Statement of Goals
Goal(s)
• To ensure that more low-income workers served by the workforce development board successfully transition from publicly funded training programs into quality jobs in related industries.
• To build a scalable, CBO partner-enabled supportive services model that provides training participants with extended access to holistic supports, allowing them to better maintain focus and productivity as they transition and adjust to new industry aligned jobs and work environments.
Statement of Objectives
Objectives
• To design and administer a standardized post-training survey and exit interview protocol to identify training participants’ follow-up supportive service needs, assess training program quality and industry relevance, and evaluate workforce development board customer service experience.
• To establish a comprehensive, AI-assisted referral network of CBO partners that supports warm handoffs and curation of wraparound supports (e.g. transportation, childcare, legal aid, mental health services, digital access, etc.) to meet the unique post-training needs of individual workers.
• To build Anaheim Workforce Development Division staff capacity to deliver worker- centered, relationship-based services, including introduction of a high-touch follow-up process (at completion, 30-day, and 60-day post-completion intervals) to maintain worker engagement and ensure that their extended supportive services continually align with their current needs.
Statement of Expected Outcomes
Outcomes
• Achieved an 80% (16 out of 20 trainees) customer satisfaction rate for customer service experience overall and during the transition from training program completion to long -term employment, specifically.
• Identified, implemented, and documented at least two new job seeker service practices and any new CBO partner coordination practices that strengthened delivery of supportive services and reemployment assistance during the training-to-employment transition period. • Gathered, analyzed, and shared training participant feedback with partner schools to inform potential program modifications and improve the participant experience, especially during the training-to-employment transition period.
One Bush Street, Suite 800, San Francisco, CA 94104
415.777.2244 | Los Angeles 213.236.0552
@IrvineFdn | www.irvine.org
Proposal Narrative
PSPC Alignment:
• To strengthen program effectiveness and improve outcomes for individuals reentering the local workforce by developing and implementing a comprehensive post -training survey designed to systematically gather client feedback. This tool will capture insights into training quality, industry teaching relevance, and overall participant customer service experience, enabling continuous post-training support refinement.
• To c ollect client feedback to identify supportive services gaps, address emerging needs, and enhance service delivery to better align with hiring employer expectations. Ultimately, this data- driven approach will enhance more responsive post-training support, improve client satisfaction, and increase client transition from training into employment. • To identify, implement, and document at least two customer -service practices that directly increase post-program participant engagement and reemployment support activities resulting in a measured 1 5% increase in client engagement (e.g., follow -up contacts at graduation, 30 -day and 60-day, resource utilization).
Pathways to Quality Jobs:
By leveraging deeply trusted CBO partners to assemble an AI driven referral network, this project will remove critical barriers for low-income and underrepresented WIOA participants post-training, strengthen client’s transition from training to reemployment, and create a sustainable model for systemically scaling culturally responsive supportive services that promote long-term job quality pathways as new industry sector workers, securing their economic mobility. CBO partner staff and Anaheim staff will be trained in the use of the system by the AI system developer or vendor.
Proactive Partnership:
Our project will establish an innovative, formalized continuum of support after WIOA training by assembling a comprehensive referral network that leverages community-based partners’ supportive services to bridge gaps beyond standard WIOA post-training provisions. Our Partnership Engagement Officer (PEO) will actively identify, contact and recruit those CBOs into the referral network. We will secure formal commitments, such as letters of commitment and memoranda of understanding to set clear expectations and describe referral and shared case management procedures. Ideally two CBOs providing services in each of the identified need categories (such as transportation, childcare, etc.) will join the network.
Using results from training exit surveys and staff facilitated interviews, the AI coordinated referral system model will analyze client resource needs and connect post-training clients with trusted CBOs ensuring effective warm handoffs, prioritized access to wraparound services (transportation, childcare, legal, mental health, digital access) to support the critical transition from training to employment of low-income and underrepresented clients. The AI coordinated referral system will define referral protocols, data-sharing, and follow-up responsibilities. This client-centered approach supports post-
training, and delivery of holistic assistance to low-income and underrepresented workers that extends beyond WIOA’s program limitations.
Because this is a new framework and model, we will regrant some funding to CBOs who to train on the use and maintenance of the AI coordinated referral system.
