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If you’ve supported a nonprofit for years, or even served on its board, you probably already practice something called “trust-based philanthropy,” even if you’ve never heard the term.

You know that an organization does its best work when its leaders and staff can put resources where they believe they’ll do the most good. That’s why many nonprofits place a high value on unrestricted gifts, meaning dollars they can use wherever the need is greatest.

Here’s a simple example. A donor writes a check to a food pantry and asks that it be used for canned goods. But the pantry’s leaders know that what they really need right now is to fix the roof or hire someone to help sort donations. Until that happens, more canned goods won’t help as much as everyone hopes.

1. What trust-based philanthropy looks like

Multi-year, unrestricted funding is a hallmark of this approach. It gives nonprofits room to respond to changing circumstances, strengthen their organizations, and plan beyond the next grant cycle.

But it’s only one piece. The broader idea is about building stronger relationships among donors, nonprofits, and the communities they serve. The Trust-Based Philanthropy Project describes six core practices:

  • Provide multi-year, unrestricted funding
  • Do the homework, so nonprofits don’t have to keep proving themselves
  • Simplify paperwork
  • Communicate openly
  • Ask for feedback, and act on it
  • Offer support beyond the check

At its heart, the idea is simpler than the terminology: the people closest to the work often know things the rest of us don’t.

In 2020, when COVID-19 hit our communities, we launched relief efforts to support nonprofits and frontline needs, and the organizations on the ground were the ones who knew exactly where help was needed most.

2. Trust and accountability go hand in hand

Trusting nonprofits doesn’t mean you stop asking questions or paying attention to results. The goal is mutual accountability: nonprofits can speak honestly about their challenges, and donors can learn alongside them.

“They have always been accessible and transparent. We truly value our trusted partnership with PBAF.”

— Teresa Burnett, Monahans Chamber of Commerce, Community Volunteer

3. Four simple questions to ask yourself

You don’t need to adopt a whole philosophy to put these ideas to work. Next time you support an organization you know and trust, consider:

  • Could an unrestricted gift be more useful than one for a specific program?
  • Would a multi-year commitment help the organization plan ahead?
  • Am I asking what they need, or telling them what I think they need?
  • Can I help beyond my gift, through connections, expertise, or advocacy?

“Every donor has a cause close to their heart. Connecting them with the nonprofits leading that work, and watching those relationships grow, is one of the best parts of my job”

— Jennifer Steadman, Chief Operating Officer

4. How Permian Basin Area Foundation can help

You don’t have to do this alone. Here are a few ways we can help you put trust into action:

We know the nonprofits across our communities.

Our team works closely with nonprofits across our 23 counties. We can help you learn about the organizations working on the issues you care about, including their missions, leadership, current priorities, and the challenges they’re working to solve

Since 2014, the Austin-based Still Water Foundation has partnered with PBAF to support rural communities across our region through site visits.

“PBAF has been an incredible resource to our work in rural West Texas.”

Ellen Ray, CEO , Still Water Foundation

We can help you listen before you give.

Sometimes the most valuable question a donor can ask is simply, “What do you need most?” We’re happy to help arrange those conversations, so you can understand where your gift will be most useful, whether that’s a specific program, an unrestricted gift, or a longer-term commitment.

We support nonprofits beyond the check, too.

Through agency funds, many nonprofits build permanent endowments with us, giving them dependable support for years to come. Through our community grant cycle, we share all applications with donor advised fund holders.

We can help you give with flexibility and confidence.

A donor-advised fund held at PBAF gives your giving every advantage: a trusted local home and the flexibility to recommend grants over time. Our unrestricted funds let our Grants Committee and Board of Governors respond to changing needs across our communities.

 When Florence Larsh left her estate to the Foundation in 2022, she created steady, lasting support for area nonprofits.Today her endowment provides substantial annual grants to ten Midland nonprofits.

Our team can also help you research organizations, evaluate opportunities, and stay connected with the nonprofits you support. That way, trust never means giving without information. It means giving from a place of knowledge and partnership.

We look forward to our next conversation!

Disclaimer

This content is for general informational purposes only. Permian Basin Area Foundation does not provide legal, tax, or financial advice. Please consult your own advisors before making any charitable giving or financial decisions.

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