Nonprofits in California Hurting Financially

In yet another posting about the state of affairs in nonprofit funding, this one focuses on nonprofits in one California county. But the same story is being told in states, counties and cities throughout the land.
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Begin Quote from Rick Cohen

March 28, 2010; The Record | The economy may be on the upswing, but the Great Recession’s impacts will be seen in state and local budgets—in cutbacks on funding for nonprofits—for many years to come. In California, nonprofits have watched their local government support dwindle and disappear. The San Joaquin County Historical Museum received $490,000 from the county government a year ago, $304,000 this year, and beginning in the next fiscal year starting in July, zero.

According to the Record in Stockton, the county distributed $800,000 to nonprofits this year, but has told most of the recipients to expect no money next year. Unable to get $50,000, the Community Partnership for Families will have to cut back on its mentoring and computer labs. Family and Youth Services will have to terminate a program that helped parents accused of minor criminal offenses do community service rather than being jailed and separated from their children.

The problem these San Joaquin County nonprofits face is that they can’t turn to the state of California to make up the county-level budget cuts because the state budget is in financial freefall. So they hope that charitable donors will come up with new money. It’s not a pretty picture here or in many other places.—Rick Cohen

end quote
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We’re all hoping that the Great Recession gets done with itself soon, but given the depth of pain being felt by people who are served by nonprofits, it will be very long before consumer confidence recovers and need stops increasing.

Using knowledge for success,

Dr. Rick Hoefer

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