Lexington, KY - Philanthropy is defined as "a desire to help mankind, especially as shown by gifts to charitable or humanitarian institutions," according to Webster's New World Dictionary. But often the act of philanthropy is misunderstood as being something only practiced by the wealthy.
That myth is being dispelled, in part by the Kentucky Philanthropy Initiative, Inc. (KPI). The nonprofit organization was established in 2008 to promote and support philanthropy in the state, in the interest of ultimately addressing challenges faced by its citizens.
The Kentucky Philanthropy Summit was held recently in Lexington to address many of these challenges. This marked the second year for the summit, which kicked off with the presentation of the KPI Transfer of Wealth Kentucky study. The report, which was commission by the KPI, broke down philanthropic opportunities on a county-by-county basis and offered up a few surprises concerning just how much wealth is present in the state and how much opportunity exists in all 120 counties.
"Given what we now know about our resources and potential, we no longer have any excuses," said Judy Clabes, KPI founder and president. "We are empowered to take charge of our own destiny, to define in meaningful ways in communities across Kentucky - with none left behind - the quality of life and economic vitality imperatives we as engaged citizens and caring people want to make happen."
The findings included a projected 2010 net worth of all Kentucky households to be approximately $311 billion, with an estimated $72 billion available to transfer between generations in Kentucky households in the next 10-year period. Over the next 20 years, the transfer of wealth (TOW) opportunity is estimated to be almost $173 billion, and in 50 years that number could swell to over $700 billion.
"It shows that Kentucky can begin to talk about what we do have, the opportunities we can leverage, the brighter future we can create and the power we can unleash to transform our communities," Clabes said of the findings. "Rather than continuing to bemoan our lack of resources in these challenging economic times, rather than waiting for government solutions to our problems, rather than staying stuck in the status quo and at the bottom of lists that count, as citizens - as involved and caring Kentuckians - we can be empowered and encouraged by this Transfer of Wealth intelligence to create lasting opportunities to improve quality of life and economic vitality throughout Kentucky."
The study also noted that if just five percent of the 10-year TOW opportunity were to be captured by local non-profits, such as community foundations, those organizations would realize almost $3.6 billion.
The summit brought experts from here and around the country to discuss ways to make philanthropic endeavors a reality in communities both large and small.
Ron Crouch, director of research and statistics for the Education and Workforce Development Cabinet for the commonwealth of Kentucky and former director of the Kentucky State Data Center at the University of Louisville, addressed the gathering, informing them of the opportunities the state could enjoy if citizens will engage in some type of philanthropic ventures.
"Kentucky is a state of many opportunities if we make the needed investments in our communities. We need to invest in good local educational systems; in communities with the amenities that keep current residents and attract new residents; and in continuing economic development, allowing economic prosperity for our citizens," he said.
Crouch, who has developed national and international databases to help in analyzing trends by Census regions, states and countries, added that the state is experiencing major demographic, social, educational, workforce and economic challenges that need to be addressed. These challenges will require citizens to invest in and commit to their communities' futures by way of small or large donations, based on their net worth, Crouch said.
But it doesn't take a Rockefeller to make a difference. Joe Meyer, secretary of the Kentucky Education Workforce Development Cabinet, said there are opportunities for nearly everyone.
"Being a philanthropist doesn't necessarily equate into being wealthy but rather conscientious. There are many ways for all of us to contribute. It just takes a concerted effort and a focus," he said. "Nothing should be more important than leaving our communities in better shape for our children than we found them, and through philanthropic efforts of all sizes, we can make that happen."
For more information about KPI, check online at http://www.kyphilanthropy.com.