South Coast Air Quality Management District

Endorse Proposal to Transfer Administrative Support of Adopt-A-School Bus Foundation to American Lung Association of Los Angeles County and Confirm Disbursement of Funds to Adopt-A-School Bus Foundation Subject to Certain Conditions

SYNOPSIS: 

This action is to endorse a staff proposal to transfer to the American Lung Association of Los Angeles County responsibility to provide administrative support to the Adopt-a-School Bus Foundation. This action further is to confirm the Board’s approval on March 16, 2001 of the contribution of $1,000,000 to Adopt-A-School Bus Foundation and to impose certain conditions on the expenditure of that contribution.

COMMITTEE: 

Administrative, June 8, 2001, Approved

RECOMMENDED ACTION:

1. Endorse staff’s proposal that direct administrative support to the Foundation, including such items as a program manager, clerical assistance, and the like, be provided by the American Lung Association of Los Angeles County ("ALA") pursuant to an agreement to be reached between ALA and the Foundation, including a recommendation that the AQMD staff members who currently serve as officers of the Foundation (Chief Financial Officer and Secretary) be replaced by the Foundation.
   
   
2. Authorize the Executive Officer to execute an agreement awarding $1,000,000 from AQMD Fund 35 as an AQMD contribution to the Adopt-A-School Bus Foundation ("the Foundation"), with the proviso that at least 60% of that contribution must be expended directly to fund purchase of clean fuel buses, and not more than 40% may be expended for administrative costs.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

At its August 18, 2000 meeting, the AQMD Board directed staff to take all necessary steps to create a non-profit corporation to administer the Adopt-A-School Bus program. Thereafter, Articles of Incorporation were filed with the Secretary of State and on November 15, 2000, the non-profit corporation ADOPT-A-SCHOOL BUS FOUNDATION approved its bylaws and elected Rick Pearce as Chief Financial Officer and Chery Ruggio as Secretary of the Corporation.

Transfer Administration to American Lung Association

At the Foundation’s initial meeting on November 15, 2000, AQMD Executive Officer Dr. Barry Wallerstein advised the Foundation Board of Directors that the AQMD Board’s intent was to establish a separate non-profit entity to help ensure that there is no perception of conflict of interest between the Foundation’s efforts and the AQMD’s public service mandate. In addition, however, because of the synergy of purposes between the two organizations – reduction of air pollution – it was initially agreed that AQMD staff would help perform the staff work in support of the non-profit entity. The Foundation’s efforts have proceeded and several contributions have been made. A sufficient incubation period has now passed and it is appropriate to tender responsibility for the administration of the Foundation to staff other than AQMD. Staff has recommended to the Adopt-A-School Bus Foundation that it entertain a proposal by the American Lung Association of Los Angeles County ("ALALAC") to assume administration of the Foundation, and the Foundation Board of Directors, on June 6, 2001, expressed concurrence with the concept, subject to meeting with ALALAC to review details. Staff further recommends that, upon reaching an Agreement between the Foundation and ALALAC, the Foundation consider appointing replacement corporation officers who are not AQMD staff members.

The ALA, the oldest volunteer health organization in the United States, has a more than 90-year track record of success. The Association is a well-respected leader and trusted voice in environmental health with an emphasis on pediatric asthma, as well as air quality. The ALALAC is the largest lung association affiliate in the nation, with a mission to prevent lung disease and promote lung health. The Association has been supported entirely by public and private donations and, unlike most affiliate organizations, is unique in that it not only raises money, it also designs, implements and evaluates original programs in adult and children’s lung health, and air quality.

ALALAC has a donor base of between one-quarter and half a million supporters with fundraising that includes hundreds of thousands of dollars in the deferred commitments of trusts, bequests, and annuities. ALALAC is governed by a volunteer Board of Directors and operates under a carefully planned, board-approved program of work with quantifiable goals and objectives and precise income and expense projections. ALALAC has submitted a proposal to administer the Adopt-A-School Bus Foundation that includes a Marketing, Fundraising, and Grant Making Strategy for the four-county area within the South Coast AQMD.

