Last year, Democracy Fund partnered with the Center for Effective Philanthropy (CEP) to conduct our third Grantee Perception Report. This work builds on previous surveys from 2014 and 2017. We felt it was crucial to hear from our grantee partners last year as we launched refreshed program strategies as part of our new five-year organizational strategy.
Our 2023 CEP survey was open to all 250 Democracy Fund grantees with a grant active between June 2022 and June 2023. One hundred fifty grantees shared their feedback with us. We deeply appreciate the time and care they took in sharing their thoughts, and we are committed to taking their feedback to heart as we strive to be a better funding partner.
We’re sharing the key findings from the CEP report, which includes feedback from grantees of our partner organization Democracy Fund Voice.
Grantees said Democracy Fund understands and impacts their fields – providing a rating of just under 6 out of 7 on both measures. They said our team was respectful (6.83 out of 7), compassionate (6.54 out of 7), and exhibited trust in them (6.51 out of 7). They also said Democracy Fund staff embody a “strong commitment to diversity, equity, and inclusion” (6.44 out of 7).
One grantee wrote: “I have worked with many foundations, donors, government agencies, and other funders during my career to date and Democracy Fund is, by far, the most compassionate, empathetic, equitable, thoughtful, flexible, and trustworthy funder I have had the good fortune to work with.”
While it is always gratifying to hear when we are doing a good job, we view this survey as a unique opportunity to understand what is working and where we can improve. Among the most important messages we heard were:
1. Grantees value our efforts to streamline our grantmaking process. Sixty-two percent of respondents reported receiving unrestricted grants and 36% reported receiving multi-year unrestricted grants – placing us at the 92nd and 89th percentile of foundations respectively. Grantees encouraged us to provide more multi-year general operating support, reinforcing the ongoing changes we’ve made to our grantmaking process and approach. After our 2017 survey, we committed to clarifying our process for prospective grantees, right-sizing our application requirements, and streamlining our reporting practices. In our 2023 survey, Democracy Fund grantees reported spending a median of 10 hours on our proposal process and 6 hours on reporting, down from 24 hours and 15 hours, respectively, in 2017. We are particularly proud that in 2023, grantees reported significantly less pressure from us to modify their organization’s priorities to create a grant proposal that was likely to receive funding: grantees placed us in the 15th percentile of all funders in CEP’s dataset related to feeling pressure from the foundation, down from the 98th percentile in 2017.
2. Our beyond-the-grant assistance (especially our support around field building and fundraising) adds significant value to our grantees’ work. Nearly two-thirds of our grantees reported receiving non-monetary assistance, reflecting our 2017 commitment to expand our non-monetary support. Grantees emphasized that Democracy Fund should continue to help new donors enter the space to increase funding for the democracy field overall, connect grantees to new funders, share its own research and learnings with the field, and convene grantees and partners to strengthen field strategies. Many grantees suggested we double down on this type of support in their narrative feedback, along with requests to more regularly bring cohorts of grantees and partners together, something Democracy Fund did much more frequently before the pandemic.
3. Many grantees highlighted their strong and trusting relationships with Democracy Fund program officers but noted a disconnect between those one-on-one relationships and our foundation-wide communications practices. Following our 2017 survey, we committed to supporting program staff as they worked to build trusting and collaborative relationships with their grantee partners. We are heartened that our grantees reported feeling more comfortable approaching us with problems, and they gave our program officers high marks for being respectful and compassionate. However, we have more work to do to provide organizational context and share timely and consistent updates with our grantees. This need was particularly pronounced as we pivoted into our new organizational strategy. Grantees felt we could have done more to engage them in our strategy development, explain the changes, and describe the implications for their organizations. This sentiment was especially strong among grantees whose grants were not being renewed, who rated their experiences with Democracy Fund less favorably across the board and highlighted areas where our communication and transparency fell short of their expectations.
We take this feedback seriously, and moving forward, we commit to:
- Deepening our engagement with grantees by providing clearer and more consistent communications, particularly around foundation-wide strategy, as well as program-level updates. We will experiment with different approaches over the coming months, and we’re eager for feedback from our grantees about which hit the mark and where we can further improve.
- Finding more ways to share what we are learning with our partners and develop a shared understanding of where resources can be most impactful. Learning is one of our organization’s core values, and we dedicate significant time and capacity to listening to our grantees and learning from their work. This information shapes our understanding of the problems facing democracy and helps us adapt our priorities to meet the field’s needs. We share our formal evaluations publicly, but we plan to more frequently share what we are learning from informal, ongoing reflections and to be in dialogue with our grantees about their learnings.
- Continuing to streamline our grant application and reporting processes as we further reduce grantee time and resources spent on these activities. Since 2020, we have rolled out a streamlined renewal application, experimented with verbal reporting options, and included a “why we ask” rationale for every question on our application to ensure that the information we collect serves a clear purpose. We know how valuable our grantees’ time is, and we plan to further refine our application and reporting requirements to free up grantee capacity for other activities.
We plan to weave these commitments into our day-to-day practices over the long term as we aim to become a better funding partner. We will hold ourselves accountable to this spirit of continuous improvement by repeating the CEP survey every two to three years. We are grateful for our grantees’ feedback, and we are committed to learning and growing as we work together to build a more inclusive, multiracial democracy.