Billionaire philanthropist MacKenzie Scott’s recent round of grants to nonprofits has shed some light on her giving priorities, with a focus on equity and justice, education, health, and economic security. Notably, a larger percentage of grants went to democracy-focused organizations in this latest round. Scott has given the most grants to organizations in the U.S. South historically, but California and New York received the largest number of grants in the most recent round.
Scott’s commitment to giving away a significant portion of her wealth has led her to distribute over $17.3 billion to more than 2,300 nonprofits since 2019. Last year, she offered nonprofits the chance to apply for $1 million grants through Lever for Change. Out of over 6,000 applicants, 361 nonprofits were chosen to receive either $1 million or $2 million, totaling $640 million in gifts. This initiative aimed to provide unrestricted funding to nonprofits with annual budgets between $1 million and $5 million.
While Scott’s generous gifts have been inspiring to many, there are questions about the long-term sustainability of these donations. Many nonprofits are hoping for additional opportunities to receive funding, especially smaller organizations. Scott’s lack of transparency in the past has been a point of criticism, although she released a public database of her gifts in 2022. It remains unclear whether she will continue to offer unrestricted funding to smaller nonprofits in the future.
The call for unrestricted funding for nonprofits has been made by several major foundations in recent years, highlighting the importance of providing operational support rather than restricting funds to specific projects. Scott’s giving, which averages $3.3 billion a year, puts her among the top philanthropic funders in the U.S. Despite her significant contributions, some experts suggest that she could offer more long-term support beyond financial gifts to build trust-based relationships with grantees.
While Scott’s giving has made a significant impact on the nonprofit sector, there are still questions about her approach and the sustainability of her donations. Some experts believe that offering additional support beyond financial gifts, such as training or expertise, could enhance the impact of her philanthropy. As one of the largest philanthropic funders in the U.S., Scott’s giving has the potential to create lasting change in the nonprofit sector, but how she chooses to engage with organizations in the future remains to be seen.
