Hometown Program Funding Guidelines

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Why we care about this topic

Target is proud to have called the Twin Cities our home since its founding more than 100 years ago. Our commitment to our hometown region continues to be a signature legacy of the Target Foundation.

The Minneapolis-St. Paul region is home to more than three million people. The region’s assets include the natural beauty of its parks, woods and lakes; a deep, vibrant and robust history of craft, visual arts, music and theater; numerous longstanding international anchor corporations and widespread and increasing racial, ethnic and cultural diversity.

There are many communities who continue to be at an economic disadvantage despite of our region’s thriving job market and strong economy.

Similar patterns can be found across the nation — rising income inequality and persistent racial gaps in health, education, employment, income and wealth preventing all people from realizing their full economic potential. As the demographics of our region continue to shift, the costs of inequality will grow.

However, the Twin Cities not only mirrors what is happening throughout the United States, but in several key areas, our hometown actually fares worse. Recent statistics on home ownership, income inequality, wages, and educational attainment all paint a picture of glaring disparities that could impact the region’s long-term success.

Equalizing economic opportunities for communities of color is not just important for these families and communities but also critical to a vibrant and growing economy, which ultimately benefits all.

Compelled by this data, Target Foundation recognizes that everyone’s future depends on overcoming inequalities and has made racial equity the cornerstone of its hometown program. 


 

Our desired outcome

In our hometown program area, the Target Foundation envisions racial equity that enables shared prosperity and opportunity for all. To achieve this vision, the Foundation believes that our hometown region needs:

  • A strong frontline of Black, Indigenous, and people of color-led direct service organizations that are well-resourced, connected and able to serve the most marginalized communities, lifting them out of poverty and into economic vitality.
  • Well-coordinated and well-resourced multi-sector networks, coalitions and alliances that are catalyzing economic development in the Twin Cities’ poorest neighborhoods, while displacing no one and leaving no one behind.

Who do we want to impact?

  • Black communities, indigenous communities and other communities of color.
  • Historically disinvested communities.
  • Individuals with low income.

 

Key considerations & eligibility

 

Organizations focused on systemic, social change must be empowered to deliver — over a prolonged period of time — meaningful, measurable and financially sustainable results for the people or missions they exist to serve.

To achieve this, the Foundation will prioritize support for organizations engaged in the following kinds of efforts:

  1. Strengthen networks, coalitions and movements.

Driven by the understanding that social change is complex and is not solely in the purview of the nonprofit sector or the mission of a single organization, collaborative networks of organizations within a field as well as across sectors that are aligned around a common agenda are an important condition of success.

  1. Pursue systems change through advocacy, policy and communications.

Given the scale of challenges relative to any foundation’s resources, efforts to effect social change need to address policies at the local, state and federal levels that will inevitably affect the region.  This requires reliable data, effective messaging, engaged and empowered residents, and strong advocates. 

Eligibility

To be considered eligible for support, applicants must be registered U.S.-based 501(c)(3) nonprofit organizations in good standing.

Grants are made only to organizations based in Minnesota, with priority given to organizations based in the Twin Cities seven-county metro area.

In addition, to extend the reach of the Foundation’s work, we will prioritize organizations with annual budgets less than $5 million.

Estimated grant size will range from $25,000-$200,000.


 

Exclusions

The Foundation does not support:

  • Grants to individuals.
  • Religious organizations for religious purposes.
  • Sponsorships or fundraising events.
  • Direct political lobbying.
  • Endowments or capital requests.
  • Government entities.

 

Funding priorities

The Target Foundation looks to strengthen nonprofit organizations that address the specific systemic and structural barriers facing communities of color in the Twin Cities metro area. The Foundation will concentrate its investment in making grants in four priority areas:

Entrepreneurship and Small Business: The Foundation supports Black, Indigenous and other entrepreneurs of color and small businesses through investments that address current ecosystem gaps, drive inclusive practices and create access to knowledge, services, networks and capital for entrepreneurs at all stages.

Examples include:

  • Training and technical assistance.
  • Financial services/loans/grants.
  • Network building.

