Who is working to increase diversity and inclusion in the philanthropy field? D5, a coalition that includes 18 foundations and philanthropic support organizations, seeks to change the face of philanthropy in America. The coalition’s most recent report, State of the Work 2012, builds on previous data that suggests foundation staff and giving patterns do not reflect the diversity present in the U.S.

Thanks to the efforts of foundation executives and staff, it seems the pattern is reversing for the better. More foundations are putting greater emphasis on hiring diverse professionals, and some organizations, such as the Council of Michigan Foundations and Philanthropy New York, have launched learning initiatives in their states to understand more about the diverse communities they serve, including Arab and Muslim Americans.

In addition to their other work (which includes defining best practices in diversifying philanthropy and performing outreach efforts), over the next few years D5 will be building the capacity of “population-focused funds (PFFs)” that concentrate their efforts on specific cultural groups, strengthening donors and enhancing giving in diverse communities through their Philanthropic Inclusion Fund. The Center for Arab American Philanthropy is pleased to partner with D5 in this initiative, and is privileged to receive a $10,000 grant that will further our mission of advancing Arab American philanthropy.

D5 says:

Population-focused funds have immense potential but don’t yet receive the foundation support they need to grow and become sustainable. Diverse donors need greater recognition and visibility to increase their connections to fellow donors, key networks, and the larger field of philanthropy as well as to debunk the myth that diverse communities lack the ability, philanthropic culture, or resources to attack problems affecting their communities.

Related articles

• Prioritizing diversity: Why ethnic funds matter (Philanthropy in AAction)
• Arab American giving: Diverse voices informing philanthropy (Philanthropy in AAction)

Originally written by Rick Cohen for Nonprofit Quarterly

How important are charitable or philanthropic funds established by ethnic or racial groups? Has the development of middle classes in the African American, Asian American, and Latino communities reduced the pressure on groups to generate capital to fund the needs of their own communities? Have comparatively newer ethnic or racial groups in the U.S. begun to develop their own charitable grantmaking mechanisms?

These questions were prompted by a chance coincidence, a get-to-know-you conversation with Maha Freij, the founder of the Center for Arab American Philanthropy, that turned into a two-hour exploration of the importance and implications of philanthropy identified with and controlled by emerging and longstanding ethnic and racial groups.

The Seeds of Ethnic and Racial Philanthropy

For some years, ethnic and racial activists from the Latino and African American communities were strong proponents of creating their own charitable and philanthropic funds. Such funds were not simply to serve their own communities that might be underserved by mainstream philanthropy, but also to offer grants with an ethnic or racial cast to other nonprofits. This was a big, visible movement in the 1980s and 1990s and even earlier. Efforts such as the National Black United Fund and various Asian American and Latino funds were set up to capture and distribute charitable dollars originating within those communities.

The first Black United Fund was the Brotherhood Crusade in Los Angeles, created in 1968 by Walter Bremond, then a program officer at the Cummins Engine Foundation. That led to the creation of similar funds in Philadelphia, Chicago, Oakland, Memphis, and Portland, Ore., among others, and in 1972, the National Black United Fund (NBUF) was established. The United Latino Fund (ULF) was created in 1990, also in Los Angeles, and in 1996, the Hispanic Federation created the National Latino Funds Alliance, now with eight members, though not the ULF in Los Angeles. The foundation affinity group Asian American Pacific Islanders in Philanthropy (AAPIP) has been promoting Asian American “giving circles” as mechanisms for “increasing philanthropic capital to our communities and…moving individuals to act on their own initiative, counting 17 giving circles in the U.S. To some, these funds were at the forefront of social justice philanthropy, supporting causes that mainstream charities such as the United Way, community foundations, and local private foundations shied away from (though foundations such as the W.K. Kellogg Foundation played prominent national roles in promoting ethnic philanthropy and sometimes helping capitalize the funds themselves).

