1. KNIGHT’S SEPT. 11TH FUND SUPPORTED 246 SERVICE PROVIDERS IN 26 COMMUNITIES:
LONG BEACH DAY NURSERY • SEXUAL ASSAULT CRISIS AGENCY • LOAVES AND FISHES • COMMUNITY PARTNERSHIP FOR HOMELESS • DAILY BREAD FOOD BANK • FARM SHARE • S.O.S. HEALTH
CARE • PHILADELPHIA COMMITTEE FOR THE HOMELESS • THE VILLAGE OF ARTS AND HUMANITIES • ASIAN AMERICANS FOR COMMUNITY INVOLVEMENT OF SANTA CLARA COUNTY • IMMIGRANT
RESETTLEMENT AND CULTURAL CENTER • PLANNED PARENTHOOD MAR MONTE • SUPPORT NETWORK FOR BATTERED WOMEN • CHILDREN’S HOME SOCIETY OF FLORIDA (NORTH CENTRAL
DIVISION) • MOTHERS IN CRISIS • SAFE HARBOR • BATTERED WOMEN’S SHELTER • GOOD NEIGHBORS • SECOND HARVEST FOOD BANK OF SANTA CLARA AND SAN MATEO COUNTIES • THE
SALVATION ARMY (MILLEDGEVILLE) • GULF COAST WOMEN’S CENTER FOR NONVIOLENCE • AID TO VICTIMS OF DOMESTIC ABUSE • COMMITTEE FOR DIGNITY AND FAIRNESS FOR THE HOMELESS
HOUSING DEVELOPMENT • BOULDER COUNTY SAFEHOUSE • LONGMONT COALITION FOR WOMEN IN CRISIS • MEALS ON WHEELS PLUS OF MANATEE • THE SALVATION ARMY (GULFPORT) • INFO
LINE • CRISIS ASSISTANCE MINISTRY •THE FAMILY CENTER • HARVEST HOPE FOOD BANK • SISTERCARE • OPEN DOOR COMMUNITY HOUSE • SCAN • ST. VINCENT DE PAUL OF SAN MATEO • ST.
PETER’S HOME FOR BOYS • ARAB COMMUNITY CENTER FOR ECONOMIC AND SOCIAL SERVICES • FOCUS: HOPE • ARAB-CHALDEAN COMMUNITY SOCIAL SERVICES COUNCIL • BOYS & GIRLS CLUBS
OF SUMMIT COUNTY • AIDS TASK FORCE • DETROIT RESCUE MISSION MINISTRIES • FORGOTTEN HARVEST • HAVEN • THE SALVATION ARMY (AKRON) • BIG BROTHERS BIG SISTERS OF GREATER
MIAMI • CATHOLIC CHARITIES • CENTER AGAINST SEXUAL AND DOMESTIC ABUSE • TURNSTONE CENTER FOR DISABLED CHILDREN & ADULTS • CASA OF ABERDEEN FIFTH JUDICIAL CIRCUIT •
MANATEE CHILDREN’S SERVICES • COMMUNITY VIOLENCE INTERVENTION CENTER • AKRON COMMUNITY SERVICE CENTER & URBAN LEAGUE • AKRON-CANTON REGIONAL FOODBANK • CATHOLIC
SOCIAL SERVICES OF SUMMIT COUNTY • HABITAT FOR HUMANITY OF GREATER AKRON • HAVEN OF REST MINISTRIES • INTERVAL BROTHERHOOD HOMES • LET’S GROW AKRON • OPPORTUNITY
PARISH ECUMENICAL NEIGHBORHOOD MINISTRY • SUMMIT COUNTY COMMUNITY DRUG BOARD • YOUNG MEN’S CHRISTIAN ASSOCIATION OF AKRON • BOYS AND GIRLS CLUBS OF THE GULF
COAST • CATHOLIC SOCIAL & COMMUNITY SERVICES • MENTAL HEALTH ASSOCIATION OF MISSISSIPPI • MOORE COMMUNITY HOUSE • THE SALVATION ARMY (BILOXI) • SOUTH MISSISSIPPI
2001 ANNUAL REPORT ★ NEW CRISES, ENDURING COMMITMENTS
EXCHANGE CLUBS CHILD ABUSE PREVENTION CENTER CHARLOTTE CENTER FOR URBAN MINISTRY •
THE LORD’S PLACE AND FAMILY SHELTER WEST PALM BEACH • CHILDREN’S HAVEN & ADULT COMMUNITY SERVICES • THE CENTER FOR FAMILY SERVICES OF PALM BEACH COUNTY • THE
SALVATION ARMY • MANATEE OPPORTUNITY COUNCIL • ROTACARE BAY AREA • THE CENTER FOR INFORMATION & CRISIS SERVICES • RUTH RALES JEWISH FAMILY SERVICE • ST. PAUL WESTERN
PALM BEACH COUNTY FOOD DISTRIBUTION CENTER • BOULDER SHELTER FOR THE HOMELESS • EMERGENCY FAMILY ASSISTANCE ASSOCIATION • THE INN BETWEEN OF LONGMONT • HOPE FAMILY
SERVICES • CABARRUS COOPERATIVE CHRISTIAN MINISTRY • CATHOLIC SOCIAL SERVICES OF THE DIOCESE OF CHARLOTTE • CHARLOTTE RESCUE MISSION • COMMUNITY CULINARY SCHOOL OF
CHARLOTTE •CUP INC. • DAY SHELTER • GOODWILL INDUSTRIES OF SOUTHERN PIEDMONT • PILGRIMS’ INN •THE SALVATION ARMY (ABERDEEN) • ACCESS INC. • SECOND HARVEST/METROLINA
FOOD BANK • TURNING POINT OF UNION COUNTY • UNITED FAMILY SERVICES • FAMILY SERVICE CENTER OF S.C. • GOODWILL INDUSTRIES • COLUMBUS BAPTIST ASSOCIATION • HOUSE OF
RESTORATION • HOUSE OF T.I.M.E. • SECOND HARVEST FOOD BANK OF THE CHATTAHOOCHEE VALLEY • UPTOWN OUTREACH FOOD PANTRY • VALLEY RESCUE MISSION • BOYSVILLE OF MICHIGAN
• COALITION ON TEMPORARY SHELTER • COVENANT HOUSE MICHIGAN • EASTSIDE EMERGENCY CENTER • FOOD BANK OF OAKLAND COUNTY • VINCENT HOUSE • GLEANERS COMMUNITY FOOD
BANK • GOODWILL INDUSTRIES OF GREATER DETROIT • HELPSOURCE • JEWISH FAMILY SERVICE • L.I.F.T. WOMEN’S RESOURCE CENTER • LIGHTHOUSE EMERGENCY SERVICES • MACOMB COUNTY
ROTATING EMERGENCY SHELTER TEAM • OZONE HOUSE • SOCIETY OF ST. VINCENT DE PAUL OF THE CITY OF DETROIT • SOS COMMUNITY SERVICES • STARFISH FAMILY SERVICES • THINK DETROIT

2. Statement of Purpose Table of Contents
he John S. and James L. Knight
T From the Chairman 2
Foundation was established in
1950 as a private foundation From the President 4
independent of the Knight brothers’
2001 Programs and Features 6
newspaper enterprises. It is dedicated
to furthering their ideals of service to Community Partners 6
community, to the highest standards
Journalism Initiatives 18
of journalistic excellence and to the
defense of a free press. 26
National Venture Fund
In both their publishing and phil-
Knight Commission on Intercollegiate Athletics 31
anthropic undertakings, the Knight
brothers shared a broad vision and
History 33
uncommon devotion to the common
welfare. It is those ideals, as well as Trustees and Officers 38
their philanthropic interests, to which
Staff 40
the foundation remains faithful.
To heighten the impact of our grant Grants 42
making, Knight Foundation’s trustees
Index of Grants 43
have elected to focus on two signature
