PhilanTopic

'Open Letter' to Council Members and Other Nonprofit Leaders

Just received this e-mail (as many of you undoubtedly did) from Council on Foundations chair Ralph Smith and CoF president and CEO Steve Gunderson:

Dear Colleagues,

At the conclusion of the Council's 57th annual meeting in Pittsburgh, we committed that we would work to ensure that philanthropy will step up and take on "the challenges of our time." That commitment served as the theme and frame for the 2007 Annual Conference in Seattle, as a point of departure for the 2008 Summit at National Harbor and the upcoming 2009 conference scheduled next May in Atlanta.

Little did any of us know or expect that "the challenges of our time" would include an economic situation of the scope and magnitude now facing our nation and the world. Even so, there is no avoiding the question: what could it mean for philanthropy to step up in these circumstances? How can we play a constructive role without raising unrealistic expectations?

This is a conversation that has started already and will continue for sometime. We look forward to listening carefully, participating when and how we can and providing whatever technical assistance and support would seem appropriate. For starters, we have three broad recommendations:

1. Let's reach out to the nonprofit sector in general, especially those organizations, leaders, and networks we currently support. Our nonprofit partners will bear the brunt of shrinking resources and growing need. Within parameters defined by our respective missions, resources and work, we should actively look for creative ways to assist the sector in weathering this storm and serving those most impacted.

2. Let's play an active and visible role in helping communities and regions figure out the scope and extent of the challenges they face, and in finding and crafting solutions that make sense. We know that some regional associations and community foundations already are using the convening role of philanthropy to build the "big tent" under which diverse stakeholders can gather to create shared understanding and to search for common sense solutions. The exciting work of the Dade Community Foundation, the Arizona Grantmakers' Forum and the Clinton Center for Community Philanthropy represent just the tip of the iceberg of what our colleagues and peers are doing already. We'll share these examples in the toolkit.

3. Let's pay special attention to those situations where the loss of philanthropic resources could be the unintended consequence of mergers and consolidations that are the inevitable products of economic restructuring. In the D.C. area, there is considerable concern that the takeover of Fannie Mae and Freddie Mac could result in an annual reduction of up to $47 million in philanthropic support for programs around child welfare, hunger and homelessness. We know that this was not what was intended and we are hopeful that federal officials will work with local philanthropy and the nonprofit community to rectify the situation....

The economic crisis shows no signs of abating -- and it could wind up, as Smith and Gunderson write, as "one of biggest challenges of our time," an event so disruptive it alters the direction of society for years to come. What would that look like? And, as Smith and Gunderson ask, what would it mean for philanthropy to step up in such circumstances? Let the conversation begin....

-- Mitch Nauffts

State Budgets in Trouble

Home values, retirement accounts, and institutional endowments aren't the only things heading south in the current economic climate. According to the Center on Budget and Policy Priorities, a nonpartisan policy think tank in Washington, D.C., the credit crunch has contributed to new gaps in the budgets of at least fifteen states and the District of Columbia just two months after those states struggled to close the largest budget shortfalls seen since the recession of 2001. Because states are required to adopt a balanced budget going into a fiscal year (which starts July 1 for most states), the additional shortfalls will force states to cut spending, use reserves, and/or raise revenues over the coming months.

(Image courtesy Center on Budget and Policy Priorities)

The fifteen states facing additional shortfalls are:

California
Budget gap (as a % of the total budget): 22%
Gap: $22.2 billion

Arizona
Budget gap (as a % of the total budget): 19.9%
Gap: $2 billion

Florida
Budget gap (as a % of the total budget): 19.9%
Gap: $5.1 billion

Nevada
Budget gap (as a % of the total budget): 16%
Gap: $1.2 billion

Rhode Island
Budget gap (as a % of the total budget): 13.1%
Gap: $430 million

New York
Budget gap (as a % of the total budget): 9.8%
Gap: $5.5 billion

Alabama
Budget gap (as a % of the total budget): 9.5%
Gap: $784 million

Georgia
Budget gap (as a % of the total budget): 8.7%
Gap: $1.8 billion

New Jersey
Budget gap (as a % of the total budget): 7.7%
Gap: $2.5 billion

Maryland
Budget gap (as a % of the total budget): 7.2%
Gap: $1.1 billion

Virginia
Budget gap (as a % of the total budget): 7.1%
Gap: $1.2 bil

Vermont
Budget gap (as a % of the total budget): 6.8%
Gap: $83 million

New Hampshire
Budget gap (as a % of the total budget): 6.4%
Gap: $200 million

Illinois
Budget gap (as a % of the total budget): 6.3%
Gap: $1.8 billion

Delaware
Budget gap (as a % of the total budget): 6%
Gap: $217 million

South Carolina
Budget gap (as a % of the total budget): 5.7%
Gap: $390 million

Iowa
Budget gap (as a % of the total budget): 5.5%
Gap: $350 million

Minnesota
Budget gap (as a % of the total budget): 5.4%
Gap: $935 million

Michigan
Budget gap (as a % of the total budget): 4.8%
Gap: $472 million

Wisconsin
Budget gap (as a % of the total budget): 4.6%
Gap: $527 million

District of Columbia
Budget gap (as a % of the total budget): 2.1%
Gap: $131 million

(Source: CBPP, BusinessWeek)

Fasten your seat belts, everyone. We're in for a bumpy ride.

-- Mitch Nauffts

Taking Account of Race: The Philanthropic Imperative

That was the title of the opening event in the 2008-09 Waldemar A. Nielsen Issue Forums in Philanthropy at Georgetown University on Friday, October 3. The evening's keynote remarks were delivered by the always insightful Gara LaMarche, president and CEO of the Atlantic Philanthropies.

