On June 30, I had the honor of co-hosting a Nonprofit Legislative Roundtable with the Quad Cities Chapter of the Association of Fundraising Professionals. The event gathered 100 local nonprofit leaders, legislators, and media to discuss the potential impacts of the then-pending federal budget proposal.
Since then, the budget has become law, making these projections reality.
This budget will negatively affect nearly every Quad Cities nonprofit, resident, and business. In a survey we conducted in early June, 89% of nonprofits anticipated financial impacts, nearly half expected to close or change programs, and one-third foresaw staff reductions. Nearly 1 in 10 may close. These arts, education, workforce development and environmental organizations, and nonprofits that serve our oldest and youngest residents, people with disabilities, and animals, touch everyone.
Our most vulnerable neighbors lose the most:
- 47,000 will lose SNAP (food stamp) benefits.
- 10,000 may lose Medicaid coverage.
- Homelessness and housing insecurity will increase.
More than 17,000 Quad Cities households live in poverty with 51% of residents one emergency away from poverty. Cuts to these safety net programs will swell these numbers.
These cuts will impact us all. Higher poverty increases crime, chronic diseases, and mental illness. Everyone will face higher health care premiums and costs and longer waits for care. Less disposable income makes local businesses struggle, job opportunities decline, and property values drop, eroding the tax base that pays for essential services.
We have two ways to respond.
First, we can let the community suffer the consequences of these cuts. Beyond the moral argument, it would devastate the economy. Nonprofits contribute approximately $1.8 billion annually to the Quad Cities’ economy: a 10% loss would cost $180 million.
Second, we can find alternative funding. State and local governments, especially our small rural neighbors, lack sufficient budgetary capacity for new expenditures, forcing tough choices about potential cuts. Local foundations grant about $25 million annually. If they reallocated every dollar, a gap remains – and everything they fund today will suffer. Companies and individuals need to donate more to nonprofits and programs that make the greatest community impact.
You can become part of the solution. We invite every Quad Citian to pull up a chair for conversations focused on the needs of our community, nonprofits, and the people they serve. Sign up for OneTable QC at afpquadcities.com for updates, alerts, and announcements.
(Linda Wastyn, Ph.D., CFRE, GPC, is president of Wastyn & Associates, Inc., Davenport. She can be reached at [email protected] or (563) 424-1395.)
