Community Foundations in 10 Minutes Juraj Mesik Senior Community Foundations Specialist World Bank

Community Foundations in 10 Minutes, World Bank 2 Characteristics of CFs grantmaking foundations (but many also do their own programs) grantmaking foundations (but many also do their own programs) broad range of donors and seek grants also from outside of their communities (diverse portfolio of donors = high stability) broad range of donors and seek grants also from outside of their communities (diverse portfolio of donors = high stability) geographically defined community geographically defined community broadly defined mission (like „to improve quality of life in community“, „to strengthen social capital of community“ ) broadly defined mission (like „to improve quality of life in community“, „to strengthen social capital of community“ ) governed by local and representative board governed by local and representative board build endowment, element of „eternity“ build endowment, element of „eternity“

Community Foundations in 10 Minutes, World Bank 3 Other Functions of CFs neutral players for convening various stakeholders in the community to face the issues and challenges of common interest, neutral players for convening various stakeholders in the community to face the issues and challenges of common interest, provide leadership – by identifying critical issues, searching for strategies to tackle them and mobilizing resources provide leadership – by identifying critical issues, searching for strategies to tackle them and mobilizing resources empower people by providing them with simple, fair, transparent and fast, yet competitive, access to funds for implementing their ideas and projects empower people by providing them with simple, fair, transparent and fast, yet competitive, access to funds for implementing their ideas and projects

Community Foundations in 10 Minutes, World Bank 4 Other Functions of CFs network people within the community and outside network people within the community and outside bring and spread innovations (“best practices”) bring and spread innovations (“best practices”) serve as model of transparency and accountability, where such practices do not exist in public institutions serve as model of transparency and accountability, where such practices do not exist in public institutions by being transparent and implementing strict conflict of interest policies, CFs rebuild the trust towards institutions in their communities by being transparent and implementing strict conflict of interest policies, CFs rebuild the trust towards institutions in their communities

Community Foundations in 10 Minutes, World Bank 5 Other Functions of CFs strengthen existing and encourage establishment of new CSOs within community strengthen existing and encourage establishment of new CSOs within community provide intermediary for strategic giving for businesses provide intermediary for strategic giving for businesses provide opportunity for efficient giving by middle class or poor people, SMEs... provide opportunity for efficient giving by middle class or poor people, SMEs...

Community Foundations in 10 Minutes, World Bank 6 How do we (the Bank) build Community Foundations ??? We do not ! Local people do !!!

Community Foundations in 10 Minutes, World Bank 7 What Can the Bank Do? To inspire and catalyze their growth as a part of our scaling up efforts by: Increasing awareness about CFs in the Bank’s client countries Increasing awareness about CFs in the Bank’s client countries Supporting a favorable legal environment through dialogue with client governments Supporting a favorable legal environment through dialogue with client governments Exposing stakeholders from the communities in client countries to existing CFs Exposing stakeholders from the communities in client countries to existing CFs Providing know-how and training in initial phase of CF’s development Providing know-how and training in initial phase of CF’s development

Community Foundations in 10 Minutes, World Bank 8 What Can We Do? Work with foundation partners to provide the seed money to start grantmaking and establish track record (but to avoid risk of “killing them” by excessive amount of “easy” funds!) Work with foundation partners to provide the seed money to start grantmaking and establish track record (but to avoid risk of “killing them” by excessive amount of “easy” funds!) Offering technical assistance Offering technical assistance Giving them status and prestige among Bank’s partners, opening doors Giving them status and prestige among Bank’s partners, opening doors Explore endowment building Explore endowment building Making a long term commitment (for institutional development) Making a long term commitment (for institutional development)

Community Foundations in 10 Minutes, World Bank 9 Fastest Growing Field of Foundations Look at Global Geography and Short History of Community Foundations

Community Foundations in 10 Minutes, World Bank 10 History of CFs Prehistory: city-based foundations exist in cities in Europe and elsewhere at least since middle ages. Prehistory: city-based foundations exist in cities in Europe and elsewhere at least since middle ages. the first modern CF established in 1914 in Cleveland, USA the first modern CF established in 1914 in Cleveland, USA the spark jumped over to Canada in 1921, Winnipeg CF the spark jumped over to Canada in 1921, Winnipeg CF 1979: Northern Ireland Voluntary Trust, the first CF in Europe, established with the support of the government 1979: Northern Ireland Voluntary Trust, the first CF in Europe, established with the support of the government 1985: Puerto Rico Community Foundation – the first CF in Spanish speaking world 1985: Puerto Rico Community Foundation – the first CF in Spanish speaking world 1990s: „explosion“ of CFs in Europe, Mexico, South Africa, Russia and other regions 1990s: „explosion“ of CFs in Europe, Mexico, South Africa, Russia and other regions

Community Foundations in 10 Minutes, World Bank 11 Global Geography Americas USA: 600+, accumulated endowments over 30 billion USD) USA: 600+, accumulated endowments over 30 billion USD) Canada (100+, accumulated endowments over 1 billion USD) Canada (100+, accumulated endowments over 1 billion USD) Mexico (22) Mexico (22) Brazil Brazil Virgin Islands Virgin Islands British West Indies British West Indies Ecuador (has one national CF-like foundation) Ecuador (has one national CF-like foundation)

Community Foundations in 10 Minutes, World Bank 12 Global Geography Europe United Kingdom: 64 United Kingdom: 64 Germany: 45 Germany: 45 Italy, Poland, Slovakia, Russia (each around a dozen of CFs) Italy, Poland, Slovakia, Russia (each around a dozen of CFs) Ireland: 1 Ireland: 1 Latvia and Ukraine: 1 Latvia and Ukraine: 1 Belgium and France have one national CF-like foundation each Belgium and France have one national CF-like foundation each

Community Foundations in 10 Minutes, World Bank 13 Global Geography Asia: India, Japan have each one CF Asia: India, Japan have each one CF Australia and New Zealand several Australia and New Zealand several Africa: South Africa (several CFs), Zimbabwe, Kenya, Mozambique (each one CF-like f.) Africa: South Africa (several CFs), Zimbabwe, Kenya, Mozambique (each one CF-like f.)... and efforts are under way to establish first CFs in Philippines, Thailand, China, Romania, Croatia, Estonia, Lithuania...

Community Foundations in 10 Minutes, World Bank 14 Summa Summarum Community foundations are the fastest growing field of philanthropy around the world. Their existence and functioning is no longer limited to the richest nations.

Community Foundations in 10 Minutes, World Bank 15 But: CFs, just like people, are „complicated animals“. They need: massive transfer of know-how in order to start massive transfer of know-how in order to start long time commitment and patience to mature. long time commitment and patience to mature.