Compact for Philanthropy

Compact for Philanthropy
Name	Compact for Philanthropy
Formation	2018
Type	Initiative
Purpose	Philanthropic reform, grantmaking practices
Headquarters	New York City
Region served	United States
Leader title	Conveners

Compact for Philanthropy is an initiative begun in 2018 aimed at changing grantmaking practices among major philanthropic institutions and foundations. It was announced amid conversations involving leading donors, nonprofit leaders, and advocacy groups that included interactions with institutions such as the Bill & Melinda Gates Foundation, Ford Foundation, Rockefeller Foundation, Open Society Foundations, and Andrew W. Mellon Foundation. The Compact emerged during policy debates influenced by organizations like Candid (organization), Philanthropy Roundtable, National Council of Nonprofits, Council on Foundations, and prominent philanthropists such as Gates family, Warren Buffett, MacKenzie Scott, and George Soros.

Background and founding

Founders and early backers included executives and trustees from institutions like the William and Flora Hewlett Foundation, John D. and Catherine T. MacArthur Foundation, Carnegie Corporation of New York, Robert Wood Johnson Foundation, and James Irvine Foundation. The Compact drew on research from think tanks and research centers such as the Stanford Center on Philanthropy and Civil Society, Harvard Kennedy School, Brookings Institution, Urban Institute, and RAND Corporation. Initial discussions referenced high-profile philanthropy efforts associated with the Giving Pledge, Chan Zuckerberg Initiative, Google.org, and major family offices tied to surnames like Walton family, Koch family, Bloomberg family, and Sackler family. Early publicity connected the Compact to events at venues including Aspen Institute, Skoll World Forum, Clinton Global Initiative, and TED Conference.

Principles and commitments

The Compact articulated commitments that resonated with practices advocated by entities such as Nonprofit Quarterly, Independent Sector, National Philanthropic Trust, Philanthropy New York, and European Foundation Centre. Core promises echoed standards found in documents produced by Charity Commission for England and Wales, Internal Revenue Service, Charities Aid Foundation, and policy frameworks used by United Nations programs and World Bank. Signatories pledged measures similar to guidelines promoted by Grantmakers for Effective Organizations, Council on Foundations', GiveWell-style effectiveness discourse, Results for America, and donor stewardship models from Fidelity Charitable and Schwab Charitable.

Membership and signatories

Signatories included a range of institutions spanning community foundations like the Silicon Valley Community Foundation, corporate foundations such as Wells Fargo Foundation, JP Morgan Chase Foundation, Bank of America Charitable Foundation, and international donors like Rockefeller Brothers Fund. Other organizational names that appeared in related lists included Annie E. Casey Foundation, Fondation de France, William T. Grant Foundation, Helmsley Charitable Trust, Eli and Edythe Broad Foundation, Surdna Foundation, Kresge Foundation, Michael & Susan Dell Foundation, and Paul G. Allen Family Foundation. Participation also involved associations including Council on Foundations, European Foundation Centre, Asia Pacific Philanthropy Consortium, and regional intermediaries such as Community Foundation for Greater Atlanta and Chicago Community Trust.

Implementation and impact

Implementation activities referenced operational changes practiced by organizations like New York Community Trust, The Cleveland Foundation, Silicon Valley Community Foundation, California Community Foundation, and programmatic shifts comparable to those at Robert Wood Johnson Foundation and Gordon and Betty Moore Foundation. The Compact’s measures intersected with grantmaking reforms advocated by Grantmakers for Effective Organizations, evaluation methodologies from Independent Sector, and transparency tools used by Candid (organization) and GuideStar. Reported impacts were discussed alongside metrics popularized by GiveWell, Charity Navigator, ImpactAssets, Blue Ridge Foundation, and evaluations in journals like Nonprofit Management & Leadership and platforms such as Philanthropy News Digest.

Criticism and controversies

Critiques referenced debates familiar from controversies involving Sackler family philanthropy, scrutiny of corporate giving tied to ExxonMobil, BP, Chevron Corporation, and disputes over conditional grants linked to Chan Zuckerberg Initiative and Bloomberg Philanthropies. Critics invoked civil society voices like ACLU, Human Rights Watch, Center for American Progress, Brennan Center for Justice, and academic critics at Columbia University, Oxford University, LSE, and Yale University who questioned governance, power dynamics, and conflicts of interest reminiscent of controversies facing Ford Foundation and Rockefeller Foundation in past reforms. Debates often mirrored discussions about tax policy involving the Internal Revenue Code, charitable deduction debates in the United States Congress, and regulatory scrutiny from agencies such as the U.S. Department of the Treasury and state attorneys general including offices of the New York Attorney General and California Attorney General.

Related initiatives and partnerships

The Compact intersected with other efforts including the Giving Pledge, Effective Altruism movement, Skoll Foundation initiatives, Open Society Foundations programs, and collaborations with networks like Grantmakers for Effective Organizations, National Committee for Responsive Philanthropy, Philanthropy Roundtable, Network for Good, and Racial Equity in Philanthropy Collaborative. Partnerships extended to global frameworks promoted by the United Nations Foundation, OECD, World Economic Forum, European Commission, and donor platforms such as Global Philanthropy Forum and Centre for Effective Philanthropy. The Compact’s conversations continued alongside events at Clinton Global Initiative, Davos, Skoll World Forum, and regional convenings organized by Philanthropy New York and Asian Venture Philanthropy Network.

Category:Philanthropy