The Next Phase of Racial Equity in Philanthropy: Building the Infrastructure for Lasting Change

Over the past several years, the social sector has experienced a historic moment of commitment to racial equity. In the aftermath of the 2020 societal reckoning on race, organizations, including philanthropic institutions, nonprofits, public agencies, and corporations, made public commitments to address systemic inequities and invested unprecedented resources in racial justice work. Foundations expanded funding for organizations led by Black, Latine, Indigenous, Asian, and other communities of color. Government agencies and corporations began examining policy and budgeting decisions through an equity lens. 

Industries witnessed the opening that many have waited their whole careers for, only to face a devastating blow: escalating attacks on affirmative action and DEI across the country. Yet the opening is not fully closed, and it is the philanthropic community's responsibility to ensure it remains open. The pressure is real. A recent Conference Board analysis found that roughly 50% of S&P 100 companies have already modified or reduced their DEI commitments, and legal challenges to targeted funding models have intensified conversations about how equity-focused investments are structured. The central question is no longer whether this work matters. It is whether institutions are willing to build the systems that make it last.

Solidarity as the Foundation for Lasting Change

Building lasting infrastructure for equity begins with solidarity. Throughout American history, systems of power have attempted to divide communities of color, framing struggles for justice as separate or competing. These divisions weaken collective influence and make systemic change more difficult to achieve. When communities stand together, their collective power grows.

Across Chicago, affinity groups representing Latine, Black, and Asian American philanthropic leaders — Chicago Latines in Philanthropy (CLIP), Chicago African Americans in Philanthropy (CAAIP), and Philanthropy for Asian American Action Chicago (PAAAC) — have created crucial spaces for dialogue, shared strategy, and collective action. Since 2021, Morales Consulting has served as the inaugural lead consultant for CLIP, supporting its growth and volunteer leadership while working alongside peer organizations to strengthen cross-racial collaboration rooted in trust, shared purpose, and collective progress. Alberto Morales, Norman E. Clark, and Rupal Soni have each served as lead consultants to these organizations, respectively; the views expressed here are their own and do not represent the positions of CLIP, CAAIP, or PAAAC.

“Our work with CLIP, alongside partners like CAAIP and PAAAC, has reinforced a core belief: equity work thrives in an abundance mindset, not scarcity. When organizations invest in one another, sharing relationships, resources, and opportunities, we expand what’s possible for all of our communities. What we’ve built together is more than collaboration; it’s a model of solidarity where strengthening one network strengthens the entire ecosystem. That is how enduring infrastructure for equity is built, moving at the speed of trust.” — Alberto Morales, CEO & Founder, Morales Consulting

“We aim to model solidarity in our collaborative work between CAAIP, CLIP, and PAAAC. We bring each other into rooms; we collaborate on programs; we share opportunities, resources, and best practices; and we move with trust and integrity. I’m really proud of what we are building together to model solidarity in practice.” — Rupal Soni, Philanthropic Leader

Solidarity is not simply about shared values. It is about building systems that reinforce collaboration rather than competition. Yet solidarity alone is not enough. It must be supported and sustained by institutions willing to invest in it.

The Role of Philanthropy in Sustaining Solidarity

Philanthropy occupies a unique position at this moment. Foundations have the resources, flexibility, and independence to take risks that other sectors cannot afford. Moving beyond traditional funding models means investing in BIPOC-led organizations, strengthening affinity groups, and prioritizing initiatives that bring communities together. Trust-based philanthropy and participatory grantmaking models offer a clear path forward, enabling community leaders to shape funding priorities based on lived experience and on-the-ground expertise.

“Philanthropy must fund research and advocacy that uncover root causes and invest in collaborative, community-driven solutions shaped by those closest to the challenges. These issues cut across communities and racial lines and require collective action. This work must also drive policy change at the state and local levels to achieve lasting impact.”— Norman E. Clark, Principal, 3CEEEs Consulting Strategies 

Sustaining this progress also requires investing in organizational capacity. Governance, compliance systems, and human resources strategies are often overlooked, yet they are essential to helping nonprofits operate with confidence in a complex landscape. Investing in capacity is not separate from equity work; it is foundational to sustaining it. And crucially, this work does not sustain itself. The next phase requires deeper cross-racial collaboration, embedding equity across governance, budgeting, hiring, evaluation, and community partnerships to ensure initiatives become sustained practice.

“What we’ve learned working alongside CLIP and peer affinity groups is that the work of solidarity doesn’t sustain itself. Philanthropy has been critical to sustaining this work by investing in the leadership, relationships, and infrastructure behind real solidarity. But we’re at an inflection point. The next phase requires deeper cross-racial collaboration, and that demands continued investment. When leaders have the tools, networks, and capacity to lead, the entire region benefits.” — Alberto Morales, CEO & Founder, Morales Consulting

Leadership, Solidarity, & the Importance of Infrastructure

Organizations such as CLIP, CAAIP, and PAAAC are advancing racial equity by strengthening leadership pipelines, convening cross-sector partners, and centering community perspectives in philanthropic strategy. At a time when external pressures reinforce division, these leaders are modeling what solidarity looks like in practice.

“We are clear that our work can only succeed hand-in-hand. The mandate is in how we model solidarity, working through what can sometimes become principled conflict and uncomfortable conversations, always trying to center care, integrity, joy, and community. We are always stronger when we work together. As leaders of our organizations, we try to model the process of iterative solidarity-building as a practice with each other and our respective leadership.” — Rupal Soni, Philanthropic Leader

Solidarity is beyond static and requires an ongoing practice that requires trust, intention, and a willingness to navigate complexity together. The next phase of racial equity work must focus on building institutional infrastructure to ensure these systems endure. In this way, equity is sustainable.

The Future of Racial Equity Work

The future of racial equity work will be defined by how intentionally organizations design the systems that sustain their missions. Lasting change is built through deliberate internal transformation; the policies, leadership structures, and cultures embedded in the institutions leading this work today will shape their ability to collaborate, adapt, and drive meaningful impact over time. This is not the moment to pause or stop. It is the moment to build and re-imagine boldly. 

At Morales Consulting, we have seen firsthand what this looks like in practice, philanthropy seeding, and sustaining racial solidarity by investing in leadership, relationships, and infrastructure that make cross-community collaboration real. The challenges ahead demand deeper investment in the networks and capacities that allow leaders to move together, across race and community, with clarity and purpose. Philanthropy has the resources, the independence, and the responsibility to lead that charge.

This defining moment calls for principled action over equivocating inaction.

“The power dynamic makes it easy to forget that we collectively subsidize philanthropy. Philanthropy has a responsibility, as public resources are kept out of public use, to serve the public good.

Philanthropy will define the next five to ten years of racial equity work, by principled action or equivocating inaction and continued status quo. My hope is that philanthropy chooses to lead the charge, to fund racial equity work unapologetically, boldly, abundantly, and creatively, with the most freedom and least to lose. The wealth held by philanthropy has the potential to resource the movements that benefit us all, to counter the narratives telling us that we are all competing for survival against one another. We are so much stronger together.” — Rupal Soni, Philanthropic Leader