Racial equity

Special collection

Racial equity can be defined as "the condition that would be achieved if one's race identity no longer influenced how one fares." (from "Awake to Woke to Work: Building a Race Equity Culture" by Equity in the Center). This collection focuses on racial equity and also includes works that explore the larger diversity, equity, and inclusion (DEI) framework. Our aim is to raise awareness about funding for racial equity efforts as well as activities in the social sector meant to realize racial equity. The collection is part of Candid's Funding for racial equity special issue website.

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"Endless Walk!" by Rayhane saber licensed through Unsplash

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Scoring Federal Legislation for Equity: Definition, Framework, and Potential Application

June 6, 2022

Federal legislation is fundamental to building a nation in which all can participate, prosper, and reach their full potential. Since our nation's founding, in many ways, federal legislation has created and exacerbated racial inequities, leaving one-third of the population experiencing material poverty and preventing our democracy from realizing the promise of equity. To ensure the federal government serves us all, we must accurately understand and assess whether every policy advances or impedes equity. The Equity Scoring Initiative (ESI) exists to establish the foundation for a new legislative scoring regime. By scoring for equity, we can begin to create an accountable, responsive democracy.

A New Era of Racial Equity in Community Development Finance: Leveraging Private and Philanthropic Commitments in the Post–George Floyd Period

December 20, 2021

The brief first reflects on gaps in economic opportunity for capital access and wealth accrual in disadvantaged communities and by race, explaining why it is essential to align community development finance and corporate and philanthropic commitments to community need if the country is to successfully unlock more equitable opportunity for all. Part 1 then examines racial equity commitments made between June 2020 and May 2021; the types of organizations and priorities targeted by these financial commitments; adherence to disbursement timelines; and changes in financial products, services, and grantmaking approaches. Part 2 looks at the uses of community development capital, the role of community development finance in supporting disinvested communities, challenges reported in capital deployment, and 11 potential solutions for addressing these challenges equitably. In part 3, "The Path Forward," we discuss how the federal government can more effectively mobilize the private sector and share four strategies for the corporate and philanthropic sectors, in turn. These steps include strategies to maximize current resources and sustain momentum—such as greater transparency and collaboration and embedding equity in investment decisions—and those that can support longer-term, systemic change that extends more flexible and patient financing, responding to the needs with an even bolder commitment, and embracing equity as a business imperative.