At the forefront of the contemporary philanthropic movement within the Arab American community is Maha Freij’s organization, the Center for Arab American Philanthropy. The Center is actually a project of an organization called ACCESS, a 41-year-old service organization based in Dearborn, Mich. The location should be no surprise, as Dearborn is the center of the Arab American population of the U.S. Of the 1.7 million Arab Americans in the U.S., one-third live in California, New York, and Michigan. One-third of the population of Dearborn, Mich. has some Arab heritage. ACCESS developed along with the growth of the Arab American (mostly Lebanese) population of southeastern Michigan, growing from a volunteer-run storefront operation to a significant service provider with 270 staff and programs in physical and mental health, employment services, academic programs for youth, and a panoply of information, referral, immigration, and legal services.

But the story Freij describes is far from simply a growing service delivery shop. In her telling, ACCESS developed into an institution of symbolism and meaning not just for the Arab American community of southeastern Michigan, but nationwide—and that led it into an appreciation of the importance of philanthropy to ethnic communities.

For the rest of the article, please visit Nonprofit Quarterly’s website.

A new page has turned in identity-based philanthropy. “Arab American Giving: Diverse Voices Informing Philanthropy,” an event jointly hosted on Friday, May 11 by the Center for Arab American Philanthropy (CAAP) and the Council of Michigan Foundations (CMF), brought together a national group of Arab American philanthropists as part of their effort to advance diversity, equity and inclusion within the philanthropic sector. “Arab American Giving” represented the first time a mainstream philanthropic support institution has reached out to members of the Arab American community to obtain their unique perspectives and visions.

Together, attendees discussed the current state of Arab American philanthropy, as well as future aspirations, opportunities and challenges. CMF staff was able to hear from immigrants as well as second and third generation Arab Americans - a diverse group within itself. By the end of the event, attendees had a greater understanding of how Arab Americans can band together to collectively affect change in the philanthropy world, and how CAAP and CMF can help Arab American philanthropists reach their goals.

This event is the first in a “listening tour” series in which CMF seeks to understand how mainstream philanthropy can be more inclusive of ethnic or identity-based philanthropy. You can see photos from the event and more on our Facebook page!

Along with our sister project the National Network for Arab American Communities (NNAAC), we are excited to announce that on Saturday, May 19, 2012 volunteers from around the country will join together to participate in the 8th National Arab-American Service Day.  While the service projects in each city will be unique, this event is a true testimony that Arab Americans are giving back to their cities and to America. The spirit of philanthropy extends beyond solely giving money to donating time in service and volunteerism. Arab Americans will join other Americans in a day of service to strengthen their communities, build bridges with one another, and make an impact in their neighborhoods and cities. As a symbol of unity, participating organizations will partner with agencies outside of their own community in order to serve all Americans.

The Detroit Arab American community will be volunteering at the historical Belle Isle Conservancy, patching up a run-down zoo, cleaning along the shore of the island and destroying invasive plants in the forests. For a full list of Arab American Service Day events, click here. Find an event near you and join in! 

The explosion of mobile technology (including applications) in recent years has caused many nonprofits and foundations to begin considering ways to include mobile technology in their marketing and operational strategies. Most often these strategies include converting websites into a mobile-friendly format, sending text message alerts and developing mobile applications.

However, these measures can prove costly, and sometimes unnecessary. There are several applications already in existence that can engage citizens in giving back to causes of their choice, and nonprofits that are late in the mobile game can potentially benefit from several mobile application platforms.

One great example is Instead, a mobile app that inspires citizens to make philanthropic choices in their everyday lives. Encouraging people to “live below their means to give more,” Instead provides a platform for people to make less expensive (often healthier) choices - and donate the difference to charity.

For example, a couple could decide to forgo the movie theater on a Saturday night, stay in and use Redbox, and donate the difference. It’s a more sophisticated version of donating what you would spend on a cup of coffee to charity, with a high-tech facilitator. Overall, Instead aims to change the daily habits of consumers, and instigate microphilanthropy. The application is available on iTunes, and nonprofits can suggest their organization for inclusion here.

A second application, Reward Volunteers, makes it easy for nonprofits to, as the name of the app suggests, reward their volunteers. Developed by tech startup Chalo, Reward Volunteers provides a social platform where volunteers can log their volunteer hours and tasks, unlocking gifts along the way. Prizes include cash, food baskets, and even vacation packages.

