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Two Ways to Boost Charity

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Orange County’s reputation as stingy in charitable giving, especially in view of its affluence, got some support in a recent study. But strategies to reverse that should draw on a dynamic high-tech economy and the county’s new diversity.

At various times in recent history, the gap between the haves and have-nots has become painfully apparent. During the bankruptcy, for example, the argument that a sales tax increase was needed to maintain a high standard for the parks and public transportation used by poor people never resonated.

Recently, a study by the Urban Institute confirmed that the county ought to be doing better in its giving. It found that it should be, but is not, in the top 10% of metropolitan areas as a place for fund-raising for charity. That study considered an area’s wealth and what the Harvard sociologist Robert Putnam calls “social capital.” That is, it measured the involvement in the community of people in civic groups, churches, volunteer organizations and the like.

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The county ranked high in both fiscal and social resources, but its giving dropped last year. Nevertheless, historically, both educational institutions and the arts have been well supported.

The disappointment raises the question of how to do better. Communities that have higher levels of participation seem to be able to enlist the contributions of a diverse group of citizens. Orange County does have an established cadre of businesses from which giving reliably can be drawn. However, its economic dynamism means that there often are new players on the scene without roots in the community. Its many small companies also provide a special challenge to coordinating commitment to common charitable goals. The county also is spread out, with no downtown, and a host of governmental units.

According to Cheryl Katz, who researched charitable giving for the UC Irvine 1998 annual survey, the problem is not so much a lack of concern as a lack of suitable connections.

Other high-tech centers around the country also are finding it a challenge to engage the new wealthy entrepreneurial class in charitable giving. Finding ways of inspiring and matching potential donors is crucial.

In recent years, nonprofit, social, arts and educational institutions have courted the local high-tech industry’s elite. They have responded with generous gifts to such organizations as the Orange County Performing Arts Center. Recently, for example, the founder of one of the county’s leading high-tech firms earmarked $1.3 million for the expansion of South Coast Repertory. In making his donation, Henry T. Nicholas III, president of Irvine-based Broadcom Corp., the nation’s leading maker of cable-modem computer chips, said he hoped the donation would set an example for others from his industry to have an impact on the local arts scene. It will be important to find ways of tapping this group to commit to broader charitable causes.

Second, the county’s new diversity is a key area for the development of new sources of charitable giving. The annual survey found that Latinos and Asians, with their rapidly growing populations, are less likely to be solicited than non-Latino whites. But an example of what can be done occurred early in the new year, when 3,000 mostly Vietnamese and Latino residents raised $90,000 for hurricane victims in Vietnam and Central America during a walkathon on a single Sunday. This demonstrated the power of small donations, and the potential for building connections between various ethnic groups.

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In Orange County, unemployment hit a 20-year low in December, an encouraging 2.4%. Job creation continues, despite concerns about a slowdown and troubles of the Asian economy. For many, however, signs of a healthy economy do not translate necessarily into having extra money beyond the demands of making ends meet in an expensive county. Still, the new economic and demographic landscape should inspire all who seek to strengthen the county’s sense of community.

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