Detroit Institute of Art’s Extraordinary Turnaround

Good fundraising requires flexibility, discipline, and not a little bit of luck. The rescue of the Detroit Institute of Art (DIA) is an example of a creative response to trying conditions.

About a decade ago, DIA (then owned by the City of Detroit and called the Detroit Art Museum) was on the verge of having much of its world-class collection sold to pay the creditors of the city, which was then in bankruptcy.

Through the staunch support of community foundations and the legislative creation of a “millage” (a temporary tax earmarked for the museum), the institution converted into a private 501(c)(3) and is now in the strongest financial position of its 100+ year history. Most importantly, the museum’s extraordinary holdings were not gutted by the bankruptcy court. By the time the millage expires in 2032, DIA projects that its future will be stable for decades to come.

Even though charities are experiencing a “golden age” of bequests, it is never too early to consider diversifying funding sources. While few organizations will have the governmental status to qualify for millage, there are readily accessible modes of fundraising that major gift officers might consider.

Check out our blog postings and e-books on charitable gift annuities, corporate sponsorships, cause marketing agreements, and event fundraising. Finally, do not overlook the possibility that unclaimed property may be waiting for your organization.

This article was originally published on June 13, 2024, on our LinkedIn.