State budget cuts to nonprofits, capital projects loom

State budget cuts to nonprofits, capital projects loom

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Sheila Bravo, president and chief executive officer of the Delaware Alliance for Nonprofit Advancement, which represents 300 organizations, said many nonprofit groups that receive state funds have been aware for some time that there could be cuts and have done what they can to prepare.

She said the economic recession has meant there is more demand than ever for the services nonprofits provide even as the funding they get remains flat or declines.

"The concern is always that even a relatively small percentage decrease would have to reduce the ability to serve the needs of the community," Bravo said. "In some cases, they may have to lay people off."

...

Many other state governments also have cut back on payments to nonprofits in the years after the recession, said Rick Cohen, of the National Council of Nonprofits, which has about 25,000 members.

"While the country is technically out of the recession, state and local governments are still seeing a lot of budgetary trouble," Cohen said. "One of the most frequent places we're seeing them turn to is the nonprofit sector."

The problem, Cohen said, is tough economic times are the times when demand for the services nonprofits provide is highest.

"It's a double whammy," he said.

Source Name: 
The News Journal
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