DANA raising alarm about federal funding pause

DANA, the Delaware Alliance for Nonprofit Advancement, is raising alarm about recent executive orders to pause federal funding disbursements and the profound impact on Delaware and the nonprofit organizations which serve as vital pillars of community support. This disruption endangers essential services provided by nonprofits that partner with state and local governments to address critical needs. 

Thousands of Delawareans rely daily on nonprofit organizations to provide services such as food aid, housing assistance, healthcare, education and support for young children, those who live in poverty, or fear harm. These service providers rely on timely federal funding to cover the costs of those programs. 

A pause in funding disbursement creates significant operational challenges, forcing organizations to make difficult decisions about staffing, programs, and service delivery. Loss of funding translates into lost jobs and less access to the help that our communities rely on.

The funding delay exacerbates financial pressures on nonprofits, many of which already operate on tight budgets with limited reserves. Without immediate intervention or clarity regarding when disbursements will resume, the long-term sustainability of these essential organizations is at risk. 

DANA calls on federal agencies and policymakers to resolve this issue urgently, and provide clear communication and support to impacted organizations. Additionally, DANA urges state and local leaders, philanthropic organizations and community members to explore interim measures that will enable nonprofits to continue their critical work during this period of uncertainty. 

We are fortunate to have a congressional delegation, Gov. Matt Meyer and Lt. Gov. Kyle Evans Gay who understand the critical role nonprofits play in Delaware’s social safety net. DANA stands ready to work alongside our federal, state and local leaders to address immediate challenges and ensure the long-term sustainability of nonprofits across the state.

DANA remains committed to supporting Delaware’s nonprofit sector. In partnership with Delaware’s philanthropic community and the National Council of Nonprofits, DANA continues to advocate for the resources and policies necessary to sustain vital investments in our state. Collaboration and creative solutions are critical to ensuring that nonprofits can maintain and expand their essential work.