Nonprofit May 2025 survey

Less than 5% of nonprofits surveyed by the Community Foundation for Monterey County’s Center for Nonprofit Excellence strongly agreed that their current funding sources are reliable.

Erik Chalhoub here, thinking about the work nonprofit organizations do day in and day out. Their jobs are often thankless, even though they fill important roles in society.

Resources are always thin, and now with a federal government that’s all but declared a war on nonprofits—cutting grants and freezing funding, among other things—they’ll have to do more with even less.

To understand where local nonprofits are at in this shaky political climate, the Community Foundation for Monterey County’s Center for Nonprofit Excellence recently asked: How are you being impacted?

Susie Polnaszek, director of the Center for Nonprofit Excellence, says the results of the survey were both surprising and expected.

“We would anticipate nonprofits large and small to feel an impact somewhere on a continuum of harm, but the survey reveals nonprofit staff and volunteers are essential workers seeing front-line impacts of policy changes,” she says. “Many navigate fear and heartbreak daily on top of financial disruption and uncertainty. What doesn’t surprise me is the creativity, resolve and care they bring to their roles.”

A total of 86 nonprofits responded to the survey, ranging from those focused on human services, education, healthcare, the arts and more.

Nearly 30 percent expect to reduce their services or activities in the next six months, according to the survey, while 10 percent have already done so since the beginning of the year. About 27 percent anticipate reducing their staff soon, while 10 percent have already trimmed their ranks due to funding cuts.

The survey includes statements from organizations describing how the federal policy shifts are impacting them, including Meals on Wheels of the Salinas Valley, which states that it relies on the federal government for about a third of its budget, some of which is on hold.

“Increasing food costs are affecting our budget in a big way,” the organization stated. “We continue to receive more requests for our home-delivered meal program and our two congregate meal sites in South County. The funding received does not cover the cost of the increase in requests.”

In addition to its various programs that support nonprofits, Polnaszek says the Center for Nonprofit Excellence will launch a new series of workshops focused on fundraising.

“Knowing that philanthropy and fundraising can’t fill gaps left by federal or state changes, CNE plans to emphasize ways nonprofits can maximize their impact with less funding,” she says.

Earlier this year, the Community Foundation launched the Supporting Our Neighbors Fund, which provides grants to organizations that address immigrant and LGBTQ+ rights, and other issues under attack by the presidential administration.

On Wednesday, July 30, the Center for Nonprofit Excellence and the Nonprofit Alliance of Monterey County will host a gathering at the Community Foundation for representatives of nonprofits to meet each other and learn about resources. The event has reached capacity.

Have you been supported by a local nonprofit? Feel free to share your story.

(2) comments

Bill Lipe

While I respect the hard work many nonprofits do, we should not confuse good intentions with measurable results. Relying on federal funds invites volatility, inefficiency, and political entanglement. True resilience comes from voluntary support, operational transparency, and financial independence.

If a nonprofit claims to serve the public, it should be willing to prove it. Review their 990 tax returns. Look at how much funding actually reaches the people they aim to help versus what is spent on internal operations. Do not just say you are helping. Show your works.

The difference between sincere service and strategic storytelling matters. Good works are not for image. They are not leverage for more funding or social standing. From a faith perspective, good works are done not to earn favor or applause but to serve God quietly and humbly.

If nonprofits want continued trust and support, they need to be accountable, not only to the people they serve but also to the principles they claim to uphold. Open the books. Let the numbers speak.

Robert McGregor

The non-profits I am associated with have not seen nor do we expect to see any decrease in funding as none of them depend on any form of the government for their funding. If you depend on the government, you are subject to their requirements, ups and downs and political leanings. None of the non-profits I have been associated with have ever taken a dime of government money and don't intend to start now.

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