programs, Journalism Initiatives and Sept. 11 Recipients 57
Community Partners, each with its
own eligibility requirements. A third Investment Report 62
program, the National Venture Fund,
Auditors’ Report 63
supports innovative opportunities and
initiatives at the national level that
Financial Information 64
relate directly or indirectly to Knight’s
work in its 26 communities. Letter of Inquiry 70
In a rapidly changing world, the
Production Credits 71
foundation also remains flexible
enough to respond to unique chal-
lenges, ideas and projects that lie
beyond its identified program areas,
yet would fulfill the broad vision of its
founders.
None of the grant making would be
possible without a sound financial
base. Thus, preserving and enhancing
the foundation’s assets through pru-
dent investment management contin-
ues to be of paramount importance.

3. ‘Crises refine life. In them you discover what you are.’
– Allan K. Chalmers, author and civil rights activist
Page 4 Page 6 Page 27
Page 20
he global community has shared a heightened sense that everything seems far
T more serious since the terrorist attacks of Sept. 11.
It was a historic moment for the working media and our journalism partners, a
chance to “reclaim and reassert the best that journalism has to offer,” says a key Knight
adviser.
The 26 Knight communities reflected a nation dealing with the secondary victims
of the attacks – needy people coping with the economic shock, making do with even
less. The 246 service providers benefiting from Knight’s $10 million Sept. 11 Fund can,
and will, help.
The foundation’s enduring commitment to those 26 communities through a re-
vamped approach to funding took long strides in 2001, forging promising partnerships
in such civic laboratories as Central Long Beach, downtown Charlotte, the “Grand
Cities” region and the Beall’s Hill neighborhood in Macon.
2001: A year of refinement and discovery.
2001 ANNUAL REPORT 1

4. FROM CHAIRMAN
THE
New Crises, Enduring Commitments
n this space last year, you read about ations with these places and the field of
I a new strategic plan here at the John journalism.
S. and James L. Knight Foundation. As the Community Partners Program
The plan suggests that the founda- has developed, we’ve seen the new advi-
tion’s approach to grant making ought sory committees, steeped in the nuance
to be as holistic as our emergency of local conditions, engaged in vigor-
response was in Miami after 1992’s ous discussions of complex issues.
Hurricane Andrew and in Grand Forks We’ve learned along with them that set-
after the ’97 Red River flood. ting priorities is difficult. Their mem-
Back then, my fellow trustees and I bers understand they cannot possibly
heard and saw how such acts of nature have an impact on every community
galvanized people and made them feel need and opportunity, certainly not
W. Gerald Austen, M.D.
more connected to their communities. with the limited resources of one foun-
Following both catastrophes, Knight’s dation. They have figured out they can
we’ve shared a heightened national
trustees and staff responded to the have their greatest impact by concen-
sense that everything – late-night talk
communities’ needs and committed trating on just a few highly specific
show hosts and major-league baseball
significant funding and other resources. needs and by taking multiple approach-
included – seems more serious, sober
Behind such leaders as Miami’s Alvah es to addressing them. As Maidenberg
and purposeful. America’s wartime cir-
H. Chapman Jr. and Grand Forks’ Mike points out in his article on page 14,
cumstances and economic recession
Maidenberg, we found ourselves con- Knight’s promise of partnership, re-
have made it absolutely clear that the
necting to the energy and passion of search and resources has changed the
stakes have been raised. Collectively, we
communities working together to way people in the Grand Forks area
are determined to make our labors, our
rebuild, to transform themselves into think about their region.
time and our commitments more
something better than they were before We shared many wonderful experi-
meaningful than ever before.
the crisis. We concentrated on projects ences in 2001. In June, Knight Founda-
At Knight Foundation, a history of
that would sharpen the focus and tion’s trustees concluded an 18-month
responding to crises combines with a
heighten the impact of our grants. We observation of our 50th anniversary by
strategic recommitment to our 26
joined with other funders to help the gathering in Miami with a great many
communities, giving clear direction to
communities identify what matters friends and funding partners. We chose
grant making. We believe our best
most. We demonstrated long-term com- that night to demonstrate our new
chance to succeed is by helping com-
mitment. holistic approach to funding. Hodding
munities work toward their own defi-
We have incorporated these values Carter and I described our newly fo-
nitions of community success over the
as we’ve developed a new Community cused funding priorities and how the
long haul.
