Black Philanthropy: Harnessing a Growing Resource
By: Marjorie Polycarpe, 08/06/04

In recent weeks the philanthropic world took notice of the impressive gift of $50 million by Wall Street money manager Alphonse Fletcher Jr., in commemoration of the 50th Anniversary of Brown vs. Board of Education. Fletcher's gift was directed toward institutions and individuals working to improve race relations. It highlights a growing, but still under-recognized trend in the field - black philanthropy.


According to Lynette Campbell, founding member and Chair of the Board of Directors of The National Center for Black Philanthropy, over the past 15-18 years the philanthropic community has increasingly recognized the role of blacks in philanthropy, with a better understanding of the contribution and the culture of giving that is rooted in the African-American experience. 

Historically, black philanthropic efforts were directed at services that were not available to African-Americans through mainstream institutions. Dating back to the mutual aid societies of the late 1700s, the African American community has used philanthropic giving as a survival mechanism. But today, according to Dr. Emmett Carson, CEO of the Minneapolis Foundation and a leading scholar in black philanthropy, a new direction has emerged. As more African-Americans acquire wealth, many are directing their philanthropy beyond causes focused on survival, into economic empowerment and self-sufficiency. 

The U.S. Census Bureau reports that 5.6 percent of African Americans now earn $50,000 or more annually, and within this group, 20 percent earn more than $94,000. Still, with new financial resources within African American communities, philanthropic activities are dispersed among a broad range of issues and causes. Through national and local efforts, private foundations and African American professional trade associations are focusing on ways to harness this resource to benefit all communities. These initiatives focus on a variety of areas, which include:

- Agreeing upon a common definition of "black philanthropy"
- Creating permanent philanthropic institutions in the community
- Identifying direct resources for both philanthropists and nonprofit organizations.

There remains a perception within the African-American community that philanthropy is limited to the wealthy. According to Lynnette Campbell, the emphasis today has moved beyond educating the mainstream philanthropic sector, to focusing greater efforts within the African-American community on raising awareness of their own tradition of giving.

With greater wealth accumulation among African-Americans, there is an increased need for more sophisticated approaches to direct philanthropy. Today, fundraising professionals and institutional funders are looking at ways to create lasting philanthropic mechanisms within the black community.  These include the creation of endowments for organizations, the establishment of foundations and planned giving.  

Advice for Professionals in the Field

As professionals in the field look at ways to make inroads into the resources of black philanthropy, the following are approaches to consider.

Importance of relationship building. When seeking support from the African American philanthropic community, organizations should attempt to develop direct connections with social and professional networks. Find ways to engage the community in problem identification and organize a group that is interested in solving the problem. 

Philanthropy within the African American community has traditionally been centered on interpersonal connections developed through church involvement. According to Rodney Jackson, President & CEO of the National Center on Black Philanthropy, the church has played a central role in addressing the immediate needs in the community. As such it has played, and still plays a vital role in collecting contributions and redistributing charitable funds to address social and community service issues. Through networks within the community, organizations can seek funding through local faith based initiatives. Central to the philanthropic expression and activity within the African American community is the deep interpersonal connection that is characteristic of giving.  The key is developing relationships or establishing a connection.      

Everyone has the potential to give. The process of philanthropy starts with engaging people in the issues that they care most about. Rather than viewing African-Americans only as recipients or beneficiaries of philanthropy, there is a growing recognition of the combined strength in the community. Lynette Campbell adds consider everyone in the community a potential donor, from those people with modest means to those with magnificent wealth. The community is learning to pool gifts and further build strength through collective action such as giving circles, donor advised funds or group scholarship funds.

Be true to your organization's mission. In the case of nonprofits and funders, look at the role of diversity in the context of the organization's overall mission. As K.C. Burton, Senior Associate for Community Initiatives at the Annie E. Casey Foundation, points out, it is important to stay true to your organization's mission; do not try to recreate your organization to fit perceived criteria for donors of color. The Annie E. Casey Foundation, through its Place-Based Philanthropy Initiative, enters this conversation from the perspective of its overall mission, which is to support healthy communities for families and children. In looking at this issue the Foundation realizes that a significant number of communities that are in need of stable environments are those communities of color. As a result the Foundation targets black philanthropy as one resource in the community that can be leveraged and further developed to improve the condition of families and children.

Once overlooked, black philanthropy represents an increasing opportunity for nonprofit organizations.  With greater education and awareness raising, these under-recognized resources promise to play an even more valuable role in the sector. Through the many coordinated efforts that are underway, nonprofit organizations and development professionals look to build on the historic tradition of giving among African-Americans to develop deeper, more lasting institutions of philanthropy. 

Additional Resources

The following is a list of local and national organizations focusing on the issue of Black Philanthropy.

- National Center for Black Philanthropy hosts regional conferences and training programs   to promote giving and volunteerism among African Americans, foster full participation by   African Americans in all aspects of philanthropy.  For more information go to:     http://www.ncfbp.net/

- Association of Black Foundation Executives:  ABFE strives to increase philanthropy within  and toward Black communities as a vehicle for social change.  For more information go to:  http://www.abfe.org/

- National Black United Fund:  NBUF raises funds for and provides technical assistance to   Black organizations that provide a wide variety of services to Black Americans in the    areas of children, health, education, equal opportunity, economic development, the    environment, and social justice. For more information go to: http://www.nbuf.org/
 
- Associated Black Charities:  Associated Black Charities was founded in 1985 to represent   and respond to issues of special significance to Maryland's African American communities,  and to foster coordinated leadership on issues concerning these communities.  For more    information go to: http://www.abc-md.org/
 
- Twenty First Century Foundation:  The 21CF has taken a leadership role in promoting new   models of Black giving that are designed to create permanent, sustainable resources for   Black communities and youth initiatives. For more information go to: http://www.21cf.org/

Foundation Initiatives Focusing on Communities of Color

The following is a list of national and local Foundations that have initiated programs to support greater philanthropy within communities of color.

- Annie E. Casey Foundation, Place Based Initiative:  For more information go to:    http://www.aecf.org/initiatives/pbp/ 

- Emerging Funds for Communities of Color (EFCC) was a partnership between the Ford, W.K.   Kellogg and David Lucile Packard Foundations to explore how private foundations and    philanthropy in general, could support and expand the financial resources among and for   communities of color.  A detailed report can be found at:  http://www.wkkf.org/Knowledgebase/Pubs/RenderRes.aspx?CID=12&ID=687

- Kellogg Foundation: The Leadership in Philanthropy Project, aims to advance the    visibility and engagement of communities of color across the philanthropic sector.  For   more information go to: http://www.wkkf.org/

- Communities of Color, an Initiative of The Community Foundation of Greater New Haven, is   an initiative to enhance the knowledge of philanthropic practices for people of color. For more information go to: http://www.cfgnh.org/