These past two months have been extremely difficult and unpredictable for nonprofits, and we have been doing our best to keep you updated on what’s happening and provide you with reliable information on what these federal actions mean for you and how to best proceed. (Please bookmark our public policy page to stay informed.)
Like many of you, DANA has been closely following the evolving situation in Congress regarding funding measures to keep the federal government open. Last week, Congress passed a continuing resolution (CR) to keep the government open beyond the March 14 deadline (when the previous CR to keep the government running expired) until the end of the fiscal year in September.
(DANA has a great blog post on the CR and reconciliation process).
What does this mean for Delaware nonprofits?
Details about the CR and its specific impacts are still forthcoming, but broadly, the funding bill cuts nondefense spending by $13 billion and will reduce funding for mental health and substance abuse treatment, workforce training and National Institutes of Health research, among other programs. It also means any earmarks included in the FY 2025 budget will not materialize.
Additionally, the CR does not include funding directives – Congressional instructions on how to specifically spend the allocated funds. This has raised questions about whether the administration could repurpose funds away from specific programs toward other priorities. New directives coming from the White House to eliminate agencies and funding streams could inform those funding reductions. Last week an appellate court overturned an injunction to halt the termination of DEIA-related programs and grants, and a new White house directive would defund libraries, museums, resources and capital for minority businesses, addressing homelessness, and economic development in underserved communities.
DANA and our partners Delaware Community Foundation, Philanthropy Delaware and United Way of Delaware are continuing to gather information regarding the CR and what the decrease in funding means for Delaware nonprofits and how nonprofits can navigate this situation. We will share anything we learn as soon as it becomes available. Thanks for your patience as we deal with very uncertain times.
In the interim, if you have any questions, please don’t hesitate to reach out to me or Melissa Hopkins at [email protected].