How 6 Leaders Are Navigating Federal Funding Cuts

Since President Trump took office, nonprofits have faced a litany of funding challenges resulting from canceled government grants, cuts to federal programs, and agency layoffs. To help organizations contend with this new reality, the Chronicle has featured dozens of articles and op-eds in the past several months highlighting survival strategies across the sector. We hope the selection below, curated by our staff, provides inspiration and sparks new ideas.

1. Think about risk differently. Some foundations are digging into their endowments to support grantees. But doing so might require a shift in perspective, as Alex Daniels reported.

“We are actively recalibrating our risk,” said Ricshawn Roane, executive director of the Weissberg Foundation, which increased its payout from about 6 percent of assets to 10.3 percent, resulting in an additional $23 million in charitable contributions. “We’re not just going to think about risk to the foundation, we’re thinking about risk to communities we’re centering.”

2. Rely on corporate volunteers. Pro bono services are in high demand as nonprofits look for assistance dealing with recent challenges, wrote Stephanie Beasley. But rather than seeking help from other nonprofits, which are likely stretched thin, try corporations or law firms.

“Finding enough voluntary help to meet the demand is challenging, given that many nonprofits are facing decreased funding for their operations and increased demand for their services,” Stephanie wrote. As Cat Ward, Taproot’s CEO, told Stephanie: “The good news is that many corporations and law firms are aware of executive actions affecting nonprofits and have indicated their willingness to help. What I’m hearing from folks is that this is a place where companies feel they can really lean in and invest and where there is a lot of interest among their talent.

3. Fund broad needs, not specific programs. Since losing funding from both the Department of Education and the Corporation for Public Broadcasting, the Boston public broadcaster GBH has had to make some big changes to survive, including staff layoffs, Alex Daniels reported. President Susan Goldberg is also rethinking GBH’s fundraising approach.

“Rather than seeking money just to support specific shows, we are now looking at categories of support,” she said. “We’re trying to create some broader areas that we think will appeal to this next generation of donors, who might not be as familiar with specific legacy programs. They may not know those wonderful brands, but they really care about news and journalism, science and the environment, kids and education, voices and equity, and climate and the environment.”

4. Speak up for others. In tumultuous times, nonprofit leaders might be inclined to keep their heads down. But for Climate United CEO Beth Bafford, that approach proved problematic. As she wrote in an op-ed, speaking up about rescinded funds helped the organization counter misinformation — and even empowered others.

“By choosing to speak up,” said Bafford, “we created a safer space for our peers, our partners, and the communities we serve to share their unique perspectives.”

5. Support nonprofit leaders. In a recent op-ed, Alicia Bell and alvin starks of Borealis Philanthropy discuss the need to invest in local public radio stations following Corporation for Public Broadcasting cuts. A key takeaway for any funder supporting struggling nonprofits: Help ensure they have strong leaders.

“The long-term health of these outlets depends on strong leadership,” wrote Bell and starks. “Grant makers can ensure current and future local media leaders get the help they need to do their jobs effectively. … Foundations can also strengthen organizational leadership by supporting succession planning and governance infrastructure. For many small and midsize public media outlets, organizational survival depends on stable boards and sound decision making.”

6. Downsize strategically. When the Trump administration cut AmeriCorps funding, the nonprofit Jumpstart for Young Children had to reinvent itself, including shrinking its operations. But as Eden Stiffman reported, CEO Crystal Rountree is trying to be strategic about how it pares back.

“Looking ahead, Rountree anticipates Jumpstart will be in about half as many locations as it was last year,” wrote Eden. “Her team is evaluating both where the group has the highest density of program sites as well as where it has the most density of local philanthropic support.” Because it’s focusing on fewer communities, Rountree said, “we can go deeper and wider.”