Here's an excerpt:

"I asked to talk about race today...because there are three powerful forces, societal and philanthropic, that make this an important moment to do so. First, race and its impact are more central than ever to the national discourse, because of Barack Obama's candidacy, in a way that it has not been for some time. And the senator's own thoughtful, candid, and eloquent engagement with it in his March 18 Philadelphia speech set a very high bar, assuming the intelligence of the American people in a way that is all too rare among politicians and challenging us to talk about it more. Second, the Greenlining Institute's work on race and philanthropy, one impact of which was California Assembly Bill 624, to require reporting by larger foundations on the racial and ethnic composition of their staff, boards and grantees...has certainly gotten everyone's attention. The initially inadequate response of some of our California brethren shows that we all have a lot of work to do, and I'd like to offer some of my own thoughts on this particular approach to race and philanthropy. And finally, we are in a period in the foundation and nonprofit sector where effectiveness is the mantra, metrics the path, good outcomes the holy grail. How, then, do we think of race in this environment?

"Let us start with the moment. What might it mean, we are all asking -- or, rather, often not asking, race being the elephant in the room in this historic presidential election -- for America to have a black president, for the most powerful and visible leader on the planet to be a man of African ancestry, a man whose parents' interracial marriage was a crime at the time of his birth in the state of Virginia, just across the bridge from here, where polls show him leading his opponent as of this afternoon?

"We don't know, and it is exciting, no matter what your presidential preference, to imagine the possibilities. But we do know it will not obliterate America's racial history, absolve us of our sins, or 'put race behind us' once and for all. I don't want to seem like one of those people who don't like to be confused with the facts, or who tend to see just the cloud, not the lining. But Barack Obama's elevation to the presidency would leave the Senate without a single black member -- a situation that has remained constant for all but a few moments of American history -- only two Latinos, and two Asian-Americans, both from Hawaii. On November 5, there will still be only two black governors -- the second and third in post-Reconstruction U.S. history -- only one Latino, and only one of Asian descent, and the percentage of people of color in the House of Representatives will remain at best half of their presence in the population as a whole -- a percentage which, we all know, is growing to the point where many of us in this room will at some point in the coming decades live in a majority non-white country. The political world, like the financial world and most centers of power in America, is way out of line with the reality of the country...."

To read the complete transcript of Gara's remarks, click here.

-- Mitch Nauffts

USA Today: 'Sharing in the USA'

Decent insert devoted to charitable giving in today's USA Today. Articles and features include:

"The New Face of Giving" -- Looks at giving trends -- online giving, micro-donations, proliferation of platforms, growing popularity of environmental and international causes -- and concludes that the most successful way to raise money is still "in person — one person asking another person."

"Uncertainty Is the Enemy of Philanthropy" -- Brief look at how volatile markets and the slowing economy are affecting fundraising.

"Giving by the Numbers" -- Avg. household contributions by state, 2004; 10 largest gifts by individuals (2007); total individual giving, 1967-2007 (source: Giving USA Foundation, Center on Philanthropy at Indiana University).

"Poll: Donors Feel Fiscal Squeeze" -- Results of a survey of 994 adults conducted Sept. 22-23.

"Natalie Portman Is a Force for Change, Empowering Women" -- Profile of the young Star Wars actress and her work on behalf of FINCA International (the Foundation for International Community Assistance); includes sidebar of celebrities (Lucy Liu, Wyclef Jean, Jenny Jones, Greg Grunberg) active in charitable causes.

"Waiting on the Sidelines to Picth In" -- Sports philanthropy through the eyes of the athletes; includes sidebar of athletes (Warrick Dunn, Kyle Petty, Lolo Jones, Tiger Woods) active in charitable causes.

"Donating Your Money Do's and Dont's" -- Advice for donors from experts in the field.

"How to Do Good and Get Tax Credit" -- Tax advice.

"Street Angel" -- Photo essay about Clemmie Greenlee, a 49-year-old Nashville residents who advocates for the homeless, the addicted, and the mentally ill.

Nothing terribly new here, but as Art Taylor, president and CEO of the BBB Wise Giving Alliance, reminds us, in tough economic times it is imperative that charities and nonprofits get out there and tell their stories.

-- Mitch Nauffts

ANNOUNCEMENT: Forum of RAGs, Council on Foundations Forge 'Strategic Alliance'

Just in...

The Forum of Regional Associations of Grantmakers, which serves four thousand grantmakers through thirty-two regional hubs, and the Council on Foundations, with two thousand members nationwide, have announced a strategic alliance to better serve the nation's foundations and philanthropic donors.

According to the press release, both organizations will continue to provide education programs but through an "expanded common framework that draws on the knowledge of both, eliminates competitive and overlapping offerings, and reaches into new areas of learning." To further that effort, the forum will move its offices to the council's headquarters in Crystal City, Virginia, in January 2009.

"This alliance builds on the complementary strengths of both organizations -- the sector-wide leadership of the council and the unique local knowledge, credibility, and reach of the regional associations, said CoF board chair and Annie E. Casey Foundation executive vice president Ralph Smith. "This is a promising next step toward building a more coherent, effective, efficient, networked approach to supporting philanthropy."

With the economy heading south in a hurry, I suspect we'll see more annoucements of this kind in the coming months. Stay tuned...

-- Mitch Nauffts

ANNOUNCEMENT: Policy Portal Launched by Carnegie Corp.

Whether it's Obama or McCain, the forty-fourth president of the United States has his work cut out for him (sorry, Hill!). From the economy to health care to nuclear proliferation to climate change, the problems he will face are daunting and, in many instances, getting worse.

To help inform the next president and his administration as they tackle those challenges, the Carnegie Corporation of New York has launched a new Web portal that aggregates links to a selection of reports, articles, and analyses produced by U.S. think tanks, educational institutions, news media, and nonprofits and NGOs from across the ideological spectrum.

Topics addressed by the site include Afghanistan, Africa, China, Climate Change, Democracy and Human Rights, Education, Energy, Healthcare, Housing, Immigration, Iran, Iraq, Israel, Nuclear Proliferation, Pakistan, Poverty, Social Security, Terrorism, and the U.S. Economy.

To learn more and/or explore the resources at the site, visit: www.advicetothepresident.org.

-- Mitch Nauffts

Weekend Link Roundup (October 4-5, 2008)

Better late (we hope) than never. Here's this week's roundup of noteworthy blog posts:

Diversity

In a recent presentation at the National Human Services Assembly Summit, Rosetta Thurman reminded attendees that while the racial composition of the nation continues to change, the nonprofit sector "isn't keeping pace with the cultural shift in America, nor making enough of an effort to recruit, retain, and promote people of color to top executive positions in our field." She also offered a short list of things each of us, as "agents of nonprofit culture," can do to improve the situation, including prioritizing cultural competency, expanding our networks beyond our comfort zone, avoiding "tokenism," and speaking out.