Workforce Development: The Foundation supports employment and technical training opportunities for the unemployed and underemployed to ensure the workforce development system operates effectively and connects job seekers and workers with the skills they need to secure job placement and succeed long-term.

Examples include:

  • Career pathways.
  • Job training and skills development.  

Housing: The Foundation supports efforts that increase housing availability, stability and access — creating pathways to greater opportunity.

Examples include:

  • Affordable housing.
  • Fair and just housing (eviction prevention, tenant rights).
  • Sustainable homeownership.

Asset Building: The Foundation supports organizations that improve the asset-building opportunities available to historically disinvested communities, especially those that are engaged in work to increase financial inclusion, wealth-building and overall financial health.

Examples include:

  • Financial education.
  • Financial supports and services.

 


 

Application process overview and preview

Funding is available for general operating grants. Additionally, multi-year grants will be considered for BIPOC-led organizations and/or organizations with a budget under $5 million impacting predominantly BIPOC communities.

The application will open online Monday, May 2 and will close Friday, June 3 at 11:59 p.m. CDT

Applications will be evaluated over the summer and funding decisions will be made by late September 2022. The grant period for this opportunity will begin once the Target Foundation communicates an award decision and will be available for one year for single-year grants and two years for multi-year grants. 

We encourage you to preview our application questions below, as they are intended to help prospective applicants prepare to apply for a Target Foundation racial equity grant in advance of the application deadline. The format of the application will differ in the online portal. (Note this page is optimized for printing.)

Apply for a Target Foundation Racial Equity Grant 

Organization information

  • Provide a brief description of your organization's history.  
  • Which populations and/or communities are priorities for your work and how do you engage them in planning and decision-making? 
  • List significant partnerships, stakeholders or cross sector collaborations (excluding funders) which help you deliver your mission. 
  • Provide a brief description of your organization, programs and activities.  
  • What strategies are you currently using in support of the work of your organization? (Select up to three)  
    • Financial education 
    • Financial services and supports 
    • Business real estate access 
    • Financial services and grants 
    • Managerial trainings, support materials and technical assistance 
    • Network building 
    • Affordable housing 
    • Fair housing 
    • Supportive housing (permanent and transitional) 
    • Sustainable homeownership 
    • Work experience 
    • Career pathways/technical skills and credentialing 
    • Soft/professional/executive function/SEL skills/mental health 
    • Support/mentoring 
    • Resource connections 
    • Other 
  • Briefly describe the systemic challenges and barriers your organization works to address. 
  • Does your organization actively advocate for changes to public policy? If so, list the policy changes you seek and describe the nature of your advocacy. 
  • How does your organization's work advance racial equity? 
  • Fiscal year end date. 
  • Total organization budget (current year). 
  • List your Top 3 funders and the amount of each grant. 
  • If different than above, list your Top 3 Corporate funders and the amount of each grant.  
  • List your previous year income and revenue. 
  • List your previous year expenses. 
  • Do you have any Target team members serving on your board? List Target board members. 
  • Include first name, middle initial and last name of non-Target board members. 
  • Are any of your board members, or members of their family currently serving as an elected official? List the name, status and agency by which the board member or one of their family members is serving. 

Request details

In 2022, the Foundation will concentrate investments in making general operating grants in four priority areas: asset building; entrepreneurship and small business; housing and workforce development. 

*BIPOC-led organizations and/or organizations with a budget size of $5 million and under serving predominantly BIPOC communities can apply for a multi-year grant. 

  • Request amount.  
  • Is this a multi-year request? 
  • How will this grant contribute to advancing your organization's mission, goals and the work you are doing to address inequity in the systems your work impacts? 
  • Which United Nations Sustainable Development Goals (UNSDGs) most closely align with this request? (checkbox list)
    • 1: No poverty 
    • 2: Zero hunger 
    • 3: Good health and well-being 
    • 4: Quality education 
    • 5: Gender equality 
    • 6: Clean water and sanitation 
    • 7: Affordable and clean energy 
    • 8: Decent work and economic growth 
    • 9: Industry, innovation and infrastructure 
    • 10: Reduced inequalities 
    • 11: Sustainable cities and communities 
    • 12: Responsible consumption and production 
    • 13: Climate action 
    • 14: Life below water 
    • 15: Life on land 
    • 16: Peace, justice and strong institutions 
    • 17: Partnerships for the goals 
    • N/A 

Monitoring, evaluation and learning (MEL) 

Responses to MEL questions will not impact grant decisions. They serve only as a way for Target Foundation to further understand grantee needs. 

