Billionaire philanthropist MacKenzie Scott has donated over $17 billion to more than 2,300 nonprofits since 2019, but her giving remains shrouded in mystery. A recent open call for nonprofits yielded $640 million in grants, with a larger percentage going to democracy-focused organizations and “race and ethnicity” initiatives. Experts say Scott’s approach may not be providing long-term sustainability for the recipients.
Scott’s grants, which often fall under themes of equity, justice, education, health, and economic security, have sparked interest among nonprofits. However, her lack of transparency and limited support beyond grants have raised concerns about the effectiveness of her philanthropy. “There’s no long-term relationship,” said Pamala Wiepking, a professor at Indiana University.
The recent open call for nonprofits was seen as a response to criticism around transparency and access. The application process yielded 361 nonprofits, with an average annual budget between $1 million and $5 million. Scott’s gifts have averaged $3.3 billion per year since 2019, making her one of the largest philanthropic funders in the US.
The question remains whether Scott will expand her support to smaller organizations or provide additional funding beyond grants. While her gifts are generous, experts argue that they don’t offer long-term sustainability for nonprofits. With her net worth estimated at $37 billion, Scott’s commitment to giving is expected to continue, but the impact of her philanthropy on the nonprofit sector remains uncertain.
As the largest foundation funder in the US, Scott’s approach has sparked debate about the effectiveness of unrestricted giving and the need for long-term support from funders. With her influence and resources, Scott’s future philanthropic endeavors are likely to be closely watched by the nonprofit community and experts alike.
Source: https://fortune.com/article/mackenzie-scotts-game-changing-philanthropy-still-mystifies-nonprofits-her-gifts-are-super-generous-but-unfortunately-they-dont-provide-long-term-sustainability