While this application creates great incentives for citizens to volunteer for organizations they care about, the Reward Volunteers program is limited, only running through July 7, 2012. However, hopefully applications such as Reward Volunteers and Instead will inspire a new era of mobile technology - one that inherently seeks to give back to community organizations through innovation.

Related articles

• Creative microphilanthropy (Philanthropy in AAction)
• A new app helps you buy less - and give generously (GOOD.is)
• Nonprofits need to think more about mobile (Chronicle of Philanthropy)

Photo courtesy JD Hancock

Teen Grant-making Initiative announces first round of grantees

The Center for Arab American Philanthropy’s Teen Grant-making Initiative (TGI)  has announced 12 grants to benefit organizations in metro Detroit that serve youth. The grants, which total $4,600, will enhance and support youth leadership training, service learning, health education and the performing arts.

TGI consists of 20 Arab American young people dedicated to improving their community through grant-making. The group has been meeting for the past seven months to ascertain the needs of youth in metro Detroit and release a request for proposals. TGI received 24 proposals and selected 12 organizations for their first grant-making round. Some highlights from two of TGI’s grantees are below, but you can access the full list by visiting our website.

Southwest Solutions: In recent years, Detroit has become a prime location for far-flung “urban explorers” to visit and photograph abandoned buildings. While these explorers often produce beautiful photos and bring home good stories, these buildings pose a threat to Detroit citizens, especially students.

One community development organization, Southwest Solutions, has engaged teens to raise awareness and take action against these buildings - which all too often become hotspots for gangs and drug dealers. TGI funding will be used to produce a documentary video called “Abandoned Houses Detroit Initiative,” which will address the issue of blight in Southwest Detroit and provide teens with new skills to spread awareness about community challenges.

The Heidelberg Project, an internationally recognized arts institution, brings art directly to students through their Art, Community and Environmental Education program (ACE2). Working primarily in third-grade classrooms, ACE2 supplements art education in metro Detroit public schools.

With TGI funding, Heidelberg will train high school students to shadow and assist docents in the classrooms. ACE2 develops leadership skills while helping students imagine new artistic possibilities, teaching them the value of creativity to reshape their environment and community.

Related articles

• Teens get first-hand experience in grant review (Philanthropy in AAction)
• Youth philanthropy group releases request for proposals (Philanthropy in AAction)

Thanks to you we have raised $335,000 in 10 days to educate our children and keep them healthy. Along with its parent organization ACCESS, the Center for Arab American Philanthropy (CAAP) was the only Arab American organization in the country competing with 21 other ethnic nonprofits in a W.K Kellogg Foundation Cultures of Giving challenge. And 395 of you stepped up, giving over $210,000 to make ACCESS and CAAP the winners of three special challenge days and qualifying us for $125,000 in prize money and matching funds – the most of any organization. What’s more, ACCESS and CAAP had the highest number of unique donors among all groups. To see the final leader board, please click here.

We always knew we had great friends and supporters – with this challenge we’ve been able to show our culture and pride nationally.

Most important, we’re all winners. W.K. Kellogg’s visionary challenge has raised more than $1.3 million among minority communities – money that is dedicated to youth programs. CAAP will carry on the spirit of this challenge by expanding our groundbreaking Teen Grant-making Initiative (TGI).

Launched this year in metro Detroit, TGI is a project by youth, for youth. It aims to inspire and grow a culture of philanthropy within our community. Right now, TGI consists of 20 dedicated, motivated teens in Dearborn and the metro Detroit area. With resources from the Kellogg challenge this will become a national program! Please click here to find out more about TGI.

Photo courtesy jcbonbon

How are foundations addressing issues of diversity?

The Center for Effective Philanthropy recently conducted a massive survey of 70 funders and 10,000 grantee organizations to decipher whether foundations are discussing racial diversity among themselves and with their grantees. The results found that not many (38 percent) of foundations discussed racial diversity with their grantees, but that it didn’t seem to matter all that much to (one third of) the grantees.

