Foundation Notes

You’ve probably heard already that there are three new folks on the B&MG Foundation board. They will be replacing Bill Gates Senior, who died some time ago, and Warren Buffett who recently said he wanted to retire from the board. Speculation was there might be more new people, and maybe a splitting of the Foundation into two or more separate funds

Well, “might” has actually happened, with three new folks:

Strive Masiyiwa, is a telecom billionaire and philanthropist from Zimbabwe.
Baroness Minouche Shafik, director of the London School of Economics, and formerly worked at the World Bank, the International Monetary Fund, and the Bank of England.
Tom Tierney, co-chair of the Bridgespan Group, which has advised the Gates Foundation, Mackenzie Scott, and hundreds of other foundations, nations, and colleges.

The Baroness and I have a mutual acquaintance at the London School of Economics. Our friend says the Baroness is a great listener, very humble and open to new ideas. Our friend also says she will be the “World Bank’s liaison to the Gates family.” Also, while several London college presidents are coming down hard on striking employees, we’ve heard from two sources that the Baroness has been gracious and open to LSE’s “striking faculty”.

“SAINT PAUL & MINNESOTA COMMUNITY FOUNDATION

Pahoua Yang Hoffman is leaving her role as Senior Vice President of Community Impact at the Saint Paul & Minnesota Foundation to join HealthPartners. “In her new role at HealthPartners, Hoffman will address community health, equity, and access to culturally competent care.” Nice article in the Sahan Journal about Pahoua and her journey.

MCKNIGHT FOUNDATION NEW HIRES

Last month, we talked about the six new hires at the Bush Foundation. This month, we have a few new faces at McKnight Foundation, especially in Vibrant and Equitable Communities group:

— Chad Schwitters, Vibrant and Equitable Communities
— Marcq Sung, Vibrant and Equitable Communities
— Dominic McQuerry, Vibrant & Equitable Communities/Midwest Climate & Energy
— Ben Hecht, Visiting Senior Advisor, Urban Revitalization.
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MORTENSON FAMILY FOUNDATION

The Mortenson Family Foundation revised their guidelines on their Sustaining Environmental Systems grantmaking program. They have opened the portal and are now ready to pilot the guidelines. The deadline for proposal submissions is 4:00 pm February 18, 2022. There are information sessions next week. Call or write Danyelle O’Hara at 612-260-2067 or [email protected].

GENERAL MILLS

Turns out that Yoplait isn’t the only good culture at General Mills. According to Business Wire, General Mills earned a perfect score for the 16th year on the Human Rights Campaign Foundation’s assessment of LGBTQ+ workplace equality.

HEADWATERS FOUNDATION FOR JUSTICE

New to the Foundation: the Black Seed Fund will award two-year gen op grants to Black-led groups that “move us towards liberation.” Funds will be awarded to nominated groups. You can’t nominate your own organization, but inpidual supporters or community partners can put your name forward.

Besides attending the very first Headwaters meetings, we have been privileged to attend the birth of several women’s funds and community-owned funds in Philadelphia, Los Angeles, Denver, New York City, D.C., and Chicago. Many of these funds were great ideas and had great supporters, but none of these funds have become the type of community leader that HFJ has. Good work, HFJ. Our congrats to you guys.”

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— “A Bloomberg News survey accounting of $4.3 billion in 375 grants to nonprofits reveals for the first time how the philanthropist (Mackenzie Scott) is directing her charitable might.”

— Mackenzie Scott, Melinda French Gates (and other funders) launched the Equality Can’t Wait Challenge, which will award $40 million for gender equity by 2030. Three priorities: 1) Dismantle the barriers that hold women back., 2) Fast tracking women in critical sectors, and 3) Call society to action.

— The online newsletter, The Conversation has an interesting comparison between Scott’s gifts to historically black colleges and universities and gifts by earlier donors

— BTW remember the “Mackenzie Scam,” sort of like the anonymous prince scam, “send us your bank account # and we’ll send you a billion dollars.” Our clients received such emails, it’s real.
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Judy Dayton, the grand dame of arts philanthropy in Minnesota, the last of the Great Generation of Daytons, the former governor’s aunt, and a genuinely nice lady died. Her obit.