Partners Program and a new National foundation intended to work more
Knight’s $10 million Sept. 11 com-
Venture Fund, and in shaping our Jour- directly with the recipients of our
mitment is helping nonprofit service
nalism Initiatives program. grants. While we made a total of 55
providers in our communities to re-
We remain busily involved in a care- grants in all of our primary funding
bound and serve their citizens caught in
ful rollout of the Community Partners areas, more than half of the nearly $24
a world of dire need. The fund demon-
Program, in which local advisory com- million in awards we announced that
strates that at such times of stress and
mittees help select community priori- evening target large-scale community
struggle, the foundations of this coun-
ties and the measurable outcomes that development. Much of it is directed to
try, blessed by resources however finite,
address them. In journalism, Knight’s Overtown, Miami’s historically black
can and must step up and give more.
funding continues to focus on journal- downtown. Hodding put it this way:
This crisis may pass, but others
ism of excellence, press freedom and “Effective community development is
loom. Like those that came before, they
diversity. Though anecdotal, reports comprehensive, continuous and collab-
become opportunities for discovery.
from the field have confirmed our orative.”
Regardless, ours is a sustained commit-
belief that we are on the right path with The year also saw the final report of
ment to Knight communities and to
these approaches. the reconstituted Knight Foundation
journalism of excellence. We intend to
Since the horrific events of Sept. 11, Commission on Intercollegiate Athle-
take advantage of our enduring associ-
2 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
AND

5. FROM CHAIRMAN
THE
tics (see page 33), following the origi- community in June 2000.
nal panel’s three seminal reports in the Despite the weight of the past year’s
1990s calling for reform of a system events, we’re optimistic about Knight
spiraling out of control. The Knight Foundation’s new direction and encour-
Commission found that despite con- aged by the energy directed to our pro-
siderable progress, the chasm between grams. We see it in play in the rollout of
higher education’s ideals and big-time the Community Partners Program as
college sports has widened. The com- advisory committee members are chal-
Alvah H. Chapman Jr. John D. Ong
mission’s report inspired headlines and lenging conventional wisdom, drilling
editorial praise for raising the issues down to fundamentals. Our journalism
again, including a strong recommenda- program officers are gathering together
Review Committee – our version of an
tion encouraging big-time football and groups with common interests in the
appropriations committee – since 1986,
basketball programs to graduate more field, and the conversations are leading
and has served as its chairman since
than 50 percent of their student ath- to new collaborations and new net-
1994. Four times a year, Alvah has pre-
letes by 2007. We will watch the educa- works. Experts in our funding interests
sented to our board a description of
tion and sports community with inter- are visiting the 26 Knight communities
and recommendation on every major
est as they move together toward mul- during grant development and are
grant allocation we’ve made. He also
tilateral reform. We also thank co- introducing new models for what
guided the development of a stable
chairs William Friday, president emeri- works, expanding local horizons. We
grant-making plan that enabled Knight
tus of the University of North Carolina, believe that better grants begin with a
Foundation to increase our giving
and the Rev. Theodore Hesburgh, pres- determination to see the whole picture
gradually over time without the violent
ident emeritus of the University of at the front end.
swings suffered by some other founda-
Notre Dame, and all of the commis- The September attacks caution us to
tions in an up-and-down stock market.
sioners for their sustained leadership. never take anything for granted. These
He has been a wise leader, a sensible
2001 was a harsh year economically events remind us that a new crisis, no
voice and a moral compass for us.
for just about everyone, given the real- matter how unimaginable, is never far
In late February 2002, Trustee John
ity of an advancing recession made from tomorrow’s headlines. Our next
D. Ong presented his credentials to
worse by the impact of Sept. 11. Like tragic episode may be an act of God or
King Harald in Oslo as he became the
many other institutional investors, our man, a fleeting instance or a prolonged
U.S. ambassador to Norway. Since join-
asset base suffered, though at a com- affair, of international concern or neigh-
ing us in June 1995, John Ong has pro-
paratively moderate rate. Thanks to borhood impact. Regardless, Knight
vided leadership and direction during a
investment strategies overseen by Foundation is committed to doing
period of intense staff growth, serving
Trustee Gordon E. Heffern and his everything we can to help.
as chairman of our Administrative and
Finance Committee, and excellent work Human Resources and Pension Plan
by the investment staff, we closed out Administrative committees. The chair-
the year at $1.9 billion, down from our man emeritus of BFGoodrich played
all-time high of $2.2 billion. It allowed an important role in helping us devel-
us to approve $86.4 million in 319 new W. Gerald Austen, M.D.
op a slate of grants for Akron as we
grants in 2001. Chairman
launched our anniversary year in that
We wish two fellow trustees well as
they depart.
