Federal government taps Foundation for Black Communities to manage $200M Black-led philanthropic endowment fund

This independent journalism ​​is made possible by the Future of Good editorial fellowship covering the social impact world’s rapidly changing funding models, supported by Future of Good, Community Foundations of Canada, and United Way Centraide Canada. See our editorial ethics and standards here.

In Ottawa on Wednesday, on the unceded and unsurrendered territory of the Algonquin Nation, Minister of Housing and Diversity and Inclusion, Ahmed Hussen announced that the Foundation for Black Communities (FFBC) will administer the government’s $200 million Black-led Philanthropic Endowment Fund. 

“This is a historic day,” said Hussen. “[This will] sustainability support Black Canadian communities from coast to coast.” 

Promised in the Liberal government’s 2021 budget, the fund is one of the government’s signature philanthropic initiatives in support of Black communities. Its aim is to provide a sustainable source of funding for Black-led, Black-focused and Black-led non-profits and charities in Canada. 

In the fall of 2022, the government launched a competitive process to select an organization to steward the fund. Through the procurement process, the Foundation for Black Communities was selected as the winner. 

FFBC is a Toronto-based organization, governed by Black academic, social sector, and policy leaders from communities across the country. 

The foundation was launched following work by several of its initial steering committee members on a groundbreaking report, which found that for every $100 granted from community foundations to social sector organizations, just seven cents flowed to Black-led organizations. 

The foundation’s application to lead the Black-led endowment received endorsements from more than 830 individuals and organizations across the country. Many of these endorsements were shared publicly on social media, in a rare demonstration of support for one organization over others in a competitive government procurement process.  

Among those who publicly supported the bid were prominent Black-led organizations, including the Network for the Advancement of Black Communities, Black Health Alliance and BlackNorth Initiative, and high-profile philanthropic sector organizations, including Community Foundations Canada, Ontario Nonprofit Network, and the Circle on Philanthropy. 

“This is a landmark moment,” said Gladys Ahovi, president and CEO of the Foundation for Black Communities, who spoke during the announcement in Ottawa. “Where we can begin to build a future that is reflective of the full potential of Black communities, one that is driven by our very own ambitions, our very own visions, and our very own determination.”

Ahovi said she understood the weight and the responsibility of the task ahead of her organization, both from the perspective as its CEO but also from her vantage point as a first generation Canadian, social sector worker, and mother.  

“As a child of immigrant parents and as a first generation Canadian, I understand what their hopes and dreams and visions were not only for themselves, but for us. As someone who’s worked in the community for a long time, I understand the expectation and the need for support,” she said. “And now as a mother to a three-year-old daughter, I understand the weight and the opportunity that we now have to make sure…that she is not fighting the same barriers that we are.” 

The decision comes just a week after the Black Opportunity Fund, another organization who applied to administer the Black-led Philanthropic Endowment Fund, called on the government to hold off on announcing the successful proponent, citing a procurement process that was rushed and lacked “due process.” 

In an interview with Future of Good last week, Craig Wellington, the charity’s executive director said it was impossible for the government to have completed a rigorous evaluation process in the two month period since the procurement closed. He also questioned why his organization was not offered an interview or the chance to answer any questions about their submission. 

Wellington said the government acted quickly on the procurement in order to be able to announce the winning proponent during Black History Month, which runs through February. 

“We have to stop disrespecting the Black community,” he said. “But right now [the government is] focused on getting something done for Black History Month. That is so performative it’s embarrassing.”

During his remarks on Wednesday, Minister Hussen said the procurement was an “open, fair and transparent process” and that each organization’s application to steward the fund underwent a “robust, merit-based assessment process.” 

“This fund was created by and for Black and Afro-descendant communities,” Minister Hussen said. “And after active engagement through countless meetings, roundtables, and consultation processes, I’m pleased that we’ve made it to this really important moment.” 

Minister for Women and Gender Equality and Youth, Marci Ien, also spoke during the announcement, underscoring that the fund will create “a world of difference” for Black communities all across the country. 

Minister Ien spoke about her father, an immigrant from Trinidad and Tobago, who, living in Toronto in the ‘90s, saw the challenges facing Black youth and, together with other Black educators, created a Saturday school on a shoestring budget that “helped to tutor a generation of Black young people,” she said.  

On Saturday mornings, Black young people would learn science, math, English and Black history, surrounded by Black role models, Minister Ien said. “I can only imagine the impact of his work…would have had with dedicated funding like this.” 

Minister Ien said she sees a new generation of Black people across the country have picked up the baton from educators and activists like those from her father’s generation.  

“This is legacy. This is the kind of thing that will have an impact for generations to come,” she said. “May we continue to live lives that are beyond…our ancestor’s wildest dreams.” 

Tell us this made you smarter | Contact us | Report error