Community Foundations Building Civic Infrastructure

• Community foundations are a flexible solution to a community’s philanthropic needs.

• Community foundations can also offer relief to communities and projects that rely on federal funding.

Community foundations are neutral bridge-builders and convenors, fostering partnerships and enhancing economic opportunities through cross-sector models. This session discussed how strategic investments by community foundations improve infrastructure, attract talent, and ensure Michigan’s competitiveness.

Opening the discussion, Nicole Sherard-Freeman explained the difference between private and community foundations.

“Private foundations are just money out,” she explained, meaning they disburse funds from a fixed endowment. In contrast, community foundations are “money in and money out” because they receive continued contributions from various sources, including one-off donations, families, and philanthropic organizations.

She considers community foundations “one of Michigan’s and one of the nation’s best-kept secrets” due to their ability to consolidate the support and rally donations behind one core mission. In contrast, many organizations compete for the same funding in the philanthropic space to address the same issues differently.

As Kildee mentioned, another noted benefit of community foundations is that they reflect the community’s specific needs and can backfill the gap created by the tightening of federal funding.

This adaptability is crucial in an era of shifting public resources. Kildee also highlighted their role as a “neutral convener,” providing a trusted space for diverse community members to come together and find common ground.

“We bring resources to [these] conversations for sure, but the most important resource that we bring is legitimacy — that convening authority that allows us to bring people who otherwise may not have found common cause to gather around a particular interest,” he said.

Sherard-Freeman described community foundations as the “scaffolding to build bridges amongst the public and private sector.” This “scaffolding” facilitates connections and enables the collective action required to address community needs.

Kildee further elaborated on this, explaining how community foundations are both “permanent” and “flexible,” allowing them to make long-term investments while remaining responsive to immediate challenges. 

The discussion also touched on sensitive topics like diversity, equity, and inclusion (DEI).

“We’re in the equity business,” he said. “Every community and person can have the best version of themselves.”

This commitment to equity guides the work of both Kildee and Sherard-Freeman in addressing systemic disparities.

Sherard-Freeman added the importance of avoiding divisive language, especially when discussing issues like rural communities feeling left behind.

She advocated for community foundations to “double down on community impact and lean away from language that has become divisive” as they work to impact their communities positively.

The panel made it clear that community foundations are essential partners in building resilient, equitable, and thriving communities. Their ability to convene, leverage generosity, and provide consistent, thoughtful intervention makes them an invaluable asset in the civic landscape.

This 2025 Mackinac Policy Conference session was hosted by Community Foundation for Southeast Michigan.