Group Pushes Foundations to Give More to Minorities and the Poor
By Ian Wilhelm
The Chronicle of Philanthropy
March 3, 2009
Foundations should spend at least half of their grant dollars to help poor neighborhoods and minorities, a foundation watchdog group here said today as part of a series of recommendations on how grant makers should improve their giving and management.
The proposal by the National Committee for Responsive Philanthropy received support from a member of Congress and at least 120 charitable leaders, but several associations that represent foundations have criticized it, arguing that the approach would stifle philanthropy.
As part of a new report, the watchdog group suggested about a dozen standards.
These include pushing foundations to provide 50 percent of their grant dollars to pay for the operating expenses of charities, 25 percent to support advocacy efforts, and to give away a total of 6 percent of their assets in grant each year. Federal law requires foundations to give 5 percent of their assets in grants and for other charitable purposes, including some administrative costs.