Strategic Leadership and Innovation:
Anaheim’s WDB team is committed to the implementation of a clear plan to deploy flexible funding as a continued support after WIOA program training completion by piloting a scaled innovative workforce post-training strategy for workers who are low-income and underserved by multiple systems. Building on partnerships with trusted CBOs, the team will allocate flexible funds to develop a comprehensive post-training client survey via an AI-driven referral network with community partners.
These practices will remove critical barriers for low-income and underrepresented participants by enabling warm handoffs to culturally responsive support such as transportation, childcare, legal, mental health, digital access and strengthen client’s transitions from training to reemployment. The AI coordinated referral system will create a replicable, sustainable model for scaling supportive services that improve long-term job-quality pathways for low-income or underserved workers entering new industry sectors.
Political Climate:
Anaheim WDB is currently 100% funded by federal WIOA dollars, which are restricted to vocational training allocations and subject to federal policy and program limitations. The proposed AI‑coordinated post‑training referral system and client survey fall outside WIOA’s allowable costs. Implementing these strategies will therefore rely on partner in‑kind contributions and philanthropic support to position the program for future grant opportunities. Under PSPC funding, this approach enables us to address persistent barriers faced by low‑income and underrepresented residents despite potential shifts in the policy environment.
Feasibility and Tangible Results:
Anaheim WDB’s project goals, objectives, and outcomes are clear, achievable, and measurable within existing organizational capacity, timeline, and budget. The proposed AI‑coordinated post‑training referral system, client surveys, training exit interviews, and the standardized three‑touchpoint follow‑up per client are direct extensions of WIOA vocational training follow‑up activities and align with current operational systems and staff roles. The Partnership Engagement Officer in particular is central to ensuring each of the system partners remain active, informed, and engaged. Case management staff are also important as they will be navigating and referring clients to CBO partners and performing the regular check-ins. Those two parties will work in tandem to keep the network flowing smoothly.
Success will be tracked with specific metrics (referrals completed, service uptake, survey responses, and retention at training completion/graduation, 3‑ and 6‑month milestones). The project is built as a
client-supporting tool and workflow, with a strategy that is designed for sustainability, integrating into routine WDB client training completion procedures and leveraging our community partner network to maintain services beyond the grant period. As the central point for data collection it is incumbent on us to share that data with system partners on a regular basis through social media (school graduation lunches/recognition ceremonies), a dedicated page on our website (showcasing the overall project), and monthly digital newsletters (highlighting specific partners and client stories).
As the metrics begin to show beneficial results and all partners in the system/network recognize its success, the ultimate outcome for this project is a workforce system that exists independent of any federally mandated or state-instituted workforce program.
Context
Though the largest city in affluent Orange County and featuring a vibrant, diversified economy, Anaheim has significant pockets of underserved people who we have actively outreached to and recruited into our workforce development programs. The image below shows the geographic distribution of customer enrollments over the past two years, with the highest concentrations in the historically low and very low-income areas of central and western Anaheim. Unsurprisingly, customers living near the amusement parks are counted among the low/very low income as many who work for them are employed in part-time positions for minimum wage.
Figure 1: Enrolled customers 2024 - 2025
Complicating matters is the persistent lack of affordable housing creating significant financial pressure on individuals and families working in low-income jobs. With rising rents far outpacing wages in many service and entry-level sectors, workers are increasingly forced to spend an unsustainable share of their income just to keep a roof over their heads. This strain often leads to difficult trade-offs—such as cutting back on essentials, taking on multiple jobs, or enduring long commutes from more affordable areas. For many families, the lack of attainable housing undermines stability, limits economic mobility, and makes it harder to build a secure future in the communities in which they work.
Our team works very hard to ensure that our clients achieve success transitioning from training into employment and last year was exemplary, achieving an 87% entered employment rate in the 2 nd
quarter after exit (WIOA performance metric). The data upon which that result is calculated is for
individuals who completed the program in 2022 and 2023 as post-COVID recovery hiring was at its peak. We expect a precipitous drop in that metric going forward and the project we propose will go a long way to curtail the drop. We believe that with full project implementation we can remain level with that 87% outcome.
Rationale
Anaheim WDB proposes a targeted, scalable post‑training strategy to address persistent barriers that prevent low‑income and underrepresented workers from translating WIOA vocational training into holistically supported transition from training completion into employment in client’s industry of choice. Leveraging flexible funding and established partnerships with trusted CBOs, we will pilot an AI‑driven referral network and comprehensive post‑training survey to enable warm handoffs to culturally responsive support such as transportation, childcare, legal, mental health, and digital access to low-income and underserved clients that WIOA funding does not cover. This approach is strategically designed to complement WIOA post-training by eliminating client services gaps in follow‑up, increasing service uptake, and creating a sustainable model that improves support for long- term job-quality pathways for low-income or underserved workers.
