2011 ANNUAL REPORT

Message from the President

LF has made great strides in the past three years. In short we have taken the charism of LF (seeing the city as a playground rather than a battleground) and imbued it with the focus, rigor, discipline, and objectives, which are required to achieve our mission of the spiritual and social renewal of cities. We have recalibrated the organization in many ways ranging from the scaling down of the operating budget, revamping the board of directors, aligning the central staff and their functions, simplifying membership affiliation, and rebranding. These changes have produced significant outcomes including new LLFs, leveraged investment in our members, and additional lives touched. The result is that the LF movement and the organization are markedly stronger, more efficient, and better positioned to continue to bless cities into the future. I hope that you are encouraged by the fruits of your investment.

It is in response to these promising signs that LF has recently completed its “Strategic Plan: 2012-2015” where we will invest even greater resources so as to move from an organization of sustainability to one of viability. Some of those areas of concentration are the development of a LF book and video whereby we will be able to better tell the story of LF’s 40 year commitment to cities; the advancement of an evaluation matrix that will allow LF and LLFs to provide data that demonstrates the impact of our work; the continued mentoring and coaching of new cities throughout the world that desire to become LLFs; and the expansion of our training through curriculum, annual training experiences, and accreditations.

With cities as the dominant reality of the 21st century, more than ever what is required is organizations that are calibrated for just such a reality where a conviction of values is coupled with a sensitive understanding of context; flexibility of process is joined with the rigor of product; and a commitment to God is augmented by the practicality of service. It is our sincerest hope that you will see your investment as having produced just such an organization and will be invigorated to continue to partner with us going forward.

With Gratitude,

Dave HillisPresident

In stepping into these responsibilities I do so with the very deep conviction that LF is uniquely positioned with capacities to make a lasting impact within the urban landscape. These capacities include a set of core values coupled with a sensitive under-standing of context, flexibility of process, and clear demonstra-ble outcomes. I will work to facilitate the further development of the board into a mission community that can support these ca-pacities through our sacrificial giving, diligence to governance, and prayerful support.

In leading our board I also have the good fortune of partnering with our new vice chair, Susan Patschak. Susan has served on the LF board for 5 years and brings a remarkable resume which includes leading a successful company, meaningfully engaging corporations like her own in civic responsibility, and working as an agent of social justice in her community. As friends and col-leagues, our charge will be to further coalesce the board to ef-fectively serve the LF staff and, most importantly, LLFs through-out the world.

As an investor, you are an essential part of this LF community. Over the next year we will be increasing the quantity and quality of our communications with you in order to keep you better and more consistently informed, request your ideas on how we can better steward your investment, and provide opportunities for your further involvement. It is my hope that through the work of the LF board, staff, and most importantly, LLFs throughout the world, you will realize the great challenges we have before us. I am absolutely convinced that God has given us the necessary tools needed to meet our challenging future.

On behalf of the board and the entire LF network we give you our heartfelt thanks!

Jack FortinBoard Chair

Message from the Board PresidentLeadership Foundations (LF) is pleased to report a significant return on your investment—whether time or resources. In reflecting on these returns we are ever mindful that this is a result of the hard work of the LF board, staff, and local leadership foundations (LLFs) throughout the world who have given themselves to a vision that cities can become places of peace.

As LF’s newly elected board chair, I want to thank you for the investment you have made to the LF organization. I have been intimately involved with the LF move-ment from its inception and joined the board two years ago. This past month I assumed the position of board chair as a result of the passing of our beloved Harry Howell. It is my prayer and hope that I will be able to sustain and grow the legacy that Harry created at LF.

2011 Financials

2011 AchievementsThe Pittsburgh Leadership Foundation, founded in 1978, was the first local expression of what today has become a growing global movement, now including 48 fully-vetted local city members with an estimated aggregate budget of $75 million, over 900 staff, working with over 25,000 partners in Africa, Asia, Central and North America.

Leadership Foundations (LF) has made great strides in becoming a viable global network. Through the work of Local Leadership Foundation (LLF) Presidents developing and unanimously ratifying a framework for measurement, new accreditation standards, and an increased dues schedule and a growing Board of Directors stepping up to offer stronger financial support than ever, LF is on track to achieve sustainability by 2013.

