Editor's Note: This article was originally published in Inside Philanthropy on October 19, 2020.
The Latino Community Foundation (LCF) has one overarching goal: to "recast the economic and political position of Latinos in California." It's a tall order, especially for a single community foundation.
LCF, however, has devised a three-pronged strategy to achieve its goal: 1) build a movement of Latino philanthropists; 2) invest in Latino-led organizations; 3) build civic and political power. Although it can be tempting to focus solely on LCF's work in building political power and mobilizing Latino voters, it's important to look at the other pillars of their strategy in order to really understand how and why LCF works.
LCF's website boasts that they have built the "largest network of Latino philanthropists in the country." It's an impressive feat, but how exactly have they done this?
The short answer: love.
In their welcome packet, LCF's CEO Jacqueline Martinez Garcel writes, "The Latino Community Foundation established this Network because we recognize that the love, joy, generosity, and commitment to family inherent in our culture has the power to change the destiny of our youth and families."
In other words, LCF harnesses the community-oriented spirit that permeates Latino cultures and channels it into supporting Latino-led organizations.
Perhaps one of the biggest ways in which LCF does this is through its Latino Giving Circle Network (LGCN). The way it works is that every member who joins or starts a Giving Circle contributes at least $1000 per year. Then as a collective and with the assistance of LCF, the Giving Circle decides which nonprofit to support.
LCF offers advice on grantmaking and provides resources, but the members of the Giving Circle ultimately decide as a group which nonprofit they will invest in and how the money will be distributed.
Senior Program Manager and manager of LCGN, Amber Gonzales-Vargas, explained how Giving Circles differ from more traditional forms of philanthropy. "Giving Circles help us stay rooted in the origins of the word philanthropy, love for people," she said. "The Latino Giving Circle Network (LGCN) is different from traditional philanthropy because it focuses on love and just change, not just charity."
LCGN currently has 500 active members and 22 Giving Circles throughout the state. According to Gonzales-Vargas, the Giving Circles have contributed almost $2 million to over 90 Latino-led nonprofit grassroots across California. Most of the organizations they support have budgets of less than $500,000.
Latino nonprofits have been historically ignored by philanthropists. A study by the Foundation Center and Hispanics in Philanthropy found that although the Latino population in the U.S. continues to rise, foundation funding for Latinos has remained stagnant at about one percent of the total funding given.
As such, LCF seeks to challenge the landscape of philanthropy. "Our Circles are changing the inequity of philanthropic support and going beyond to make sure leaders feel seen, heard, and understood," said Gonzales-Vargas. "We know that philanthropy is more than just writing a check. Philanthropy is about justice; it's about authentic partnership; it's about mutual respect."
This idea is crucial to LCF's vision. Philanthropy, according to both Gonzales-Vargas and Martinez Garcel, should be about more than charity or an annual lump-sum investment; it should involve actively engaging in the work and the community the person wishes to support.
Gonzales-Vargas further explained that the LCGN's work has helped communities that have been ignored by traditional philanthropy, particularly in critical areas like the Central Valley and the Central Coast of California.
"Giving Circles," Gonzales-Vargas said, "are the present, the future, and our pathway to more equitable change."
In addition to the LCGN, the Foundation also supports Latino-led organizations through their Latino NonProfit Accelerator program. Established in 2017, the Accelerator works to give "grassroots nonprofits the boost they need to grow into strong anchor institutions" by providing marketing and fundraising training and tools, and by connecting nonprofits with potential funders.
According to their 2018 report, LCF "leveraged $2.5 million in new funding for the nine organizations participating in the pilot year." These organizations are the Chicana Latino Foundation, Fathers & Families of San Joaquin, One Day At a Time (ODAT), Services, Immigrant Rights & Education Network (SIREN), Communities United for Restorative Youth Justice (CURYJ), HOMEY, Faith in the Valley, Santa Cruz Barrios Unidos, and Digital NEST.
LCF itself is funded through individual, foundation, and corporate donations. Some of their donors include AARP, AltaMed, Bank of the West, the Natural Resources Defense Council, The California Endowment, Target, and Univision. Google.org awarded $1 million to LCF for its Latino Nonprofit Accelerator.
Additionally, LCF also directly invests in numerous Latino-led organizations. Some of LCF's grantees are California Latinos for Reproductive Justice, Centro Legal de la Raza, Community Overcoming Relationship Abuse, Familias Unidas, the Latina Coalition of Silicon Valley, and Mobilize the Immigrant Vote.
In 2018, Martinez Garcel delivered the keynote speech at the National Bioneers Conference. In it, she explained why LCF seeks to invest in Latino-led organizations. "We believe that those closest to the pain have the best solutions that will last the longest and actually transform the lives of a whole generation," she said.
LCF believes that because these organizations are so closely tied to their communities, they are uniquely qualified to work with members of that particular community to help enact the necessary systemic changes to address inequality. For example, numerous Latino-led grassroots organizations that LCF has invested in have helped mobilize Latino voters.
Ultimately, what LCF wants is to offer Latino organizations in California the means they need to help Latinos succeed. Their philanthropic network is the key component in making this happen. It fosters investment in oft-ignored Latino-led grassroots and helps develop civic leaders in Latino communities and beyond.
"Our Giving Circles have inspired philanthropy within our greater community and have helped to grow our Foundation as a whole," Gonzales-Vargas explained. "There is a ripple effect of philanthropy. We are no longer waiting for a funder to save us—we are organizing resources amongst ourselves."