Nonprofits and Social Media

In response to B.L. Ochman's article "10 Reasons Why Your Company Shouldn't Blog" on the Ad Age site, onLine's Jenn Thompson offers "10 Reasons Why Your Nonprofit SHOULD Blog".

To blog or not to blog isn't the only important question nonprofits are asking themselves. As Beth Kanter, our favorite social media maven, points out, resource-constrained nonprofits are keenly interested in knowing how much time it takes to implement social media. After defining the key elements of any social media strategy — listening, participating, generating buzz, sharing your story, community building, and social networking -- Kanter takes a stab, with caveats, at quantifying the actual time involved and comes up with a number -- 30-35 hours a week -- that's sure to give more than a few executive directors pause.

Philanthropy

According to some, the next big thing in the nonprofit software space was announced at the Clinton Global Initiative a week or so ago. Developed by the Acumen Fund, a venture philanthropy organization, with the help of engineers from Google and Salesforce.com, the Portfolio Data Management System is designed, as Claire Cain Miller writes in the New York Times' technology blog, to help foundations and grantmakers set benchmarks for measuring social impact, track grantees' performance, and compare the performance of grantees to other nonprofits doing similar work. Indeed, no less an authority than Jed Emerson says that while the social sector is still "grappling with many of the aspects of what it means to track social value and performance," PDMS has the potential to be "very significant." (Hat tip Lucy Bernholz.)

Matthew Bishop, The Economist editor credited with coining the term "philanthrocapitalism," and co-author Michael Green have launched a new Web site, Philanthrocapitalism.net, to support their newly published book, Philanthropcapitalism: How the Rich Can Save the World. These days, of course, it's increasingly looking like capitalism may not be able to save itself, let alone the world. But Bishop and Green remain optimistic:

Does a bad time for capitalism spell trouble for philanthrocapitalism? Not necessarily. Certainly, a few wealthy philanthropists have taken a nasty hit….But we are betting that when the dust settles — and assuming the powers that be do not repeat the huge policy errors after the 1929 Crash that led to the Great Depression — most of today's super rich will not be much worse off, and many of them will be considerably richer....

Not sure whether that's a good thing, but at least we can all agree that another Great Depression would be a very bad thing....

Lucy Bernholz (see above) also found time this week to review Money Well Spent, the new guide to "strategic" philanthropy by Hewlett Foundation president Paul Brest and co-author Hal Harvey. After calling publication of the book "a significant moment in the marketization of philanthropy," Bernholz praises the authors' synthesis and presentation of the key elements of rational, strategic giving. But she admits to being troubled by what they leave out of that presentation: the heart. Yes, philanthropy is an industry, Bernholz writes, but it's also

a labor of love. It is perhaps the only business where passion and volunteerism play major roles. No matter how strategic a donor or foundation becomes, they may still pursue what some will consider to be foolish, frivolous, or redundant goals. No matter how strategic or effective (or neither) a foundation may be, at any point in time for any number of reasons (some rational, others perhaps not) the donor may pull the plug, redirect the resources, or simply decide to no longer participate. There is little to put an endowed foundation out of business, nothing to tell a donor "don't do that, it is actually harmful," or little that can keep someone from packing up her philanthropic playthings and going home. The most strategic foundation, the most carefully evaluated program strategy, and the most well-weighted goals will still be pre-defined by the donor's interests -- be they environmental, health related, artistic, justice oriented, equality-seeking, or none of the above. So while the focus on strategy and measurement are in sync with two of the defining forces of philanthropy (markets and regulation), they are out of sync with the third, the heart and human nature.....

To which we would only add: Wish we had said that.

That's all for now. Have a good week.

-- Regina Mahone

Quote of the Day (October 4, 2008)

"There is a growing realization among communications professionals at various foundations that message discipline -- once considered a fundamental element of any effective communication strategy -- has grown increasingly slippery as employees, grantees, researchers, fellow funders and other stakeholders who care about a foundation's issues are blogging, commenting and making and sharing videos and podcasts. Old fashioned, top-down, 'command and control' communication tactics are being rendered increasingly ineffective with each new wave of technology, as content in all its forms is cut, pasted, forwarded, blogged, tagged and aggregated, often without the knowledge, or consent, of the original messenger...."

-- David Brotherton and Cynthia Scheiderer, Come on In. The Water's Fine: An Exploration of Web 2.0 Technology and Its Emerging Impact on Foundation Communications

Hurricane Relief Efforts (#6)

We continue to track (see also here, here, here, here, and here) corporate and foundation support for hurricane relief and recovery efforts along the Gulf Coast. Here's the latest roundup of announcements....

As a part of its commitment to help Texas communities recover from Hurricane Ike, Reliant Energy is donating $1 million to the Gulf Coast Ike Relief Fund. In addition, Swift Energy Company has announced that it will donate $500,000 to the fund.

Visitors to the Animal Rescue Site donated more than $86,000 in September to help animal victims of hurricanes Gustav and Ike.

XTO Energy has announced a $25,000 gift and U.S. Energy Savings Corp. has donated $15,000 to support the American Red Cross's hurricane relief efforts. In addition, U.S. Energy Savings has agreed to match, dollar for dollar, donations made by any of its more than 650 employees to hurricane relief and recovery efforts.

The A+ Federal Credit Union will donate $10,000 to the Texas Credit Union Foundation to assist employees affected by Hurricane Ike. Smaller grants of $500 will be given to individuals with immediate financial needs such as out-of-pocket costs associated with evacuation. Larger grants ranging from $1,000 to $3,000 will be awarded to individuals with longer-term needs after other sources of relief assistance have been exhausted.

The Facebook Causes group Gulf Coast Hurricane Relief has raised $4,924 to date from 14,095 members. A check for that amount will be presented to Convoy of Hope, which is working to provide relief supplies to displaced persons in Texas and Louisiana.

