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Message to Our Community of Philanthropy

We have been examining what equity means to our community of Michigan philanthropy. I could not have envisioned how prescient it would be for our sector—for our communities—during the COVID-19 pandemic.

We have been examining what equity means to our community of Michigan philanthropy. I could not have envisioned how prescient it would be for our sector—for our communities—during the COVID-19 pandemic. Today we see the challenges of equity in real-time as infection and fatality rates skyrocket with no clear end in sight. These are our friends, our neighbors, colleagues, constituents, our leaders—each suffering effects of this pandemic.

As a person of color and a leader of one of our nation’s leading philanthropy membership organizations, I sometimes find it difficult to determine when it’s best to call out inequities. I worry that some might assume I have a personal agenda rather than knowing I’m championing an issue for our sector, but we are called to step up to the challenges and complexities of equity in every aspect of our leadership and of our lives.

The coronavirus pandemic is one of the greatest challenges our community of philanthropy has addressed. The spread of the disease through our communities is affecting everyone, however our responses can have a disproportionate impact on the most vulnerable, those most marginalized based on biases, including race and other forms of structural discrimination. We’re working to control the spread of the disease through physical distancing while trying to provide services and support to those in need; it is difficult to find the right way for philanthropy to respond and hold up our values. 

Personally, and professionally, individually and collectively, our leaders and our philanthropic organizations are being pressured like no other time in recent memory. Demands include filling immediate needs gaps and working with nonprofits in a radically changing economy where traditional fundraising and engagement of donors are closed off while thinking long-term about how we’ll assemble the critical pieces of our nonprofit ecosystem once this crisis subsides.

Throughout it all the issues of equity, or inequity, can be multiplied during this pandemic. As we consider our work ahead, and the question, “What does equity mean to our community of philanthropy?” I offer some examples for us to explore and to share. 

  • As a result of the federal CARES Act there has been a tremendous inflow of resources through the banking industry to provide capital in the form of forgivable loans to small businesses, including nonprofits. Initial efforts were deployed to educate banks and nonprofits to help them understand how to access this capital, but education and awareness may not be enough. Access to capital was a clear challenge for many underrepresented communities during the Great Recession. Will we see a repeat of that same trend in the midst of this crisis? Nonprofits without deep and significant relationships with the banking industry may be cast aside for customers with larger financial footprints. Community Development Financial Institutions (CDFIs), designed to work with mission-driven businesses in communities have not been held up as the most logical conduit for lending and little guidance has been given to promote their potential roles. If nonprofits are to be included in the capital flows to small businesses, what are the equity implications for access to capital if banks (overwhelmed by demand) have to focus on their largest and most loyal customers rather than entertaining loan requests from new inquiries, particularly from nonprofits?

  • The closure of K-12 schools for the remainder of the current year rightly puts public health first as we strive to protect children, teachers and staff, and slow the spread of COVID-19. As educators face an incredible challenge to teach Michigan’s 1,444,313 K-12 students in a remote setting, many families face a different kind of challenge – lacking reliable broadband and an appropriate device. What are the equity implications of relying on school districts to locally ensure students have this access and the tools they need to learn? 

  • The U.S. Census Day was April 1Michigan was ranked third in the country for Census Day responses. We’ve now passed a 50% response rate for Census 2020. Access to the internet is even more important this year as the Census Bureau has paired back its paper and in-person outreach efforts to ensure the safety of their workers and communities. What are the equity implications of ensuring everyone is counted?

Each of these challenges amplifies the profound inequities the most vulnerable experience every day, and even more so during this extreme crisis. Both the public sector and philanthropy are working together and independently to understand the best solutions. Our community of philanthropy is responding. Since the onset of this crisis, foundations large and small in every area of the state are actively engaged in local and regional philanthropic initiatives to help meet essential needs, support our nonprofit service providers and explore ways to support small businesses struggling to survive this crisis.

Several examples are featured in this issue, such as the Virtual Healing Project led by Truth, Racial Healing & Transformation Kalamazoo, and new, adapted efforts to continue census outreach led by the Great Lakes Bay Regional Census Hub.

CMF’s COVID-19 Resource Central site features a variety of community solutions we’re seeing across the state. The Ann Arbor Area Community Foundation’s short-term cash flow loan program, for example, provides 180-day max loans ranging from $5,000 to $50,000 to nonprofits seeking to support operational cash needs. These grants are made available as part of a $500,000 revolving fund to provide bridge or gap support as nonprofits work to align their business models in light of the COVID-19 pandemic and resulting economic slowdown. This is just one aspect of the foundation’s response.

In addition to these efforts (and many more we will highlight in the future), CMF members are developing practices to provide the agility and support they need to help communities weather this crisis and doing so with an equity lens. CMF and more than 20 of our members have signed the Council on Foundations’ COVID-19 Pledge expressing a commitment to support grantees and hold philanthropy accountable to eight core principles. 

Over the weeks and months to come, we will all be offered challenges and opportunities to ask ourselves what equity means to our community of philanthropy during this struggle to address the COVID-19 pandemic. 

CMF is proud to stand alongside you by providing the information, resources, connectivity and mobilization support you need to lead. I invite you to visit our Resource Central site to access a calendar of upcoming virtual learning opportunities featuring peer-to-peer exchanges and conversations with issue area experts and policymakers. The site also includes a robust FAQ, state news, policy alerts, direct support through Ask CMF and much more. Please let us know how we can support your trustees, staff, partner nonprofits and communities.

For me, social isolation is so foreign. It has been difficult not to be in my car traversing the state visiting with you especially during this time of stress and concern. I am fortunate that my wife, Juliann and I are getting quality time and our two children are staying healthy. We are staying connected and trying to provide help to others (albeit remotely).

Please know we are thinking of you and yours and hoping you are healthy and safe. Thank you for your work and know that CMF is here as we all get through this, together.

All the best,
Kyle

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