Alvah Chapman brought 31 years of The Year in Review Jan. 1, 2001 – Dec. 31, 2001
exceptional service to the foundation
to a close as he left the board in March Assets: $1.9 billion
2002. Throughout those years he has Grants paid out: $85.0 million
played a key role in developing the Proposals received: 1,064
foundation’s visions and goals and the New grants approved: $86.4 million (319 grants)
strategies to achieve them successfully. Average grant size: $270,950
He has been a member of the Grants
2001 ANNUAL REPORT 3

6. FROM PRESIDENT
THE
Ensuring Journalism’s Essential Role
ach of us knows where and how It is a function that no government,
E the horrifying news reached us on whatever its ideology or form, actually
Sept. 11. That devastating day is welcomes, but it lies at the root of the
branded into the national conscious- First Amendment’s guarantee of press
ness in a way previously reserved for freedom. In times of war, it is a right
the attack on Pearl Harbor on Dec. 7, every government reflexively seeks to
1941, and the assassination of President curtail, sometimes in justifiable ways,
John F. Kennedy on Nov. 22, 1963. frequently in unacceptable ways and
However each of us learned of the occasionally in reprehensible ways.
barbaric act of mass murder that lev- This, too, is written by someone
eled the World Trade Center, we also who, as a State Department spokesman
know where we turned thereafter: to in a time of trouble, relearned a time-
Hodding Carter III
the news media. In those anxious, pan- less reality: Governments, democratic
yearlong courses of university study,
icky hours and then days after the twin or not, are not in the truth business.
weeklong seminars and two-day short
towers collapsed in pyramids of rubble They are in the governance business,
courses. Knight Foundation has en-
and death, television, newspapers, radio the policy implementation business.
dowed 16 chairs at universities from
and the Internet were our informants, None should lie, save in the most
Arizona to Florida, Michigan to Mary-
guides and alter egos, asking the ques- exceptional circumstances, usually in
land, North Carolina to Kansas to put
tions we wanted asked, interpreting the wartime. As a matter of fact, decent
distinguished working journalists in
answers and separating the wheat from ones do not routinely, or even fre-
close touch with those who hope to
the chaff with impressive – and expen- quently, lie. But it can be asserted with-
become journalists. We have invested
sive – professionalism. We were re-edu- out qualification that all deliberately
well over $20 million in organizations
cated in the wisdom of the nation’s withhold information that might polit-
working overseas to train reporters,
founders, who placed a premium on a ically embarrass a president, call into
managers and editors in newly free or
free press and free speech not merely question aspects of policy or under-
newly democratic countries, to encour-
with lip service but within a powerful mine the official version of reality, for-
age institutionalization of press free-
Bill of Rights. eign or domestic.
dom, and to seek justice when news
Mine is not the observation of a Against that reality, the press has an
persons are persecuted or killed.
neutral observer. Having spent much obligation to act as surrogate for the
Increasingly, too, Knight has under-
of my life in the news business, my people, asking the hard questions, dig-
written programs to supplement and
pride in my old profession and belief in ging beyond the surface to get at the
deepen the work of news organizations
its central role in this democratic facts, questioning the official line. It is
seeking to beat back excessive govern-
republic were dramatically rekindled not always a popular task, particularly
ment secrecy, improve the mass media’s
by its post-attack performance. More in times such as these when the nation
inadequate coverage of foreign affairs,
to the point of this report, the post- is threatened and the natural public
and train overseas reporters to recog-
attack coverage reinforced my certainty instinct is to rally behind the govern-
nize gross violations of the rules of war
that Knight Foundation’s long concern ment. But history shows repeatedly
when they see them. Knight-supported
with press performance and press free- that to abandon that task is to weaken
programs train investigative reporters,
dom has and does make sense in ways the foundations of a free society.
act as the major journalistic users of
that affect the functioning of our Ironically, recent history also demon-
the nation’s Freedom of Information
democracy – and thus each of our com- strates that presidencies that relied
Act and publish book-length studies of
munities – no less than of the media. most on secrecy and the manipulation
governmental corruption and political
The foundation allocates up to 25 of information were almost invariably
influence-peddling.
percent of its grants every year to this themselves fatally weakened by the
It cannot be emphasized enough
general area. As a result, Knight is the exercise.
that the press has an absolute obliga-
largest philanthropic funder of jour- Some 30 years ago, a great Yale Law
tion, no less than the right, to monitor
nalism-related organizations, causes School professor who was a legal con-
government performance whether in
and programs within the United States. servative wrote something in the con-
times of stress or times of tranquillity.
Among many other things, we support text of the Pentagon Papers case that
4 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
AND

7. FROM PRESIDENT
THE
reverberates today. As Alexander Bickel the same ideals into action, whatever
put it: “The press’ chief responsibility is the political climate, at home and
to play its role in the contest (of gov- abroad. Like them, we are certain that
ernment and press), for it is the contest the health of the nation and the world
that serves the interest of society as a depend on doing no less. The new twi-
whole.” Or, as the great Soviet dissident light struggle in which the nation finds
and Nobel Laureate, Alexander Solzhenit- itself has already claimed thousands of
syn, once wrote in a letter to the gov- lives and two monumental buildings,
ernment-toadying Writers Union of the symbols of our economic might. It
Russian Republic: cannot be allowed to lay waste the
Travelers at Singapore’s Changi International
“Publicity and openness, honest and nation’s most fundamental values as
Airport watch CNBC’s live coverage Sept. 11 of
the collapse of the World Trade Center.
complete … that is the prime condition well.
for the health of every society. The man Jack Knight, speaking of his beloved
who does not want publicity and open- the Vietnam War when he decried the newspaper business, put it clearly and
ness for his Fatherland does not want American government’s tendency “to directly: “We must report the world as
to cleanse it of its diseases, but to drive smother the voices of dissent in the flag it is and not as we would like it to be.”
them inside, so they may rot there.” of patriotism.” As stewards of his
John S. Knight knew all this in his money and ideals, and those of James
bones and practiced it as a journalist L. Knight, his newspaperman brother,
throughout his career, most notably we at Knight Foundation continue to Hodding Carter III
during his long years of opposition to support those who are willing to put President and CEO
People make their way amid debris near the World Trade Center in New York Sept. 11 after the collapse of the twin 110-story towers.
2001 ANNUAL REPORT 5

8. A COMMUNITY’S PERSPECTIVE
Long Beach 90806: An American Microcosm
This mural by Elliott Pinkney, Together We Dance, demonstrates the ethnic blend of the 90806 ZIP code in Long Beach. A portion of Little Phnom Penh – the
largest Cambodian community outside Southeast Asia – falls within its boundaries.
