Former Congressman Named to Head Coalition of Big Grant Makers
September 1, 2005 | Read Time: 4 minutes
The Council on Foundations, which represents more than 2,000 philanthropies in the United States, has named as its new chief executive Steve Gunderson, a former Republican congressman from Wisconsin.
Many nonprofit officials applauded the decision, saying the choice would raise the profile of grant makers on Capitol Hill. But some grant makers and others questioned whether the new leader had sufficient experience in the foundation world to be effective.
Mr. Gunderson, 54, will replace Dorothy S. Ridings, who announced her retirement last year after serving as head of the council since 1996.
Mr. Gunderson joins the council just as members of Congress are expected to introduce proposals to tighten rules on nonprofit groups and foundations. Several lawmakers have charged that some foundation executives are paid too much money and that grant makers spend too much on administrative expenses.
Maxwell King, vice chairman of the council’s Board of Directors and president of the Heinz Endowments, in Pittsburgh, said Mr. Gunderson’s Capitol Hill experience will be invaluable as the council seeks to influence lawmakers from both political parties as they consider new rules to govern charities and foundations.
“He has proven that he can work with people on both sides of the aisle very, very effectively,” said Mr. King. “He’s shown the kind of far-sighted and flexible approaches to public policy that we need and will benefit from in the philanthropic community.”
Growth in Giving
Mr. Gunderson served eight terms in the U.S. House of Representatives, from 1980 to 1996. While in office, he was considered a moderate Republican and concentrated primarily on legislation involving education, worker training, job creation, and agriculture. He was also one of the first openly gay members of Congress.
Since leaving public office nine years ago after he decided not to run for re-election, Mr. Gunderson has been the managing director of the Washington office of the Greystone Group, a lobbying organization that is headquartered in Grand Rapids, Mich.
Mr. Gunderson said he decided to join the council because of two factors: the unprecedented growth that is expected in charitable giving during the next half-century and the opportunity for foundations to help solve many of the social problems facing the world right now.
“I don’t think there’s a more important time to be involved in philanthropy,” he said.
One of Mr. Gunderson’s goals as head of the association is to increase Americans’ awareness of the work of grant makers. “I am struck by the lack of knowledge, understanding, and appreciation for foundations among the general public,” he said.
As a consultant, Mr. Gunderson has worked closely with several charities, but he admits that he has little experience with foundations. “I’m not fully up to speed on all the issues before the philanthropic community,” he said.
Before he officially starts his new position on October 1, Mr. Gunderson said he will be intensely studying grant makers and their operations.
In addition, he said, the issues of the foundation world are not that different from the ones he handled as a member of Congress.
“When you look at the issues facing philanthropy today, so many of those issues are the issues that the Congress and the political arena have dealt with because we’re trying to improve the quality of life in the public sector,” he said. “Many of those issues are going to be transferable, and I’ll be able to bring those skills with me.”
Despite his Congressional expertise, Mr. Gunderson said he will be listening to the council’s members, board, and staff people to help guide his discussions with lawmakers. “I am not about to charge hell-bent onto Capitol Hill in one direction by myself,” he said.
Mr. Gunderson also said his experience as a gay man will help him in his new job. “My personal history is as diverse as the nation we seek to serve,” he said. “As a gay man I know the importance in extending the road of full opportunity to every citizen.”
Mr. Gunderson will earn $340,000 a year, a salary comparable to the amount Ms. Ridings received.
‘Pragmatic Political Sense’
Several nonprofit officials praised the council’s choice, including Rick Cohen, executive director of the National Committee for Responsive Philanthropy, a foundation watchdog group in Washington, who said he hopes Mr. Gunderson can change the tenor of the conversation between foundations and lawmakers.
“One would hope he’ll bring to the council a pragmatic political sense,” he said, and “not simply be reacting negatively to proposals, but acting constructively.”
However, other observers were not as optimistic. Joseph N. Ignat, former head of the Nord Family Foundation, a grant maker in Amherst, Ohio, that is a member of the council, said he worries the decision to appoint a former lawmaker will dilute the council’s mission.
The council “is trying to become a quasi-regulator of foundations,” Mr. Ignat said. “It’s supposed to be a clearinghouse for information.”
He predicted that members will leave the organization as a result.