The Jewish world in the age of coronavirus – A special Israel Hayom project
Part V: How the pandemic is transforming Jewish philanthropy
It's no secret that Uncle Sam isn't in as much of a rush to donate to Israel as he used to be. So in a crisis like the current one, questions about the extent of Jewish American philanthropy and ways in which it can be put to use, as well as relations between Israel and US Jewry, are thrown into sharp relief. The inherent tension is being felt especially strong when it comes to immediate aid on two separate fronts: US Jewish communities, where it is still hard to estimate the damage caused by coronavirus, and Israel and its institutions, which have depended on these communities' philanthropy since the start of the last century.
Given the ongoing outbreaks, there is real fear of another wave that could crush the assets of the US Jewish community and hurt its long-term activities. And that's not all: a growing sense of the unknown, at least until this coming winter, goes along with an enemy that is unseen. Unlike wars or natural disasters, coronavirus affects people's ability to plan, especially philanthropists, who tend to work in a very orderly manner.
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"We still don't know what the needs of civil society will be the day after corona … It changes the rules of the game and will change philanthropy, which will re-think things," says philanthropy expert Dr. Hanna Shaul Bar Nissim of the Ruderman Family Foundation, currently a visiting scholar at the Lilly Family School of Philanthropy, Indiana University.
Shaul Bar-Nissim explains that the coronavirus crisis reflects how Jewish philanthropy in flourishing communities are able to collect money and distribute it quickly.
"The well-established aid organizations, which are criticized for their ongoing activity, are forming rapid and efficient decision-making centers," she says.
Shaul Bar Nissim conducted a study on Jewish philanthropy from 2000-2015. Her research found that 62% of grants from Jewish foundations went to non-Jewish causes, and of the rest, 21% were sent to Jewish communities (some $10 billion). The rest has been dwindling since the financial crisis of 2008.
Should Israel expected changes to the amount of donations and who receives them? Shaul Bar Nissim says that she does not expect an immediate drop in donations to Israel, and that the country could see a temporary increase in donations from US Jewry. However, she says, "local philanthropy" could be hurt, which would in turn affect Israel, as happened in 2008.
The costs of the corona crisis include major personnel cuts at big Jewish organizations; a kick to the community's financial and educational infrastructure; and massive instability in nonprofit organizations and to welfare arrangements at the community level. All these highlight the needs that philanthropy meets on a daily basis.
The "first circle" of philanthropy is usually described as caring for basic needs: food, shelter, and medical supplies, while the "second circle" includes support for community infrastructure and eventually broader support for human and civil rights and issues of fair distribution of resources, such as health care.
"There are communities that have started to focus on the widest circle of giving, while others until recently were still in the first circle. That should keep us awake at night," says Shaul Bar Nissim.
"There will be a different philanthropic world - that will start from a new point, with the aspiration of not leaving anyone behind," she predicts.
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