Allstate Foundation

The Allstate Foundation Hurricane Recovery Fund

In the wake of the devastating hurricanes that hit the U.S. Gulf Coast in 2005, nonprofit organizations in the area played a heroic role in the region's emergency response — providing critically needed food, shelter, medical care, and information services to stricken communities.

Yet, following hurricanes Katrina and Rita, most of the nonprofit organizations that were delivering these services faced significant obstacles of their own, from locating staff members and clients to struggling to repair their own hurricane-damaged buildings and homes.

The Allstate Foundation quickly responded to the destructive impact of Katrina and Rita by establishing the Allstate Foundation Hurricane Recovery Fund, which distributed $1.2 million in grants among three leading community foundations that served nonprofits in New Orleans, southern Mississippi, and the coastal region of eastern Texas.

The Program

Each year, the Allstate Foundation retains emergency funds to enable swift response to time-sensitive giving needs related to significant national events, crises, or disasters that profoundly affect a multitude of communities. In 2005, the Allstate Foundation leveraged this contingency fund to quickly respond to the devastating impact of Hurricanes Katrina and Rita on the Gulf Coast.

Within days of Katrina, it established the Allstate Foundation Hurricane Recovery Fund with a $1 million grant. Of the grant, $700,000 was designated for the Greater New Orleans Foundation to support nonprofits and their constituents in New Orleans and $300,000 was allocated to the Foundation for the Mid South, serving nonprofits in southern Mississippi, including Biloxi. In the immediate aftermath of Rita, the Allstate Foundation added $200,000 to the Hurricane Recovery Fund to bringing the total financial donation to $1.2 million. The additional funds were directed to the Communities Foundation of Texas to support the efforts of nonprofits in the coastal region of eastern Texas. To heighten awareness of the Allstate Foundation Hurricane Recovery Fund among nonprofits in impacted Gulf Coast areas, the Foundation combined aggressive media outreach and direct contact with New Orleans nonprofit organizations to encourage grant applications. In response, nearly 300 applications were received via two application drives in New Orleans alone — a clear indication of the enormous need in the city.

The Impact

In all, a total of 50 nonprofit organizations in New Orleans, southern Mississippi, and the eastern Gulf Coast of Texas received grants from the fund. These organizations implemented projects that served nearly 1.5 million people in hard-hit regions.

Examples of these projects include:

• East St. Tammany Rainbow Child Care Center in Slidell, La.: Received a $20,000 grant from the Allstate Foundation Hurricane Recovery Fund at the Greater New Orleans Foundation. The center used the funds to help rebuild its battered site.
  
• Kingsley House in New Orleans, La.: Received $5,000 from the Allstate Foundation Hurricane Recovery Fund at the Greater New Orleans Foundation. The funds were used to provide health and human services to displaced families who were returning to the city in the aftermath of Hurricane Katrina.
  
• Injury Free Coalition for Kids: Received two $75,000 grants from the Allstate Foundation Hurricane Recovery Fund at the Foundation for the Mid South. The funds were used to build two new playgrounds in Biloxi — one at Margaret Sherry Library and the other at Gorenflo Elementary School.
  
• Rape and Crisis Center of SE Texas in Beaumont, Texas: Received a grant of $15,500 from the Allstate Foundation Hurricane Recovery Fund at the Communities Foundation of Texas. The funds were used to repair facilities damaged by Hurricane Rita, as well as to provide supplies for survivors (clothing, toiletries, etc.) and group counseling.

The Difference

J. Cook, vice president for grants at the Communities Foundation of Texas, said, "In addition to the substantial emergency relief already provided through the Communities Foundation of Texas since the recent hurricanes, we are proud to use our services and expertise alongside the Allstate Foundation for this program that will make available crucial support for rebuilding lives and communities."

The Lessons Learned

By establishing the Allstate Foundation Hurricane Recovery Fund as a donor-directed fund, the Allstate Foundation was able to leverage its community foundation partners' knowledge of the local nonprofit landscape to ensure that grant recipients were well qualified and able to provide the services outlined in their proposals. In addition, the Foundation retained a role on the Fund's advisory committee.

Given the Allstate Foundation's preference to play a role in the ongoing recovery of the Gulf Coast region rather than in the
initial response, the Foundation was able to create its own unique platform to provide much-needed assistance via local community foundations as well as the specific nonprofits that
received grants from the Hurricane Recovery Fund.

Why Allstate Is Involved

Allstate is in the business of helping people, and both the company and the Foundation are committed to improving their communities. The Allstate Foundation Hurricane Recovery Fund is a natural extension of Allstate's business and corporate citizenship focus.

For more about Allstate's work, please visit www.allstate.com/citizenship.

Additional corporate profiles from BCLC's disaster recovery report

Allstate Foundation's Partners: 

Greater New Orleans Foundation

Foundation for the Mid South

Communities Foundation of Texas