Over the past year, public policy and federal laws that affect the nonprofit space have changed. Due to these policy changes, many nonprofits are feeling the pressure of shrinking budgets and opportunities. While some of the policy changes have been enacted, some are proposed and are causing nonprofit organizations to brace for a major impact.
Many changes have altered the landscape of the nonprofit sector and because of that, the future of service delivery isn’t clear. Nonprofit organizations are going into the new year with a lot of anxiety and little confidence in terms of how they will deliver their service.
Even though the future is uncertain, there are steps your nonprofit can take to combat the anxiety you may have going into next year. It’s important to make a plan of action so if a policy does threaten your service delivery, you can quickly shift into a new plan and continue to give care to your clients.
Below are some of the policies that have shaped the nonprofit sector in 2017 and have the potential to do so well into the future. You will also find quick tips on how to combat the anxiety associated with them so your nonprofit can go forward with confidence.
Healthcare Public Policy
At the beginning of the year, a new administration was inducted into the White House. One of the major initiatives coming with it has been to enact a new healthcare policy. This initiative has put many nonprofits, both in the medical-related and not, on the offensive.
A change in healthcare policy presents nonprofits with many different pain points that could affect their service delivery. The first is that many of their clients could lose valuable health insurance coverage. If this happened, they may not be able to get alternative coverage. A second issue, related to the first, is that clients would turn to nonprofits for their healthcare needs, even if the organization doesn’t specialize in medical service delivery. This would put way more strain on the organization and put stress on its already limited resources.
Many nonprofits don’t know how to move forward, but there are some ways to combat this potential change. One way is to partner with local state agencies or nonprofits that specialize in medical care. This way, if there is legislation passed that results in coverage gaps, you and your clients have options to pursue.
2018 Budget Uncertainty
The current administration recently unveiled its plan for the 2018 fiscal budget of the United States. Much of the budget layout reflects cuts that affect the nonprofit sector directly. This is making many nonprofit leaders anxious for the years ahead.
A lot of the anxiety surrounds how much their nonprofit’s funding will be affected. Many of the cuts affect national funding sources for nonprofits, which is a huge resource for them. Losing that resource could be devastating to service delivery. If these funding sources are in danger, so is the service delivery of these nonprofits because service delivery can’t happen if there are no resources to support it.
One way to navigate these changes is to diversify your funding sources. If your nonprofit relies on the federal government for funding, consider turning to private funding sources. There are many resources for your nonprofit to turn to so it can find more stable funding sources.
Major change is happening to the sector, so it’s important to be able to continue to deliver for your clients when adversity comes to your nonprofit. The key to combating anxiety when policy shifts happen is to diversify your funding sources, create partnerships with state and local agencies, and collaborate with fellow nonprofits in your community.
To find out more ways to combat policy change that may affect your nonprofit, download our newest whitepaper Public Policy Changes and How They Affect Your Nonprofit today!