During the pandemic, nonprofits in Los Angeles took on the monumental task of helping feed, house and vaccinate millions of Californians suddenly thrown out of work. Now, a new report calls on the city to overhaul the way it works with the nonprofit sector.

The Committee for Greater LA found nonprofits are struggling, for example, to get paid on time for services rendered.

Efrain Escobedo, president and CEO of the Southern California Center for Nonprofit Management, said the relationship between the city and nonprofits needs attention.

"While nonprofits have been playing this critical role, the way government contracts and treats nonprofits in these contracts is not strengthening that sector," Escobedo explained. "It's not helping them be better. It's not helping them reach more people. It's simply more of an extractive type of relationship that really overburdened a sector that has gone above and beyond."

The report called on the new Mayor, Karen Bass, to reset the relationship with the nonprofit sector, which provides 23% of jobs in the city. The authors asked the city to start paying its bills on time, cut bureaucratic red tape, and consider funding projects up-front rather than asking nonprofits to provide services and then be reimbursed.

Escobedo noted the Committee for Greater LA was formed to tackle crises flaring up during the pandemic, such as hunger, homelessness, poverty and unequal access to affordable high-speed internet.

"The inequities that we were seeing right up in front, in our faces, during the pandemic, are solvable," Escobedo contended. "We did not want to just recover to the same state of affairs that we were in going into the pandemic."

Mayor Bass, in a statement, said the city will not be successful if nonprofits are burdened by unnecessary costs, red tape and delays, and vowed to work to improve the city's relationship with the sector.

CORRECTION: An earlier version of this article incorrectly stated that Century 21 had raised more than $30 million. The correct amount is more than $3 million. (5:48 p.m. MDT, July 24, 2024)


More than 60 million Americans identify as disabled and many of them turn to nonprofit agencies such as Easterseals for therapy and other assistance.

The organization that became Easterseals was founded more than 100 years ago and has become the largest nonprofit health care agency in the country.

Kendra Davenport, president and CEO of Easterseals, said seeing to the health and wellness of more than 1.5 million people with disabilities is only possible with its team of national corporate sponsors, who collectively raise millions of dollars each year.

"It's critical because, unlike a for-profit, nonprofits have to raise their budget, whether they're raising it through government grants, foundation grants or corporate funding," Davenport pointed out. "And then, of course, there's the funding that comes in through individual donations. That's what sustains nonprofits."

As an example, Davenport cited Century 21 as a partner, raising more than $3 million in 2023 and $138 million during the life of its affiliation.

Easterseals has more than a dozen other corporate partners, including companies like Comcast-NBCUniversal, Coca-Cola and Delta Air Lines.

Davenport explained Easterseals got its name in 1934 from the practice of having donors put a stamp or seal on their donation envelopes. She noted the organization and its dozens of local affiliates work to enhance quality of life and expand local access to health care, education, and employment opportunities for children and adults.

"We provide essential services and on-the-ground support to millions of individuals and their families every year, from early childhood to the critical first five years," Davenport emphasized. "These include autism services, transportation, medical rehab and employment programs that target and assist veterans and senior citizens."

She added it is an ongoing challenge to extend the Easterseals brand because, despite more than a century of service, very few people understand the scope of what the organization does.

"Sixty-one million Americans identify as being disabled," Davenport reported. "That's a quarter of the American population. More people need to understand just how many people are disabled so that we can ensure that our world becomes more inclusive, more equitable and more accessible."


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A new report argued many charitable foundations need to examine the origin of their wealth and repair harms done.

The National Committee for Responsive Philanthropy used publicly available information to examine how historic business fortunes behind some foundations were made. Drawing on historic examples of businesses profiting from systemic racism and discrimination, the report titled "Cracks in the Foundation" stressed the need for philanthropic organizations to do their own research, connect with Black communities, and move charity dollars toward repairs.

Claire Dunning, assistant professor of Public Policy at the University of Maryland, served on the report's advisory committee and said foundations can seek partnerships including local history centers to help with the process.

"This doesn't have to be a private, or sort of closed-off process," Dunning contended. "It can be one rooted in transparency and inviting people in. And again, that can be uncomfortable. But I would argue that's not an excuse to not begin this important work."

The report presented case studies tracking the economic history of eight foundations in the Washington, D.C., area. The study's authors said they seek to make difficult conversations easier and are presenting the case studies as educational guides for an accountability and healing journey.

In looking at historic harms, the report focused on four sectors: media including anti-Black rhetoric; housing including discrimination, segregation and displacement; employment including stolen labor; and health care including mental and physical harm and neglect. The report assessed harm using both quantitative and qualitative methods. Dunning stressed in looking to the historical record to find evidence of past harm, researchers must take a broad view.

"We need to think about how newspaper accounts or advertisements for a particular neighborhood that talk about restrictive covenants. That's a form of evidence," Dunning pointed out. "We can think about oral histories of people who are displaced from certain neighborhoods or who were denied equal wages in an employment situation, that's a form of evidence."

The Federal government requires private foundations to use their assets to benefit society. Each year they must distribute at least 5% of the market value of their endowment to charitable purposes.


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A new report said philanthropic organizations need to reexamine the source of their wealth, which it asserted often came from systemic racism and discrimination, and stressed the need to repair the harm done to Black communities.

Called "Cracks in the Foundation," the report from the National Committee on Responsive Philanthropy examines at the histories of eight grantmakers.

Katherine Ponce, research manager of special projects for the committee, explained how the report was developed.

"There's four categories of harm we focus on," Ponce pointed out. "It's anti-Black media and rhetoric, housing discrimination and segregation, unemployment and hidden opportunity, and then health care, both mental and physical."

The report urged grantmakers to reckon with their past, connect with harmed communities, work to repair the damage, make sure any harm doesn't continue and advocate for funding for reparations. While the report focuses on the Washington, D.C., area, it mentions California's Task Force to Study and Develop Reparation Proposals for African Americans as an encouraging development.

Hanh Le, co-CEO of if: A Foundation for Radical Possibility, which commissioned the report and is one of the institutions examined, said her organization once believed the money to endow the foundation came from a health association jointly created by Black and Jewish workers when in fact, the agency initially excluded Black workers.

"Every foundation has an origin story that we believe ties the wealth that generated the endowment for those foundations to racialized capitalism, to structural racism," Le contended. "We all have an obligation to know that truth, to reckon with the truth and to repair the harm."

Debra Watkins, founder and executive director of San Jose-based ABEN, which stands for A Black Education Network, said to play a role in repair, grantmakers should invest in Black-led organizations, which still only get a fraction of the billions given annually.

"Foundations that have amassed their wealth as a result of harm done to Black people over decades, now have an obligation to fund Black-led work," Watkins urged. "And also to ameliorate conditions under which Black people still live."