In an Era of Megachurches, Megamalls, and Megameals, Megaphilanthropy!

I assume you have already heard about Warren Buffet giving about 85% of his fortune to the Gates Foundation. I mean, I heard about it on the Today Show, so it's really all over the news. That was between the segments on summer camp and why you should eat brightly colored foods (like Green Slurpees?), hosted, quite humorously, by David Gregory, NBC White House correspondent. Bet he gets make fun of in the White House press pool.

In any case, Buffett is giving $30 billion to the Gates Foundation. According to the Wall Street Journal ("Warren Buffet Gives $30 Billion to Gates Foundation," June 26th, 2006, Page B1)

The agreement has the potential to mark the beginning of a new era of megafoundations. Mr. Buffett's gift to Mr. Gates is "revolutionary," says Daniel Borochoff, president of the American Institute of Philanthropy, a watchdog group based in Chicago. "Rather than competing, they are going to pool their resources for common causes. They are going to affect millions of lives."

Mr. Borochoff said that many charities might even redirect their missions to causes that the Gates Foundation supports -- which now include tackling malaria and AIDS in Africa and raising U.S. high school graduation rates. But he warned the enlarged Gates Foundation will need to practice care in fragile places, making sure to stimulate self-sufficiency rather than fostering dependence or the kind of corruption that often follows aid.

The Wall Street Journal adds, "While his decision to give to charity during his lifetime is new, Mr. Buffett's decision against bequeathing most of his wealth to his children isn't. He has long argued that children of wealthy parents can be sapped of motivation and spoiled if they inherit all of their family's riches." Bet his kids are thrilled.

This makes the recent Business Week coverage of the Gates Foundation all the more interesting. How will the Gates Foundation alter their strategy to prevent failures like the Manual school in Denver? Will they stick with small schools, and will they venture into new territory? What kind of research will they use to make these decisions?

According to the New York Times, Bill and Melinda Gates gave Buffett a copy of Adam Smith's Wealth of Nations from their personal library. How sweet.

"Warren Buffett Gives $30 Billion to Gates Foundation" (WSJ, June 26th, 2006, Page B1)
"Buffett Always Planned to Give Away His Billions" (NYT, June 26th, 2006)