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Drop in federal, state funding for nonprofits reveal importance of #GivingTuesday

Experts said that drop in funds is causing staffing issues and making it hard for nonprofits to reach fundraising goals.

LITTLE ROCK, Ark. (KTHV) - A new report compiled by The Arkansas Community Foundation, Carl B. and Florence E. King Foundation and Winthrop Rockefeller Foundation, reveals there has been a significant drop in federal and state funding for nonprofit organizations.

Experts said that drop in funds is causing staffing issues and making it hard for nonprofits to reach fundraising goals.

“Many organizations are operating in survival mode, so they are doing everything they can to keep their doors open, to keep food on the shelves, to keep shelters going,” said Sarah Kinser, with The Arkansas Community Foundation.

Kinser said the lack of funding is having a negative long-term effect on many charities.

“Many different kinds of organizations are affected but the impact is the same,” said Kinser. “They’re not able to move beyond thinking about today to build a future for their organizations and the work they’re doing.”

A separate study by the Lilly School of Philanthropy revealed that since 2000, individual contributions to nonprofit organizations have also dropped more than 10 percent nationally.

“It’s getting tougher in some places for them to find giving and they’re also facing more competition because there are so many organizations out there locally and nationally all working to do good but, in some cases, competing for the same resources,” said Kinser.

In Arkansas, there are around 14,000 nonprofits that receive close to $17 billion in annual revenue. Experts said that’s still not enough money to properly fund all programs and that’s why #GivingTuesday was started six years ago, to encourage people to donate money to their favorite charities.

You can easily donate money to local organizations by visiting the #GivingTuesday website. The search engine will help you find nonprofits in your area and give you a link to their website where you can donate to them directly.

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