Center

 Council

 for Rural Virginia

Volume 1 - Issue 3 - February 2008

www.cfrv.org    www.councilforruralvirginia.org

The Rural View

Center Board of Trustees/Council Board of Directors

2008 Legislative Update - The 2008 session of the Virginia
General Assembly has now achieved crossover.  The House sent 616 out of 1,441 Bills introduced for Senate consideration, and the Senate sent 433 out of 683 Bills introduced to the House.   Read more . . .

Which Bills Are Making News?

      News 7 – Session 2008  

Education (K-12) Virginia now boasts the nation’s third-highest
     percentage of high school seniors earning a grade of 3 or better
     on Advanced Placement (AP) exams Read the full article 

Workforce - VEC Report to House Commerce & Labor Committee

Agriculture/Natural Resources - RUPRI Report  

     Nonmetro America: Conditions & Trends
      Prepared for the Agriculture Chairs Summit, St. Louis, MO
      January 18-20, 2008

Community Capacity Building - DHCD to launch newsletter,

     Virginia Capacity, in March.

Broadband - Broadband Opportunities for Rural America

     A joint initiative of the FCC and USDA Rural Development

Center for Rural Virginia - 2008 Rural Caucus

Midway through the sixty day 2008 Legislative Session, the Rural Center’s daily presence in the affairs of the General Assembly has been very beneficial for the Center and its objectives.  The Center’s Budget amendments seek to create a rural strategic plan with measurable benchmarks, to improve access to capital for local small business development, to document and prepare for a significant transfer of wealth over the next ten years, and to create local community foundations for the purpose of capturing, growing, and investing a community’s philanthropic wealth.  Our investments in the legislative process are beginning to produce a knowledge of the Center and of rural Virginia. With the active partnership of the statewide Association of Community Foundation, the understanding of the role and importance Community Foundations play in rural revitalization is more fully appreciated. 

As an important part of the Center’s legislative agenda, every Monday afternoon Senate and House representatives of rural Virginia meet as a bipartisan rural caucus to discuss rural concerns with Secretaries of the Governors cabinet.  The Center staffs this weekly caucus by scheduling Secretaries with agency responsibility important to rural Virginia. Senator Frank Ruff chairs the meetings of the caucus. For example, to date the Secretaries of Commerce and Trade, Agriculture and Forestry, Transportation, and Health and Human Services, accompanied by many of their department representatives, have appeared before the Caucus to discuss the impact of their programs on rural Virginia.  Additionally, representatives of other partner organizations regularly present and/or attend caucus meetings.  These meetings generate discussion, legislative ideas and administrative investigations that often lead to rural enhancements. Many other regions of the State and legislative interests hold caucuses in the General Assembly Building during each Legislative Session. It is important that legislators know that rural has its own unique needs that often differ from other more prosperous areas of the Commonwealth-and that rural maintains a presence in the important legislative process. 

The legislative process is complex and often confusing; fast and deliberate; political and policy; human and mystical.  However, it all works to improve the Commonwealth orderly system of democracy.  Our presence in the legislative process ensures that rural interests, our fiscal health, and opportunities for our constituents are heard.    - - -  Staff

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2008 Legislative Update

The 2008 session of the Virginia General Assembly has now achieved crossover which means that each Chamber can only consider Bills/Resolutions passed by the other  Chamber.  At crossover, the House is sending 616 (out of 1,441 introduced) Bills for  Senate consideration and the Senate is sending 433 (out of 683 introduced) Bills to the House. 

 While the legislative wheels roll, the most significant work of the 2008 Session is the adoption of the Commonwealth Biennial budgets for fiscal years 2009 and 2010.  By this time, the fiscal effects of a growing recession on the State’s finances caused in large part by the decline in the housing market are no doubt a widely acknowledged fact.  The fiscal effect on the Commonwealth’s current (FY 08) budget approaches $600 M and the anticipated revenue shortfalls of the projected FY 09 and FY 10 budgets exceed $800 M. This $1.4 B shortfall creates uncertain fiscal constraints.   

Throughout the 2008 session, the Center’s daily presence in the General Assembly is focusing on four budget amendments and staffing the Rural Caucus.  Budget amendments were patroned by Sen. Hanger in the Senate and by Delegate Landes in the House.   The Center’s most important Budget amendment requests $235,000 in State funds as match to National Foundation investments.  These commingled funds will provide hardware/software equipment and technical assistance to under funded local community foundations throughout Virginia and expand the presence of Community Foundations into underserved areas of rural Virginia.  Before investing in Virginia, National Foundations want demonstrable assurance that their Virginia partners support this investment enough to invest public and private resources.  The anticipated leverage of National Foundation funds to State funds is on the order of $5/$1.  This represents a significant return for the investment of an individual’s tax dollar. 

In ordinary times this return on investment would be a very wise investment of public funds.  However, these ordinary times are confronted with limited and declining fiscal resources.  House and Senate budgets are reported out by their respective money committees on Sunday, February 17.  Differences between the recommended Senate and House budgets will be reconciled by a nine member Budget Conference Committee.  The Committee will then recommend for adoption to each Chamber a balanced Biennial State budget.  Final legislative adoption of the Commonwealth’s 2008-10 Biennial budget is scheduled to occur on or before March 8.

