How to be a Courageous Philanthropist

Paula Hodges is founder of Anchor Strategies and was the founding Executive Director of New Hampshire Progress Alliance, New England’s first pooled investment fund for incubating durable, permanent progressive infrastructure.

Admittedly, I am not a philanthropist. But managing the money of philanthropists for progressive social change has given me a unique appreciation for the essential role of people and organizations that connect philanthropy and political strategy.

I’ve spent most of my career as that staff person expected to change the world $1,000 at a time, one issue at a time.  In roles such as manager of young organizers, volunteer coordinator, lobbyist to fickle legislators, major gifts director, and Executive Director, I have worked to change political decision-making systems, often while holding up woefully under-staffed legislative and advocacy initiatives. As a single person Public Affairs or Program Director, I sometimes served in the role of five people, and was seen as a savior if I could project-manage a couple coalitions on the side – you know, for the good of the cause.

This is the plight of nonprofits that attempt advocacy with small staffs and fledgling budgets. We have magical unicorns among us, but we burn them out and don’t recognize the real opportunity and economic costs for these staff. We fund the sexy here-and-now social reform initiatives, but forget the critical connective tissue organizing that brings nonprofits together around one long-term plan. We short-change the outreach and engagement positions who partner in real ways to build political and community change that our charitable and direct service provider groups require to carry out their work.  We cut short the operatives who know how to respond to and build power in spite of the political volatility and public narrative shifts.

But it doesn’t have to remain that way. Women philanthropists are demonstrating their systems change muscle and some are looking to build out connective tissue among women’s and girls issues. Because women understand that communication, collaboration and shared strategy is essential to effective movement building, women philanthropists are  uniquely positioned to invest in this work.

So what does this connective tissue look like? It is a matrix of nonprofits designed to develop digital, narrative and community pipelines for leadership and action. We call it infrastructure. These nonprofits are legally and structurally set up to carry the message and deploy civic engagement tactics so that elected bodies move toward public policy changes.

“Social Welfare” or 501(c)4 nonprofits are an overlooked tool for moving the public narrative and elected leaders. Although sometimes scorned as  “dark money,” particularly since Citizens United, 501(c)4s  are a critical part of the larger investment strategy to achieve social change.  If your passion is environmental justice or reducing maternal mortality rates- it IS political. The same state lawmakers that are blocking attempts to codify Roe V. Wade are the ones working to deter voting rights and further cripple structural democracy as we know it.

Women and girls issues do not exist in a silo. They exist inside a complex struggle for power among partisans  – some of whom govern and some of whom are paid to work against women’s and girls causes. Service providers must be funded to provide their services, and social welfare organizations must be funded to build political power for women and girls. It is a moral and ethical imperative of the modern political era.

So here are my recommendations for how to be courageous:

  1. Be a bold board member. Discuss how your 501(c)3 charity can partner with other nonprofits doing voter registration and mobilization programs. Ask your executive directors what 501(c)4 and infrastructure organizations help them the most and explore opening a connected 501(c)4 to allow your organization to be a stronger advocate for your core mission work.
  2. Identify if there is an infrastructure donor alliance in your state or community. These are often 501(c)4 and 501(c)3 hybrid affinity groups that  invest in long term, connective tissue strategies that bring single issue groups together around shared community organizing goals and a shared set of message, civic engagement and even litigation goals.
  3. Endow entire staff roles and teams to focus on civic engagement partnerships. Make it acceptable for charitable nonprofits to have a seat at voter and community mobilization tables.
  4. Reconsider your mix of giving. If you give $1 million a year to 501(c)3 causes, consider tithing 10% to 501(c)4s that are providing the teams and tactics to respond to deep societal and political crises (like government shut downs, as one recent example).
  5. Educate your philanthropist friends. Help them understand that if you’re not at the table, you’re on the menu. Have tough conversations about diversifying how you invest in the charitable and social welfare sectors.

Paula Hodges is founder of Anchor Strategies, which works with individual donors and organizational funders to re-think their philanthropic giving by layering on political and advocacy funding and joining state based progressive infrastructure donor alliances. She was the founding Executive Director of New Hampshire Progress Alliance, New England’s first pooled investment fund for incubating durable, permanent progressive infrastructure.

Related:

Announcing the 2019 Philanthropy Women Leadership Awards

Year-End Thoughts and My Interview for Women’s Fund of Rhode Island

Joy-Centric Movement Building: NoVo Partners With Consortium to Empower Southern Black Girls