Foundations Under Fire: The Carmen Rojas Challenge to the Status Quo

The philanthropic world has been criticized for its slow response to social crises. However, a recent move by Carmen Rojas and the Marguerite Casey Foundation (MCF) is forcing foundations to reexamine their priorities. In 2025, Rojas issued a call to her peers: stop hoarding endowment funds and start using them to make a meaningful difference.

Rojas’ challenge comes at a time when federal funding cuts and threats to nonprofits are on the rise. This precarious position is especially challenging for community organizations struggling to survive amidst dwindling resources. The MCF’s response is notable given its own history as an institution that has traditionally adhered to the 5% annual payout rule.

Rojas’ mantra, “If not now, when?” is more than just a rallying cry; it’s a call to action that challenges the very foundations of philanthropy. In a sector where risk aversion often takes precedence over impact, MCF’s willingness to draw from its endowment and commit to raising its annual grant making to $130 million sends a clear message: foundations can do better.

The MCF is prioritizing investments in groups on the frontlines – nonprofits that offer critical services to immigrants, support journalism, and advocate for racial and economic justice. This shift in focus reflects a growing recognition that traditional philanthropic approaches often fail to address the root causes of social problems.

Rojas has stated that the MCF’s endowment didn’t take a significant hit during this period. With an endowment of over $870 million at the start of 2025 and still above $800 million by year’s end, it’s clear that foundations can make strategic investments without sacrificing their own financial security.

Rojas’ challenge is not just about individual foundations; it’s a broader critique of the philanthropic system. In an era where social inequality and climate change are on the rise, the status quo is no longer tenable. Foundations must move beyond simply writing checks to address the root causes of these problems.

The implications of Rojas’ challenge extend far beyond the world of philanthropy. As governments continue to scale back funding for critical programs, foundations have a unique opportunity to fill the gap. By investing in grassroots organizations and community-led initiatives, foundations can help build resilience in vulnerable communities and create a more equitable society.

Rojas’ challenge serves as a reminder that philanthropy must evolve to meet the needs of an increasingly complex world. It’s time for foundations to rethink their priorities and commit to making meaningful investments in the communities they serve. The Carmen Rojas challenge is not just about foundations; it’s about creating a more just and equitable society – one where “if not now, when?” becomes a rallying cry for all those committed to driving positive change.