Scotch College Philanthropy Impact Report 2017

Why Teach Philanthropy at Scotch — and How?
Reading, writing, ‘rithmetic... and philanthropy?
Granted, philanthropy is not the first topic that
comes to mind when thinking about standard
offerings at independent schools. But increasingly,
students studying humanities, social or hard
sciences, or business can learn about philanthropy,
and it’s easy to see why. Philanthropy Australia
estimates that 14.9 million Australian adults (80.8%
of the population) gave $12.5 billion to charities
and not-for-profits organisations in 2015-16.
Australians contribute their time, talent, and
especially, treasure in philanthropic ways. The term
philanthropy, the Greek for “love of humanity,”
captures the virtuous thrust of giving and giving
well. But for some, the ‘love for humanity’ just does
not cut it. They question why a well-resourced
school like Scotch needs philanthropy. The answer
is fourfold: our ambitions, needs, wants and
impact.
We are an ambitious school determined to
make an impact. Like every great educational
institution, these aspirations are achieved through
philanthropic partnership. Last year Eton College
(UK) raised GBP5.2m, while Phillips Exeter Academy
in the US raised US$6.67M. Scotch Melbourne
Foundation has assets of $49.6M and has secured
an additional $10.3M for its Building Fund. Like
these other schools, we are uniquely positioned
and deeply committed to making transformational
impact through our students.
Our school also has needs. Our annual income is
around $25 million. 20% roughly comes from state
or federal government. The rest comes from fee
income. We demonstrate robust financial health
and generate a surplus each year.
However, once we cover our running costs
(salaries being the major part), and service our
debts, we are left with enough to refurbish a
set of classrooms, renew furniture, deal with
small, but high priority infrastructure demands
and make progress with some very unsexy yet
essential fundamentals like bore water systems.
Our Investment Committee oversees our longterm
reserves. However, these funds are mainly
committed to scholarships and we never spend the
capital.
We don’t own large amounts of property in the
CBD that provides regular income nor have any
undiscovered Assyrian mosaics sitting on the back
wall of the canteen worth 8 figures (trust me, we
have looked)! We equally do not intend to sell
precious land and lose for ever the family silver.
So, if we are to radically change our infrastructure,
if we are to build the next McBean Centre,
Rosevear House or Webb Science Centre, to
support our future needs, we need to raise funds
– big funds – through philanthropy. In other words,
we need your support. And as this report shows
over the next few pages, we are getting it…
Last year a new benchmark was set at Scotch
in both amounts given and participation. Nearly
800 members of our community either gave to
Scotch or gave through Scotch to other charitable
organisations. We are tremendously grateful for
these gifts and determined to make sure that they
are used to enhance and grow our programs.
Lastly, because we are also a school and because
philanthropy can be learned, we want our students
to learn it.
Research by the University of Maryland highlights
how seeing one’s parents give can influence
later giving and altruistic behaviours in children.
Witnessing an influential adult engage in
philanthropy is most effective in passing along
the importance of helping others. This teachable
moment is intensified when coupled with
discussion about the importance of such actions.
If giving is teachable, then the school years
represent a tremendous opportunity to instil such
behaviours in the next generation. Think of the
impact we could make, if we were all more savvy
about philanthropy. As taxpayers are increasingly
less willing to fund public giving, everyone in the
non-profit world has to get out and make the case
for why we are deserving of funds. The rise in social
media fuels a need for us to be vivid, authentic
tellers of our own story. The key to successful
philanthropy is understanding and telling the story
of what the problem is, why the giver is the best
person to respond to the problem, and why the
recipient is the best candidate for solving the
problem.
I want to thank each one of you, for partnering
with us to enable an exceptional Scotch education.
I believe that today’s students, taught the
principles of giving and serving humanity, and
even given a chance to take those principles
out for a spin thanks to the generosity you have
demonstrated, will find new ways to improve our
nation, surprise us, and make us proud.
Dr John Newton
Principal
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