The Changing Faces of Philanthropy

January 17, 2012

A new report, Cultures of Giving, commissioned by MCF member W.K. Kellogg Foundation looks at the recent growth of identity-based philanthropy – defined this way:

A growing movement to spark philanthropic giving from a community on behalf of a community, where “community” is defined by race, ethnicity, gender or sexual orientation.

The U.S. population is changing, with ethnic and racial groups growing faster than the overall population. Not surprisingly, the face of philanthropy is changing along with it.

The report found that 63 percent of Latino households now make charitable donations, and blacks give away 25 percent more of their income per year than whites.

Concurrently the definition of philanthropy is expanding to encompass contributions of any size from people of every income bracket and ethnic background. And, the report shows how these new philanthropists are pooling their money—in increasingly organized ways—for greater impact.

The report challenges funders to consider ways to collaborate:

  • by providing seed support and other forms of assistance,
  • by embracing identity-based funds as critical partners in the sector and forging stronger connections within communities of color,
  • by diversifying the leadership of mainstream philanthropy to reflect changing demographics and
  • by shifting practices to reflect what communities of color are teaching about the future of giving and how funders can positively impact the country’s most vulnerable children and families.

MCF agrees that grantmaking is most effective when grantmakers reflect the diversity of the communities they serve.

For local information on the subject, check out our 2011 Working Towards Diversity IV report, which paints a comprehensive picture of the demographics, policies and practices on diversity and inclusion of Minnesota grantmakers. Review our diversity resources, and visit the websites of our strategic partners:

It’s important work. W.K. Kellogg Foundation president and CEO Sterling Speirn puts it this way, “We believe that understanding and supporting this emerging area of philanthropy is essential for any foundation, funder or donor who wants to drive social change.”

- Susan Stehling, MCF communications associate

CC Photo: KellyCDB



Headwaters Foundation for Justice Honored for Responsive Philanthropy

September 8, 2011

Headwaters Foundation for JusticeHeadwaters Foundation for Justice has received the 2011 Responsive Philanthropy Award. Given by MAP for Nonprofits and the Minnesota Council of Nonprofits, this annual award honors philanthropic organizations that effectively partner with grantees to mobilize resources for the public benefit.

Recipients of this award must be:

  • Responsive to citizen initiatives;
  • Recognize public policy issues and long-term strategies to fight problems; and
  • Commit substantial resources to disadvantaged people and Minnesota communities through a process of dialogue and partnership.

For nearly 30 years the Headwaters Foundation for Justice has been devoted to funding those who fight social, racial, economic and environmental injustice within communities. The work of Headwaters falls into four program areas: grant making, capacity building, donor advisory and educational programs.

Headwaters has directed close to $9 million in grants to Minnesota organizations serving low-income communities, communities of color, GLBTQ people, people with disabilities, immigrants and other historically excluded constituencies.

The foundation will receive their award in a recognition ceremony at Minnesota Council of Nonprofits 25th Annual Conference in October. You can learn more about the foundation and its activities at headwatersfoundation.org. Headwaters is one of six nonprofits to be honored. To learn about the other award recipients, visit minnesotanonprofits.org.



Philanthropy’s Promise

June 13, 2011

More than 60 leading grantmakers from across the country have signed on to a new National Committee for Responsive Philanthropy initiative called “Philanthropy’s Promise.”

These grantmakers have voluntarily committed to:

  • allocate at least 50 percent of their grant dollars to address the unique needs of the poor, elderly, disabled and other underserved populations,
  • and at least 25 percent towards supporting advocacy, community organizing and civic engagement to address the root causes of social problems.

Seven Minnesota Grantmakers, all MCF members, have signed on:

  • General Mills Foundation
  • Headwaters Foundation for Justice
  • The McKnight Foundation
  • The Minneapolis Foundation
  • Northwest Area Foundation
  • The Saint Paul Foundation
  • Women’s Foundation of Minnesota

Kate Wolford, president, The McKnight Foundation, explains their participation this way,

“With limited resources, McKnight’s programs seek to provide support where we believe we can have the greatest impact. In many cases, this requires that we attend to underserved communities. … Additionally, McKnight’s board has long recognized the power of pursuing lasting, systemic change through advocacy, community organizing, and civic engagement.”