James Hormel, heir to the Hormel fortune, the first openly gay U.S. Ambassador, a genuine LGBTQ advocate, and an enlightened philanthropist also died. His obit

Headwaters Foundation for Justice published its twenty 2021 Giving Project Grant Recipients including two of AP Charities’ sponsees, Asian American Organizing Project and Black Table Arts.

McKnight Foundation announced changes to its Arts and Culture program. More support for “culture bearers” people/groups who support arts/culture but aren’t arts and culture groups. Also expanded emphasis on giving to indigenous communities, communities of color and other underserved or underrecognized communities.

Inside Philanthropy did an interesting profile piece on the philanthropic interests of 15 heirs to the mega foundations/philanthropies, such as the Buffett, Soros, Bloomberg, and Koch kids.

SUCH GOOD NEWS: THE SAUER FAMILY FOUNDATION It couldn’t happen to a nicer family foundation. The St Paul based Sauer Family Foundation has more than tripled its assets from $28 million to $100 million. Truly, one of the best family funds in the U.S., the Sauer family has been a steady and strong child welfare funder for years.

Huntington Bank Charitable Grant Program(formerly known as TCF) – Top Philanthropy Contact: Lindsay Baker, Corporate Philanthropy Manager, [email protected]

PNC is opening a permanent bank branch in the Roseville area, their first branch in the Twin Cities. This makes the Twin Cities a real-life Community Reinvestment Act location, and increases giving responsibilities

Boston Scientific is expanding its health and education funding criteria, but eliminating other focus areas

Archdiocese of St Paul Minneapolis Catholic Community Foundation recently issued an annual report that says 11% of its giving goes to secular organizations. See report

.A. O’Shaughnessy Foundation has an interesting board structure. If you aren’t president, treasurer, or secretary of the board, you’re a vice president. Five different VPs. Good resumes?

InFaith Community Foundation is now Thrivent Charitable Impact and Investing, part of the ThriventFoundation and corporation. Remains a donor-advised and employee giving program

Alex Stern Foundation (ND based, giving in MN) now has a website with good information

Chan Zuckerberg Initiative now has quadrupled commitment to justice reforms and immigrant issues and has increased its education work to emphasize student teacher relationships

Target Foundation’sPresident, Amanda Nusz introduced the company’s new sustainability program: Target Forward: Our Plan to Co-Create an Equitable and Regenerative Future for All

A. Wedum Foundation explains its commitment to creating community foundations in every town in Minnesota. See the 16-page FAQ

Old National Bank is merging with Midwest Bancorp, to create Premier Midwestern Bank, and has named a new Minnesota State President – Christine Hobrough. Both actions are good news for Minnesota nonprofits looking for support

Winnebago Industries Foundation now has a permanent location in the Twin Cities. Both the corporate CEO and the foundation ED, Katherine Friesz are no permanently and officially officed here. 13 published MN grants in 2019.

“Restaurants, grocery stores, bodegas, discount stores, and lots of other retail stores are reopening now that most folks have been vaccinated (although vaccination numbers in BIPOC and rural communities are dreadfully below those in White urban communities).

In honor of our reunification with our old companions, the shopping carts, this month we’re talking about philanthropy from Big Box retailers (Target, etc.) and Big Bag grocers (Hy-Vee, etc.).

Big Box Funders: Grant Applications Are With Soap and Detergents

Three “Big Box” retailers –Target, Wal-Mart, and Big Lots – have all recently announced big changes in their corporate and foundation giving programs. All of these affect you.

WALMART

Walmart has several new processes, such as an online application process through CyberGrants, and new definitions of its four giving areas: Creating Opportunity, Advancing Sustainability, Strengthening Community, and Center for Racial Equity.

Two big new interests are Retail Opportunities (how to use retail work as job training, economic development, and entrepreneurship partnerships), and Healthier Food for All.

Walmart is keeping the local store grants, but organizations may only submit a total of 25 applications and/or receive up to 25 grants within the 2021 grant cycle (what am I going to do with this 26th application?), but they’ve done away with the state-by-state giving deadlines. Rolling deadlines begin February 1 and end on December 31.

