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Sustained Collaboration Fund

Sustained
Collaboration
Fund

Grants

NSI offers three types of funding to help organizations go through the exploration, planning and implementation phases of a sustained collaboration.

NSI Exploratory Grant

The NSI exploratory grant is designed for organizations ready to move into structured discussions aimed at developing a strategic partnership. Organizations and leadership that receive NSI funds are not committing to a specific outcome, but rather to enter into good faith negotiations. The goal is to ensure that organizations have every opportunity to thoroughly explore all issues associated with a strategic partnership and to reach an informed decision that best serves their mission and how they service the community.

For grant administrative purposes, potential partners will submit a joint application. One organization will be identified as the lead applicant and the other organization(s) as the partner(s). The lead applicant organization receives a grant for the partners to collectively hire a consultant of their choice, who supports the exploration, due diligence, and negotiation of issues associated with the form of partnership being pursued.

The lead applicant organization must include a copy of a proposed consulting contract from consultant(s) identified by the participating organizations. Your selected consultant must have previous experience in facilitating strategic restructuring negotiations. You are not required to use a consultant from the NSI consultant roster, but it is intended to serve as a resource for those seeking an experienced facilitator. The contract should include:

  1. Proposed scope of work.
  2. Project work plan/timeline.
  3. Project budget/payment schedule.

Each of the applicant partners must also submit a board resolution signed by the board secretary or chair indicating that the board has agreed to enter into good faith negotiations of a strategic partnership. A sample resolution is provided with this application. Exploratory Grants typically range between $20,000 – $40,000. The funds are designated towards the cost of engaging third-party consultants to support a thoughtful exploratory process.

Required Attachments

NSI Planning Grant

The NSI planning grant is available to organizations who have reached an agreement following a sustained collaboration exploratory process but are not yet ready for implementation funding. Examples of costs that may be eligible for funding include: additional consultation to facilitate working groups and develop an implementation plan and budget, completing unanticipated due diligence needs that arise from the initial exploratory process, and/or developing an external communications strategy.

Planning grants typically range between $10,000 – $30,000. Costs related to the ongoing operation of the organization(s) will not be considered, and organizations are expected to pursue pro bono legal counsel through Public Counsel or other relationships, and should only come to NSI to support legal costs if absolutely necessary.

Funding will only be considered for applications that can clearly show:

  • A robust due-diligence/exploratory process has ended in agreement (with or without NSI funding);
  • The partnership has not previously received a planning grant from NSI before;
  • Evidence that the costs for which funding is being sought constitutes a significant obstacle to the success of a collaborative agreement getting to implementation; and,
  • A detailed and realistic work plan, budget and timeline for the planning work.

Additional Information

  • While there is no application deadline, please be aware that funding is limited and applications will be considered on a first come, first served basis each fiscal year (July 1 – June 30). 
  • NSI’s total investment in a collaboration will typically not exceed $100,000 (over the course of all phases: exploratory, planning, implementation). Exceptions will be made for very large-scale projects that can demonstrate the potential for large-scale impact and can demonstrate matching funds.
  • Not all collaborations will require all three phases of investment. For example, some may build planning into their exploratory or implementations scopes of work. Some may approach NSI for implementation funding having already completed exploratory and planning work.
NSI Implementation Grant

Implementation Grants are available for organizations who have reached an agreement following a sustained collaboration exploratory process. Examples of costs that may be eligible for funding include: severance packages for departing CEO’s and other staff, IT integration, lease breaking, developing new marketing and communication materials, legal fees, consolidating capital assets, accountant fees, and board development.

Implementation grants typically range between $20,000 – $50,000. Costs related to the ongoing operation of the organization(s) will not be considered.

Implementation grants do not typically cover the full cost of implementing an agreement.

Required Attachments

NSI Sustained Collaborations Fund Eligibility

To be eligible for NSI funding, the lead applicant organization must be based in and/or primarily serving Los Angeles County, and the collaboration must prioritize benefits to LA County. Collaborations must involve at least two organizations that have 501(c)(3) status or are fiscally sponsored by a 501(c)(3) nonprofit organization. Exceptions may be considered under the following conditions:

  • The applicant has demonstrated services, programs, and activities for at least two years.
  • The applicant is not incorporated as a for-profit business entity.
  • The applicant is organized on behalf of a specific cultural community.

  • The applicant has a proven track record of having a decision-making structure and/or a well-established organizational culture.

Even with exceptions, at least one of the collaborating organizations must have 501(c)(3) nonprofit status or be fiscally sponsored by a 501(c)(3) nonprofit organization.

91%

of survey respondents felt hiring a third party consultant facilitator was either “important” or “essential” to their process

Successful explorations often have:

  • Time to devote to the process
  • Internal clarity of participating organizations
  • Honest, upfront conversations among participating leaders
  • A process that builds trust
  • Previous experience working together
  • Compatible cultures and values
  • Clear understanding of what to expect from the exploratory process