The makeup of ethnic subgroups has
retail space, 350 residential units, and a 120-
The Long Beach Community Advisory Commit-
changed as well. Twenty-five years ago, Long
room hotel.
tee was the first of Knight’s 26 local advisory
Beach had a very small Cambodian popula-
These developments are significant for a
boards to recommend its priorities for the
tion; now it has the largest Cambodian com-
city that in the early 1990s lost one of its
Community Partners Program. After much delib-
munity – called Little Phnom Penh – outside
largest employers, the U.S. Navy, as a result
eration, the committee decided to narrow its
Southeast Asia. Many of these residents were
of the military base closings that occurred
focus to improving school readiness for chil-
admitted into the United States as refugees as
nationwide. “We had all our eggs in one bas-
dren, with an emphasis on the children and
a result of the four-year holocaust of the
ket,” said Mayor Beverly O’Neill recently,
families living in the 90806 ZIP code.
Khmer Rouge in the 1970s.
referring to the Navy’s departure. “We have
Considering the diverse needs of the 462,000
All of these trends have made Long Beach,
probably changed more ... than any other city
residents of Long Beach, why is the commit-
according to Mayor O’Neill, “the most diverse
in the United States.”
tee emphasizing school readiness? And why
city” in the United States, a contention sup-
But as important as economic redevelop-
90806?
ported by the balance among ethnic popula-
ment has been for Long Beach during the past
tions. City residents embrace over 40 cultures
two decades, the city’s demographic changes
The city of Long Beach, nestled along the
and speak more than 60 languages.
have been perhaps even more profound. In
southeast shore of Los Angeles County, is a
Nowhere are these transformations more
1980, non-Hispanic whites made up almost
city on the move. A new Aquarium of the
apparent than in ZIP code 90806, an area
70 percent of the total population. By 1990
Pacific and a freshly minted Convention &
known as Central Long Beach. Stretching
they declined to less than half the overall pop-
Entertainment Center now overlook the shore-
roughly from Pacific Coast Highway on the
ulation. Today they make up less than 35 per-
line, along with several glittery hotels. A few
south to Spring Street on the north, 90806 is
cent. Meanwhile, the number of Hispanics
blocks away in downtown, years of redevel-
a microcosm of diversity. There you can find
has tripled over the last two decades, so that
opment spending are finally having some suc-
restaurants like the Working Wok a few doors
they now make up about 36 percent of the
cess rejuvenating lower Pine Street, a bustling
down from the African American Gift Shop,
overall population. Blacks account for about
area with an Art Deco feel. City Place, a $75
and Hong Kong Express Donuts catercorner
15 percent and Asian-Americans for about 12
million development under way in the heart of
▲
from El Carnival Market.
percent.
downtown, will add 454,000 square feet of
6 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
AND

9. COMMUNITY PARTNERS
Taking Shape One Day at a Time
t’s Feb. 14, 2002. Valentine’s Day. mittee members who will recom- How Race is Lived in America – to the
I Across America, Knight Foundation’s mend priorities for funding and Charlotte committee. The members
new Community Partners Program strategies for achieving measurable have said that race relations is an
hits the ground running as a typical day results in the culturally diverse and important local issue, one worthy of
begins: complex southeast Michigan region. Knight’s support, and they wish to
➢ In Miami, fellow program director improve their understanding. She
➢ In Biloxi, Knight’s new Community Gary Burger updates a constantly works on a community investment
Advisory Committee assembles for changing color-coded chart that plan – a road map for how she and
its first official meeting. Led by pro- shows where his and Ervin’s troops the Charlotte committee will invest
gram officer Alfredo Cruz and chair- are deployed as well as where each of in its priorities of improved school
man Ricky Mathews, the committee Knight’s 26 communities stands in readiness, cleaner air and water, and
– 10 representatives of businesses the three-year rollout of Community improved race relations.
➢ Liaison John Williams II arrives at
and nonprofits in Biloxi, Gulfport Partners. He talks with his staff in
and Pass Christian – discusses a the field about grant development San Jose International Airport from
PowerPoint presentation explaining and setting priorities, reviews the his home base in Long Beach, a series
the new program and the commit- resumes of candidates for three new of local interviews ahead of him in
tee’s role in it. program liaison positions and re- what he calls a day of “early recon-
➢ In Detroit, program director Joe sponds to requests for information naissance.” On his list: nonprofit
Ervin – 41 days on the job and from prospective funding partners. leaders who may turn out to be com-
➢ In Charlotte, liaison Susan Patterson
already a veteran – gathers for a sim- munity partners working toward San
▲
ilar orientation with the dozen com- delivers two books – The Debt and Jose’s still-undetermined priorities.
▲
Downtown Los Angeles
California Ave.
Atlantic Ave.
Orange Ave.
Walnut Ave.
Cherry Ave.
Los Angeles River
405
Long Beach Airport
▲
Spring St. Anaheim
Pine Ave.
Willow St.
710
City of Signal Hill
Hill St.
Pacific Coast Highway
Median household
Maria Guadalupe Quintero and Rosa Suarez, on income is below
ZIP Code 90806
scooter, play at an apartment building. 90806 $34,614
Long Beach, Calif.
has the city’s highest density of households with
Highest density of
children under age 4.
households with
Downtown Long Beach, Queen Mary, San Pedro Bay
children under 4
▲
2001 ANNUAL REPORT 7

10. A COMMUNITY’S PERSPECTIVE
The King Kong Studio on East Anaheim Street in Central Long Beach shows its patriotism.
are not literate in their native tongue, Khmer.
