The Headwaters Foundation for Justice is a Minneapolis-based left-of-center grantmaking organization formed in 1985. The organization makes grants to support left-of-center activism on behalf of African-American and Native American communities in Minnesota. 1
The organization has moved towards funding anti-police and anti-law enforcement organizations since the death of George Floyd in 2020 which sparked Black Lives Matter-aligned demonstrations and riots that same year. Headwaters Foundation for Justice has dispersed over $10 million to such organizations across Minnesota. 23
In 2025, Headwaters Foundation for Justice partnered with the Trust Based Philanthropy Project through its “Meet the moment” initiative. This initiative seeks to bring its supporters together “in solidarity with nonprofits.” The group claims that the political climate could pose risks to nonprofits through reductions in funding, legal concerns, and lack of staff. 4
Background
Initially, money for the organization was raised form the friends and networks of a small group of Minnesota donors. As recently as 2014, most donations came from a small group of wealthy donors whom the group described as “white upper-middle-class and high-net-worth baby boomers”. Since then, Headwaters Foundation for Justice President Maria De La Cruz changed sources of funding to focus on acquiring donors based on race, sexual identity, and income level. This focus can be seen in the establishment of new programs such as the Emergency Fund for Black Lives in 2015. 25
Racial Ideology
Headwater Foundation for Justice claims to work for “black liberation” and “native sovereignty,” claiming the United States is founded on a violent history against black and “indigenous” people. 6
The foundation published an article in July 2020 asserting that “non-black people of color” benefit from the vilification of black people. The group also asserts that everyone is raised with inherently racist attitudes. 7
Grantmaking Programs
New Majority Fund
Headwaters Foundation created the New Majority Fund as a fund for “communities of color” requiring at least 50% of grant recipients to be “people of color.” 8
The Transformation Fund was created to respond to the death of George Floyd in 2020 and to claims of “white supremacy in our society’s systems and institutions.” The fund raised $1.1 million that year to help African American-owned businesses. After the death of George Floyd, the group took the framework of race-based donations and worked with two donors who put forward $2 million in seed money with the goal of making $2.1 million in grants 11
The organization has asserted that riots that ensued in the wake of George Floyd’s death in May 2020 were “peaceful protests” and asserted without evidence that “far-right militias” and “anti-government extremists” were responsible for actions related to rioting; including setting fires, looting, and “massive destruction.” 11
Activities
Anti-ICE Funding in Minneapolis
In January 2026, amid protests by left-of-center activists in Minneapolis, Minnesota against immigration-enforcement policies of the second Trump administration and actions by the U.S. Immigration and Customs Enforcement (ICE), a Headwaters Foundation spokesperson told Inside Philanthropy that the Foundation was providing substantial funds to protest groups. Inside Philanthropy detailed that Headwaters, through its Rapid Resource Fund, was funding 16 organizations “providing a wide spectrum of support to immigration communities” throughout Minnesota since December 2025. These recipients reportedly included community legal observers, hotline operators working to alert illegal immigrants about ICE activities, legal service groups, and mutual aid providers. 12
As of January 28, 2026, Headwaters claimed to have spent $225,000 since the start of its fiscal year in October 2025, and had reportedly received over $5 million in requests from more than 100 immigration groups and supporting nonprofit groups. As of February 2026, Headwaters indicated that its Rapid Resource Fund intended to spend approximately $600,000 before the end of the fiscal year. 1213
In 2024, the Headwaters Foundation for Justice reported revenues of $5,282,846, expenses of $7,851,691, and net assets of $14,066,956. 15
Funding
The Bush Foundation, a left-of-center institutional grant maker in Minnesota, had donated $4.6 million to Headwaters Foundation for Justice from 1998 to 2020. 16
In 2020, George Soros’sFoundation to Promote Open Society donated $300,000 to Headwaters “to support fellowships and network-building tailored to strengthen the work of the racial justice movement ecosystem in Minneapolis.” 23
To operate two grant programs with the purpose of inspiring and supporting creative problem-solving across Minnesota and the Native nations that share that geography.
General support to amplify the power of community to advance equity and justice, and core support for the Black Seed Fellowship to deepen and strengthen networked leadership
Headwaters Foundation for Justice (Headwaters) respectfully requests a two-year grant of $500,000 from the Northwest Area Foundation. An award from NWAF will support grassroots organizations and leaders in Minnesota that work for social, racial, economic, and environmental justice. Specifically, funding would focus on Indigenous, Black and ecosystem-building grantmaking through Headwaters' Fund of the Sacred Circle, Black Movement Ecosystem and Wellspring Fund.
for general operating support – Headwaters is a community foundation that supports grassroots organizations and movements led by and for BIPOC communities in Minnesota, with a focus on strengthening democratic participation and advancing racial justice.
The Bush Prize celebrates organizations who are extraordinary not only in what they do but in how they do it. It provides creative capital to organizations that are making great things happen throughout our region. The 2023 Bush Prize: Minnesota winners are Ayada Leads, New Native Theater, Our Justice and Restaurant Opportunities Center- MN ? four organizations that are highly valued within their communities and have a track record of successful community problem solving. Three other organizations, Mni Sota Fund, InquilinXs UnidXs Por Justicia, and Asian Economic Development Association, were selected as Bush Prize finalists and will receive a $10,000 award. All Minnesota winners and finalists were identified and selected by a community selection panel through a partnership with our community grant partner, Headwaters Foundation for Justice.
Headwaters Foundation seeks a grant for $400,000 from the Northwest Area Foundation to support The Transformation Fund and staffing and operating expenses. COVID-19 and the murder of George Floyd have spurred an increased call to action for solutions to address systemic racism in society's institutions. Building off of the rapid response grants made through the Communities First Fund (CFF) and the first phase of The Transformation Fund (TTF), the next phase of grantmaking through TTF will focus on multi-year grants to support organizations addressing racism and white supremacy in our state through community organizing. To meet the new demands that the uprising and the coronavirus create, HFJ will expand our staff and operations.
To support the Transformation Fund, a $5 million effort aimed at investing in Black people, Indigenous people, and people of color-led organizations addressing the root causes of racism through organizing and advocacy
BLVC will be the main conveners of the black seed project providing logistical and administrative support, as well, as helping to lead program/strategy development and implementation.
Acer will develop a cohort of low wealth tenant leaders to take a deep dive into understanding the history of systemic housing injustice issues and tenants rights. Acer staff will help tenants develop a clear understanding of systemic oppression in housi
6. “The Transformation Fund: Rapid Response Grantmaking Continues.” Headwaters Foundation for Justice. July 15, 2020. Accessed September 1, 2020. https://headwatersfoundation.org/ttf/
21. Surdna Foundation, Return of a Private Foundation (Form 990-PF), 2017, Part XV Line 3 https://projects.propublica.org/nonprofits/organizations/136108163/201921339349103542/IRS990PF
23. Return of Organization Exempt from Income Tax (Form 990-PF). Foundation to Promote Open Society. 2020. Part XV, 3 – Grants and Contributions Paid During the Year or Approved for Future Payment.