Donations to U.S. nonprofit hospitals and healthcare systems grew 8.2 percent last year, totaling $8.941 billion, said a report released this week by the Association for Healthcare Philanthropy.
According to AHP’s Report on Giving-USA, for fiscal year 2011, the total for cash gifts and pledges represented a 4 percent increase over the previous high of $8.588 billion set in FY 2008. That year marked the peak of a steady growth period that began in FY 2002 but dropped sharply as the recession took hold.
Also on the rise last year were the number of donors, up more than 2 percent, and the number of gifts received, up 4 percent.
"Philanthropy is absolutely vital for not-for-profit healthcare organizations, and it is encouraging to see that recent trends in giving have been more promising," said William C. McGinly, PhD, president and CEO of AHP.
As the economy recovers modestly, donors are increasing their contributions, said McGinly.
“Capital donors and major givers who may have been holding off on their contributions due to the slow economy are feeling more confident now, and, as a result, are making more donations,” said McGinly.
Another factor driving the uptick in philanthropy is the wider understanding of healthcare issues that has resulted from the political conversation around the Affordable Care Act, McGinly said.
“In the minds of a lot people there is a heightened awareness about healthcare,” he said. “Some of the uncertainty in the marketplace and around healthcare reform is clearing up a little bit and there is a knowledge of increased need.”
McGinly says the increase in giving is also the result of the hard work being done by hospitals and healthcare systems to maintain relationships with their major donors.
“The high performers didn’t rush out and slash staffs or expenses. There has been a continuity to those relationships, and they have made more targeted efforts,” said McGinly.