Marketing

Public Relations/Press/Media - press releases and/or press conferences on major Foundation results and to announce receipt of large donations, as appropriate; feature articles in school newsletters, community newspapers, ALALAC, sister Associations, and ALA statewide newsletters.

Public Appearances & Presentations - Presentations at school district Board meetings to announce grant awards, Foundation presentations at district Board meetings and school and PTA meetings.

Collateral Marketing Materials Distribution - Marketing brochures prominently displayed at all appropriate ALALAC and sister Association activities, mailed to community leaders, South Coast Basin businesses and industry associations, and to school districts throughout the South Coast Air Basin.

Technology - establish a Foundation website with activity and results bulletins and a banner advertising the number of children "saved."

Fundraising Strategy & Goals

Engage in traditional source fundraising through proposal writing, presentation making, and one-on-one follow-up to target corporations, foundations, government and individuals for significant gifts; engage in school-based fundraising through presentations and one-on-one meetings, working with school districts to develop incentives that encourage local schools to participate in the Adopt-A-School Bus Challenge Grant Program whereby the Foundation will match 2:1 every dollars raised by local schools to support the program. Initial approach will include building awareness of the Adopt-A-School-Bus program through the marketing strategy detailed above, reaching the widest possible audience at the lowest possible cost; utilizing various vendor lists and other contacts for a direct mailing to identify potential supporters and to build a regional resource coalition, including local elected officials and community leaders; researching and compiling a targeted prospect list of corporate, foundation and major donors from ALALAC and sister Associations’ contacts and resources; developing a marketing brochure and presentation materials for one-on-one presentations; and establishing gift levels with associated name/brand recognition opportunities and major donor benefits.

Grant Making Strategy & Goals

Initial approach will include building awareness of the program through the marketing strategy outlined above; developing clearly articulated criteria for funding, by which grant applications will be judged; developing a Request for Proposals (RFP) and Grant Application Package; utilizing ALALAC’s and sister Associations’ school contact mailing lists for a direct mailing to distribute an announcement of the RFP; researching and compiling a targeted prospect list of potential early participants from ALALAC and sister Associations’ school district contacts and resources; developing a marketing brochure and presentation materials for one-on-one presentations to encourage participation; distributing RFPs and Grant Application Packages upon request; identifying a Grant Review committee from among Foundation Board members; developing a process by which grant applications are received, reviewed, and approved for funding by the Grant Review committee and the Foundation Board; and making awards of grant funds publicly, at school district meetings or other public events, with media encouraged to attend.

Confirm Disbursement of Funds to
Adopt-A-School Bus Foundation Subject to Certain Conditions

At its March 16, 2001 meeting, the AQMD Governing Board approved disbursement of one-time revenue from a penalty to several air quality projects, including $1,000,000 to the Adopt-A-School Bus Foundation. Staff recommends that the Board authorize the Executive Officer to execute an agreement awarding $1,000,000 from AQMD Fund 35 to Adopt-A-School Bus Foundation with the following proviso: at least 60% of that contribution must be expended directly to fund purchase of clean fuel school buses, and not more than 40% may be expended for administrative costs, and a condition of the Foundation’s acceptance of the contribution is that they provide confirmation to AQMD that this proviso has been met.

Proposal

Endorse the recommendation that the Adopt-A-School Bus Foundation enter into an agreement with the American Lung Association of Los Angeles County to provide, in the place of AQMD staff, full administrative and fundraising support.

Authorize the Executive Officer to execute an agreement awarding $1,000,000 from AQMD Fund 35 to Adopt-A-School Bus Foundation on the condition that at least 60% of that amount is expended directly to fund the purchase of clean-fuel school buses and not more than 40% be expended for administrative costs, with a confirming report to be provided to AQMD.

Fiscal Impacts

The assumption of administrative and fundraising support by ALALAC will reduce AQMD costs.

Attachments

None

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