To learn more about the background and goals of “Philanthropy’s Promise,” watch this three-minute video.

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- Susan Stehling, MCF



Capacity, Culture, Commitment and Comfort: Finding Public Policy Strategies That Fit Your Foundation

July 20, 2010

How much change can a foundation catalyze by simply – albeit generously – writing checks? Not as much as it could if it also engaged in public policy activities. In fact, public policy work should be viewed as an essential part of a foundation’s efforts, say several members of the Minnesota Council on Foundations.

In our Summer issue of Giving Forum, “Public Policy and Philanthropy: Many Roads Lead to the Same Destination – Change,” John Larsen, trustee and administrator of the John Larsen Foundation, says, “Ultimately, the work of our foundation is about creating real, systemic change, and that can only happen when we start talking to government. Whether you’re a small family foundation like us, or a very large foundation, we all need shifts in public policy in order to achieve really significant lasting social change.”

The challenge is that working to achieve shifts in public policy is often equated with lobbying. And the thought of walking up the steps of the Capitol or testifying before a legislative committee is more than many funders can fathom.

Lobbying, however, is not the sole avenue to influencing public decision making and advocating for causes. Although it is the most recognized public policy engagement tactic, it is only one of 18 distinct policy strategies that Julia Coffman outlines in “A User’s Guide to Advocacy Evaluation Planning,” published by the Harvard Family Research Project.

A “Framework of Public Policy Activities,” which we include in Giving Forum, also includes using electronic outreach and social media, coalition and network building, grassroots organizing, briefings and presentations, polling, pilot projects, research investigating issues and identifying solutions and policymaker education, among others – all of which can impact public decision making, which ultimately shapes policy development, approval and implementation.

A foundation can engage anywhere along the continuum, pursuing those activities that fit its capacity, culture, commitment and comfort levels. A public policy activity that feels right for one foundation may not fit another.

Many foundations choose a combination of strategies, leveraging their resources to: raise awareness of where the public stands on particular issues; bring together divergent points of view to first converse then collaborate; empower community members to advocate on their own behalf by providing technical assistance; increase the capacity of nonprofits to mobilize others; identify messages that resonate with policymakers and the public; determine what would happen if the status quo was allowed to prevail; aggregate what is known already about an issue and put that to work to further discussion; or identify possible solutions and best practices.

These MCF members have each chosen distinct strategies to impact public decision making that fit their capacity, culture, commitment and comfort level. Read more about their work in our just-published Giving Forum:

Lead article:

Southern Minnesota Initiative Foundation: An outgrowth of its grantmaking and programmatic activities, community dialogues and business loan work, SMIF’s public policy activities, including building coalition and networks and partnering with the media to draw attention to the issues and how public policy could impact the success the foundation seeks.

The Minneapolis Foundation: As part of the School Readiness Funders Coalition, a group of funders with diverse strengths and abilities in advocacy work, The Minneapolis Foundation brings to the group its ability to lobby and testify at legislative hearings to advocate for the coalitions “Agenda to Achieve Learning Readiness by 2020.”

John Larsen Foundation: When awarding grants supporting work toward LGBT equality, the foundation  considers if educating policymakers is an end goal of the nonprofit’s work and if the organization has a research plan and a track record of communicating those findings to policymakers.

Indian Land Tenure Foundation: Striving to ensure that lands within the original boundaries of reservations is acquired, owned and managed by Indians, the foundation views education about land issues a priority, as well as identification then pursuit of strategies for achieving legal reform.

Women’s Foundation of Minnesota: The explosion of social media has created a new landscape for the foundation to leverage its expertise to educate, engage and broaden its reach to shift attitudes, behaviors and institutions that limit equality for women and girls.

Voices of Philanthropy articles:

Bill and Melinda Gates Foundation: Identifying partners best qualified to successfully implement strategies and measuring what’s important to guide future initiatives drive the foundation’s advocacy work.

Initiative Foundation: Based on the belief that local people are the key to strengthening communities, the foundation increases civic engagement by providing training, technical assistance, resource referral and grants to help citizen-based teams develop and carry out strategic plans.

While these efforts are diverse, the common thread amongst them is the recognition by these foundations that strategically developing goals to influence public decision making and intentionally engaging in public policy activities and advocacy work can move systems change forward.

- Chris Murakami Noonan, MCF communications associate


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