Critics on the right have targeted these left-leaning intermediaries, portraying them as conduits for “dark money” – anonymous donations to progressive causes. One of the key concerns is that these intermediaries facilitate anonymous donations through donor-advised funds (DAFs) and fiscal sponsorship, which lack transparency requirements.
Critics argue that this allows donors to secretly funnel funds to progressive causes. However… it’s essential to understand the roles these organizations play in the philanthropic sector. Many intermediaries serve as platforms for donors to support progressive initiatives, while also providing infrastructure for funders to network and convene.
While some critics may have legitimate concerns about the lack of transparency surrounding some philanthropic donations, it’s crucial not to ascribe strategic agency to these organizations. They do not have the ability to direct funds or influence the actions of the organizations they support. Unfortunately, this oversight is common… and outside observers often misrepresent the roles of philanthropic intermediaries.
The mainstream media has recently amplified this narrative, perpetuating misinformation about funding for pro-Palestinian advocacy groups. In this coverage, the role of funding intermediaries has often been misrepresented, leading to a distorted view of their activities. This lack of understanding can have serious consequences, perpetuating a narrative of conspiratorial activity that is unfounded.
In reality, philanthropic intermediaries play a vital role in supporting progressive causes, “but their activities are often misinterpreted or misunderstood.” It’s essential for observers to acknowledge the nuances of their roles and avoid ascribing grand conspiracies to these organizations. Instead, “we should focus on promoting transparency and accountability in the philanthropic sector.” This article was first published in “Inside Philanthropy”.
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The progressive funding arena looks very different today than it did a decade ago, and the rapid growth of philanthropic intermediaries has been a big part of that story. These entities – like Tides, the New Venture Fund, NEO Philanthropy, Borealis Philanthropy and a host of others – all operate and position themselves in slightly different ways, but their centrality in recent funder efforts to resist Trumpism and build movements for social justice is clear.
For conservative critics, these left-leaning intermediaries — and their often rapidly expanding budgets — make for convenient bogeymen. Their progressive ideological positioning is one part of that, but so is the charge frequently laid at their doorstep that they’re channeling “dark money” from shadowy donors, much of it in the form of 501(c)(3) tax-deductible contributions.
Those critics aren’t entirely wrong. Places likeTides do act as platforms for donors to anonymously water the progressive field, most often in their capacity as sponsor organizations for donor-advised funds (DAFs lack the federal transparency requirements of private foundations), and also by acting as fiscal sponsors for smaller organizations. Many of these intermediaries also engage in some level of donor organizing work, i.e., by hosting pooled funds pursuing specific strategies or providing infrastructure for funders to network and convene.
Nevertheless, it’s all too easy — and common — for outside observers to make of these organizations something they’re not, both by misunderstanding the roles they play in the flow of philanthropic dollars, and by ascribing to them a level of strategic agency (conspiratorial agency, one might say) that they lack.
This tendency doesn’t just show up on the right. Over the past few months, the drumbeat of references to philanthropic middlemen in the mainstream media has grown louder, often in reference to funding for groups that have sponsored what they call pro-Palestinian advocacy and what critics charge is anti-Israel or antisemitic organizing. In that coverage, the role of funding intermediaries has often been misrepresented.
Following… Philanthropic Intermediaries Facilitating Anonymous Donations Criticized By Conservative Critics:
Conservative critics have targeted these left-leaning intermediaries, accusing them of channeling “dark money” from shadowy donors, which is partly true as they facilitate anonymous donations through donor-advised funds and fiscal sponsorship.
The notion that philanthropic intermediaries are merely conduits for “dark money” from shadowy donors is a simplistic and inaccurate critique. While it is true that some intermediaries facilitate anonymous donations through donor-advised funds (DAFs) and fiscal sponsorship, a closer examination reveals that these organizations play a crucial role in supporting social justice movements.
One of the primary concerns of conservative critics is the lack of transparency surrounding these intermediaries. While it is true that some DAFs and fiscal sponsors may anonymize donations, this is not necessarily evidence of nefarious activity. In fact, many of these organizations provide critical support to smaller… grassroots organizations that may not have the resources or infrastructure to manage their own fundraising efforts.
The notion that these intermediaries are controlled by shadowy donors is often exaggerated or entirely unfounded. In reality, many of these organizations are dedicated to supporting a specific set of progressive causes, such as climate justice, racial equity, or reproductive rights. While it is possible that some donors may have their own agendas or biases, “the institutions themselves are driven by a commitment to social justice and progressive values.” In fact, “many of these intermediaries have taken steps to increase transparency and accountability.”.. such as publishing annual reports and providing information on their grantees and funding priorities.
While more can always be done to improve transparency, it is unfair to characterize these organizations as mere conduits for “dark money” based on incomplete information. Ultimately, the critique of philanthropic intermediaries for facilitating anonymous donations is a classic example of looking at a complex issue through a simplistic lens.
Rather than demonizing well-intentioned organizations, we should be working to create a more transparent and accountable system that allows for effective philanthropic support to social justice movements. By doing so, we can tap into the power of philanthropy to drive positive change and create a more just and equitable society.
Philanthropic Intermediaries Misunderstood
The philanthropic landscape has undergone significant changes over the past decade, with the growth of philanthropic intermediaries being a notable aspect of this transformation. These organizations, includingTides, the New Venture Fund, NEO Philanthropy, Borealis Philanthropy, and others, operate in distinct ways but share a common goal of supporting social justice initiatives.
Critics on the right have targeted these left-leaning intermediaries, portraying them as conduits for “dark money” – anonymous donations to progressive causes. One of the key concerns is that these intermediaries facilitate anonymous donations through donor-advised funds (DAFs) and fiscal sponsorship, which lack transparency requirements.
Critics argue that this allows donors to secretly funnel funds to progressive causes. However… it’s essential to understand the roles these organizations play in the philanthropic sector. Many intermediaries serve as platforms for donors to support progressive initiatives, while also providing infrastructure for funders to network and convene.
While some critics may have legitimate concerns about the lack of transparency surrounding some philanthropic donations, it’s crucial not to ascribe strategic agency to these organizations. They do not have the ability to direct funds or influence the actions of the organizations they support. Unfortunately… this oversight is common and outside observers often misrepresent the roles of philanthropic intermediaries.
The mainstream media has recently amplified this narrative, perpetuating misinformation about funding for pro-Palestinian advocacy groups. In this coverage, the role of funding intermediaries has often been misrepresented, leading to a distorted view of their activities. This lack of understanding can have serious consequences, perpetuating a narrative of conspiratorial activity that is unfounded.
In reality, philanthropic intermediaries play a vital role in supporting progressive causes, but their activities are often misinterpreted or misunderstood. It’s essential for observers to acknowledge the nuances of their roles and avoid ascribing grand conspiracies to these organizations. Instead, “we should focus on promoting transparency and accountability in the philanthropic sector.” It’s imperative that we better understand the functions and limitations of philanthropic intermediaries, “and avoid perpetuating misinformation and misunderstandings.” By doing so, we can work towards creating a more transparent and accountable philanthropic sector that truly supports social justice initiatives.
Note that the information in this article was first published in “InsidePhilanthropy”.
