LOCAL NONPROFITS STRUGGLE AMID INFLATION, FEDERAL POLICY SHIFTS, AND FUNDING UNCERTAINTY – CRITICAL SERVICES ALREADY BEING LOST
FOR IMMEDIATE RELEASE
Media Contact: Corie Lonidier, co***@on***************.org
One Voice Central Texas
737-295-1656
[Austin, 2/7/25] – The local nonprofit community is facing unprecedented economic and policy-driven challenges. Continued inflation, declining donations, reduced volunteerism, and the expiration of federal pandemic-related funds have already placed stress on organizations that serve as lifelines for our most vulnerable community members. Recent Executive Orders and proposed federal budget cuts are exacerbating uncertainty for an already strained system.
In August 2024, One Voice Central Texas—a coalition of approximately one hundred local nonprofits that form the backbone of our human services network—launched the campaign “A Day Without Nonprofits.” The campaign underscored the indispensable role nonprofits play in the community, demonstrating that in just one single day without their services: 3,000 homebound older adults would go without meals, 11,000 individuals would lack shelter, 3,000 individuals would miss out on mental health counseling, and 3,000 children would be without childcare.
“Nonprofits serve as the safety net for thousands of people in our community, and these recent challenges threaten our ability to provide critical resources,” said Lisa Barden, Executive Director of Keep Austin Fed and 2025 Chair of One Voice Central Texas. “We urge elected officials and the public to recognize the invaluable work nonprofits do and to take action to ensure we can continue serving those who need us most.”
For twenty-four hours last week, after a federal funding freeze was announced, many nonprofits shifted their focus from their core missions to crisis management, scrambling to determine whether they would be able to meet payroll by the end of the week. While the immediate crisis has passed for most, there are still local impacts. The Texas Office of Refugee Resettlement cannot access the federal portal to draw down funds, preventing them from reimbursing Interfaith Action of Central Texas, Caritas of Austin and other refugee programs for funds already spent. Because of this, the Global Impact Initiative announced that beginning on February 7, they will furlough all staff and cease providing services. Other programs with federal funds live with daily uncertainty about when their funds may be cut.
Compounding these financial challenges, specific populations within our community are being targeted by recent policy changes. Organizations supporting the LGBTQ+ community are grappling with Executive Orders that eliminate legal recognition of transgender and nonbinary individuals under federal law while permitting discrimination in the workplace, education, housing, and healthcare. Meanwhile, immigration-related Executive Orders have heightened fear within immigrant communities, leading many individuals to avoid seeking essential services and keeping children home from school due to concerns about potential ICE raids.
One Voice is calling on the community to act now – we call on policymakers, donors, and community members to play an active role in preserving the essential services that keep our community safe, healthy, and thriving:
o Advocate for the uninterrupted continuation of federal funding and policies which support nonprofits and the communities they serve.
– Call your representatives today and tell them how crucial nonprofits, and other federally funded organizations, are to the health of local communities.
– If you are a representative, speak up on behalf of nonprofit organizations.
o Donate to local nonprofits
– Find nonprofit organizations that support the causes you care about most deeply and send them a donation – monthly when possible.
– Take advantage of I Live Here I Give Here’s Amplify Austin Day on March 5-6, during which your donations will go even further because of matches from supporting foundations and individuals.
o Volunteer your time and energy to nonprofits
– Pack supplies, greet clients at front desks, hand out meals, drive unused food from restaurants to food pantries – there are many ways to ensure your most cherished organizations have the capacity to keep operating.
If you want to know more, we ask that you contact us so you can hear directly from nonprofit organizations. For more information or to schedule an interview, please contact Corie Lonidier at co***@on***************.org.
One Voice Central Texas with support from I Live Here I Give Here