Foundations, trusts and funds in near mine closure and post-closure environments: A case from Bolivia

In the past three decades, an increasing number of mining and resources companies around the world have established community funds, trusts and foundations (FTFs) to comply with government legislation or as part of their social or philanthropic programs. The growth of FGFs follows corporate social responsibility trends within the resources sector to improve the way in which economic benefits are distributed among stakeholders. Benefit sharing mechanisms such as FTFs offer strategic channels by which companies can mobilise resources to mine-affected communities. FTFs vary in structure, approach and aims, with the more participatory models relying on community input into the decision making process and the implementation of community development projects (CSRM, 2009). The success or otherwise of FTFs is well documented in academic and industry circles. The degree of success of FTFs varies depending on factors such as company support and community approval. However, as most of the research occurs during the operational phase, it does not seem to be appropriate to comment on their long-term success, except where they may already have failed in the short term. This approach does little to expand our understanding of FTF community empowerment and self-reliance in post-closure environments. In other words, from the perspectives of community development and mine closure planning there is a case for documenting and evaluating FTFs operating at a time when company funds are no longer accessible and when management of the FTF requires considerable input from the community it was meant to serve. This paper provides baseline results from research undertaken in the Inti Raymi Foundation in Bolivia. It analyses the community engagement practices and the programs used by both the foundation and its parent company, Empresa Inti Raymi S. A.to facilitate the process of closure.