Systematic collection and analysis of post-training client survey data will deepen our understanding of participants lived program experiences and unmet supportive-service needs that persist beyond WIOA-funded training. These insights will inform targeted service improvements, validate demand for wraparound support post-training, and generate evidence-based metrics needed to pursue supplemental grant and philanthropic funding. By translating client feedback into prioritized service gaps and measurable outcomes, we will strengthen program design, enhance customer service delivery, increase client service uptake and secure diversified resources to sustain client’s job quality pathways success beyond WIOA program completion.
Dedicated funding to support clients during the critical transition from program completion to sustained employment is vital because this phase often determines whether training investments result in long-term workforce attachment. While participants may have successfully completed industry-aligned training, many still face barriers such as limited hands-on experience, workplace acclimation challenges, and gaps in soft skills that are not fully resolved at the point of program exit, and financial barriers not resolved by the industry sector entry point salary. Providing transitional supportive services post-training helps stabilize employment outcomes, reduces early job attrition, and strengthens employer confidence in hiring program graduates. Importantly, individuals in this stage are still commonly considered entry-level workers by employers, as they are newly introduced to the practical demands, culture, and performance expectations of their chosen industry.
Despite possessing foundational knowledge and credentials, they often require additional time and support to build proficiency, demonstrate reliability, and achieve full productivity. Without targeted post-training assistance, these workers are at higher risk of turnover, which can undermine both individual career progression and the overall effectiveness of workforce investments. By funding this transitional phase, Anaheim WDB can bridge the gap between training and long-term employment, ultimately improving retention, wage progression, and return on investment for both participants and
employers. Further, the initiative prioritizes workers who are routinely failed by multiple systems (e.g., justice‑involved individuals, immigrant communities, parenting youth, people with disabilities, and those facing systemic poverty) because these populations experience disproportionate barriers to employment that undermine training gains, integrating community partner referral systems with AI technology‑enabled coordination, training exit continued support, and measurable client feedback, the initiative will produce a working model that strengthens reemployment transitions and advances long‑term job quality and economic mobility for the targeted populations.
Project Description
This project will implement an integrated post-training support system in three phases over 24 months to strengthen support to at least twenty (20) clients reentering the workforce who have completed vocational classroom training. This initiative builds directly on our existing workforce development work by extending supports into the critical post -training and employment stabilization period , an identified gap in our current service continuum. Leveraging established WDB systems, staff expertise, and partner relationships, the Workforce Development Team will lead intentional, client -centered activities ( client post-training surveys, three-touchpoint follow-up procedures, and AI coordinated referrals) to ensure WIOA graduates not onl y acquire skills through vocational training , but access resources needed to secure long‑term job quality pathways and economic mobility progression. The proposed post-training supportive s ervice model, client survey, tailored training exit interview, and three touchpoint client follow-up strategy is an extension of our commitment to serve low -income and underrepresented individuals in our local area and directly supports our current workforce service model.
• Phase 1 (Months 0– 3): Design a culturally responsive post -training survey , a standard exit-interview tool. Research, select, and configure an AI-enabled referral platform. Convene with community-based partners offering key resources available for clients completing WIOA program training and transitioning into employment.
• Phase 2 (Months 4– 7): Complete staff capacity building training on client automated survey management and data collection , AI enabled referral platform, instructions on warm-handoff protocols, Customer service focused engagement, and directions on follow- up procedures (3 touchpoints per client), initiate pilot stage with a selected post-training client cohort of five (5), selected randomly from different training programs.
• Phase 3 (Months 7 –24): Expand to full target cohort, refine workflows from pilot data, conduct continuous activities include proactive client outreach, enhance warm hand-off referrals to CBO supports (transportation, childcare, legal, mental health, digital access), and service coordination to close referral loops. Performance results will be measured against survey response s, referral completion rate, supportive-service uptake, 15% increase in client engagement , and 80% client satisfaction from collected surveys . Data and impact evidence will be used to pursue supplemental grants and philanthropic support to fund partner compensation and sustain the referral network beyond the grant period.
