MINNEAPOLIS, Minn. (June 8, 2005) In a third five-year benchmark report on diversity, the Minnesota Council on Foundations reports incremental improvements in applying strategies for inclusiveness among Minnesota grantmakers. The study follows two earlier diversity surveys of Council members on the same topic reported in 1995 and 2000.

The current survey shows that the discourse on diversity and inclusiveness practices within the Minnesota philanthropic community has been elevated to a higher level. More foundations and corporate giving programs have formal, written statements on diversity and inclusiveness than five years ago and the impetus for change is coming from the foundations’ most senior-level policymakers.

Forty-two percent of responding foundations have formal diversity policies, up from roughly 20 percent in both 1995 and 2000, suggesting that more Minnesota grantmakers are thinking about diversity and making an effort to establish a formal structure related to this work.

In the 2000 study, staff was cited as the strongest forces behind formal policy initiation. Over the last five years, governing boards have been more actively involved in instigating change, with 65 percent of foundations and corporate giving programs mentioning the key role of board members.

Many grantmakers find that commitment to a diversity hiring policy is the best strategy in advancing inclusive practices and sustaining progress in diversifying the field. Proper training is also needed, not merely to engage diverse staff but also to increase the cultural capacity of the entire organization.

Community also is a theme of the 2005 diversity survey. Compared with five years ago, grantmakers increasingly engage diverse communities and grantee organizations in dialogues as a way to measure their diversity efforts, while relying less on tracking numbers and formal evaluations.

Grantmakers as community citizens have made the biggest gains over the past 10 years, particularly in activities that had the least attention in the 2000 diversity survey. These activities, which all achieved nearly 50 percent participation in the current survey, include tailoring communications materials to diverse audiences, having funds specifically designated for diverse communities and participating actively in the debate around public policy issues that affect diverse communities.

"The fundamental goal of this survey, as with all Council research, is to focus the issues and encourage heightened dialogue within the philanthropic community," said Bill King, president of the Minnesota Council on Foundations. "We recognize that much work remains ahead to achieve inclusiveness in Minnesota philanthropy, and we hope the ensuing dialogue will help move the field forward in its efforts to be inclusive."

Community foundations are more likely than other kinds of grantmakers to be doing work within all four roles of the Council’s Diversity Framework, including grantmakers as funders, employers, economic entities and community citizens. In their additional role as fundraisers, most community foundations have started establishing funds or funding vehicles, like donor-advised funds, targeting diverse donors.

The overall composition of Minnesota’s grantmaking work forces remains relatively unchanged from five years ago. Minnesota grantmaking boards, staff, advisory committees and consultants are still predominantly white although they are distinctly more diverse, except for Asian/Pacific Islander board members, than the Minnesota population as a whole. The paid staff of Minnesota foundations and corporate giving programs are less diverse than nationwide, not counting the greater representation of Native Americans in Minnesota philanthropy. Continuing an earlier trend, Minnesota grantmaking boards are more diverse than the national field of philanthropy.

 Diversity Task Force provided guidance to the survey project beginning in January 2005. The survey was conducted from March to April 2005, with survey questionnaires sent to the top officer or board chair of the 160 members of the Minnesota Council on Foundations. Sixty-four surveys, equaling 40 percent of the total, were returned.

Building on a Better Foundation: A Toolkit for Creating an Inclusive Grantmaking Organization was mentioned by more than a third of survey respondents as one of the resources they have used in the past five years to promote a climate of inclusivity and as a resource they would recommend to others. This toolkit provides examples and stories of grantmaker efforts for rethinking funding programs and organizational cultures to reflect the ever-changing faces of the communities they serve.

The full report, "Working Towards Diversity III," is available online. Free print copies of the report are available (one per organization) from the Council (612.338.1989, info@mcf.org), while supplies last.

Founded in 1969, the Minnesota Council on Foundations' mission is to strengthen and expand philanthropy. The Council is a regional membership association of grantmakers working to improve the vitality and health of our communities. Council members include private foundations, community and other public foundations, and corporate foundations and business giving programs.

CONTACT: Jane Ferguson Otis, Vice President of Communications and Information Services, 612.335.3597, jotis@mcf.org