Considering recent federal budget cuts, threats to nonprofits, and general fears about the future of medical research and higher education, Fairlight reminds us that we are not voiceless, and we can do something.
That something, for Fairlight Co-Founder Maya Tussing, was a meeting with Representative Susan DelBene of District 1 in Washington to consider the state of the country.
They discussed the threat of the One Big Beautiful Bill Act and its potential reverberations in the healthcare world. Specifically, nearly one million people could be removed from Medicaid and the Affordable Care Act could be dismantled.
They also dove into how nonprofits are in danger in what the two referred to as a double squeeze — “when the economy is poor, the need is greater,” Tussing explains. Representative DelBene uses the example of food banks when speaking with constituents as these nonprofit social programs are critical in understanding what’s happening on the ground.
The voices of journalists, podcasters, and citizens come through clearly — we need to do something. But what exactly is that something?
How Funding Cuts Undermine U.S. Innovation
Tussing shared that writing to her representative with concerns about the current administration allows her to feel like she’s doing something about her frustration.
In fact, that communication is what led to Tussing’s invitation to meet with the congresswoman. The two connected over the opportunity available in the United States for business owners as a major strength but acknowledged the country’s current instability.
Tussing said “I should say that the United States is the greatest place to run a business. [We have] that pioneering spirit as businesses [and as] nonprofits. To see that being dismantled is very disturbing.”
The trickle-down effect is worth thinking about here. Even though community-based nonprofits may not be directly impacted by federal budget cuts, finances going to the state can still impact smaller nonprofits. If the state receives cuts, counties are too, which means local cities are facing decreased resources.
Grants, whether federal or not, can be discontinued. Not to mention with threats of an economic recession, nonprofits must anticipate donors making changes to their giving.
Strings Attached: DEI Tied to Federal Grants
With threats to DEI and attacks on wokeism, stakeholders have become more cautious of their affiliations so as to avoid crossfire from the Trump administration. In fact, at a recent SIAN gathering, 67% of those in attendance listed attacks on DEI, LGBTQ+, and immigrants’ rights as their largest present fear. In addition, 61% shared unease with the availability of federal funding.
One example Tussing shared was that of a federal employee declining a speaking opportunity at a nonprofit because of pro-DEI language on the nonprofit’s website.
In an extreme case, an organization wiped their website to eliminate any public trace of their existence for fear of being targeted for supporting “a very specific underrepresented population,” Fairlight Co-founder Katharine Earhart explained.
Coming back from massive funding cuts, such as 80%, is no quick fix. It becomes a question of finding other ways to bring in money, like licensing expertise and conducting training for pay.
The Power of Nonprofits – and their Partnerships
Many Americans don’t know the true role of nonprofits. The direct service organizations often execute the work of the government. For example, during the pandemic, many nonprofits distributed school laptops or Wi-Fi hotspots to families who did not have remote school capabilities. Other nonprofits were tasked with supporting business recovery through technology grants.
It’s also important to consider the power of partnerships — the nearly two million nonprofits may feel they are in competition with one another for grant money or donors, but in the larger picture, jointly aligned missions have the opportunity for increased impact. In fact, strength in numbers was one of the identified solutions of the Social Impact Advisor Network gatherings, where professionals agreed about the power of networks and associations.
When Culture Wars Cut Into Cures
The impact of the current administration on universities, whether smaller elite ones like Harvard with just over 7,000 undergraduates or larger universities like Penn State, which have ten-fold the undergraduate enrollment, must also be recognized.
Is the model of universities as pioneers for research going to be changed forever?
Student protestors of the Israel-Gaza have expanded from young people expressing their opinions to a culture war where funding and relationships have been completely changed.
Earhart put it this way: “A culture war has deeply impacted our ability to do cancer research.”
Small Starting Steps
“I think the first step just starts with having your voice heard. It’s a democracy,” Earhart said.
Tussing’s meeting with her representative allowed her to share her opinions and understand that her representative cared about her voice.
This can happen on an individual level, but it can be even stronger when part of a group or community organization. During this troubling time, “doing something” can begin with reaching out and speaking up.
Fairlight Advisors
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