August 27, 2007 | Read Time: 2 minutes
Foundations and companies contributed more than $1-billion in cash and goods for relief efforts after Hurricanes Katrina and Rita, a new report has found.
The report, entitled “Giving in the Aftermath of Gulf Coast Hurricanes: Update on the Foundation and Corporate Response,” was prepared by the Foundation Center, a New York research group. Out of the estimated $6.5-billion in private donations given to hurricane relief, as calculated by the Giving USA Foundation, corporate and foundation giving accounting for roughly 14 percent.
Corporate donations made up the majority of institutional giving, with contributions totaling $519-million. Furthermore, a significant portion of corporate giving was divided among the 10-biggest companies, each of which donated at least $9.8-million.
Three of those companies each gave at least $24-million: Chevron Corporation Contributions Program, ExxonMobil Corporation Contributions Program/Exxon Mobil Foundation, and Starkey Laboratories Corporate Giving Program.
Giving among foundations was also concentrated among large organizations. Ten private grant makers accounted for 55 percent of total foundation giving. Four foundations donated more than $28-million each: the Ford Foundation, Bill & Melinda Gates Foundation, the W.K. Kellogg Foundation, and the Lilly Endowment.
The two segments of institutional giving differed in what they chose to support, with companies opting to support more immediate needs and foundations backing long-term efforts. The report states, “Corporate giving focused more on general relief efforts and the provision of human services, while independent foundations were more likely to provide funds for education, health, and economic and community development, suggesting a greater focus on recovery and rebuilding activities.”
Much of the money raised for hurricane relief and rebuilding has already been spent, with many needs still remaining, The Chronicle reports. The largest recipients of funds received $3.7-billion, but have spent $3.4-billion so far, according to The Chronicle.
The Foundation Center report also determined that grant makers veered away from their usual practices and program areas to support extended hurricane recovery after intially expecting to have only a limited presence in the Gulf Coast region. It states, “What began as a relief and recovery effort for many funders morphed over time into an initiative to build a more robust nonprofit and civic infrastructure that did not exist in the region prior to the disaster.”