Because of your support, 2011 achievements in our LF global network include:

• Serving 27 fully established LLFs in Africa (5), and Asia (3), and North America (19).• Mentoring 21 cities developing LLFs through site visits and specific organizational benchmarks in Africa (4), Asia (1), Central America (2), and North America (14).• Responding to 17 new cities interested in developing LLFs in Africa (5), Asia (1), Central America (1), and North America (10).

2011 had several “firsts” for our movement, including…

• The first LLF in Central America (Guatemala City).• The first LLF in New England (Danbury, CT).• The first book documenting the birth, mission, and growth of our global LF movement (due out in the Fall of this year). This book will be critical in both helping new cities understand the usefulness, mission, and scope of a leadership foundation and in assisting current members generate awareness,

communicate purpose, and raise funds in their local communities.• The first City Transformation Metrics Project, designing improved measurement tools by which LF cities can more consistently and jointly report outcomes.

Other important 2011 accomplishments include:• The Annual Presidents Meeting where leaders from across the network came together (last year in Dallas) to give feedback and direction relative to the movement as a whole and to receive important information in the areas of readiness (training), relationship, and resources (funding, ministry models, and tools) • The Annual LF Training Institute where dozens of LLF presidents from around the world gathered (last year in Chicago) to be a “community of practice” by studying one city’s work in a case study format, sharing best practices, and discussing specific issues such as fiscal strategies in a challenging economic environment. Fellowship and deepening relationships were also priorities.• Our strategic partnership with Communities First Association (with organizational members in 20 US cities working in 400 neighborhoods). For LF members, CFA provides enhanced training and metrics for improving inner city neighborhoods; For CFA members, LF provides a means by which they can move their organization’s scope beyond the neighborhood to engage the whole city by establishing a LLF. • A successful first year of our Peace for Cities Campaign, on track to help LF achieve financial sustainability as a global movement by 2013.

Better Together: Thank you for investing in the global network of Leadership Foundations! By investing, you are joining us in walking alongside leaders around the world working for the social and spiritual renewal of their cities as illustrated on the back page.

Revenue ($533K) Expenses ($533K)

25%

27%7%

41%

61%

5%10%

6%

18%

Board Giving

Earned Income

Fundraising

Membership Dues

Communications

Program

Fundraising

Administration

Management

Leadership Foundations Board of DirectorsJeff Anderson Partners in Ministry Kerrville, TX

Doug Davidian DRD AssociatesFresno, CA Randal Drew PARC Management Jacksonville, FL Howard Eddings, Jr. Memphis Leadership FoundationMemphis, TN Rev. Jack Fortin Augsburg CollegeMinneapolis, MN

Rev. Dr. W. Wilson Goode, Sr.Public Private Ventures Philadelphia, PA

Dr. Larry Lloyd Memphis Leadership Foundation Memphis, TN Barbara Marshall EducatorMenlo Park, CA

Rev. Chris Martin Knoxville Leadership FoundationKnoxville, TN William Milliken Communities in SchoolsAlexandria, VA

Susan Patschak Canopius Bermuda Ltd. Smiths, Bermuda

Sheri Pattillo Business LeaderKerrville, TX Chris Reinmuth Litle & Co.Seattle, WA

Dr. John Stahl- Wert Pittsburgh Leadership Foundation Pittsburgh, PA Patricia Talton Northwest Leadership FoundationTacoma, WA

Malesta Bass Trotman Belk Inc.Raleigh, N.C.

Angela Winn CNL Financial GroupOrlando, FL

Mission to Create ChangeLeaders in a city recognize the need for collaborative and reconcilatory work in their city and decide to seek out LF.

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Identi�cation of Unique NeedsCity leaders and LF mentor assess city needs.

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Tailor SolutionsLF assists group in membership and accreditation process to become an LLF.

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Leverage Community ResourcesLLF connects leaders and resources which builds capacity to address the most pressing needs of the city.

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Global DistributionLF provides a platform for LLFs to share �eld tested best practices with the LF global network.

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FAITH COMMUNITIES

BUSINESSES

NEIGHBORHOODS

NON-PROFITS

SCHOOL SYSTEM

Ongoing Training and Evalu

ation

Adapting to Meet the Needs of the City

Fuel the CityLF increases LLFs capacity to serve the city by providing relationships, readiness, and resources in the form of:-Trainings-Partnerships-Accreditation-Project Replication-Multi-City Initiatives-Joint Funding Opportunities

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LOCAL GOVERNMENT AND LAW ENFORCEMENT

Leadership Foundations’ Mission: To Create Change

www.leadershipfoundations.org

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