As newspapers continue their struggle to cling to life, might they turn to philanthropic sources for much-needed capital? I've been writing for a while, probably with misplaced optimism, about the future of newspapers, but this might be a solution.


A recent article in Online Journalism Review tells how newspapers and local broadcasters may soon seek support from non-profit foundations and private donors as a way to partially fund their news-gathering operations.
This is not a new concept. Some non-profits, as well as some businesses, already provide funding for news and analysis programs on PBS and National Public Radio and their local affiliates. Newspapers, however, are businesses that, for the most part until recently, have returned handsome profits to the owners and/or shareholders. So how might they accept funding and at what risk to the independent way newspapers have traditionally reported the news?
There already are precedents. A variety of grant programs from organizations provide funding to enable reporters to work on special projects. The granting organization stipulates subject areas they'd like a reporter to cover in order to receive the stipend. Other grants are open-ended. In most cases, the stipend goes to the reporter and not to the newspaper or other news organization.
If newspapers were to accept funding, it could raise the possibility of censorship or the pushing of certain subjects or points of view to be covered. Certainly there have been cases of big advertisers trying to exert influence over news content. We sometimes hear of an advertiser pulling its ads from a paper or a network when they've disagreed with the content or tone of a story or an editorial.
In most cases, media have not caved in to that sort of pressure, putting a high premium on the integrity of their news content. I think they would strive to maintain those same standards when dealing with financial supporters.
Charlotte Hall, president of the American Society of Newspaper Editors and editor of The Orlando Sentinel, sees potential benefit in having foundations offer grants to newspapers, to bolster their reporting capabilities. She expresses some concern over the possibility of those foundations seeking to exert influence over how news is reported. She also thinks the process of seeking grants can put an added burden on newspaper staffs already stretched thin.
It can work, though. The Knight Foundation recently awarded 21 grants totaling $5 million to civic foundations to help fund local news organizations such as local cable and local online news sites. ASNE's Hall says she was impressed by the range of projects that mostly helped fill unmet local news needs.
To my knowledge, none of the Knight grant money went directly to any newspapers.
I think newspapers can and should go after non-profit funding to help support or expand their reporting. If a non-profit has as its mission the broadening of understanding and appreciation of science, for example, why shouldn't they offer grants to newspapers to expand their science reporting? It's a win-win situation, as the paper gets funding which can free up resources for other aspects of its news-gathering, while easing its financial pressure. And readers get better coverage of the news, including a better knowledge of local happenings including watchdog reporting on local government.
The only possible sticking point I see is for newspapers to maintain independence. I don't think it will be a significant issue, since, as I noted above, it hasn't hindered good, independent coverage and analysis on public TV and radio.
Let me throw another idea into the mix, which I know will seem impractical right now as we struggle with mass layoffs, stimulus packages and government bailouts,
We should establish a Federal News Fund. $500 million .... a pittance in these times of multi-billion dollar bailouts .... could support and expand news-gathering and investigative journalism (newspapers' historic strong suits) at a majority of the nation's daily papers. For smaller papers, an annual infusion of $150,000 - $200,000 would pay a few reporters' salaries and help the paper's bottom line. Larger papers might get a bigger amount.
I won't get into the details of who gets how much, how the money is monitored to be sure it is spent on news, and how government censorship is prevented. I'll leave those details for people a lot smarter than I am.
But I think government assistance, along with funding from philanthropies, can help keep newspapers .... in print and online .... alive and healthy so they can continue to do what they do best .... inform, analyze and question happenings around the world, throughout the nation and down the street in our own communities. If some of our tax dollars can help keep newspapers filling that important role, I'd say it's money well spent.

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ABOUT THE AUTHOR

After 30+ years in this business, I still look forward to going to work. Rarely are two days the same, and the challenges are varied and stimulating.

My firm, Reich Communications, Inc., handles an interesting range of clients that take me from b2b to consumer publicity, from the world of high-priced art to advocacy for issues including traffic safety and securing mental health resources for survivors of mass violence globally.

Over the years at mid-size and large New York agencies, I’ve served a client roster that reads like a “who’s who” of business – General Electric, Emery, Ryder, Travelers Insurance, Phillips Petroleum, Georgia-Pacific and Jaguar Cars. I’ve also worked with groups like the Greater New York Automobile Dealers Association (for their giant New York Auto Show), Syndicated Network Television Association, and the National Highway Traffic Safety Administration.

Highlights include leading the publicity team that launched L’eggs hosiery, which later became a Harvard B-School case history. I also managed P.R. and community relations for the Metro New York McDonald's Co-op, with more than 250 stores. We won a Marketing Excellence Award for a McDonald's public service program I developed on fire safety. It also won an Emmy for on-air host Dr. Frank Field, health & science editor at media partner WCBS-TV in New York, and it was directly credited by the NYFD for saving several lives. During those years, I also had more than my share of Big Macs.

I have a degree in Industrial Management and an MBA in Public Relations. I live in southern Westchester, 15 miles north of midtown Manhattan, in the same town where I grew up. “Money-earnin’ Mount Vernon” is how the town is now known as a center of hip-hop culture, but it also claims as native sons Denzel Washington, Dick Clark, author e.b. White, Art Carney, Art Buchwald and Sean “P-Diddy” Combs.

I write about marketing, media and public relations at my blog, "my 2 cents" If I ever retire from this crazy business, I'd love to be an all-night jazz deejay.