Twenty-five years ago, 90806 was mostly black, about 18 percent Asian-American, and
Many witnessed the murder of loved ones and
African-American. But as other low-income about 14 percent non-Hispanic white.
are reticent to place their trust in anyone they
groups have sought the more affordable rents One of the challenges of this shift to a
do not know personally. Compared with other
of Central Long Beach, many blacks have moved more Hispanic and Asian-American popula-
ethnic populations in Los Angeles County,
up the economic ladder – mirroring much of the tion is the large number of households where
Cambodians have the lowest per capita
rest of Los Angeles County. English is not the first language. In addition,
income, the highest poverty rate, and the
“The heart and soul of the black communi- serious gang-related problems have arisen
highest unemployment rate in the county.
ty are still in the central district, but we’re not over the last decade, including street battles
“In a very small area we’ve got a lot of the
the majority community there anymore,” said between Latino and Cambodian gangs that
challenges of urban communities across the
Bill Barnes, the retired executive dean of Long have abated somewhat recently. ZIP code
country,” said Jim Worsham, a local business-
Beach City College, Central Long Beach 90806 has the highest percentage of female-
man and chair of Knight’s Long Beach adviso-
native, and member of Knight’s Community led, single-parent households in the city, and
ry committee.
Advisory Committee. Now that blacks are 33 percent of the area’s 44,763 residents
Yet “90806 has a lot of things going for it,”
making greater inroads into the middle class, received public assistance in 1998.
he said. For instance, Long Beach City Col-
Barnes said, “there’s really a lot of dispersal About a quarter of the Cambodian popula-
lege enlivens the economic and educational
across town.” tion of Long Beach lives in 90806, and these
prospects of the community. Several medical
Like the rest of Long Beach, 90806 has no residents – driven from their native country by
centers and other major employers are locat-
majority ethnic group, but Hispanics now a regime that openly killed those who were
ed in Central Long Beach. And many communi-
make up about 44 percent of the population educated – have unique needs. Many emi-
▲
ty nonprofits are headquartered in the area.
there. About 21 percent of the residents are grated from very rural areas of Cambodia and
8 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
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11. COMMUNITY PARTNERS
(See more about Williams’ work as a two weeks away, but she’s sharing Community Partners team, the next
liaison on page 17 and in the online updates with other funders, any of day looms as an important deadline
version of this annual report at www. whom could become future collabo- for submitting local recommenda-
knightfdn. org.) rators. tions for funding providers directly
➢ Liaison Julie Tarr arrives in Miami ➢ Meanwhile, John Bare, Knight’s serving the neediest people in
on a flight from Philadelphia in ad- director of program development Knight communities – the goal of
vance of two weeks of training, learn- and evaluation, is in Washington, the foundation’s $10 million Sept. 11
ing and research set aside for the along with Liz Sklaroff and Heidi Fund.
whole Partners crew. At her working Rettig, two members of his team. A
lunch, she’ll find out more about a priority for the day is finishing an This whirlwind day is a pretty good
sophisticated public awareness cam- electronic tool kit that will provide snapshot of Knight Foundation’s new
paign in South Florida targeting Knight communities with sum- and developing Community Partners
early childhood development – an maries of tested and promising prac- Program. And it’s an indication of just
area of direct relevance to Knight tices others have used to secure safe, how much has changed in our organi-
committees in Philadelphia and State affordable housing for low-income zation and in the world we serve as a
College. residents. Other meetings involve local funder. Based on a five-year strate-
➢ In Miami, liaison Suzette Prude similar summaries designed to help gic plan adopted by Knight trustees in
attends a board meeting of a local communities boost arts participa- late 2000, the foundation’s fundamental
funders’ association at mid-after- tion and ensure the positive devel- approach to grant making is being dra-
noon. Her orientation session with opment of adolescents. matically reshaped, one typical Valen-
➢ And for each member of the
▲
the Miami advisory committee is tine’s Day at a time.
A mural on Chestnut Avenue has a multicultural theme. One-third of the 44,763 residents of 90806 in Long Beach received public assistance in 1998.
2001 ANNUAL REPORT 9

12. A COMMUNITY’S PERSPECTIVE
Daniel Melena plays outside an apartment on Chestnut Avenue. 90806 has the city’s highest percentage of female-led, single-parent households.
It is these twin characteristics – high needs effective and affordable child care while the school readiness as its priority.
combined with community resources – that parents are in class or working – and that’s “The most important time in a person’s life
led Knight’s Community Advisory Committee where the Long Beach advisory committee is ages 0 to 5,” said Dr. Sue Stanley, chair of
to zero in on 90806 as a densely populated, decided to step in. the Department of Family and Consumer
diverse and well-defined community with Building on Knight Foundation’s emphasis Sciences at Cal State University, Long Beach.
great opportunities. on outcomes, the committee felt “it would “It is extremely important that children are
As an example of the needs and resources make sense to pick one area of extraordinary exposed to developmentally appropriate activ-
in 90806, a workforce development initiative need and focus on that,” said Larry Allison, ities” at this early age.
has brought together several funding organi- editor of the Long Beach Press-Telegram and a Based on the committee’s recommenda-
zations – including Knight Foundation – and member of the advisory committee. The idea tions, Knight’s initial efforts in 90806 are like-
nonprofit agencies to improve residents’ eco- is that by focusing on a specific need in a ly to include outreach to help home child-care
nomic prospects in the ZIP code. The initia- well-defined geographic area, the committee providers include more learning activities for
tive, building on welfare-to-work activities, will be better able to monitor the outcomes of the infants and toddlers under their care; test-
provides low-income residents, most of its efforts over time. Given the specific needs ing whether stipends and other incentives can
whom are single mothers who do not speak of the residents in 90806, the gaps in funding keep child-care professionals in the field; and
English, with workforce training, English there currently, and recent research showing helping parents not fluent in English learn how
classes, literacy skills and employment expe- the correlation of early childhood education to to engage their children in literacy activities.
rience. But one piece that has been missing is later success, the committee centered on “The thinking is that if you can get young-
10 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
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13. COMMUNITY PARTNERS
We believe our best chance to suc- prospective funding partners, research viable choice.”
