Last month, WHQR reported on the Living Hope Day Center, which is now facing the possibility it will have to shut down after The Endowment declined to re-up its funding. The rationale, according to the Day Center, was that The Endowment wanted the City of Wilmington and New Hanover County to come to the table and share the cost — and because that wasn't happening, the Day Center didn't get funding.
At the time, The Endowment declined an interview on the topic or to discuss the decision, writing in an email, "We do not comment on potential funding decisions, discussions with current or prospective grantees, or any future plans related to such matters."
At the same time, WHQR has heard from several nonprofits, who agreed to discuss grant funding on the condition of anonymity, who said they had similar conversations with The Endowment, which had suggested that without city and county buy-in, their grant would not go forward.
This week, WHQR again requested an interview with The Endowment, noting that our reporting had indicated "it seems there has been efforts by The Endowment to bridge the city and county together on funding projects — but also to perhaps wait on or decline projects where the city and county don't come together."
The Endowment did not address the request for an interview and offered a boilerplate response — although, notably, not a denial of what WHQR had been hearing.
"The Endowment’s grantmaking strategy focuses on supporting initiatives that contribute to long-term, positive change across New Hanover County. We encourage partners to collaborate and coordinate efforts whenever possible, aligning resources and participating in shared initiatives to advance common community goals and address complex challenges," an Endowment spokesperson wrote in an email.
The following conversation reflects WHQR's reporting on the issue so far. We continue to welcome substantive comments and, in particular, interviews with The Endowment leadership.
BS: So, Kelly. We’ve heard some interesting rumblings in the nonprofit sector about a new strategy or policy at the Endowment. What’s going on?
KK: Well, Ben, this became public in at least one story – about the Living Hope Day Center — and several other less public places. Basically, in private conversations with certain nonprofits, The Endowment’s staff have reportedly said they will not fund their initiatives unless the city of Wilmington and New Hanover County come to the table. I have personally heard this from three different nonprofits, and heard rumors about several others.
BS: And I’ve heard it from another — that The Endowment won’t fund them unless they get the city and county to the table. By the way, we’re keeping their identities private because they’re worried about facing retaliation from the Endowment if they voice criticism publicly.
But you can also see this approach with the recent purchase of land for a park on Greenville Loop Road. The origins of the plan are a little murky, but it seems like the city wanted to do this, and the Endowment agreed – but only on the condition that the county contribute some money.
KK: Right, in that case, we got to see the communications between the Endowment and the city and county — because those are public entities. And I think it’s important for the community to be aware that, when it comes to things between nonprofits and the endowment, this expectation is being stated behind closed doors. And that has serious implications for the projects that the Endowment will fund. I mean, the Day Center was given a verbal promise of ongoing funding for future years after it got a $200,000, one-year grant. Then, they said the rug got pulled out from under them, and they’re facing a possible shutdown because of it, allegedly because of this new approach by the Endowment.
BS: It’s interesting — if The Endowment does want to push the county back to the table, there could be some headwinds. For the last two years, the Republican majority on the board of commissioners has pulled away from funding things like affordable housing and non-profits.
KK: And the argument, at least for Republicans, is that it’s kind of redundant for the county to fund these groups when we have the Endowment. But The Endowment is also supposed to follow the county’s strategic plan — and may well be taking its cues from what the county has prioritized, and the county commission has pulled out of the housing space, for example. From the second-hand accounts I’m getting from nonprofits, it sounds like the Endowment took that as a strong suggestion - and they haven’t funded housing yet in 2026.
BS: So, one concern we’ve had is that, if The Endowment is leading the way, and conditioning its grants on support from the city and the county, then it’s kind of governing by proxy — from behind closed doors. I think the city and county collaborating would be popular for a lot of people — but that enthusiasm might be tempered if the decision-making porcess behind the work is opaque.
KK: Right, Endowment meetings aren’t public, there are no public records, emails, or meeting minutes — and The Endowment has routinely declined to discuss current or future funding, unlike the city and county process, which is done out in the open. And Endowment board members have generally kept pretty quiet.
BS: One notable exception is former county commissioner Woody White, who voted to create what’s now the Endowment years ago and now serves on their board. In social media posts and opinion pieces, he’s said that The Endowment has the ability — and even a mandate — to work with local government, like the city, county, community college, and university.
KK: You’ve suggested that kind of partnership could help The Endowment manage to get the $80 million or more dollars in annual grants out the door, which the IRS will require starting in two years.
BS: That’s true. From a practical point of view, local governments have the capacity to spend that money in a way that most non-profits don’t. But there are questions, like: will that mean the county and city chipping in — or just acting as conduits? Will we get more transparency on these decisions? And, back to where we started, will that mean nonprofits, especially smaller nonprofits, will get left out in the cold?
KK: Nonprofits we’ve spoken to are concerned that’s exactly what will happen while all this gets hashed out. Especially if elected officials are hesitant to cost-share with The Endowment because they’re trying to keep their tax rates down.
BS: Or if the county and city simply have different approaches to issues and can’t agree on projects to collaborate on.
KK: Right — issues that are totally outside of these nonprofits' control, and not a reflection of their ability to do good work.
BS: I’ll say, we put some of this to The Endowment, noting that it seemed like they’d declined grants if the city and county wouldn’t come together — and they gave us a kind of boilerplate answer, basically saying they ‘encourage collaboration.’ We also asked for an interview, and they didn’t respond to that. So — it means more digging for us … but for now, thanks for your reporting on this.
KK: Happy to do it!
