The Towsley Foundation seeks to partner with charitable organizations to improve the lives of people and communities by funding projects that demonstrate effectiveness, efficiency, sustainability, and strategic thinking. The Foundation prioritizes environmental stewardship and community collaboration among its grantees. However, due to limited financial resources, the Foundation is unable to support the majority of grant requests received. Declined applications should not be interpreted as a judgment on the merit of the proposal.

The Foundation primarily funds projects in Michigan and does not provide grants, loans, or scholarships to individuals or private foundations. Additionally, grants are generally not awarded for conference attendance, travel, books, publications, films, tapes, or other communication media. However, educational conferences hosted by the applicant are eligible. Capital project grant requests may not exceed 10% of the total project cost, and if approved, funds are typically disbursed in equal annual installments over three to five years. Projects or organizations that are political in nature or seek to influence legislation are ineligible for funding. Furthermore, the Foundation does not provide ongoing or annual funding, instead encouraging financial sustainability and a diverse range of funding sources.

Organizations that have previously received support from the Foundation must wait at least two years after the final payment before submitting another grant request. Additionally, organizations that have had a prior grant application declined must wait at least one year before reapplying. This waiting period does not apply to notifications of ineligibility. Exceptions may be granted for organizations with separately functioning units or funds under the same tax exemption number. Discretionary grants or matching gifts initiated by a Foundation trustee do not count toward the waiting period.

For grant requests of $250,000 or more, applications must be submitted online by the deadlines for the first two Board meetings of the year to allow sufficient review. Final decisions on these large grant requests will generally be made at the final Board meeting of the year. The Foundation meets three times annually to review and consider grant applications, with deadlines for electronic submissions as follows: January 3, 2025, for the February 21, 2025, Board meeting; May 30, 2025, for the July 18, 2025, Board meeting; and August 29, 2025, for the October 17, 2025, Board meeting.

To apply, organizations must complete an online application form that includes questions about their organization and the proposed project. Additionally, applicants must provide a copy of their IRS determination letter demonstrating 501(c)(3) status, a project budget, audited financial statements for the most recent fiscal year (or an applicable IRS Form 990), a current annual report, and a website link. The Foundation may request additional information as needed. Applications can be saved before submission, and applicants can access previously saved applications before finalizing their submission.