ceed is by supporting Knight commu- ing local conditions, and developing The committees are recommending
nities over the long haul as they work to grant proposals with them. Collective- funding priorities. Before the end of
meet and measure their own definitions ly, the committees and staff and part- 2002, each advisory committee and its
of community vitality. Our funding ners are inventing a way of operating as assigned liaison will have had at least
interests remain closely tied to our a local funder unlike any national foun- one discussion of community priori-
founders’ beliefs that our communities dation in America. ties, concentrating on just a few highly
all have a stake in education, the well- While we expect the full rollout to specific needs and how Knight and our
being of children and families, housing take three years, the Community Part- eventual partners, the grant recipients,
and community development, eco- ners Program is well along in imple- can take multiple approaches to address-
nomic development, the vitality of cul- menting the trustees’ vision. ing them. Updates on priorities are avail-
tural life, and civic engagement and We’ve created Community Advisory able at www.knightfdn.org.
positive human relations. Committees. From Philadelphia to San The discussions lead to fascinating
Knight trustees intend to invest at Jose, we have established local commit- directions. Take State College, located
least $300 million in the 26 Knight tees, each made up of community, busi- in Happy Valley, home of Penn State
communities through 2005. Part of that ness and nonprofit leaders well aware of University and its steady supply of
investment is human capital. We have local conditions and the need to set pri- intellect, employment, culture and
dedicated eight liaison officers to work orities. services. “We have an embarrassment of
in the 26 Knight communities. Residents One example: Bill Barnes, the retired riches,” admits Bill Jaffe, a retired man-
may see them speak at the Rotary Club, executive dean of Long Beach City agement consultant. Meeting in the
meet them at the local diner, get a call College, grew up in the Central Long pre-9/11 world of Sept. 6, committee
from them as part of local research. Beach neighborhood where Knight is members agree theirs is an above-aver-
Each liaison is an on-the-ground repre- concentrating its efforts in school readi- age place; identifying a consensus com-
sentative of the foundation, working ness (see page 6). “We’ve got to make it munity priority isn’t obvious.
▲
closely with our committees, identifying work,” he says. “We don’t have any other Yet the discussion takes an impor-
sters ready for school then they have a much
better chance to negotiate the system,” said
Barnes, who suggested that there’s also more
at stake than schooling: “Education has
always been the key to freedom and equality.”
These projects are just under way, but the
findings may prove useful to diverse commu-
nities beyond 90806. Central Long Beach,
Barnes said, has “four major ethnic groups:
Latino-American, Asian-American, blacks,
and whites. We’ve got to make it work. We
don’t have any other viable choice.” ★
Raul Olvera’s costume and pizza box attract passersby to the Long Beach outlet of La Pizza Loca, a
chain catering to Hispanics. In 90806, 44 percent of residents are Hispanic.
2001 ANNUAL REPORT 11

14. A PARTNER’S PERSPECTIVE
What’s Different About This Process?
tion, the communities it serves, its potential
partners and prospective grantees.
I’m happy to live in Charlotte. According to
the 2000 census, our fast-growing region is
home to nearly 84,000 children under age 6.
As the most populous county in the region,
Mecklenburg is home to slightly more than 72
percent of them. Mecklenburg also faces the
challenge of being home to more poor children
than any other county in North Carolina.
At state and local levels, we’ve seen sig-
nificant public and private resources focused
on maximizing the window of opportunity in
children’s earliest years, from birth to 5, to pre-
pare them for success in school and in life.
The state’s Smart Start school readiness initia-
tive and Charlotte-Mecklenburg Schools’ Bright
Beginnings program for educationally at-risk
4-year-old children are heralded nationally.
Major community funders and the local cham-
ber of commerce are investing in early child-
hood initiatives. Despite this unprecedented
support, the region still faces enormous chal-
lenges in ensuring the quality of learning for
young children. It was welcome news, then,
to learn from Susan that Knight Foundation’s
Community Advisory Committee in Charlotte
had identified school readiness as one of its
local priorities.
A few weeks later, Susan came to my
office to listen to my perspectives on the
topic. I shared my concern that the child-care
system, which serves children from birth
throughout their most critical brain develop-
ment years, remains severely underfinanced
at the same time public pre-kindergarten pro-
grams for that age group are attracting signif-
icant national, state and local investments.
Unlike the public funding that supports school
Child-care teacher Hermelinda Byron and center director Ruth Slim, back row, join Janet Singerman of systems, the child-care system’s financing is
Child Care Resources, right, on the steps of a downtown Charlotte day care. With them are preschool-
largely determined by what parents of young
ers Billy Pickens, rear center; Adrian Cruz-Cordero, foreground; and Sona Suryedevara.
children can afford. These parents are typical-
ly in their earliest earning years during their
Janet Singerman is president of Child Care Although I knew something of the founda- children’s earliest learning years. Their ability
Resources Inc., an agency that has worked for tion’s work in Charlotte and our agency had to pay rarely meets the cost of producing the
nearly 20 years to improve the quality of early received a grant several years ago, I had not high quality child care that research has
care and education resources for children and met Susan and didn’t quite understand her repeatedly shown positively affects children’s
families in Mecklenburg, Union and Cabarrus new role as a community liaison. school readiness.
counties in North Carolina. Although I’ve crafted proposals that Soon after our meeting, Susan called and
secured multimillion-dollar funding commit- asked me to outline briefly a few promising
It all began with an unexpected phone call ments, I had never experienced a program strategies to improve the school readiness of
in October from Susan Patterson of Knight that raises to such high levels the concept and children in child-care settings. Although I did
Foundation’s Community Partners Program. practice of partnering – among the founda- not know it at the time, the call was the point
12 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
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15. COMMUNITY PARTNERS
tant turn when members try to identify We’re finding partners and devel- not encountered a funder so willing to
the root causes of community need. oping grants. In the dozen or so Knight listen.
