Summary
The Contributions Fact Sheet examines the growth in Class 500 expenditures, which have more than doubled since FY14, increasing from 4.3% to 6.5% of the budget. Contributions to the School District of Philadelphia and Community College of Philadelphia grew by 140% during this period, accounting for the majority of spending increases. Contributions to nonprofit organizations also nearly doubled, but the report raises questions about transparency, accountability, and the criteria for funding decisions. The report highlights the lack of a standardized application or reporting process for many nonprofit contributions, contrasting it with competitive grant awards that require formal agreements and oversight. As the City plans over $2 billion in Class 500 spending in the FY25-29 Five-Year Plan, PICA recommends increased transparency and reporting to ensure funds are distributed equitably and effectively.