Anticipated Outcomes and Impact
• Effective referral network connecting WIOA program graduates to CBO support services
o Obtain an AI coordinated referral platform and increase client engagement after WIOA training completion, eliminating gaps in resource connection. This approach ultimately enhances employee retention, supports upward wage mobility, and increases the overall return on investment for both participants and employers. By offering transitional supportive services after training, programs can promote employment stability, minimize early turnover, and reinforce employer confidence in hiring program graduates.
• Administer standardized exit and post-training surveys o This data-driven approach will deliver more responsive post-training support, raise client customer service satisfaction, and increase the rate of received support of low- income trainees transitioning from training into employment. • Three touchpoint follow-up strategy
o By implementing post-training follow-up strategies we will deepen understanding of clients’ program experiences, ensure supportive-service needs are met to secure client’s new industry worker phase, especially low-income and underrepresented clients. Use learned insights to pursue non-government grant funding opportunities.
Key Stakeholder Buy-in and Partner Engagement
This effort builds on current work funded by the James Irvine Foundation and performed /executed by our Partnership Engagement Officer (PEO) who has connected with twelve new CBO partners, including Access California Services (refugee assistance), YMCA (youth development/child care), Girls Inc. (youth development), Illumination Foundation (homeless recovery), Community Action Partnership OC (family resources), HIRE OC (supports to the justice-involved), and Cielo (entrepreneurship support and microloans). The PEO work will continue with a focus on building relationships specific to the supports needed by individuals to retain employment. This will include frequent (monthly and quarterly) meetings with partners individually and as a group to process feedback and troubleshoot issues.
Challenges and/or Risks
The most serious risk to this project is that all funding for workforce development services and activities disappears, whether through some Executive action or federal legislation. The key work around is the continued demonstration to local elected officials of the value provided by the workforce team and the return on investment in workforce services. The best way to demonstrate the value is by uplifting and promoting the network of workforce system partners we have been building, growing the network, and formalizing the system.
Organizational Profile
The Anaheim Workforce Development Division is a unit of the City of Anaheim Housing and Community Development Department, staffed by twelve (12) full-time and two (2) part-time individuals. Of the total team, four (4) are dedicated to administrative duties while the rest are tasked with programmatic duties
including the management and operation of the America’s Job Center of California through which all adult and dislocated worker services are delivered. Two (2) team members directly work on our youth programs, but the bulk of service delivery for youth is performed by contracted subrecipients.
The total operational budget for FY 2025/2026 is $6.9 million. • $2.9 million in WIOA funding
• 2.5 million in California Youth Service Corps funding • $850,000 for California Homeless Navigator Pilot funding • $300,000 in County of Orange Regional Partnership funding • $270,000 from the James Irvine Foundation
• $60,000 from miscellaneous County, Community College, and WIB grants
Annually we serve about 1,000 individuals. That includes those who attend resume development and interview skills workshops, visit our Career Corner to use the computers, and complete our online orientation. Of those individuals we enroll in our WIOA Adult and Dislocated Worker programs between 50 and 70 clients with nearly have of them choosing occupational skills (classroom) training.
Key senior staff and management are:
• Marco Lucero, Workforce Development Manager. Marco has 20 years of workforce development experience particularly in program administration, fiscal management and compliance, as well as labor market analysis and policy evaluation.
• Reyna Villarreal, Workforce Services Administrator. Reyna brings 33 years of workforce development experience, including 17 years in the private sector and 16 years in the public sector. She has extensive expertise in managing program operations with a strong focus on business services, case management, and the d elivery of comprehensive services through the America’s Job Centers of California (AJCCs).
One Bush Street, Suite 800, San Francisco, CA 94104
415.777.2244 | Los Angeles 213.236.0552
@IrvineFdn | www.irvine.org
Proposal Budget
Proposed Two-Year Budget for Anaheim Workforce Development Total Amount Requested: $1,000,000
Expense Category
Amount
Requested
from Irvine
Complete
Project Budget
Salaries and Benefits
Customer Engagement Officer (1 fte)(new position) $180,000 $180,000 Partnership Engagement Officer (.50 fte) 90,000 90,000
Workforce Services Administrator (.10 fte) 31,000 31,000 Workforce Development Manager (.10 fte) 35,000 35,000
Consultants:
Survey Development 10,000 10,000
AI-enabled Referral Tracking System Development 110,000 110,000 Staff training (Customer engagement, AI system
usage, executive coaching and change
management support)
115,000 115,000
Subscriptions (Survey, Referral System maintenance) 125,000 125,000 Reporting and Communications 14,000 14,000
Regrants (to Partners in support of their programs) 60,000 60,000 Meeting expenses
Community of Practice,(PSPC-related) 5,000 5,000
Customer and Partner engagement (food, travel) 25,000 25,000 Indirect costs 200,000 200,000
Total $ 1,000,000 $ 1,000,000
Budget Narrative
The salaries and benefits line item is for in-house staff who will be assigned to the project. • The Customer Engagement Officer (CEO) will be the primary staff who will engage with training completors to manager their experience post -training and after exit from the WIOA program.
