Nonprofit Finance Fund | June 09, 2022
The results of the 2022 State of the Nonprofit Sector Survey, released, offer new insights into the well-being of a sector buffeted by the COVID-19 pandemic, deeply impacted by racial injustice, and central to advancing the aspirations of our communities. The survey of 1,168 nonprofits was conducted earlier this year by Nonprofit Finance Fund (NFF) in partnership with Ambit 360 Consulting and EVITARUS. Here is what we learned about the impact of COVID-19 and how the experiences of nonprofits led by people of color compared with those of white-led organizations.
As a result of the pandemic, 88% of respondents developed new or different ways of working that led to positive outcomes; 51% of those think these could be permanent changes.
As the pandemic took hold, nonprofit leaders pivoted to respond to changing needs – providing home deliveries instead of communal meals, training administrators to provide direct client care, opening childcare for frontline workers, and more. Nonprofits led by people of color saw the sharpest increase in demand, and the survey spotlights the need for more equitable access to resources as communities continue to rely on neighborhood nonprofits."
Jen Talansky, vice president of marketing and communications at NFF
Demand is rising: 71% of respondents reported that demand rose during the last two years; 86% expect it to continue to rise in 2022, but just 53% think they will be able to meet that demand.
While most nonprofits saw an increase in demand for services over the past two years, nonprofits led by Black, Indigenous, and people of color (BIPOC) saw the most marked increase, with 64% reporting a significant (10%+) increase in demand, compared to 47% of white-led organizations. Adapting to demand has had a direct impact on nonprofit employees. Since the COVID-19 pandemic began, 57% of BIPOC-led organizations and 45% of white-led organizations report that employees have carried out duties outside of their job description all or most of the time.
"Because of systemic racism, funders need to take purposeful action to advance equity and invest in BIPOC-led nonprofits," said Shakari Byerly, Partner and Principal Researcher at EVITARUS. "We ask a lot from nonprofits, and too often, workers carry the burden when governments and foundations don't pay organizations fairly for the essential services they provide."
70% of respondents overall saw their funding rise during the pandemic from 2019 levels; 71% of all respondents received one or more Paycheck Protection Program (PPP) loans.
BIPOC-led orgs were less likely to receive federal funding in 2021 – excluding PPP, 32% of BIPOC-led orgs received federal funding compared with 46% of white-led orgs. BIPOC-led orgs were also less likely to receive corporate donations (58% of BIPOC-led orgs vs 71% for white-led orgs) or to have revenue from investment income (16% of BIPOC-led vs 33% for white-led orgs).
"Our organization and the people in our communities benefited greatly from COVID-related support and funding," said Claudia Ramirez, Executive Director of The Society of St. Vincent de Paul of Contra Costa County. "Now, emergency funding has decreased significantly, while we are seeing increased demand for critical services like housing assistance, food, and medical and dental care."
Flexible funds help: 57% of nonprofits report that since March 2020, foundation funders have been more flexible with how they use funds.
"It is unclear if the improvements in financial health reported at this moment represent a short-term exception due to PPP loans and other emergency funding, or an inflection point for a sector plagued by systemic funding hurdles and persistent inequities," said Larry McGill, Founder and Principal of Ambit 360 consulting. "Having seen trust-based funding work during the pandemic, it's clear that part of the answer is not just increased funding but also loosening funding restrictions so nonprofits can decide for themselves how to spend money in their own communities."
Lived experience matters: 57% of BIPOC organizational leaders have lived experience that is representative of the communities their organization serves, as compared to 18% of white leaders.
"The survey findings are another clear demonstration of why NFF is doubling down on our commitment to community-centered, BIPOC-led organizations," said Trella Walker, NFF's Interim CEO and President. "It is not enough to sit with declarations of change, it is time to follow the lead of communities of color and support the changes they need."
Since 2010, Bank of America has supported NFF's State of the Nonprofit Sector surveys.
"Nonprofit organizations continue to be on the frontlines in helping our communities get back on their feet," said Andrew Plepler, global head of Environmental, Social & Governance (ESG) at Bank of America. "The results in the 2022 survey speak to how they've had to recalibrate their efforts and the vital role that public, private, nonprofit partnerships must play if we want to see long-term, sustainable improvement."
In the coming months, NFF will offer additional analyses of survey data, including in late July a comparison between the 311 nonprofits who completed NFF's State of the Nonprofit Sector Survey both in 2018 and 2022 to more fully examine the impact of COVID-19 on organizational health.
About Nonprofit Finance Fund
Nonprofit Finance Fund is a nonprofit lender, consultant, and advocate. For more than 40 years, we've worked to strengthen nonprofit organizations and improve the way money flows to social good. We believe that alongside others we must build a more equitable and just social sector, and are committed to helping community-centered organizations led by and serving people of color access the money and resources they need to realize their communities' aspirations.
Tech Alpharetta | June 28, 2022
Tech Alpharetta, the nonprofit organization helping the City of Alpharetta to lead in innovation, announces that YARDZ has graduated from its Innovation Center.
YARDZ becomes the 20th graduate from Tech Alpharetta’s startup incubator, which opened in the City of Alpharetta in 2015.
YARDZ is a construction asset tracking platform that enables its construction industry customers to aggregate, automate, and manage the lifecycle of equipment rented or owned by those customers. YARDZ joined Tech Alpharetta in March 2020. The company has grown significantly since its founding, outgrowing its Innovation Center office, and now, headquartering in the City of Alpharetta.
“YARDZ’s team members worked long hours at our Center every day for more than two years, but they always found the time to pay it forward, by volunteering their time and expertise to other entrepreneurs and to the community,” notes Tech Alpharetta President and CEO, Karen Cashion. “We’re so happy that they’ve chosen to headquarter and grow their company here in Alpharetta.”
