Activism

Nonprofit Coalition Requests Attorney General Action to Protect OpenAI’s Charitable Assets

The coalition’s letter to Attorney General Bonta outlines detailed concerns regarding OpenAI’s compliance with laws governing nonprofit assets and urges the Attorney General to initiate a robust investigation into OpenAI’s past and planned operations. The coalition argues that allowing OpenAI to proceed with its restructuring without appropriate safeguards would result in significant private gain at the public’s expense.

Published

1 year ago

February 1, 2025

Oakland Post

Fred Blackwell is the president and CEO of the San Francisco Foundation and a member of the coalition calling for controls over OpenAI’s transition to a for-profit entity. Courtesy photo.

Special to The Post

The San Francisco Foundation and Latino Prosperity, along with a coalition of California-based foundations and nonprofit organizations, formally requested Attorney General Rob Bonta take immediate legal action to protect OpenAI’s nonprofit charitable assets.

This request, submitted on Wednesday, is in response to OpenAI’s recently announced plan to restructure its operations into a for-profit entity, which could jeopardize its nonprofit assets — with value estimates at as much as $157 billion — that are intended for public benefit.

According to Wikipedia, “OpenAI is an American artificial intelligence (AI) research organization founded in December 2015 and headquartered in San Francisco, California. Its stated mission is to develop ‘safe and beneficial’ artificial general intelligence (AGI), which it defines as ‘highly autonomous systems that outperform humans at most economically valuable work.’”

Fred Blackwell, coalition member and CEO of San Francisco Foundation, emphasized the importance of maintaining the integrity of charitable assets: “OpenAI’s proposed conversion to a for-profit entity undermines the very foundation of what those assets were intended to support. It is imperative that we ensure these resources remain dedicated to the public good, especially in communities most vulnerable to the systemic inequities and harms associated with AI.”

“Failure to hold OpenAI accountable risks setting a harmful precedent that could jeopardize the integrity and stability of nonprofits, along with the foundational principles that protect charitable assets and their intended purposes,” said Orson Aguilar, CEO of LatinoProsperity and a member of the coalition. “We believe the Attorney General has a responsibility to uphold California’s charitable trust laws and ensure OpenAI follows the law.”

Precedent exists for maintaining the public benefit of nonprofit assets through a for-profit conversion.

In the 1990s, California oversaw multiple successful nonprofit-to-for-profit conversions in the healthcare industry. Of note, Blue Cross of California transferred most of its managed care business to its for-profit subsidiary, WellPoint, in 1993.

Under regulatory pressure, Blue Cross agreed to fund two independent foundations, The California Endowment and The California Healthcare Foundation, with cash and stock valued at over $3 billion. Similarly, when Health Net, one of California’s largest health care and insurance providers, converted from nonprofit to for-profit status, it established the California Wellness Foundation to ensure continued public benefit with $300 million in cash and 80% of the stock of the new for-profit company.

These foundations continue to serve the public good with the assets of the original healthcare nonprofits.

Given the critical legal, ethical, and policy issues at stake with OpenAI’s proposed restructuring, the coalition calls on Bonta to initiate a robust investigation and promptly take all appropriate legal action.

The coalition demands that the Attorney General ensure that OpenAI’s conversion to for-profit operations does not move forward unless all its charitable assets are valued appropriately and reserved for public benefit, as has been the case with past nonprofit conversions in the state.

The coalition is committed to ensuring that technological advancements like artificial intelligence benefit all Californians and that strong oversight of nonprofit organizations is essential to maintain public trust and promote responsible innovation.

About Latino Prosperity

LatinoProsperity is a national nonprofit organization dedicated to closing the Latino wealth gap through national, state, and local advocacy. Our mission is to champion equitable economic policies that create opportunities and economically resilient Latinx communities. Our policy recommendations are based on research informed by experienced academic, community, government, and business leaders, and we are committed to advocating for their adoption and implementation. For more information, please visitwww.latinoprosperity.org

About San Francisco Foundation

The San Francisco Foundation is committed to a Bay Area where everyone can get a good job, live in a safe and affordable home, and exercise their political voice. The foundation advances its work through grantmaking, partnerships with donors, policy advocacy, and impact investing.