This individual will be dedicated to the project and in this capacity will be performing a role and delivering services not allowable under WIOA.
• The Partnership Engagement Officer (PEO) will divide time between this project and regular case management duties under the WIOA program. As a result only half of their time will be charged against this grant. The PEO role will be to continue work initiated under the previous PSPC grant, identifying and enrolling partner entities into the local workforce system, specifically as they support client job retention.
• The Workforce Services Administrator will provide daily supervision and management of staff and consultants assigned to this project. Twenty percent (20%) of their time will be dedicated for this purpose.
• The Workforce Development Manager will provide leadership and guidance overseeing the
project and ensuring program outcomes and performance metrics are met.
The Consultants line item is for four consultants:
• The Survey Development consultant will scope the project and generate research questions, design the survey, determine the appropriate tool(s) to use, pilot test the survey, collect responses, and generate reports.
• The AI-enabled Referral Tracking System Development consultant will design, develop, and configure the AI-enabled referral platform.
• Training consultants will deliver training to staff related to customer- service focused engagement, AI -enabled referral tracking system usage, and provide executive c oaching and change management support to help navigate the Workforce Development Division through organizational changes resulting from staff departures (retirements).
The Subscriptions line item anticipates subscriptions and/or maintenance for the survey and referral platforms. To the extent possible we will pay upfront for three years of maintenance beyond the life of the grant while searching for other sources of funding to sustain it.
Meetings expenses are for travel and accommodation for attendance at JIF or community of practice events as well as mileage, venue and food expenses related to partner and/or customer engagement.
Indirect costs are miscellaneous items including supplies (paper, toner, office consumables), accounting, fiscal and audit services provided by the City, general office equipment leases and rentals (copiers, phone system), city infrastructure charges (IT network, rent), and associated administration costs. These costs are allocated based on staff time dedicated to the project.
Direct and Indirect Costs for Project Support Grants
We believe that it is important for funders to cover the full cost of projects that organizations pursue with foundation support. We strive to have our grants reflect the full cost of achieving a project’s outcomes, and we encourage grantseekers to conside r and include the full cost of their projects when developing budgets. This includes both direct and indirect costs.
Grant budgets that do not fully cover the indirect costs of a grantee’s work – whether because the grantee does not know the true costs or per the assumption that funders won’t pay them – leads to what has been aptly named the nonprofit starvation cycle. That cycle is aggravated when funders accept these unrealistically low estimates at face value, refuse to pay indirect costs, or impose arbitrary caps on what costs can be recovered. We want to avoid this pernicious cycle with our grantees.
The Irvine Foundation, therefore, does not employ a fixed minimum or maximum rate for indirect costs. We rely upon your organization to determine how best to allocate the proposed grant amount to support both the direct and indirect costs you expect to incur. We encourage you to have a conversation with your program officer to develop a shared understanding of the true costs associated with the project.
Definitions
Direct costs of a project are those directly attributable to the design, planning, and implementation of a project. Examples include: salaries and benefits of project staff and administrative personnel who assist or manage the project; subcontracts; telephone, postage, and printing costs; and the purchase or rent of any professional services, specific facilities, materials, equipment, or other resources required for the project. Expenses like these would not be incurred if the project or program did not exist.
Indirect costs are overhead and administration expenses necessary to support an organization’s general operation and therefore shared across projects or programs. Examples include: office supplies; bank, payroll processing, or audit fees; liability insurance; office rent ; utilities; equipment purchase or maintenance; and a reasonable portion of the salaries and benefits of executive or administrative personnel who are less directly engaged in project activity. Expenses like these would be incurred in some amount with or without a specific project or program grant, and necessary for the organization to implement the program or project.
In preparing your proposal budget, please list indirect costs as a single, separate line item titled “indirect costs.” These costs should be contained within the total amount requested, not added as an increase to the total grant award, based on what and your Irvine program officer agree upon.
