The trend toward expanding the role of foundations has intensified during the recent recession and is likely to continue. More than 40 states this year cut funding for public higher education, according to Grapevine, an annual study of state support of public higher education produced by Illinois State University's Center for the Study of Education Policy with the State Higher Education Executive Officers. The financial link, however small, to the states in which they operate still subjects many public universities to state politics and mandates regarding state employment, which can be limiting. The freedom offered by separating fundraising operations from cumbersome state university systems becomes an attractive option. Still, according to an analysis of transitioning IRFs conducted by Eduventures, a higher education research and consultancy firm, transforming a college or university development shop into a private nonprofit requires careful preparation. Those who have recently moved fundraising operations out of the university environment agree that one of the biggest hurdles is transitioning existing staff. This kind of change is often initially met with skepticism and, in some cases, resistance from staff. In this article, the author posits that transitioning fundraising to a foundation is an imperfect and bumpy process that needs to be tailored to the structure and political environment of each institution. While the foundation model might not be feasible (or the best choice) for all institutions, the underlying goals of high-level volunteer engagement, sustainable budgets, and improved staff performance and accountability are key functions that development operations need to address in some way for continued success.