The letter was signed by: Fred Blackwell, president and CEO, San Francisco Foundation; Orson Aguilar, president and CEO, LatinoProsperity; Aarti Kohli, executive director, Asian Law Caucus; Mark Philpart, president and CEO, California Black Freedom Fund; Sabrina Smith, CEO, California Calls; Adam Briones, CEO, California Community Builders; Miguel Santana, president and CEO, California Community Foundation; Richard Tate, President and CEO, the California Wellness Foundation; John Kim, President and CEO, Catalyst California; Alex Tom, executive director, Center for Empowered Politics; Natalie Foster, president and founder, Economic Security Project; Cathy Cha, president and CEO, Evelyn and Walter Haas, Jr. Fund; Michelle Vilchez, CEO, Innovate Public Schools; Allison Scott, Ph.D, CEO, Kapor Foundation; Sonja Diaz, co-founder, Latina Futures 2050 Lab; Julián Castro, CEO, Latino Community Foundation; Shane Goldsmith, president and CEO, Liberty Hill Foundation; Mike Kubzansky, CEO, Omidyar Network LLC; Joseph Tomás McKellar, executive director, PICO California; Guillermo Mayer, president and CEO, Public Advocates; Paulina Gonzalez-Britto, CEO, Rise Economy; Cynthia Strathmann, Ph.D., Executive Director, Strategic Actions for a Just Economy; Catherine Bracy, Founder and CEO, TechEquity; Brenda Solorzano, President and CEO, The California Endowment; Don Howard, President and CEO, The James Irvine Foundation; Fred Sotelo, Chairman, Urban Leadership Development Institute; Joanna S. Jackson, President and CEO, Weingart Foundation

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Oakland Post: Week of February 25 – March 3, 2026

The printed Weekly Edition of the Oakland Post: Week of – February 25 – March 3, 2026

Published

4 days ago

March 1, 2026

Oakland Post

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Chase Oakland Community Center Hosts Alley-Oop Accelerator Building Community and Opportunity for Bay Area Entrepreneurs

Over the past three years, the Alley-Oop Accelerator has helped more than 20 Bay Area businesses grow, connect, and gain meaningful exposure. The program combines hands-on training, mentorship, and community-building to help participants navigate the legal, financial, and marketing challenges of small business ownership.

Published

2 weeks ago

February 21, 2026

Oakland Post

Bay Area entrepreneurs attend the Alley-Oop Accelerator, a small business incubation program at Chase Oakland Community Center. Photo by Carla Thomas.

By Carla Thomas

The Golden State Warriors and Chase bank hosted the third annual Alley-Oop Accelerator this month, an empowering eight-week program designed to help Bay Area entrepreneurs bring their visions for business to life.

The initiative kicked off on Feb. 12 at Chase’s Oakland Community Center on Broadway Street, welcoming 15 small business owners who joined a growing network of local innovators working to strengthen the region’s entrepreneurial ecosystem.

At its core, the accelerator is designed to create an ecosystem of collaboration, where local entrepreneurs can learn from one another while accessing the resources of a global financial institution.

“This is our third year in a row working with the Golden State Warriors on the Alley-Oop Accelerator,” said Jaime Garcia, executive director of Chase’s Coaching for Impact team for the West Division. “We’ve already had 20-plus businesses graduate from the program, and we have 15 enrolled this year. The biggest thing about the program is really the community that’s built amongst the business owners — plus the exposure they’re able to get through Chase and the Golden State Warriors.”

According to Garcia, several graduates have gone on to receive vendor contracts with the Warriors and have gained broader recognition through collaborations with JPMorgan Chase.

“A lot of what Chase is trying to do,” Garcia added, “is bring businesses together because what they’ve asked for is an ecosystem, a network where they can connect, grow, and thrive organically.”

This year’s Alley-Oop Accelerator reflects that vision through its comprehensive curriculum and emphasis on practical learning. Participants explore the full spectrum of business essentials including financial management, marketing strategy, and legal compliance, while also preparing for real-world experiences such as pop-up market events.

Each entrepreneur benefits from one-on-one mentoring sessions through Chase’s Coaching for Impact program, which provides complimentary, personalized business consulting.

Garcia described the impact this hands-on approach has had on local small business owners. He recalled one candlemaker, who, after participating in the program, was invited to provide candles as gifts at Chase events.

“We were able to help give that business exposure,” he explained. “But then our team also worked with them on how to access capital to buy inventory and manage operations once those orders started coming in. It’s about preparation. When a hiccup happens, are you ready to handle it?”

The Coaching for Impact initiative, which launched in 2020 in just four cities, has since expanded to 46 nationwide.

“Every business is different,” Garcia said. “That’s why personal coaching matters so much. It’s life-changing.”

Participants in the 2026 program will each receive a $2,500 stipend, funding that Garcia said can make an outsized difference. “It’s amazing what some people can do with just $2,500,” he noted. “It sounds small, but it goes a long way when you have a plan for how to use it.”

For Chase and the Warriors, the Alley-Oop Accelerator represents more than an educational initiative, it’s a pathway to empowerment and economic inclusion. The program continues to foster lasting relationships among the entrepreneurs who, as Garcia put it, “build each other up” through shared growth and opportunity.

“Starting a business is never easy, but with the right support, it becomes possible, and even exhilarating,” said Oscar Lopez, the senior business consultant for Chase in Oakland.