And in response to the series of devastating hurricanes and tropical storms that pounded Cuba this summer, Bacardi Limited, the world's largest privately held spirits company, will contribute $100,000 to the Pan American Development Foundation for disaster relief efforts in that country.

Did we miss your gift or contribution? Let us know by leaving a comment or by e-mailing rnm@foundationcenter.org.

-- Regina Mahone

Wall Street's Most Generous

The deepening credit crisis and proposed bailout of Wall Street are on everyone's mind, for good reason. But how is the turmoil in the markets likely to affect your nonprofit?

Back in January, Portfolio, the Conde Nast-published high-net-worth lifestyle magazine, ran a feature by Duff McDonald and Jessica Liebman purporting to show the fifty most generous philanthropists on Wall Street. Topped by retired hedge fund manager Robert Wilson (who plans to give away 70 percent of his sizable fortune before he dies), the list includes the famous (George Soros, Charles Schwab), the familiar (Sandy Weill, Henry Kravis), and the infamous (Henry Paulson).

The package also includes a nifty interactive chart of the fifty most generous family foundations on Wall Street by industry:

(click for the Flash version)

In The Nonprofit Quarterly, Rick Cohen has a good piece on the likely impact of the financial sector meltdown on foundation grantmaking and nonprofit budgets. And if you think the only people opposed to the bailout are free-market purists, NRA members, and NASCAR dads, check out the lively conversation unfolding on the NPQ Web site ("Sound Off on the Bailout").

-- Mitch Nauffts

Quote of the Day (October 1, 2008)

"James Surowiecki writes that 'the commons leads to overuse and destruction; the anti-commons leads to underuse and waste' (The New Yorker, "The Financial Page," August 11 and 18). In fact, countless communities around the world sustainably manage natural resources -- fisheries, timber, fresh water, wildlife -- without succumbing to the tragedy of the commons'. On the Internet, too, communities from Wikipedia to open-source software to Flickr allow individuals to come together to cooperate and share without resorting to contracts, cash, or other market mechanisms. It's time for economists to shed their orthodoxies and wake up to the reality that the commons is a highly robust and growing sector for managing resources and creating value."

-- David Bollier, editor, OntheCommons.org (The New Yorker, "The Mail," Oct. 6, 2008)

Good-Bye, Sara, and Good Luck!

After forty-two years of continuous service to the field of philanthropy and twenty-one years at the Foundation Center, eighteen of those as president, our dear friend and colleague Sara Engelhardt is preparing to close out this phase of her excellent adventure. We'd like to take a minute to look back on that career -- and to wish Sara well as she begins an exciting new phase of her life.

Sara joined the Carnegie Corporation of New York in 1966 after spending two prior summers there and rose rapidly through the ranks, becoming secretary of the corporation, a position she held for twelve years, in 1975. During that period, Sara was responsible for managing Carnegie's grants and also served as the foundation's program officer for philanthropy and the nonprofit sector as well as its women in higher education and public life program.

Sara joined the Foundation Center in 1987 as executive vice president and became president of the organization in 1991. During Sara's tenure as president, the center's role as a knowledge leader in the field grew exponentially, as it expanded its research beyond regular reports on trends in foundation growth and giving to include studies on social justice funding, international philanthropy, and the philanthropic response to 9/11 and Hurricane Katrina; opened a field office in Atlanta, which extended its public service activites into the Southeast; greatly expanded the center's Cooperating Collections network, especially into inner cities and rural communities around the country; and established a robust Web site that is visited by more than 55,000 visitors a day.

Over the decades, Sara served on numerous boards within the sector -- the Council on Foundations, Independent Sector, the National Charities Information Bureau, Amigos de las Americas, the Consortium for the Advancement of Private Higher Education, Girls Inc., Legal Momentum, and the National Council for Research on Women -- and established herself among her colleagues as one of the most thoughtful, knowledgeable, and trusted leaders in the field. Indeed, Sara is one of only four individuals, and the only woman, to appear on the NPT Power & Influence Top 50 for the first ten years of its existence (1998-2007).

As impressive as those career achievements are, the things that really set Sara apart are her wonderful laugh and sense of humor, her great personal integrity, and her empathy. All of us who have worked with her will miss the laughs shared on the softball field and at holiday parties, the casual lunchtime conversations in the lounge or over a hand of bridge, the occasional note of congratulation or comfort. She has a remarkable ability to connect with people, to make them feel comfortable and at ease.

If you know Sara, you know she already has lots of great things planned and to look forward to -- quality time with her daughters and grandkids, travel, yoga, the joys and delights of the Upper West Side. And those of us at the center know she'll always be available to answer our questions and give us good advice.

So please join me (in the comments section below) in congratulating Sara on a job well done and in wishing her all the best in the next exciting phase of her life!

-- Mitch Nauffts

Paul Newman: A Tribute to the Father of Consumer Philanthropy

(Michael Seltzer is a regular contributor to PhilanTopic. In December, he paid tribute to screen legend, businessman, and philanthropist Paul Newman.)

Paul Newman passed away on Friday at the age of 83. The nation and the world are poorer in many ways. Others more qualified than I will pay appropriate tribute to his remarkable contributions as one of the 20^th century's most enduring and beloved actors. To me, Newman's contributions to philanthropy warrant equal attention. Without any grand plan, over the last twenty-eight years and in the third act of his career, he proved that the generosity of Americans does not stop when they go shopping. Indeed, given a choice between a high-quality product and a high-quality product coupled with a chance to do good, Americans, as Newman demonstrated, are inclined to choose the latter. Newman's Own, the company he and his Westport neighbor A.E. Hotchner founded more than twenty-five years ago, pioneered and remains a leader in what I have dubbed "consumer philanthropy."

The story of Newman's Own begins just before Christmas 1980, when Hotchner and Newman came up with the idea. For years, they had filled old wine bottles with Paul's homemade salad dressing and presented them as holiday gifts to friends. That year, as a joke, they stocked the shelves of a local gourmet shop with their dressing. As they recounted years later in their book Shameless Exploitation in Pursuit of the Common Good (Doubleday, 2003), when the shop quickly sold all the bottles, they realized it was time to get "out of the basement and onto the shelf."

