Cutbacks at Social-Service Groups on the Rise, Poll Finds
May 11, 2020 | Read Time: 1 minute
An informal survey of more than 750 social-service nonprofits found an overwhelming majority have cut services as a result of disruptions from the coronavirus pandemic. The data comes from the nonprofit consulting firm La Piana Consulting, which polled nonprofits to learn how they were responding to the crisis.
David La Piana, head of the company, said the survey was not scientific, and its respondents might not be a representative sample of all nonprofits. But, he noted, the survey received responses from organizations in all regions of the United States and from groups with operating budgets of all sizes. Despite the statistical shortcomings, La Piana said the results are striking.
“This is an enduring and broadening kind of crisis,” said La Piana.
The survey’s numbers are indeed sobering — 91 percent reported they have been forced to cut services or adapt how those services are provided, up from 70 percent when the question was asked during a March edition of the survey. And 90 percent said they lost revenue in April. About 80 percent have moved their programs online, and 55 percent said they will have to make further reductions to services they offer.
Many are still waiting for federal aid, with 69 percent saying they had applied for a the federal Paycheck Protection Program for loans of $5,000 to $6.8 million. But less than half of those have received that funding. (The Chronicle of Higher Education, the organization that publishes the Chronicle of Philanthropy, has received a loan under the Paycheck Protection Program.) The data suggests the pandemic’s disruptions could result in new mergers between nonprofits, with 25 percent of respondents saying they are considering such a move.