On Tuesday, March 4th, the Community Foundation for Northern Virginia reached out to our 2025 discretionary grant applicants and sent them a Pulse Survey regarding federal funding impacts. Out of the 225 organizations that received the request, 113 completed the survey. Of those that responded, about 53 receive federal funding and 60 do not. For the organizations that DO receive federal funding, the range is 1% to 95% of their overall budget. The key takeaways we learned from those who receive federal funding are that:
- Some nonprofits are currently facing challenges with funding, leading to difficult decisions about staffing and program sustainability.
- 62% of nonprofits in our survey have some reserve funds to continue operations (or “More than one third (38%) of nonprofits do NOT have reserve funds to continue operations without Federal income.” ); however, two thirds of those with reserves would close within the year without some additional support. Many would use reserves to maintain operations but reduce staff and programs/services.
- While some nonprofits have not yet seen an impact, they are uncertain about future funding for the upcoming year.
- One organization has already had to lay off staff, and there is widespread concern that programs may be cut from next year’s budget.
- In response, nonprofits are developing contingency plans to manage potential impacts on staffing, programs, and clients.
- A similar share of nonprofits (62%) described some contingency plans, which included searching for alternate sources of funding from private foundations, businesses, and fundraising, or reducing program staffing or services.
- There is also a sense of fear among nonprofit clients, and organizations are closely monitoring updates while working to address client questions to the best of their ability.
The Community Foundation will be staying in touch with our newest grantees once they are selected by the middle of April about their continued challenges. If you would like to learn more, please This email address is being protected from spambots. You need JavaScript enabled to view it..
Questions?
Questions?