The rest, as they say, is history. Popcorn, lemonade, pretzels, pasta sauce, cookies, ice cream, and marinades -- all approved by Paul Newman's exacting taste buds -- soon found their way into grocery stores across the country. Subsequently, Newman's Own became the first company to place products with only all-natural ingredients in supermarkets. By the end of the 1990s, Newman's original salad dressing had annual retail sales of $33.5 million, becoming the eighth-biggest seller in the salad dressing market, and Newman's Own products had earned more than all of Newman's films combined. Tongue firmly in cheek, he once confessed to David Letterman that it was humiliating. We should all be so humiliated. By 2008, the Newman's Own Foundation, the organization he and Hotch created to funnel the proceeds from their growing food products empire to charity, had given more than $250 million to worthy causes.

Those profits were donated to thousands of nonprofit organizations in the United States and around the globe. Grantseekers were asked to submit a simple one-page summary of their project and a proposal, and grants were awarded every year by the end of December. Along the way, Newman learned the old precept that it takes a lot of time to give away money wisely.

Off screen, Newman was an unassuming presence. He once confessed at a benefit for his beloved Hole in the Wall Gang Camp that he was not comfortable asking others for money. And he only reluctantly allowed his face to appear on the labels of Newman's Own products. When the idea was first proposed for his oil and vinegar salad dressing, he responded "Not a chance in hell," saying he was bothered by what he called "noisy philanthropy." It was only after a former food industry executive joined Newman's Own to build the "business" that the product packaging begin to include more prominent mention of the fact that all the profits were donated to charity.

While Newman's name did not generally appear on lists of the most generous Americans, his contributions far exceeded the actual dollar amounts the Newman's Own Foundation gives away each year. In the mid-1990s, seeking to raise the bar and quality of charitable giving on the part of Fortune 500 companies, he helped found the Committee Encouraging Corporate Philanthropy. And, of course, his legacy lives on every time a consumer purchases a product that gives consumers the chance to do good.

Paul Newman always kept his brilliant blue eyes on the prize -- a better world for all -- and understood that his most lasting contribution could be found in the work of the organizations the Newman's Own Foundation supported. For that, we owe him our gratitude.

-- Michael Seltzer

Best Philanthropy-Related Books of 2008

We need your help. As we head into the homestretch of 2008, we're trying to identify the best philanthropy-related titles of the year (general trade or academic press only). Criteria should include originality, impact, quality, and topicality.

Here's our list so far (links take you to reviews published in PND):

Creating a World Without Poverty: Social Business and the Future of Capitalism. Yunus, Muhammad. New York: Basic Books.

Forces for Good: Six Practices of High-Impact Nonprofits. Crutchfield, Leslie and Heather McLeod Grant. San Francisco: Jossey-Bass.

Grassroots Philanthropy: Field Notes of a Maverick Grantmaker. Somerville, Bill and Fred Setterberg. Berkeley, CA: Heyday Books.

Just Another Emperor: The Myths and Realities of Philanthrocapitalism. Edwards, Michael. New York: Demos: A Network for Action & Ideas.

Money Well Spent: A Strategic Guide to Smart Philanthropy. Brest, Paul and Hal Harvey. New York: Bloomberg Press.

Philanthrocapitalism: How the Rich Can Save the World. Bishop, Matthew and Michael Green. New York: Bloomsbury Press.

The Bottom Billion: Why the Poorest Countries Are Failing and What Can Be Done About It. Collier, Paul. New York: Oxford University Press.

Understanding Philanthropy: Its Meaning and Mission. Payton, Robert L. and Michael P. Moody. Bloomington, IN: Indiana University Press.

What have we missed? Are there books (other than Paul Brest's) yet to be published that we should know about? Use the comments to leave your suggestions....

-- Mitch Nauffts

Bill Gates in New York

Bill Gates has been busy making the rounds in New York this week, chatting with Bill Clinton on stage at the Clinton Global Initiative on Wednesday, addressing the UN General Assembly yesterday, and sitting down with Tom Brokaw to talk about turmoil in the credit markets and the potential impact of the crisis on the Gates Foundation and corporate philanthropy in general.

The interview is twenty minutes long and worth a look.

0:01    Impact of economic crisis
2:37    Supporting agriculture in developing countries
3:49    America's image overseas
6:35    End of venture capital?
7:51    Executive compensation
11:35  Multilateralism
12:32  Creative capitalism
14:23  Foundation goals
18:21  Seinfeld ads

Two smart guys. Good stuff.

-- Mitch Nauffts

2008 Clinton Global Initiative -- Day Three (Webcast schedule)

Here's the schedule for the third and final day of this year's meeting of the Clinton Global Initiative. For live webcasts of the sessions, click here or here. (Note: Grameen Bank founder Muhammad Yunus and Council on Foundations president Steve Gunderson will be on stage for the opening plenary.) Back with more in a bit....

9:00 A.M. Plenary Session: The Global Impact of Rural Innovation

• Jacques Aigrain, CEO and Member of the Executive Committee, Swiss Re
• Steve Gunderson, President/CEO, Council on Foundations
• Wangari Muta Maathai, Founder, Green Belt Movement Kenya
• Elsie Meeks, President/CEO, First Nations Oweesta Corporation
• Rick Warren, Pastor, Saddleback Church
• Muhammad Yunus, Founder and Managing Director, Grameen Bank

10:15 A.M. Press Conference: Global Health

10:30 AM - 11:30 AM Working Sessions: Four Simultaneous Breakout Sessions

Education: Education and the Struggle for Peace and Stability

• Wyclef Jean, Founder/Chair, Yle Haiti
• Zainab Salbi, President/CEO, Women for Women International
• George Stephanopoulos, Chief Washington Correspondent, ABC News
• Christiana A.M. Thorpe, Chief Electoral Commissioner and Chairperson, National Electoral Commission

Energy and Climate: Local Leadership

• Betrand Delano, Mayor, City of Paris
• Jos Mara Figueres Olsen, Former President of the Republic of Costa Rica; Concordia 21, Grupo Felipe IV
• Robert F. Kennedy, Jr., Chairman, Waterkeeper Alliance; Senior Attorney, NRDC
• Xiaoyi (Sheri) Liao, President, Global Village of Beijing
• Bill White, Mayor, City of Houston

