GRANTMAKING

GRANTMAKING GUIDELINES

Piper Trust considers letters of inquiry from nonprofit organizations whose requests fall within the Trust's program goals and strategies. In keeping with its charter, the Trust does not award grants to individuals.

Eligibility. To be considered for a grant, an organization must meet three criteria: serve residents of Maricopa County (Arizona); have operated as a Section 501(c)(3) organization or governmental entity for at least three years; and not be a private foundation.

Grant Application. To be considered for review, initial inquiries must include a completed Grant Summary Form and a two-page letter of inquiry. The form, as well as additional information on application and the review process, can be found and submitted online at www.pipertrust.org. Letters of inquiry can be submitted at any time.

BEST PRACTICES FOR NONPROFITS

The trustees of Virginia G. Piper Charitable Trust believe that public trust and accountability are fundamental to their legal and fiduciary responsibilities. To be considered for funding, Piper Trust requires potential grantees to enact several of the best practices recommended by the Panel on the Nonprofit Sector:

Form 990. The board, or audit committee, must review the nonprofit's Form 990 tax return each year before submission.

Audit. A nonprofit with $1 million or more in annual revenue must have an independent annual audit and should establish an audit committee with financially literate membership.

CPA review. A nonprofit with annual revenues between $250,000 and $1 million must have financial statements reviewed by an independent CPA.

Conflict of interest. The nonprofit must adopt a strict conflict of interest statement that the staff and board annually review and sign.

CEO compensation. The full board of the nonprofit must approve any change in the compensation of the CEO.

Travel reimbursement. The nonprofit must have travel policies with clear guidelines on types of expenses that can be reimbursed and documentation required for reimbursement.

Board size. The nonprofitmust have a minimum of three members on its governing board, and at least one-third of the members should be independent.

Whisleblower policy. The nonprofit must establish policies and procedures that encourage individuals to come forward with credible information about illegal actions or violations of adopted policies.

CODE OF ETHICS

Grantmaking integrity. As a grantmaking foundation, Piper Trust's inherent responsibility is to ensure that grant requests are handled carefully and objectively and that decisions are made solely on the strength of each project. Policies underscore the importance of internal independent evaluation, and it is the responsibility of the Board of Trustees and staff to ensure that all actions reinforce the integrity of the grantmaking process.

The Board of Trustees does not meet with the applicants personally to discuss proposed projects. A Conflict of Interest Policy, updated annually and on record in the Trust offices, defines the relationships for both trustees and staff that could potentially raise questions about grantmaking objectivity. In case of a potential conflict, a trustee does not participate in the discussion or final vote on a pending grant.

Stewardship. Each trustee and staff member has the privilege and responsibility to serve as a steward of the Trust by assuring adherence to its mission, vision and values. As stewards, they assume a duty to be familiar with the laws, rules and regulations pertaining to their positions. Each is responsible for carrying out assigned duties in accordance with all policies, rules and regulations. Potential grantees, members of nonprofit organizations and others interacting with the Trust are treated with respect and dignity at all times.

Confidentiality. Information about potential grantees, vendors or investments is privileged andwill not be shared outside the Trust. However, the judicious sharing of information about grant proposals or nonprofit organizations with other funders, or in collaborative efforts,may be necessary when staff is engaged in the due-diligence process. These restrictions, though, do not prohibit the sharing of financial information with auditors, attorneys, consultants, investment managers or professional colleagues, nor do they prohibit participating in surveys designed to benefit the philanthropic community.

FOR MORE INFORMATION

Contact Piper Trust program directors at 480.948.5853, or . For additional information about Piper Trust, go to www.pipertrust.org.