Full Length - Feature Article

Giving Back in Rural Virginia

By: Bobby Thalhimer, Senior Vice President, Advancement for The Community Foundation Serving Richmond and Central Virginia

Helping rural areas of Virginia is a consistent focus of the Virginia General Assembly, even if it is not the priority of all of its members. We witness for example the Commonwealth’s investments in high speed internet in rural areas, its placement of community colleges in areas that need workforce development, and its financial incentives for business ventures in remote locations.

Can philanthropy really make an appreciable difference, compared with these direct investments? In the short run the answer is, “Yes, a little.” In the long run the answer is, “Yes, and maybe a lot.” 

How can I make such an assertion? Let me start with an admittedly urban example, which is where I work at The Community Foundation Serving Richmond and Central Virginia. Like all community foundations, we hold endowed funds established by people like you who want to give back to their community in some way. We invest these endowment dollars for long-term growth, and a significant amount of the income is given away to local nonprofits each year.  

The donors decide which charitable causes their funds will support. Their wishes can be specific or very general. Donors can advise the grant making during their lifetimes, and often they pass their passion for philanthropy to their children and grandchildren. Philanthropy can be a great family-builder as well as a community-builder. 

What has been the impact in Central Virginia? In 1984, we were giving away $27,000 a year to local charities. It wasn’t a very big deal, to be honest. In 2006, we gave away $56 million, which I think you will agree is quite a big deal. Now, keep in mind these gifts come largely from endowed assets, which means that these grants will keep flowing and growing forever. 

Where did all this money come from? About 650 people have started funds in our community foundation totaling about $660 million. Some funds are small (as little as $10,000), and some are very large (over $100 million). Every donor shares a passion to make Central Virginia a better place to live. And, I can tell you that a strong sense of community and personal gratification has come to each of our 650 donors who are making a meaningful impact where they live.

 “Okay,” you may ask, “But how will this work in a rural community? We don’t have that many people out here.” We have three rural affiliates in the Northern Neck and Middle Peninsula counties along the Chesapeake Bay. Their assets grew from $600,000 in 2000 to over $9 million last year. In all, 105 donors have started funds in these rural areas, and the grants are becoming significant. These rural affiliates are on the cusp of being a big deal! 

So, how many community foundations are there in Virginia? There are 31 community foundations, including six regional affiliates of larger foundations. Many of these foundations are in rural areas such as Shenandoah County, the Northern Piedmont, New River Valley, Martinsville, Danville, Eastern Shore, Suffolk and Colonial Beach. In every one of these foundations, there are local leaders who are laying the groundwork for growth, and hopefully all will be successful in time. 

Time and patience are needed. Growing endowments takes years, even decades. The largest gifts often come by bequest, and it takes time for generations to pass on. The community foundations need operating support until they grow sufficiently to make a difference. Yet, the reward for patience and persistence is great. 

Sadly, many rural areas of the Commonwealth have yet to get started. This is particularly true in many of Southwestern and Southside Virginia’s counties, as well as some along the northern part of the Blue Ridge and some along the northern part of the Northern Neck.  

How can we help these un-served communities start a community foundation? Thanks to the leadership of Glen Sink at the Center for Rural Virginia, we are hopeful that help is on the way! Glen has collaborated with Community Foundations of Virginia to address the issue. Together, we have approached Virginia’s General Assembly for assistance. 

With the leadership of Senator Frank Ruff and Delegate Steven Landes, we have asked the Commonwealth to amend the general fund budget for the Center for Rural Virginia by $235,000 next year and $140,000 the following year, which we hope to leverage with grants from national foundations interested in helping rural areas. These funds will be used to build the needed infrastructure to support the establishment of community foundations in rural areas and to train local leaders.

It is our hope that all of Virginia’s localities will have access to a community foundation within a decade, and that some will become substantial within two decades. We endeavor that each rural region will realize the greater sense of community that comes from building and growing a community endowment. And, we aspire to see rural communities enjoy the fruits of lifetime gifts and bequests that their citizens set aside to create a better future.

 Is this a pipe dream or a possibility? Ask the nonprofits in Central Virginia. In 1981, they would have said it was a pipe dream. Today, they will tell you it is a reality.  

It can happen in your community too.

Center for Rural Virginia

Council for Rural Virginia

Center Council Staff Corner

Glen C. Sink Executive Director 501 North Second Street Richmond, VA 23219 Ph: 804-371-7141 Fax: 804-371-7092 glen.sink@cfrv.org	Thelma Burris Program Coordinator 2265 Kraft Drive Blacksburg, VA 24060 Ph: 540-231-6866 Fax: 540-231-5338 tburris@vcom.vt.edu	Cheryl Wiltsee Associate 2265 Kraft Drive Blacksburg, VA 24060 Ph: 540-231-6866 Fax: 540-231-5338 cwiltsee@vcom.vt.edu
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