Indirect Cost Policy by Type of Grantee Organization
• Nonprofit organizations: We will either accept the indirect cost you propose or discuss it further with you. We do not set a fixed maximum or minimum rate. • Universities: We will accept an indirect cost rate of 10% of the total grant amount and may make an exception for exceeding 10% if there are reasonable and transparent costs associated with
the program or project that justify more than 10%. Grantees should discuss such an exception with their program officer.
• Regranting organizations : Organizations with regranting programs should include an indirect cost rate appropriate to the effort required to execute their sub- granting. We hope that regrantors — along with the broader philanthropic field — will move to more consistently covering the full cost of projects.
• Fiscal sponsors: Grantees serving as fiscal sponsors should include an indirect cost rate appropriate to the specific project they are sponsoring and sufficient to cover the administrative costs of that project.
• For-profit organizations: The U.S. tax code requires that any grant funds awarded by a private foundation to a for-profit organization be dedicated to accomplishing a charitable, educational, or scientific purpose. The indirect cost estimate from for- profit organizations should reasonably and transparently reflect all indirect costs attributable to the charitable purpose of the grant, but only those specifically attributable to that purpose.
FAQs
Does this indirect cost policy apply to general operating support (GOS) or flexible project support grants? Grants with the purpose of providing general operating support are flexible funds that grantees can use across their organizations. Likewise, Flexible Project Support grants can be used as needed for a specific project. The indirect cost policy does not apply as these types of grants, since they have no line item budgets. However, the foundation encourages covering your organization’s full costs regardless of support type.
What is the difference between an “indirect cost rate” and an “overhead rate”? This rate differs according to which number is used as the denominator. For example, an indirect cost rate = indirect costs/direct costs, while an overhead rate = indirect costs/ total organizational costs. For simplicity, we use indirect costs as the basis for this policy, but grantees may create budgets using an overhead calculation. We support either approach, if the budget adequately covers all the costs associated with executing a project or program.
What if I need help determining my direct versus indirect costs? Here are some resources to help with cost allocation and creating a budget:
• Program-Based Budget Builder from BDO/FMA:
https://www.bdo.com/insights/industries/nonprofit-education/indirect-cost-rate-guide • Nonprofit Cost Analysis Toolkit from The Bridgespan Group:
https://www.bridgespan.org/getmedia/a5360dfc-cba0-41a9-92d2- 3adc65511d7b/NonprofitCostsAnalysisToolkit.pdf
• Funding for Real Change alliance: https://www.fundingforrealchange.com/indirect-cost- coverage
We encourage grantees and potential grantees to consult with their Irvine program officer at any time regarding the scope and budget for their project grant.
Financial Statements
Please submit your organization’s two most recent fiscal year financial audits. If your organization does not conduct an outside financial audit or your most recent audit period is over a year old, we request that you submit internal financial statements (Statement of Activities/Income Statement and Statement of Financial Position/Balance Sheet, including a breakdown of restricted vs. unrestricted net assets) for the same period(s). Samples of internal financials are included at the end of this document.
If this is a sponsored project, please submit the financials for the fiscal sponsor, which will serve as the official grantee of The James Irvine Foundation.
Why do we ask for these? Irvine requests financial documents such as audits and operating budgets to better understand the financial health and overall capacity of potential grantees. We also complete financial reviews to determine how Irvine might support our partners to strengthen their capacity. If your organization’s statements indicate any potential flags, Irvine staff may follow up with you to discuss; however, any flags identified will not hurt your application.
Note: You may also use the online grantee portal to upload any materials that may help to provide further insight into your organization’s overall financial health, such as a brief explanation of any significant deficits or flagged deficiencies.
What information do we focus on in our review? Our team reviews all financial materials submitted by a grantee, and considers the following:
• Trends or significant decreases in unrestricted net assets over the past two years that could indicate inadequate reserves to continue operating
• A quick ratio of 1.0 or more, illustrating that the organization has enough cash or liquid assets on hand to cover current liabilities
• The estimated number of months’ expenses on hand as a cash reserve • The grant’s annual payment schedule relative to the organization’s annual operating expenses • Flagged deficiencies and/or noted financial weakness from prior reviews.
Want to learn more about strengthening your organization’s financial management processes? Check out the StrongNonprofits Toolkit (https://wallacefoundation.org/toolkit/strongnonprofits-toolkit) from BDO-FMA and the Wallace Foundation, which includes resources around audit preparation.
Sample Financial Statements