On the Same Page

The University of Chicago Laboratory Schools

On the Same Page

November 2003

A Culture of Giving in a Community of Givers

I was introduced to fundraising at a very young age. My father was a member of the clergy whose place of worship depended upon weekly donations in order to survive. When the physical plant was too small to accommodate a growing congregation or had aged so much that repair was needed, experts on raising significant dollars were brought in to manage the capital campaign. Little did I know how this exposure would help me address some of the same institutional needs for a secular cause and in a different place and time.

We have just completed an important and exciting week of fundraising at Lab—the annual Community of Givers phonathon. It was heartwarming to witness volunteers appealing by phone to the generosity of the Laboratory Schools' families as they built upon past efforts to meet today's needs. All of the funds raised from this campaign are part of our unrestricted revenue to offset annual expenditures. We rely upon the committed support of all members of the greater Lab Schools' community. Completing that pledge of support as soon as possible is so important, and for that I thank you in advance.

Even more important than supporting the individual initiatives (Community of Givers, Connections Benefit, Box Tops for Education, Innisbrook wrapping paper, fifth grade note cards, and other fundraising events) is being part a "culture of giving" that is understood by and expected of all who love this place. Unlike many independent schools, Lab does not have a long cultural history of giving. We have been part of the University of Chicago for more than 100 years and, during much of that time, almost all of the costs of running the Schools were assumed by the University.

In the mid 1980s that changed. As the University expanded and costs of operating its many components escalated, divisions were asked to become actively involved in their own development efforts. This request prompted the beginning of what now constitutes our Office of Alumni and Development. Organized parent efforts grew from bake sales to the enormously successful Connections benefit. Large scale building programs and facilities renovations (Kovler Gymnasium, the Middle School) were paid for through capital campaigns.

Tuition covers most (88 percent) but not all of our operating expenses. Our goal is to reduce that percent, allowing us less reliance on tuition for our growth and expenses. And we hope to reach that goal by focusing on endowments during the next few months.

Endowments, large donations from which Lab Schools can earn interest, will ensure the future financial health of our schools and maintain the diverse community mentioned so prominently within our mission statement. In the last ten years, our endowment has grown from $1,838,061 to $6,838,633. On the surface, a 268 percent increase is most impressive and a real tribute to the generosity of many loyal to Lab. In reality, we are significantly behind where we need to be.

Among other similar independent schools in the Chicago area, the average endowment per student is in excess of $18,000. Compare that to our average of $4,000 per student!

Most independent schools ensure their financial health by using a percentage of their endowment income for operating expenses. By so doing, they are able to keep tuition increases at a reasonable level and avoid spikes due to a poor economy or the expense of unexpected facilities repairs.

At Lab, we have used the majority of our endowment income to award financial aid to deserving students. I applaud this use and can assure you that more is needed. Economic diversity is also an important component of who we are. I am especially pleased that the Parents' Association has approved my request that the proceeds of this year's Connections Benefit be designated to our scholarship endowment. We must build an awareness of how endowment is a vital part of who we are and who we can become. To repeat an overused clich�, it is a gift that keeps on giving!

There are numerous ways in which members of our school community can contribute to our fundraising efforts, and I encourage you to consider possibilities with our Development Office or with me. Recognizing the gifts of time, talent, and money is part of the responsibility of all non-profit organizations. A culture of giving is what distinguishes the best.

David W. Magill
Director