theOn March 17, the National Council of Nonprofits (NCN) hosted a webinar titled The Legal Landscape and Path Ahead for Nonprofits and Philanthropy. The event featured attorneys, nonprofit leaders, and philanthropists from organizations such as the Lawyers’ Committee for Civil Rights Under Law, Democracy Forward, the Robin Hood Foundation, and the David and Lucile Packard Foundation. (You can view the full webinar recording here.)
Three key insights from the panelists stood out as valuable guidance for local nonprofit leaders navigating the current, unstable landscape of government funding.
“The real question is about how we keep people in communities thriving.” – Skye Perryman, President and CEO of Democracy Forward
Texas-born attorney Skye Perryman emphasized that we are in an “unprecedented moment” where threats to charitable nonprofits– if left unchallenged – could negatively affect individuals across all backgrounds, socioeconomic statuses, and zip codes. To counteract the risks to civil society, panelists stressed the importance of educating board members, supporters, clients, and elected officials about the crucial role federal funding has in sustaining nonprofits to address community needs that government and for-profits cannot or will not serve directly. NCN provides a sample script for contacting members of Congress, available in the webinar slides.Expect “continued scrutiny on diversity, equity, inclusion and belonging programs.” – Skye Perryman, Democracy Forward
Both Perryman and fellow panelist Damon Hewitt, President and Executive Director of the Lawyers’ Committee for Civil Rights Under Law, highlighted increasing efforts to dismantle federal agencies that fund nonprofits with programmatic or operational goals related to increasing diversity, equity, inclusion and belonging. While Perryman anticipates legal challenges to these funding cuts, panelists acknowledged that the current rhetoric has already caused some nonprofit leaders to scale back programs that might be labeled “DEI.” Hewitt encouraged nonprofit and philanthropic leaders to take proactive steps to protect these programs and DEIB initiatives. For example, gather and share evidence that demonstrates the tangible benefits of the programs for communities, including social returns on investments, in addition to the direct beneficiaries. (Related guidance for nonprofits and philanthropy from The Lawyers’ Committee’s is available here.“Consider being as transparent as possible with your funders about your needs. Clear and trust-based communications will ensure timely support.” – Jean K. Ries, Civil Society and Leadership Program Officer, The David and Lucile Packard Foundation
Private foundations and philanthropic individuals want to understand the challenges nonprofits are facing. What impact will federal funding cuts have on your ability to serve your clients and the community? What would happen if your organization ceased to exist? Why should funders invest in your organization’s resilience?
Jean K. Ries emphasized that while consistent private philanthropic support is necessary during these unprecedented times, “There is not enough money in the family foundation universe to make up for federal funding cuts.” We need philanthropic leaders to also advocate for federal funding for nonprofits. Arm philanthropic leaders and other donors with compelling data and stories that illustrate your organization’s impact and ask them to speak up for your nonprofit and others through calls and visits with their legislators. Because philanthropic leaders excel as conveners of community leaders, their voices are essential in collective action to protect the nonprofit sector.
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The National Council of Nonprofits provides ongoing updates on government funding policies and many other factors affecting nonprofits. Leaders can stay informed through NCN’s website and free weekly and monthly newsletters.
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