Investing public dollars for the public good
A walk through a public park, a visit to the local library, and the convenience of tap water and affordable public transportation. These are vital elements of a well-functioning society which can only be ensured by a government that serves the people. Philanthropy doesn’t have the infrastructure or resources to guarantee a high quality of life for all. But funders can play a key role in raising our collective expectations of government.
Some communities can’t access public funds and services
While our nation’s government budgets are significant, there are numerous obstacles to securing and directing these funds to the communities that need them most. They include an unexamined belief that the market is best suited to produce and distribute goods and services, the hollowing out of the fundamental functions of the federal government, the assumption that all communities have equal access to apply for federal funding, and the dismantling of the administrative apparatus that’s actually responsible for getting these funds to communities in need.
Federal and state governments spend trillions of dollars annually, yet the quality of our public services is wholly inadequate—in terms of both access and affordability. Over the last decade, for instance, we’ve seen public libraries shutter or reduce their hours, consumer-owned public utilities become privatized, and child care costs go through the roof with fewer subsidies coming from state and federal governments. Privatizing our public services allows corporate shareholders to dictate our dreams and disproportionately shape the type of society we want for our families and communities.
Despite an immense influx of funding from federal programs like the Inflation Reduction Act (IRA) and the American Rescue Plan Act (ARPA), our public services still fall short of their potential by not completing projects that would significantly increase the well-being of our communities. These initiatives represent a rare opportunity to enhance public services at scale—and, in so doing, targeting government resources to communities that have traditionally been excluded from access to public dollars and whose voices went unheard when decisions were made about how the municipal budget would be allocated.
Foundations can support equitable access to public funds
At Marguerite Casey Foundation (MCF), we’re confronting this problem head-on. In 2023, we launched our Public Dollars for Public Good (PDPG) funding initiative to challenge the concentration of power and restore faith in government as a force in service of all people. Since then, we’ve allocated more than $8 million to 22 organizations dedicated to ensuring public funds are used effectively and fairly.
Just as we in philanthropy must align our investments with our vision, the federal government must not pour funding into systems that exacerbate the climate crisis, poverty, and inequity, such as coal-powered investments or the expansion of prisons and policing. PDPG aims to channel public dollars into initiatives that address systemic inequities and support collective goods like public education and “social housing,” defined by our grant recipient KC Tenants as “housing that is publicly funded, democratically controlled, off the private market, and permanently affordable.”
For example, grant recipient WorkMoney’s Resource Center serves as a bilingual “one-stop shop” for navigating the complex maze of government safety net programs. By providing comprehensive support to people applying for underutilized government benefits, WorkMoney is transforming how they interact with and benefit from public programs. In 2023, WorkMoney saved working families $663 million simply by improving access to government benefits.
Flexible funding is needed to shift economic and social power
This approach reframes the role of government from a distant, often frustrating entity to an active, supportive presence in people’s lives. By addressing systemic inequities and streamlining access to benefits, WorkMoney exemplifies how public funds can be harnessed to enhance people’s everyday realities. Flexible grants to these organizations serve as the seed funding needed to shift economic and social power. Supporting organizations that advocate for equitable access to public funds is a crucial step toward building a more just and vibrant democracy.
Philanthropic and public funds work together for an equitable society
As communities continue to organize to improve their lives, it’s essential to focus on the promise of public investment. Our challenge is to ensure that philanthropic dollars and public funds genuinely benefit all members of society, rather than reinforcing existing disparities.
By reclaiming our public funds for the public good, we can redefine the role of government in our lives and create a future where public services truly live up to their potential. We can foster a more equitable and thriving society—one worthy of the next generation’s hopes and dreams—by working together.
Photo credit: aquaArts studio via Getty Images