MacKenzie Scott gives millions to 4 Cleveland nonprofits

Billionaire philanthropist and author MacKenzie Scott announced Tuesday she is giving $640 million to 361 small nonprofits that responded to an open call for applications.

(AP/WJW) — Billionaire philanthropist and author MacKenzie Scott announced Tuesday she is giving $640 million to 361 small nonprofits that responded to an open call for applications.

Four of those nonprofits benefiting are right here in Cleveland.

Under the name Yield Giving, the first round of donations is more than double what Scott had initially pledged to give away through the application process.

Locally, money is going to the following groups:

  • Birthing Beautiful Communities ($2 million)
  • Towards Employment ($2 million)
  • LGBT Community Center of Greater Cleveland ($2 million)
  • Fairfax Renaissance Development Corp. ($1 million)

This move comes after she unexpectedly donated $20 million to the Cleveland Metropolitan School District in 2022.

See the full list of organizations and the amount of funds they received this time around right here.

Since she began giving away billions in 2019, Scott and her team have researched and selected organizations without an application process and provided them with large, unrestricted gifts.

In a brief note on her website, Scott wrote she was grateful to Lever for Change, the organization that managed the open call, and the evaluators for “their roles in creating this pathway to support for people working to improve access to foundational resources in their communities. They are vital agents of change.”

The increase in both the award amount and the number of organizations who were selected is “a pleasant surprise,” said Elisha Smith Arrillaga, vice president at The Center for Effective Philanthropy. She is interested to learn more about the applicants’ experience of the process and whether Scott continues to use this process going forward.

Some 6,353 nonprofits applied to the $1 million grants when applications opened.

“The donor team decided to expand the awardee pool and the award amount,” said Lever for Change, which specializes in running philanthropic prize awards.

The 279 nonprofits that received top scores from an external review panel were awarded $2 million, while 82 organizations in a second tier received $1 million each.

Competitions like Scott’s open call can help organizations who do not have connections with a specific funder get considered, said Renee Karibi-Whyte, senior vice president, Rockefeller Philanthropy Advisors.

“One of the best things about prize philanthropy is that it surfaces people and organizations and institutions that otherwise wouldn’t have access to the people in the power centers and the funding,” she said. Her organization also advises funders who run competitive grants or philanthropic prize competitions to phase the application to diminish the burden of applying on any organization that is eliminated early.

(Photo by Evan Agostini/Invision/AP, File)
(Photo by Evan Agostini/Invision/AP, File)

The open call asked for applications from nonprofits who are community-led with missions “to advance the voices and opportunities of individuals and families of meager or modest means,” Yield Giving said on its website. Only nonprofits with annual budgets between $1 and $5 million were eligible to apply.

The awardees were selected through a multilayer process, where applicants scored fellow applicants and then the top organizations were reviewed by a panel of outside experts.

Scott has given away $16.5 billion from the fortune she came into after divorcing Amazon founder Jeff Bezos. Initially, she publicized the gifts in online blog posts, sometimes naming the organizations and sometimes not. She launched a database of her giving in December 2022, under the name Yield Giving.

In an essay reflecting on the website, she wrote, “Information from other people – other givers, my team, the nonprofit teams I’ve been giving to – has been enormously helpful to me. If more information about these gifts can be helpful to anyone, I want to share it.”