Billionaire philanthropist MacKenzie Scott worth $36.5 billion according to Bloomberg estimates has made headlines once again by announcing her latest round of donations totalling $640 million to 361 small nonprofits.
This substantial contribution more than doubled the amount she had originally planned to give away through the application process. Since beginning her philanthropic journey in 2019, Scott and her team have actively researched and selected organizations to support, often providing them with significant unrestricted gifts.
According to a brief note on her website, Scott expressed her gratitude to Lever for Change, the organization managing the open call, and the evaluators for their role in facilitating the process.
She emphasized the importance of supporting those working to improve access to foundational resources in their communities.
The increase in both the award amount and the number of selected organizations came as a pleasant surprise to Elisha Smith Arrillaga, Vice President at The Center for Effective Philanthropy.
She expressed interest in learning more about the applicants’ experiences and whether Scott plans to continue using this process in the future.
A staggering 6,353 nonprofits applied for the $1 million grants when the applications opened. Lever for Change, specializing in running philanthropic prize awards, noted that the donor team opted to expand both the pool of awardees and the award amount.
What you should know about Scott’s donations
Competitions like Scott’s open call play a vital role in providing opportunities for organizations without connections to specific funders. Renee Karibi-Whyte, Senior Vice President at Rockefeller Philanthropy Advisors, emphasized that such prize philanthropy surfaces individuals and organizations that may not otherwise have access to funding.
- Megan Peterson, Executive Director of the Minnesota-based nonprofit Gender Justice, described the application process as a rare opportunity to garner attention from Scott.
- Scott’s grants come with minimal restrictions or reporting requirements, allowing recipients to utilize the funds for tax-exempt purposes freely.
- Peterson praised Scott’s approach to philanthropy, highlighting her commitment to supporting those doing good work and providing resources without unnecessary interference.
The open call specifically targeted nonprofits led by the community with a focus on advancing the voices and opportunities of individuals and families with modest means.
Only organizations with annual budgets ranging from $1 to $5 million were eligible to apply.
Recipients were selected through a rigorous multilayered process, where applicants scored each other, and the top organizations were reviewed by a panel of outside experts.
More insights
Scott’s philanthropic efforts have totalled $16.5 billion since her divorce from Amazon founder Jeff Bezos. Initially publicized through online blog posts, Scott later launched a database of her giving under the name Yield Giving in December 2022.
Reflecting on her website, Scott emphasized the importance of sharing information about her gifts to help others in their philanthropic endeavours.
Smith Arrillaga posited the significance of Scott’s ongoing commitment to giving away her wealth, even as she evolves her approach to philanthropy, highlighting her dedication to the spirit of her initial commitment.
