Concrete Steps Foundations Can Take to Advance Racial Equity

Grant makers seek to help create resilient communities in which everyone can thrive, but that is impossible if we tolerate inequities based on race.

Seeing acts of hate and words of division unfold over the past year from Charlottesville to the White House and in cities across the United States reminds us that equity is not yet a shared value in this country, and there is significant work to do to change hearts, minds, and — most important — policies.

Racial inequity harms the lives and prosperity of everyone, not just people of color. For instance, a study from the W.K. Kellogg Foundation found that earnings for people of color are 30 percent below those of non-Hispanic whites. Closing the earnings gap — through curbing inequities in health, education, incarceration, employment opportunities, and more — would increase U.S. earnings and the gross domestic product by about 12 percent. In other words, curbing inequities is more than the right thing to do — it’s an imperative for achieving the social outcomes grant makers wish to see.

Grant makers across the country are promoting racial equity in a variety of ways. But this work is daunting and sometimes uncomfortable. For those unsure where to start, here are some recommendations:

Examine the internal workings of your foundation.

Grant makers seeking to advance racial equity must first reckon with the power and privilege that come from working at an endowed institution. Even people who have been fighting to advance equity their entire careers say it is a process of continuous self-reflection, uncovering blind spots, making mistakes, and trying again. Training on topics such as cultural competency, implicit bias, or structural racism is a great place to start.

As a predominantly white organization working in the predominantly white field of philanthropy, Grantmakers for Effective Organizations is taking many steps to improve. Among them: It held an all-staff training session with a coalition of grant makers, known as ABFE, that is focused on African-American issues. It also set goals focused on diversity with ABFE and its Responsive Philanthropy in Black Communities curriculum, formed an internal working group to guide the work, hired a senior adviser on racial equity to bring additional expertise to the staff, and stepped up ties to other organizations that have been leading on racial equity.

It is still at an early stage in this work, and the steps it’s taken so far have shown us it has much work to do. In 2018 some of the next steps it is committing to include revising the performance-management system to help minimize bias, providing greater transparency about how decisions are made and working with a consultant to help strengthen the internal culture.

Collect demographic data, examine it by race, and put findings to work.

No matter what the issues or the community your foundation focuses on, data can highlight stark inequities. Look at the demographics of your board, staff, and grantees, especially the race of the people in leadership roles. Consider what steps might be necessary to ensure your organization and your grantees better reflect the communities your foundation serves. Support your grantees to ensure they have the capacity to collect demographic data on the people they serve. And just as important: When you collect data on results and impact, be sure to look at race. You might find a stark difference in how white and black communities are being served.

The Annie E. Casey Foundation collects diversity data from grantees and consultants and uses that data to inform how it makes grants to aid needy children. The foundation also looks at the diversity of its staff to see how it compares with the diversity of grantees and to identify ways that it can do better, both in hiring employees of color and keeping them on the staff.

Review all your foundation activities with a focus on equity.

Once you have some expanded perspective on equity and inclusion, it is important to consider how your current ways of working may inadvertently be perpetuating inequity. For example, complex application requirements may create barriers for small organizations. A lack of transparency about funding opportunities could limit the pool of potential grantees. Steps to engage grantees and community members may fall short of giving them a voice to help shape grant-making priorities.

ABFE and Just Partners have collaborated to produce the Race Matters Toolkit, which can help grant makers conduct this type of assessment and shape analysis and communications approaches.

Provide grants to advance equity.

Once you have the data, your foundation may want to award money to groups that are seeking to close the racial disparities you have found. Support organizations led by people of color and by the people the nonprofit seeks to serve. Invest in leadership development, training, and other efforts that allow managers to elevate their organizations and improve their impact.

The Woods Fund Chicago, the Chicago Foundation for Women, Crossroads Fund, and the Chicago Community Trust joined forces to develop a program called Cultivate, which seeks to build the leadership pipeline of women of color who are already involved in social, economic, and racial justice movements. The program aims to build leadership skills among the participants, strengthen the organizations in which the participants work, foster collaboration, and help develop other women leaders within the region.

Focus on policies, not programs.

In the United States, racism and other forms of injustice are entrenched in systems. While programs can help people manage the effects of racism or other injustices, they cannot eliminate systemic inequity. Policies are what can shift the way communities and their members react and relate to one another and empower people to improve their own well-being. To help advance racial equity, grant makers must focus on systems change, including policy change and advocacy.

A few years ago, the Deaconess Foundation evolved its strategic direction to push for systemic change throughout the St. Louis metropolitan area to improve the well-being of the region’s children.

The new approach aims to shift public policy, mobilize community members, and strengthen advocacy on behalf of children and young people. It also expands the role of the foundation beyond grant making — specifically, by taking advantage of the organization’s role in influencing key players in the community and bringing them together. In September, the foundation, in partnership with the Unitarian Universalist Veatch Program at Shelter Rock, announced a $100,000 campaign to support policy change through grass-roots advocacy, civic engagement, and community organizing.

Connect with groups working on racial equity.

For some grant makers, a focus on racial equity will be new, and it can feel overwhelming to begin. Fortunately many organizations with long experience on racial issues can help. Connect with groups like Change Philanthropy and its partners for access to resources and tools. Engage with groups that work on specific issues, such as Grantmakers Concerned With Immigrants and Refugees, Environmental Grantmakers Association, Grantmakers in Health, Grantmakers for Education, and others to learn more about specific issues. Reach out to your local regional association of grant makers to find other grant makers in your region that are thinking about racial equity in their work. Some regional associations also offer programming on racial equity, such as the Minnesota Council on Foundations, Philanthropy Northwest, Philanthropy Ohio, and Washington Regional Association of Grantmakers, to name a few.

Looking back at how philanthropy has evolved, it is remarkable to reflect on the level of information we have at our fingertips to help guide funding decisions. It is now up to grant makers to use that information in ways that ensure America’s institutions provide equal opportunity for all. After all, that’s one of philanthropy’s most vital roles.

Lori Bartczak is vice president for programs at Grantmakers for Effective Organizations. Starsky Wilson is chief executive of the Deaconess Foundation.