Tech Alpharetta provided us with so much valuable support, from introductions and connections, to mentoring and resources, along with a welcoming community of tech entrepreneurs. Headquartering here in Alpharetta was the obvious choice for us.”
Jason Perez,YARDZ co-founder and CEO
Tech Alpharetta’s Innovation Center is a thriving tech-startup incubator in Alpharetta that provides education, mentoring and other resources to its startup members to help them grow and succeed.
About Tech Alpharetta
Tech Alpharetta (previously the Alpharetta Technology Commission), the first organization of its kind in Georgia, was established in 2012 by the City of Alpharetta and is an independent, 501(c)(6) nonprofit organization today. The organization, whose mission is to help grow technology and innovation in Alpharetta, includes a strategic advisory board of Alpharetta’s leading technology companies, thought leadership events for area tech executives, and the Tech Alpharetta Innovation Center, a flourishing tech startup incubator that is home to more than 40 tech startups.
American Water Charitable Foundation | June 13, 2022
The American Water Charitable Foundation, a 501(c)3 organization established by American Water, the largest publicly traded U.S. water and wastewater utility company, announces last call for Water and Environment grant applications with a submission deadline of June 30, 2022.
The Water and Environment grant opportunity, part of the Foundation’s Keep Communities Flowing Grant Program, supports projects or programs focused on clean water, conservation, environmental education, climate variability and water-based recreation projects, including splashpads. Eligible organizations can apply here.
The American Water Charitable Foundation’s Keep Communities Flowing Grant Program supports impactful initiatives and programs throughout American Water’s national footprint. The Water and the Environment grant will fund efforts focused on our core passion – water – while engaging community members in learning how every drop counts.”
Carrie Williams, president of the American Water Charitable Foundation
The Keep Communities Flowing Grant Program focuses on three pillars of giving: Water, People and Communities. Within these pillars, three new grant opportunities will be available to eligible non-profit organizations throughout the year. Each grant cycle will be open for approximately 90 days. In addition to the Water and Environment grant, a Workforce Readiness grant opportunity will launch in July 2022 followed by STEM Education in October 2022.
Since 2012, the American Water Charitable Foundation has invested more than $9 million in funding through grants and matching gifts that are important to our employees and positively impacting our communities.
About American Water
With a history dating back to 1886, American Water is the largest and most geographically diverse U.S. publicly traded water and wastewater utility company. The company employs more than 6,400 dedicated professionals who provide regulated and regulated-like drinking water and wastewater services to more than 14 million people in 24 states. American Water provides safe, clean, affordable and reliable water services to our customers to help keep their lives flowing.
American Water Charitable Foundation
The American Water Charitable Foundation is a 501(c)(3) nonprofit organization that provides a formal way to demonstrate the company’s ongoing commitment to be a good neighbor, citizen, and contributor to the communities where American Water and its employees live, work and operate.
Baby2Baby | May 31, 2022
Baby2Baby, the national organization that has been at the forefront of providing relief to vulnerable families dealing with the U.S.’ baby formula shortage, announced it will distribute 12,000 cans of formula to the greater Pittsburgh region by the end of this week. Distribution to hospitals, diaper banks, childcare centers and family resource centers across the area began yesterday, and was made possible through a donation from local Pittsburgh resident Thomas Tull and his wife Alba through their philanthropic organization, the Tull Family Foundation.
The formula shortage is still an absolute emergency for the families we serve. Our mission at Baby2Baby is to provide families with diapers, formula and other essentials that every child deserves, and that mission has become even more critical during this crisis. It has been horrible for every parent, but even more devastating for families living in poverty who don’t have the luxury of switching to a more expensive brand or access to multiple stores to find anything in stock. We are so grateful to Thomas and Alba Tull, and the Tull Family Foundation, for their extremely generous gift which is enabling us to provide hundreds of thousands of bottles of lifesaving formula to families in need across Pittsburgh."
Norah Weinstein and Kelly Sawyer Patricof,Baby2Baby Co-CEOs
“Like many other essential items, the baby formula shortage in this country has become a major crisis since the onset of COVID. It is unimaginable what parents, especially those living below the poverty line, are having to deal with,” said Cathy Battle, Executive Director of the Western Pennsylvania Diaper Bank. “We are seeing this heart wrenching crisis unfold every day and are incredibly grateful for Baby2Baby’s work and support. This distribution will help provide relief to many babies and families in need in the greater Pittsburgh areas.”
Baby2Baby distributes to foster care agencies, hospitals, clinics, homeless and domestic violence shelters and resource centers. Since the pandemic began, it has delivered more than 300,000 cans. At the start of 2022, even before the recalls, they had requests for over 8.8 million cans. The organization has been using all of the resources at its disposal to support families impacted by the current shortage – including working directly with their wholesale partners to have formula made for a fraction of the retail cost and distributing donations from formula companies that weren’t impacted by the recalls. They have already sent formula to Pennsylvania, California, Virginia, Florida, Michigan, Alabama and South Dakota, and have more on the way to communities in need across the country.
Baby2Baby, a non-profit organization led by Co-CEOs Kelly Sawyer Patricof and Norah Weinstein that was named #1 nonprofit on Fast Company’s World’s Most Innovative Companies List for 2022, provides children living in poverty with diapers, clothing and all the basic necessities that every child deserves. In the last 11 years, Baby2Baby has distributed more than 240 million items – more than any organization of its kind – to children in homeless shelters, domestic violence programs, foster care, hospitals and underserved schools as well as to children who have lost everything in the wake of disaster. Since the COVID-19 crisis began, Baby2Baby has distributed more than 150 million items to families in need, serving over one million children across the country impacted by the pandemic.