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The Business of Giving

Exploring philanthropy, non-profits and socially motivated business, from the Gates Foundation to your donation. A fresh look at the economy of good intentions.

October 1, 2010 at 3:04 PM

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Investments in advocacy pay off in Northwest, philanthropy group says

Posted by Kristi Heim

Advocacy is a growing part of the work of philanthropy, and groups in the Northwest have seen a significant return on investment for their efforts, according to the National Committee for Responsive Philanthropy.

It's also a unique strength of the region, said Aaron Dorfman, executive director of the Washington, D.C.-based organization that measures philanthropy's impact on public needs. Dorfman was in Washington state this week to discuss a study his group has done of 20 community organizations in Washington, Oregon, Idaho and Montana.

Their efforts are creating lasting changes in local and state government policies and programs that benefit the poor, he said.

The report found that every dollar invested in advocacy of policies returned about $150 in benefits, he said. The groups in the study, which focus on homelessness and housing, predatory lending, immigrant rights, health care access and other issues, spent about $23 million on advocacy, with most of the funding provided by foundations.

The ultimate test of a philanthropy's success is whether it stimulates "real solutions and long-term results that actually touch the lives of people who need help," he said.

In one example Dorfman cited, the Washington Low Income Housing Alliance led an effort with local groups, including the Washington State Coalition for the Homeless, that helped secure $300 million for a housing trust fund from the state, which then leveraged $1.2 billion in federal funding for housing.

In another example, the Statewide Poverty Action Network helped pass a state law that created Individual Development Accounts, which are matched savings accounts for low-income workers to use toward furthering education or purchasing a home or car. The group's efforts led to $1.7 million in state funding for the accounts and an additional $1.8 in federal and private matching funds, he said.

The nonprofits in the study included the Community to Community Development (C2C), OneAmerica with Justice for All, Spokane Alliance, Statewide Poverty Action Network (SPAN), United Indians of All Tribes Foundation (UIATF), Washington Community Action Network (WCAN!) and Washington Low Income Housing Alliance.

Foundations cited as effective partners included the Seattle-based Campion Foundation, Marguerite Casey Foundation and Social Justice Fund Northwest.

"The key message is if your institution hopes to make a difference on some of the pressing problems and you don't have advocacy and organizing and civic engagement as part of your efforts, you're really missing the boat," Dorfman said.

(This post was corrected to include the Washington Low Income Housing Alliance, which I left out originally.)

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