Global Health: Safe Drinking Water and Sanitation

• Tralance Addy, President and CEO, WaterHealth International
• Antonio Guterres, Former Prime Minister, Portuguese Republic; High Commissioner, United Nations Human Rights Commission
• Jon Lane, Executive Director, Water Supply and Sanitation Collaborative Council
• Maria Mutagamba, Minister of State and Environment, Uganda
• Rohini Nilekani, Chairperson, Arghyam Trust

Poverty Alleviation: Information and Poverty

• Holly Ladd, Vice President and Center Director, AED-SATELLIFE Center for Health Information and Technology
• Mary Ellen Iskenderian, President and CEO, Women's World Banking
• Brian Richardson, Chief Executive Officer, WIZZIT
• Sonal Shah, Program Director, Google.org

12:00 P.M. Special Session: Poverty Alleviation in Unique Environments

• Tony Blair, Former Prime Minister, United Kingdom of Great Britain and Northern Ireland
• Helene Gayle, President & CEO, CARE USA
• Ernest Bai Koroma, President, Republic of Sierra Leone
• Surin Pitsuwan, Secretary General, ASEAN

1:30 P.M. Closing Plenary Session

• Former President Bill Clinton, Founder, William J. Clinton Foundation

-- Mitch Nauffts

Hurricane Relief Efforts (#5)

We continue to track (see also here, here, here, and here) corporate and foundation support for hurricane relief and recovery efforts along the Gulf Coast. Here is today's roundup of announcements....

The Senate is considering a $6 billion relief package for coastal communities in Texas affected by Hurricane Ike.

The New York Yankees have announced a $1 million donation to help those affected by hurricanes Gustav and Ike.

The Hewlett-Packard Company Foundation has announced a cash grant of $500,000 to the American Red Cross's hurricane relief fund and will also match up to $250,000 in employee contributions to the fund. HP also will donate notebooks valued at approximately $200,000 to the Greater Houston Area Red Cross to help that agency manage its relief and recovery efforts.

The Texas Parks and Wildlife Foundation has raised $100,000 in donations to support employees who lost homes or were otherwise affected by Hurricane Ike. The Palo Duro Canyon State Park friends group also donated $10,000 to the effort.

Baptist Health Foundation of San Antonio has announced grants totaling $50,000 to two faith-based organizations, Baptist Child and Family Services and Texas Baptist Men, Inc., working to assist victims of Hurricane Ike.

PNM Resources and its family of companies serving customers in New Mexico and Texas have announced a $50,000 donation to the American Red Cross in support of relief efforts for victims of Hurricane Ike.

The Entergy Corporation and the Foundation for the Mid South have created the Entergy Hurricane Relief Fund to help victims of hurricanes Gustav and Ike.

Former Presidents George H.W. Bush and Bill Clinton have announced that they will again team up to raise money for Gulf Coast recovery efforts. The Bush-Clinton Coastal Recovery Fund will focus on long-term recovery efforts in coastal communities affected by this summer's hurricanes.

Last but not least, the Better Business Bureau of Utah is advising donors to give responsibly to Hurricane Ike relief efforts by ensuring their gifts go to organizations equipped to support recovery efforts. (Ignoring this advice can result in disastrous consequences.)

Did we overlook your gift or contribution? Let us know by leaving a comment below.

-- Regina Mahone

2008 Clinton Global Initiative -- Day Two (a.m. wrap)

Things are returning to normal here after the remarks this morning by John McCain and Barack Obama. Sen. McCain, who was delivered to the  hotel where the meeting is being held by a small army of Secret Service agents and New York City cops, was earnestly bipartisan, high-minded ("I cannot carry on a campaign as if this dangerous situation had not occurred or that a solution is at hand"), and apologetic ("Seven hundred billion dollars is a staggering and unprecedented figure..."). Sen. Obama, whose remarks by satellite followed the conclusion of the morning plenary, was similarly bipartisan and high-minded. But he also took the opportunity to lay out an agenda -- on global health, climate change, and energy independence -- that had the crowd, Wall Streeters and NGO-types alike, swooning in admiration.

That shouldn't surprise anyone. Many people here belong to that relatively new sub-species of human being known as Davos Man, named after the Swiss Alpine town which hosts the annual World Economic Forum and defined by Wikipedia as "a global elite whose members view themselves as completely international." Bill Clinton is a classic example of the type, and Barack Obama a younger, updated model -- Davos Man 2.0, if you will.

According to Wikipedia, Davos Men "see their identity as a matter of personal choice, not an accident of birth." Samuel Huntington, the political scientist credited with inventing the term, says they are people who "have little need for national loyalty, view national boundaries as obstacles that thankfully are vanishing, and see national governments as residues from the past whose only useful function is to facilitate the elite's global operations." As I write this on a laptop in a conference room at the Sheraton (an iconic global brand in its own right), surrounded by reporters and photographers from a dozen nations, all of us hanging on the words of politicians, rehabilitated politicians, and globe-trotting advocates, it strikes me as a fairly accurate description.

All is not well in Davos-land, however. The credit crisis in the U.S. continues to deepen and wreak havoc on both Wall and Main Street. Most ominously, say the people who run and regulate the economy, if it isn't addressed and ameliorated, it could turn into a contagion that plunges the global economy into recession, or worse.

Suddenly, the fact that we are all connected (or soon will be) takes on new meaning. What's the old saying? When you marry a woman, you also marry her family, crazy uncles and all. The same can be said of globalization, and I think that fact partly explains why the tone of this year's annual CGI meeting is subdued, even somber.

But this is a crowd of optimists (individual CGI members wouldn't have paid $20,000 to attend if they weren't), and no one here seems ready to pull the plug on Globalization 3.0 (to borrow Tom Friedman's phrase). Yes, they say, gobalization is partly responsible for the worrisome situation in which we find ourselves -- not just with respect to the economy, but in terms of climate change, disease pandemics, and the existential threat posed by weapons of mass destruction. But it is also our last best chance to avoid disaster.

Let's hope they're right.

