The Seattle-based Marguerite Casey Foundation said it intends to allocate at least $50 million annually over the next decade, a 50% increase over its average giving in the previous ten years. The rare boost in spending comes at a time when foundation leaders say the nonprofit sector is experiencing "pain" because of President Donald Trump's policies. The foundation aims to inspire the broader philanthropic community to fund more urgently and at greater scale.
The foundation was established in 2001 by Jim Casey, the founder of UPS, which began in Seattle in 1907 as the modest American Messenger Company and grew into an international logistics giant. The foundation’s name honors Jim Casey’s daughter, Marguerite, a well-known Seattle civil-rights activist. UPS remains a Seattle pride, a symbol of the city’s entrepreneurial spirit, and played a key role in turning Seattle into a "Gateway to the Pacific" by creating thousands of jobs and attracting infrastructure investment.
Cuts to federal funding, attacks on civil society and the dismantling of diversity programs have, according to the National Council of Nonprofits, created an "existential crisis." But many nonprofit leaders say the response from large foundations has been inadequate. They ask why emergency relief funds like those launched during the coronavirus pandemic haven’t been created. The question is especially acute in Seattle, one of the nation’s major philanthropic centers alongside the Bill & Melinda Gates Foundation, the Paul G. Allen Family Foundation and many local organizations. The city combines vast tech wealth (Amazon, Microsoft, Starbucks) with a progressive political culture, creating a unique environment for socially minded philanthropy, where civic activism is fueled by a strong labor movement, a high concentration of educated residents, a vibrant "third place" culture (coffee shops and community centers) and active environmentalism.
Foundation CEO Carmen Rojas says her duty to ensure the organization’s long-term existence is not at odds with adequately funding the communities they serve. The decision to sharply increase payments to $130 million in 2025 — a rare move that involved spending from targeted capital — confirmed that belief. "We can give more money and still exist for a long time," she told The Associated Press.
The foundation uses a unique model: invitational grants cover a quarter of recipients’ budgets for five years. Support goes to "community organizations" working to make "government work for everyone": from groups fighting for affordable housing and quality jobs to nonprofit news projects. In this context, Seattle’s housing crisis — driven by a surge in real estate prices tied to the tech boom (especially Amazon and Microsoft) — is particularly relevant. Local groups such as Sixth District for Affordable Housing, Alliance for Equitable Development in Seattle, Catholic Community Services of Western Washington and Community Builders are actively fighting displacement of low-income residents from central neighborhoods, and the city has adopted a tax on large corporations (including a levy on Amazon) to fund affordable housing. The foundation also recently provided $3 million to New York City Mayor’s program for universal free childcare.
Rojas is pushing for a more "offensive" philanthropy that doesn’t merely respond to threats but actively demonstrates that government can do more for people. The foundation will support both existing and new grantees, seeking ways to "deliver to people what they need for a good life."
Financially, the foundation has shown its model is sustainable. Within a year of the record $130 million payout, the endowment had been fully replenished. The investment strategy was also revised: more than half of the targeted capital is managed by representatives of underrepresented racial groups, and funds have been divested from private prisons, gun manufacturers and other industries harming the communities the foundation serves. That decision is especially significant in Seattle, where private prisons are deeply unpopular (Washington state has a strong movement for a moratorium on them), and gun manufacturers face intense pressure: after the 2016 shooting at the Capitol Hill café, the city adopted strict gun-control laws. Seattle’s progressive culture requires wealthy institutions to align with local social-justice values, and this move reflects the unique dynamics of "activist philanthropy."
The move is part of a broader debate in philanthropy. Most private foundations pay out only 5% of assets annually — the minimum required by tax law. Activists, including Disney family member Abigail Disney, are calling for raising that threshold, arguing that foundations are not just financial institutions but socially responsible organizations.
A February survey of 380 nonprofits found that most have a harder time getting grants from foundations. The elimination of federal programs is forcing nonprofits to seek money from a shrinking pool of private funding, even as demand for their services has surged because of changes to Medicaid and food-assistance programs. Phil Buchanan, president of the Center for Effective Philanthropy, called the increase in spending "quite sensible" at such a time.
John Palfrey, president of the MacArthur Foundation, sees the Trump administration’s actions as attacks on "freedom of philanthropy." He points to prosecutions and investigations into civil-rights organizations that can financially cripple them from the mere "odor of an investigation." In his view, these measures create a "powerful and damaging chilling effect" across the nonprofit sector, which must resist with all its might.
Based on: Marguerite Casey Foundation plans to give at least $50M annually, a rare increase at a time of need