Results from Our Survey of Nonprofits

As part of our Taking the Pulse series, Philanthropy Massachusetts recently surveyed nonprofits statewide to understand how recent federal changes in policies or funding are impacting their ability to advance their missions, and whether they are noticing shifts in funder engagement this year.

Exactly 200 nonprofit leaders responded to the survey. They represent a wide range of services and span every county of the Commonwealth. We heard from nonprofits of all sizes though they skewed, like our nonprofit membership itself, to the small- to mid-sized organization ($25K to $2M).

What We Learned

No respondents are unaffected in this new, everchanging federal landscape. Top concerns of nonprofit leaders are for the people they serve or represent, the growing fear within their communities, the safety of their teams and populations, and the viability and stability of their organizations.

A thread throughout the results is summed up by one respondent: "Current operations have been destabilized. Personnel has been demoralized. Refunding opportunities have been removed."

More than 54% of respondents reported that recent federal changes in funding or policies have impacted their organization's operations or ability to serve their community or advance their mission. Another 35% are anticipating a negative impact. The remaining are bracing for a "trickle down effect" through the state and private philanthropy.

Participants reported a range of funder responses as shown below.

What resources have funders made available to your nonprofit over the past six months?

How can philanthropy be most helpful over the next six months?

In response to this open-ended question, nonprofits shared that, alongside more grant opportunities, funding flexibility is most helpful, particularly when grantees are able to strategically realign resources to minimize impact.

Do you have any constructive advice for the funder community?

When asked to offer guidance to funders, survey respondents reflected on the shared challenges of this historic moment when long-standing systems and institutions are being disrupted or threatened. Many emphasized the need for new approaches to strengthen relationships between funders and nonprofits. Key recommendations include providing general operating support, simplifying application and reporting processes, promoting transparency and trust-based practices, and broadening eligibility criteria. A running call to funders is to respond now as many did with flexibility and urgency during the Covid pandemic.

Here is a representative sampling of their direct advice:

"Funders can lend all types of expertise, resources, advice, funding, referrals to other funding sources, and pure sympathy to nonprofits. Connecting on a human level to nonprofits is meaningful and is the first (and best) step towards identifying needs and ways of supporting them."

"If funders could come together as they did during COVID to identify organizations in each region of the state that are providing critical services to people disproportionately impacted, for urgent funding opportunities, it would make an enormous difference."

"All our voices matter and it is important to maintain and continue to build trust between funders and grantees in the philanthropic space." 

"Being transparent, proactive, and collaborative. We on the frontline know the needs and they should be taking their cues from us. They also need to release historic levels of funding now to meet this unprecedented need."

"Flexible funding allows organizations to stay responsive in a rapidly changing environment, enabling us to pilot new ideas, scale what works, and invest where it matters most to maximize impact for our constituents and communities due to federal funding uncertainty."

One quote sums up all guidance from respondents to funders: "More funding, flexible funding, low barriers to getting funding."

Philanthropy Massachusetts is committed to providing real time information that sheds light on concerns and captures the intellectual capital of the sector. We will continue to cast out brief Taking the Pulse surveys to funders and nonprofits regarding time sensitive questions of importance to the field. We encourage you to respond to surveys and let us know if you have any questions or suggestions for future communications. 

Philanthropy Massachusetts is a membership association of both philanthropic and nonprofit organizations. We promote the practice and expansion of effective and responsible philanthropy to improve the health and vitality of the region. As a bridge between the two communities, PMA provides information, programming, and opportunities for better understanding, efficiency, and impact.