Investment Institutions (September 14): Sixteen investment
institution representatives attended a meeting to discuss
their chapter contribution to the book, Investing in
America. This was the first meeting to bring major
institutional investors together to discuss the role of
investment in community partnerships.
4. Religious Leaders Roundtable (October 5): An interdenomi-
national meeting of religious leaders. Fifteen people
participated in a roundtable discussion on the role of
their national organizations in promoting partnerships. A
planning committee was selected and is meeting periodically
with the White House.
The White House Office of Private Sector Initiatives partici-
pated in each of these meetings.
RECOMMENDATIONS
1. That the Project Data Bank be continued in an independent
non-governmental setting. The project bank information
serves as a means for sharing ideas -- the utility of which
shall be determined by prospective users. There should be
a formalized system whereby the information could be made
available to communities.
2. Emphasis on the establishment of community partnerships,
and on active involvement of local officials with the
private sector. Mayors should be made aware, by Governors'
Task Forces, of the importance of community partnerships
63
and the need for them to play a key role in finding ways to
join public and private resources to meet community needs.
Particular attention should be given to the needs of
smaller communities and should include consideration of
their technical and financial needs.
3. Governors' Task Forces should be encouraged to have both
public and private sector members. These Task Forces are
in a strategic position to help maintain the momentum
generated in numerous communities.
4. It is extremely important to publicize and spotlight
successful examples of the private sector working with
community enterprises.
5. The basic concept of partnership arrangements is valid and
should be reinforced at every opportunity, with community-
level dialogue on public issues and common problems. This
dialogue should emphasize the strengths of joining public
and private-sector resources.
6.
A mechanism should be established to ensure that the work
of the Task Force will be continued, with emphasis on
community partnerships. To develop new partnerships and
enhance existing programs, it is recommended that leader-
ship at all levels, including corporate, government, and
community, encompassing profit and nonprofit mechanisms, be
nurtured so that partnerships become long-term, self-
sustaining efforts.
64
BUILDING
PARTNERSHIPS
USA
APPENDIX INFORMATION
All references to appendix material or publications mentioned,
but not included, in this report are part of the permanent
record of the Task Force and can be obtained by contacting the
White House Office of Private Sector Initiatives, 202-456-6676.
65