-- Mitch Nauffts

2008 Clinton Global Initiative -- Day Two (Webcast schedule)

Back for Day Two of the fourth annual meeting of the Clinton Global Initiative. With John McCain on hand to address the assembled dignitaries (and working press), the always tight security at the event has been ratcheted up to eye-opening levels. Here's today's schedule. To tune in to a live webcast of the opening plenary (in progress), click here or here. Back after the plenary...

9:00 a.m. Plenary Session: Integrated Solutions: Water, Food and Energy

• Tom Brokaw, NBC News special correspondent
• T. Boone Pickens, Founder and Chairman, BP Capital Management
• Robert Zoellick, President, World Bank Group
• Shimon Peres, Former President, Israel
• Helle Thorning-Schmidt, Leader, Danish Social Democratic Party
• Gavin Newsome, Mayor, City of San Francisco

10:45 a.m. Working Group Sessions:

Global Health: Expanding the Global Health Workforce

• Tedros Adhanom Ghebreyesus, Minister of Health, Federal democratic Republic of Ethopia
• Craig Barrett, Chair, Intel Corp.
• Mubashar Sheikh, Executive Director, Global Workforce Alliance, World Health Organization
• Aruna Uprety, Director, Rural Health and Education Services Trust

Energy & Climate Change: Renewables Revolution

• Carol Browner, Principal, Albright Group, LLC
• Lester Brown, President, Earth Policy Institute
• Marcel Brenninkmeijer, Founder/Chair, Good Energies
• Wesley Clark, Former U.S. Army General; UCLA'a Burkle Center for International Relations; Director, Emergya Wind Technologies, BV

Poverty Alleviation: Food Security and Poverty

• Madeleine K. Albright, Principal Albright Group, LLC
• Eleni Z. Gabre-Madhin, CEO, Ethopia Community Exchange
• Ken Lee, Co-Founder, Lotus Foods, Inc.
• Namang Ngongi, President, Alliance for a Green Revolution in Africa
• Raj Shah, Director, Agricultural Development Program, Bill & Melinda Gates Foundation

Education: Providing Real Choices: What Works for At-Risk Adolescent Girls and Boys?

• Wendy Kopp, CEO, Teach for All
• Grace Akallo, Author, Baker Publishing Group
• Deborah Bial, President/Founder, Posse Foundation
• Sompop Jantraka, Founder, Development and Education Program Daughters & Community Center (DEPDC)

12:30 p.m. Luncheon Plenary: Meeting the Demands of Population Growth and Urbanization

• Michael Bloomberg, Mayor, City of New York
• Paul Hawken, Founder and Executive Director, Natural Capital Institute
• Luis Alberto Moreno, President, Inter-American Development Bank
• Prince Turki al Faisal, Former Director General of Saudi Arabia's Al Mukhabarat Al A'amah, Former Ambassador to the United Kingdom, Ireland, and the United States
• Mary Robinson, Former President, Ireland

2:00 p.m. Working Group Sessions:

Energy & Climate Change: Clean Transport

• Vijay Vaitheeswaran, Correspondent, The Economist
• John E. Bryson, Retired Chairman and CEO, Edison International
• Nancy Kete, EMBARQ Director, EMBARQ: The WRI Center for Sustainable Transport
• Beth Lowery, Vice President, Environment, Energy, and Safety Policy, General Motors
• John Melo, CEO, Amyris Biotechnologies

Poverty Alleviation: Improving Livelihoods in the Wake of Conflict

• Peter Buffett, Co-chair, NoVo Foundation
• María Eugenia Brizuela de Ávila, Regional Head, Latin America Corporate Sustainability, HSBC El Salvador
• Margaret G. McGlynn, President, Merck Vaccines and Infectious Diseases, Merck & Co., Inc.
• Donald Kaberuka, President, African Development Bank
• Nicholas D. Kristof, Columnist, New York Times

Joint Working Session: Education & Global Health: Expanding the School-Health Connection

• Lael Brainard, Vice President and Director of Global Economy and Development, Brookings Institution
• Margaret G. McGlynn, President, Merck Vaccines and Infectious Diseases, Merck & Co., Inc.
• Josette Sheeran, Executive Director, United Nations World Food Programme
• Beatrice Were, Executive Director, National Coalition of Women with AIDS in Uganda

4:00 p.m. Special Session: Climate Change and Poverty

• Felipe Calderón, President, United Mexican States
• Richard Cizik, Vice President of Governmental Affairs, National Association of Evangelicals
• Van Jones, Founder and President, Green for All
• Rajendra Kumar Pachauri, Director-General, TERI, The Energy and Resources Institute
• John Podesta, President and CEO, Center for American Progress
• Judith Rodin, President, Rockefeller Foundation

4:00 p.m. Working Group Sessions:

Global Health: Ensuring a Healthy Start: Maternal and Child Nutrition

• Kathy Spahn, Presiden/CEO, Helen Keller International
• Mauricio Adade, President, Human Nutrition and Health, DSM Nutritional Products, Ltd.
• Vinita Bali, Managing Director/CEO, Britannia Industries, Ltd.
• Utami Roesli, Director, Indonesian Breastfeeding Center

Education: Beyond Microfinance: Strengthening Business and Entrepreneurship Education for Women in Emerging Economies

• Maria Bartiromo, Anchor, CNBC
• Peter Bamkole, Director, Enterprise Development Services
• Dina Powell, Managing Director, Head of Global Corporate Engagement, Goldman, Sachs & Co.
• Merida Roets, Co-Director/Founder, Scientific Roets
• Zarine Aziz, President/CEO/Chair, First Women Bank, Ltd.

-- Mitch Nauffts

2008 Clinton Global Initiative -- Overheard (Day One)

For those who haven't been following this year's CGI meeting via live webcast, here's a taste of what you've missed...