A recent report from the D5 Coalition (a group of philanthropic support organizations whose aim is to grow the sector’s diversity, equity and inclusion by 2015) sheds light on the current state of philanthropic diversity:

1. Foundation leaders are overwhelmingly Caucasian and do not reflect the diversity of the populations they serve.
2. Few foundations have official diversity policies and practices in place.
3. Data suggests that diverse populations are overwhelmingly underfunded, while identity-based funds are on the rise.
4. There is a lack of standardized data collection on issues related to diversity and inclusion.

Considering these findings, the rise of identity-based foundations seems justified as ethnic foundations tend to “fill in the gaps.” Ethnic philanthropic institutions, such as the Center for Arab American Philanthropy (CAAP), fund underrepresented and overlooked communities. In the case of the Arab American population, we are especially overlooked as there is almost no formal data available in the United States on individual Arab American giving, or numbers of foundation board staff or donor-advised fund holders who are Arab American. In 2006, CAAP (then known as the Collaborative of Arab American Philanthropy) produced the first known report: Insights on Arab American Giving.

As representatives of a unique minority group, we need to to be more vocal about our needs to major foundations, and CAAP is helping to give Arab Americans that voice.

We hope that you will be generous April 17-26 during the Cultures of Giving Donor Challenge. This initiative aspires to diversify the face of philanthropy by leveraging the giving power of 22 ethnic funds around the country. All proceeds will go towards youth projects, including our Teen Grantmaking Initiative. For more information please visit our fundraising page.

Photo courtesy Kevin Dooley

Who are the faces of contemporary philanthropy?

As the only full-service philanthropic institution dedicated to harnessing the giving power of Arab Americans, the Center for Arab American Philanthropy (CAAP) is accustomed to serving a unique role in society. And now, we are joining other identity-based philanthropic organizations like the Hopi Foundation, HandsOnAtlanta and Hispanics in Philanthropy to participate in the Cultures of Giving Donor Challenge from April 17–26. 

Driven by the W.K. Kellogg Foundation, the Cultures of Giving Donor Challenge is part of a nationwide effort to celebrate diverse giving traditions, and make philanthropy more inclusive. CAAP (and its parent organization, ACCESS) will be raising funds online, competing for monetary prizes during those ten days in April. 

The first $20,000 we raise will be matched dollar for dollar by Kellogg, along with several other significant award opportunities. Part of the proceeds will help fund our Teen Grantmaking Initiative (TGI) to continue making an impact in the community through supporting youth-serving organizations.

One challenge, 10 days, $150,000 at stake. Will you help us change the face of philanthropy?

To learn more and to donate, please visit our Razoo page.

Transparency, fiscal responsibility, accountability: not words that sound very appealing to most. Rather than pouring over cash flow projections, or preparing prospective budgets, many nonprofit executives and staff would prefer to focus on implementing programmatic activities, and positively impacting their communities. However, financial health is crucial to the success of any nonprofit. Funding sources, in particular, look for transparency and accountability in an organization’s finances when making grant decisions. 

A relatively new topic of study, nonprofit financial literacy is the subject of a recent report from the Moody’s Foundation and the Center on Philanthropy at Indiana University. Only 6.9 percent of respondents claimed financial expertise, and 17 percent self-identified as “novices” when it came to financial literacy.

There are many steps that nonprofits can take to improve their financial savvy. Only 26 percent of respondents stated that their board of directors was “very involved” in financial planning. Financial oversight from the board helps to guide fundraising efforts, and overall strategic decision-making. Keeping accurate financial records will directly affect and lead all future program activities. In addition, keeping a cash reserve and conscripting independent financial audits are good ideas, particularly in today’s volatile economy.

Enhanced financial literacy will improve the overall sustainability of your organization by increasing your chances of obtaining grants, passing due diligence inquiries, and expanding your donor base. In the end, nonprofits need to answer to their donors, through providing transparent, readily available financial statements, and through the efficacy of their programs.

Happy Financial Literacy Month!

Related articles

• Nonprofit performance evaluation: Financial management (Alliance)
• Nonprofits urged to improve financial literacy (Philanthropy Journal)
• April is Financial Literacy Month (fpaforfinancialplanning.org)

Photo courtesy Edufiend.com