TARGET FOUNDATION HOMETOWN FUNDING

These are LOCAL grants, awarded only to Minnesota groups (with a focus on the Twin Cities). According to the Foundation’s press release, “The Foundation will prioritize support for organizations which:

Strengthen networks, coalitions, and movements: Driven by the understanding that social change is complex and is not solely in the purview of the nonprofit sector or the mission of a single organization, collaborative networks of organizations within a field, as well as across sectors that are aligned around a common agenda, are an important condition of success

Pursue systems change through advocacy, policy, and communications: Given the scale of challenges relative to any foundation’s resources, efforts to effect social change need to address policies at the local, state, and federal levels that will inevitably affect the region. This requires reliable data, effective messaging, engaged and empowered residents and strong advocates.”

TRANSLATION: We have four interest areas:

— Entrepreneurship and Small Business – training, financial services, and network building
— Workforce Development – career pathways and job training
— Housing – affordable,, fair and just housing, and sustainable home ownership
— Asset Building – financial education, financial supports, and services.

Hometown grants will range from $25,000-$200,000. If this is the first time you’re hearing about the Target changes, you’ll have to wait until late fall, or early winter to apply, as the current round ended on June 2nd.

BIG LOTS FOUNDATION

Big Lots has stores in the metro area, but no offices or regional distribution centers, so we aren’t a big funding focus.

Big Lots is a new and relatively struggling corporate giving program. You can tell they’re struggling by the fact that there is no actual foundation, just a corporate giving program that uses the foundation name. Most corporate giving newbies also don’t announce their past recipients and don’t give their grant range. We think it’s better for a corporation (or any funder) to provide this type of information which tends to limit requests. You can also tell they’re new because they have twice as many “ineligible” criteria as “eligible” criteria.

Nevertheless, they are making grants and if the Google search for “Big Lots grants” is any indication, most are in the $2,500 to $7,500 range. The next grant round ends July 1. It helps to have a Big Lots associate involved as a board member. (When Walmart had a similar preference, one of our clients walked into a store and signed up the woman in charge of the pet section as a temporary board member). These are Big Lots funding priorities:

— Healthcare • Improving healthcare through research and education • Providing preventative education and care • Providing affordable, critical medical care
— Housing • Preventing families or individuals from losing their housing • Providing affordable, stable housing • Providing emergency shelter for families and individuals
— Hunger • Providing nutritious food or meals • Providing emergency food assistance • Educating families or individuals about the importance of healthy eating
— Education • Providing service-learning curriculum that aligns with education standards • Promoting servant leadership through academic and experiential learning • Improving classroom learning outcomes through innovation.

Big Bag Funders: Clean Up on the Philanthropy Aisle

The “big bag” picture of mega grocery chains in Minnesota has changed in the last couple years:

— Rhode Island-based United Natural Foods Inc (UNFI) ate up two of Minnesota’s favorites grocery stores: SUPERVALU and Cub Foods
— SpartanNash merged with Minnesota’s largest and oldest wholesale food company, Nash Foods, making SpartanNash the fifth largest food distributor in the U.S.
— Des Moines-based Hy-Vee projects that the Twin Cities will now be its largest market
— Meantime, Aldi, Fresh Thyme, Target, Costco, and Trader Joe’s and other chains have all made inroads in the Minnesota retail grocery market.

Let’s face it, grocery stores work on the slimmest of profit margins, so we don’t see a lot of cash philanthropy from this sector. But here’s a quick view down their philanthropy aisles.

— SpartanNash awarded 58 grants worth $750,000 since 2018 to Minnesota groups
— UNFI Foundation just 3 reported Minnesota grants worth $20,000 in Hennepin and Ramsey Counties to Farmers Legal Action Group and the Minnesota Food Association. Like nearly every other grocery store, UNFI also has a big food donations program. We expect to see a much bigger giving program in the next year or so
— Hy-Vee has no published grants in Minnesota, but they have a food give-away program, charitable store programs, and a big scholarship program in Des Moines and other markets. Expect MN students to get part of that action soon
— Aldi has more than 70 stores in Minnesota (second only to Cub Foods). Like many European owned companies, Aldi isn’t big on corporate giving, but they do have the Aldi Smart Kids program, with a focus on kids’ health and well-being: food insecurity: and diversity, equity, and inclusion programs
— Costco has Warehouse (aka stores) Donations for smaller local groups and grant applications for larger groups. The Costco Foundation is all about personal care for employees and their families. No cash there for your group.
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