Nonprofit executive Katherine Genovese communities where priorities had been “I had never experienced a program
cites a litany of related social ills that established as 2002 began, we are en- that raises to such high levels the con-
service providers treat: inadequate edu- gaged in grant development. That means cept and practice of partnering – among
cation, the risk of pregnancy, drug and we’re determining the area in which com- the foundation, the communities it
alcohol abuse, low expectations. It munities believe the foundation can serves, its potential partners and pros-
seems the people with the greatest make the most difference, setting meas- pective grantees,” she writes (see facing
needs for such services are Centre urable goals that allow our partners to page).
County’s educated but underemployed track progress, drawing on examples of We’re monitoring and participat-
residents living “over the mountain” – tested and promising practices, assessing ing in the first partnerships formed in
away from town and campus, unaware the ability of communities to launch and the Partners program. In five commu-
of available services or unwilling to use sustain programs, and building in feed- nities – Long Beach, Charlotte, Grand
them. “They’re off the radar screen,” back and monitoring systems that help Forks, Milledgeville and Fort Wayne –
says Jaffe. The committee recommends our partners get the evidence they need projects funded in December 2001 are
researching ways to stabilize these at- to mark success and make adjustments under way. They address a range of issues
risk, underemployed families, with an when things get off track. associated with Knight funding interests,
emphasis on a better future for children Until Janet Singerman of Child Care among them school readiness in Long
who otherwise might never emerge Resources started talking to liaison Beach, Fort Wayne and Charlotte; im-
from what committee member Chuck Susan Patterson about the early child- proved cultural opportunities for the un-
▲
Curley calls “the hidden population.” hood situation in Charlotte, she had derserved in Fort Wayne; economic
at which the partnering between the founda- ing majority of programs in Mecklenburg don’t
tion and Child Care Resources really began. use one. Through Curriculum Matters, our Par
kwo
od
Av e
As I shared my organization’s ideas for strate- newest Knight-funded initiative, we’ll select .
77
Downtown
gic school readiness investment, the founda- 10 child-care programs to use a promising, Charlotte, N.C.
tion’s staff worked with us to whittle down developmentally appropriate curriculum for Ericsson
Stadium
the list. We soon reached consensus about the next five years. You see, while other fac-
South End
our most promising and affordable strategy tors that contribute to quality programs are
St.
and from that point on, Knight staff asked the governed by cost and regulation, a child-care on 277
Tr y
4t
tough questions that helped us craft a propos- program’s willingness to stick to a curriculum h
St
★ .
al that would gain the foundation’s support. and engage families is a matter of choice and
Child Care Resources
So often, due to the competitive nature of intent. We’ll measure rigorously to note if cur-
e.
700 Kenilworth Ave.
Av
th
grant awards, it’s rare to have extensive dia- riculum makes a difference for those who
or
lw
Carolinas
ni
logue with a prospective funder while working haven’t used one. Medical Center
Ke
on a final grant submission. The grant-seeker What is particularly exciting about part-
is typically held at arm’s length so as not to nering with Knight Foundation is its commit-
influence the funder’s decision. What’s differ- ment to fund both the improvement of local
ent about this process? Once the local Knight practice and the collection of evaluative data
committee expressed its support for our con- to help inform local and state policy develop-
cept, the conversation between the founda- ment.
tion and Child Care Resources enabled us to Here’s one final piece of evidence to
work “in the light” in a mutually beneficial demonstrate how differently Knight approach-
manner. es grant making: It was actually the founda-
And what did we create together? tion’s idea to extend the project’s time frame
Something to confront this distressing fact: from three to five years to ensure its success
Despite research that proves sticking to a in terms of practice, evaluation and ability to
inform public policy. ★
good curriculum is one of several factors play-
ing into high quality child care, an overwhelm-
2001 ANNUAL REPORT 13

16. AN ADVISER’S PERSPECTIVE
‘Not Enough Heads for All the Hats‘
With the Sorlie Bridge linking Grand Forks, N.D., and East Grand Forks, Minn., in the background, Knight Trustee Mike Maidenberg is flanked by Community
Advisory Committee members Sheila Gerszewski of Grand Forks and Dr. Steve Gander of East Grand Forks.
Michael Maidenberg is president and publisher nities on the Northern Plains, we are faced
important media voice and as an individual
of the Grand Forks Herald, and a Knight with stagnating population, caused mainly by
deeply involved in civic causes.
Foundation trustee. out-migration. But unlike other places, the
To be sure, this multiplicity of roles gave
Grand Cities feel the lingering impact of the
me unusual perspective on how Knight
When a key finding was described as “Not 1997 flood and fire, and the 1998 downsizing
Foundation’s new strategy might play out in
enough heads for all the hats,” I could only of Grand Forks Air Force Base. In pinpointing
the “Grand Cities” of Grand Forks, N.D., and
smile in agreement. It was June 7, 2001, and a this goal, the advisory committee had argued
East Grand Forks, Minn., along with their sur-
remarkable initiative was coming together. that only by increasing incomes would the
rounding regions.
While many in the room wore multiple hats, community be able to increase its population
But the challenge was to move from per-
mine were unique to the occasion. base in an economically positive way that
spective to projects worthy of funding. That
As a trustee of Knight Foundation, I had a also improved our quality of life.
required listening closely to community lead-
hand in crafting and approving our new Economic development is addressed by
ers, applying expert insight to the findings,
Community Partners Program strategy. As the many local organizations. How could Knight
then seeking out those organizations that
adviser in Grand Forks, I would help translate Foundation contribute?
could bring the energy and focus needed to
this new way of doing things to a new To find the answer required three crucial
create grants aimed at the overarching goals
Community Advisory Committee, which I actions:
we had set for ourselves.
would chair. As longtime publisher of the First, the foundation needed to work with
The foundation’s top priority for the Grand
Grand Forks Herald, I have a role within the the local economic development corporation,
Cities is economic development, defined as
Grand Forks region as leader of its most or EDC. The Grand Forks Region EDC was
increasing family income. Like most commu-
14 JOHN S. JA M E S L . K N I G H T F O U N DAT I O N
AND