  • Describe your approach to evaluation and learning and how you apply your learnings to future decision-making. 
  • What are the most important indicators of progress or outcomes for your organization? 
  • Of the most important indicators you are able to track, what were your most recent reported results? Please limit to 5 results. 
  • Of the indicators you are unable to track, what are the barriers to tracking? 

Demographics  

If able, please quantify the demographic breakdown of your beneficiaries and organization. If your operating model does not enable this level of detail, please select Unknown/NA. 

  • How many people do you anticipate will be served by your organization? Enter one whole number only. If you are unsure, enter 0. 
  • Population served (checkbox list). A program should have at least 50% of its design/resources focused on that population to be selected. 
    • Active military 
    • Blind/vision impaired 
    • Deaf/hearing impaired 
    • Developmentally disabled 
    • Immigrants/newcomers/refugees 
    • Lesbian, Gay, Bisexual, Transgender, Queer (or questioning), Intersex, and Asexual (LGBTQIA) 
    • Physically impaired 
    • Veterans 
    • Other 
  • Provide an estimated percentage of the population served by your organization for each category. Your selections must total 100%.  
    • Asian 
    • Black or African American 
    • Hispanic or Latino 
    • Indigenous or Native American 
    • Middle Eastern or North African 
    • Native Hawaiian or Other Pacific Islander 
    • White or Caucasian 
    • More than one race/ethnicity 
    • Other 
    • Unknown 
  • Indicate your best estimate of the percentage of those served by your organization for each gender listed below. Your selections must total 100%. 
    • Female 
    • Male 
    • Non-binary/Non-conforming 
    • Transgender 
    • Other 
    • Unknown/NA 
    • Prefer not to report 
  • What percent of the organization's staff self-identifies with the community your organization seeks to serve? 
  • Provide an estimated percentage of leadership team members for each category. Your selections must total 100%. 
    • Asian  
    • Black or African American 
    • Hispanic or Latino 
    • Indigenous or Native American 
    • Middle Eastern or North African  
    • Native Hawaiian or Other Pacific Islander 
    • White or Caucasian 
    • More than one race/ethnicity 
    • Other 
    • Unknown/NA 
  • Provide an estimated percentage of staff members for each category. Your selections must total 100%. 
    • Asian  
    • Black or African American 
    • Hispanic or Latino 
    • Indigenous or Native American 
    • Middle Eastern or North African  
    • Native Hawaiian or Other Pacific Islander 
    • White or Caucasian 
    • More than one race/ethnicity 
    • Other 
    • Unknown/NA 
  • Provide an estimated percentage of board members for each category. Your selections must total 100%. 
    • Asian  
    • Black or African American 
    • Hispanic or Latino 
    • Indigenous or Native American 
    • Middle Eastern or North African  
    • Native Hawaiian or Other Pacific Islander 
    • White or Caucasian 
    • More than one race/ethnicity 
    • Other 
    • Unknown/NA
  • Indicate the percent of those served by your organization that are economically disadvantaged. 
  • Briefly explain how your organization measures the economically disadvantaged. (Ex: Income below poverty level)

 

Glossary of terms

Capacity building: An investment in the effectiveness and future sustainability of a nonprofit. It strengthens a nonprofit’s ability to fulfill its mission over time, thereby enhancing the nonprofit’s ability to have a positive impact on lives and communities.

Equity: Ensuring fair treatment, equality of opportunity and fairness in access to information and resources for all.

Structural barriers: Systems, such as institutions, in which policies, institutional practices, and other norms work to reinforce and perpetuate a lack of access to equal opportunity.  

Systemic barriers: Policies, practices or procedures that result in some people lacking access to equal opportunity.

Systems change: An approach that describes addressing the root cause of social problems, which are often intractable and embedded in networks of cause and effect. It is an intentional process designed to fundamentally alter the components and structures that cause the system to behave in a certain way.