Idaho Runs on Nonprofits: A Conversation with the Idaho Community Foundation
If you have ever wondered whether the nonprofit sector really matters to Idaho's economy, Bill Pfinsgraff has some numbers that might surprise you.
On a recent episode of A Little Birdie Told Me, I sat down with Bill, the Philanthropic Advisor for the northern region of the Idaho Community Foundation, covering the northern ten counties of our state. He is one of those people who is just genuinely fun to talk to, and what he shared about the state of philanthropy in Idaho, who is giving, who is moving here, and what it all means for organizations like ours, was both eye-opening and encouraging.
First, the numbers. According to the Idaho Community Foundation's State of the Sector report, nonprofits in Idaho are the fifth largest sector in the state, just behind construction. They employ over 81,000 people and contribute $13.1 billion to Idaho's economy. Let that sink in for a moment. The nonprofit sector is not a side note to Idaho's story. It is a central chapter.
The Idaho Community Foundation, or ICF, was founded in 1988 and exists for one purpose: to support the nonprofit sector across the state of Idaho. Unlike a private foundation, which typically has a single source of funding and a single initiative, ICF draws from a broad base of donors and supports a wide variety of organizations and causes. They manage endowment funds, create charitable giving vehicles for individuals and families, and work to build the long-term capacity of nonprofits throughout Idaho. One of his favorite phrases says it well: Idaho runs on nonprofits.
One of the most interesting parts of our conversation was about the difference between restricted and unrestricted giving. Bill made the case, gently but clearly, that unrestricted gifts are the most powerful kind of donation a nonprofit can receive. Restricted funding, while well intentioned, can sometimes create real problems. He shared an example of an organization that received a grant to renovate a building and then found themselves unable to use that building for anything beyond a very narrow set of purposes specified by the grant. The building sits there, maintained but underutilized, while the organization's actual needs go unmet. Unrestricted gifts, on the other hand, allow organizations to respond to what is actually happening on the ground and to evolve their mission as the community's needs change.
Bill also shared some fascinating findings from ICF's New Idahoans Study, a research project that looked at who is moving to Idaho, where they are coming from, and how to connect them with local nonprofits. The majority of new residents are coming from California, with Washington state a close second. And contrary to what many people assume, it is not primarily retirees making the move. It is young families who could not afford to raise children where they came from and see Idaho as a place where they can build a life. These newcomers tend to be community minded and genuinely want to get involved. The challenge is connecting them with local organizations rather than defaulting to the national nonprofits they already know.
The study also surfaced something worth noting. Idaho is third in the nation in volunteerism, which speaks to something real and good about who we are as a state. But we rank 47th in philanthropic giving. Bill believes a number of factors contribute to that gap, including the large percentage of new residents still finding their footing, the lack of large private foundations in our state compared to others, and the simple reality that Idaho is becoming increasingly unaffordable. When housing costs are climbing toward twice the ratio seen during the 2007 housing bubble, people have less margin to give financially, even when they genuinely want to.
The solution, Bill says, is not to give up on those donors but to meet them where they are. Low barriers of entry. Family friendly volunteer opportunities. Community events that introduce people to organizations without immediately asking for a major commitment. Build the relationship first, and the giving will follow.
What stayed with me most from our conversation was Bill's answer when I asked him what his favorite part of the job is. He said this work has restored his faith in humanity. Every day he meets people whose only goal is to support their community and give back to people they have never met. In a world where the loudest voices online are often the most discouraging, he gets to see people at their best.
That is something worth holding onto.
At the Community Resource EnVision Center, we believe that a strong community depends on a strong nonprofit sector, and a strong nonprofit sector depends on donors, volunteers, and organizations working together with trust and intention. The Idaho Community Foundation is doing important work to make that possible across our entire state.
To learn more about the Idaho Community Foundation, their grant programs, or how to create a charitable fund, visit idahocf.org.
This post is based on a recent episode of A Little Birdie Told Me. Listen to the full conversation to hear more from Bill Pfinsgraff.
"The nonprofit sector contributes billions to Idaho's economy and deserves to be recognized as an economic driver."
— Bill Pfingsraff
"This job has reinstilled my faith in humanity. I get to meet with donors every day who simply want to support their community and people they may never even meet."
— Bill Pfinsgraff

"We're seeing the largest transfer of wealth ever, and with it comes a tremendous opportunity to strengthen Idaho's nonprofit sector for generations to come."
— Bill Pfinsgraff





















