"Tobacco is the only product you can buy that if you follow the directions, it will kill you...."
-- New York City mayor Michael Bloomberg, quoting Lance Armstrong

"Education is not a public-sector job; it's not a private-sector job. It's everybody's responsibility...."
-- Her Majesty Rania Al-Abdullah, Queen of the Hashemite Kingdom of Jordan

"In my view, the 20th century view of business -- in Milton Friedman's phrase, 'The purpose of business is to maximize profits' -- is outdated and irrelevant in the 21st century...."
-- E. Neville Isdell, Chair, Coca-Cola Companies

"Don't appeal to the conscience of America; appeal to the greatness of America. Then you'll get the job done...."
-- U2 lead singer and anti-poverty advocate Bono, quoting billionaire investor and philanthropist Warren Buffett

"We all have a lot at stake in the idea of America...."
-- Bono

"Clean coal is like a healthy cigarette. It does not exist...."
-- former Vice President Al Gore

"What we need is a whole re-imagining of the American enterprise to address the three most important challenges of the 21st century: extreme climate, extreme ideology, and extreme poverty...."
-- Bono

"There is an absolute refusal [in the District of Columbia] to hold ourselves accountable for results...."
-- Michelle Rhee, Chancellor, District of Columbia Public Schools

"The consensus for free trade is collapsing around the globe because there are too many losers in developed countries...."
-- former President Bill Clinton

"I think probably every foundation would be better off if they adopted a narrower focus and worked in that area in a deeper way over a longer period of time...."
-- Bill Gates, Co-Chair, Bill & Melinda Gates Foundation

-- Mitch Nauffts

2008 Clinton Global Initiative -- $5 Billion Suzlon Green Power Commitment

Suzlon Green Power Ltd., a closely held enterprise 100 percent owned by India's Tanti family, has committed to bring 3,500 megawatts of electricity to nearly 10 million people with the development of $5 billion in green energy assets over five years, primarily in India and China. Of the total project value, Suzlon Green Power will provide approximately $1.5 billion in equity. This is likely to be the largest Energy & Climate Change commitment announced at this year's CGI meeting.

Suzlon will invest resources and expertise in four key areas:

1. Acquire existing green power assets to develop scale and expertise.
2. Develop greenfield power projects.
3. Garner support and cooperation from a network of vendors, business partners, investors.
4. Partner with local NGOs and other organizations to develop neighborhoods where the power assets will be developed and operated.

According to the accompanying press release, Suzlon and other Tanti companies bring extensive experience in wind farm development. Of the more than thirty wind farms Suzlon has developed, two are of significant size: Sanganeri, on the southern tip of India, with 600 megawatts; and Dhule, northeast of Mumbai, with 1,000 megawatts under development.

The company estimates that its projects will create a thousand jobs directly and will reduce the equivalent of seven million tons of CO₂ a year.

-- Mitch Nauffts

2008 Clinton Global Initiative -- The Girl Effect

That's the powerful social and economic change that occurs when girls and young women in the developing world have the opportunity to fully participate in their societies. Earlier today, former President Bill Clinton kicked off the opening plenary of the fourth annual meeting of the Clinton Global Initiative by announcing that the World Bank, the Nike Foundation, the country of Denmark, and the country of Liberia will partner to provide relevant life and technical skills training to adolescent girls (ages 16 to 24) in Liberia and match those girls to paying jobs. The Adolescent Girls Initiative will target 1,500 girls and young women initially, with the ultimate goal of bringing the work to scale in post-conflict Liberia and replicating it in other developing countries. (For those who don't know how CGI "commitments" work, take a look at this post from last year.)

Why is the empowerment of girls and young women so important? Consider the following:

Population Trends

• More than 600 million girls live in the developing world
• More than one-quarter of the population in Asia, Latin America, the Caribbean, and sub-Saharan Africa are girls and young women between the ages of 10 and 24
• The total global population between the ages of 10 and 24 -- already the largest demographic cohort in history -- is expected to peak in the next decade

Educational Gaps

• Approximately one-quarter of girls in developing countries are not in school
• Seventy percent of the world's 130 million out-of-school youth are girls

Child Marriage and Early Childbirth

• One girl in seven in developing countries marries before the age of 15; 38 percent marry before the age of 18
• Twenty-five to 50 percent of gilrs in developing countries become mothers before the age of 18
• In Nicaragua, 45 percent of girls with no schooling are married before the age of 18, compared to 16 percent of their educated counterparts. In Mozambique, the figures are 60 percent vs. 10 percent; in Senegal, 41 percent vs. 6 percent

Ripple Effects

• When a girl in the developing world has received seven or more years of education, she marries four years later and has 2.2 fewer children
• An extra year of primary schhol boosts girls' eventual wages by as much as 20 percent; an extra year of secondary school, up to 25 percent
• Research in developing countries has shown a consistent relationship between better infant and child health and higher level of schooling among mothers
• When women and girls earn income, they re-invest 90 precent of it into their families, as compared to only 30 percent to 40 percent for a man

"There's a strong argument for investing in girls. Economic opportunity -- particularly that of adolescent girls -- is crucial to generating the incentives that reverse inequality and break intergenerational cycles of poverty," said World Bank managing director Ngozi Okonjo-Iweala. "By working in partnership, we can make great strides in improving the livelihoods of adolescent girls, their families, and communities -- in Liberia and elsewhere."

To learn more about the work being done by the Nike Foundation, the NoVo Foundation, and others to empower girls, visit the Girl Effect Web site.

-- Mitch Nauffts

2008 Clinton Global Initiative -- Opening Day (Wed.)

As I noted yesterday (below), kaisernetwork.org is webcasting many of the plenaries and working group sessions at this year's CGI. For those interested in checking some of them out, here are the participants in today's events:

10:00 a.m.: Opening Plenary: A Call to Action

• Bill Clinton, 42nd President of the United States
• Her Majesty Rania Al-Abdullah, Queen of the Hashemite Kingdom of Jordan
• Ellen Johnson-Sirleaf, President, Republic of Liberia
• Al Gore, Chairman, General Investment Management
• Bono, Lead Singer, U2; Co-Founder, ONE
• Lance Armstrong, Founder/Chair, Lance Armstrong Foundation
• E. Neville Isdell, Chair, Coca-Cola Co.

12:00 p.m.: Press Conference with Lance Armstrong

2:00 p.m.: Four Concurrent Working Group Sessions

Global Health: Healthy Transitions for Adolescent Girls

• Maria S. Eitel, President, Nike Foundati