Funding cuts offer opportunity

The OD reported that anticipating a projected increase in uncollectable pledges from individuals and corporate donors, officials from the United Way of the Valley & Greater Utica area announced Monday that the agency plans to reduce some of its current program agreements and the funding for some of its upcoming awards by 20 percent beginning July 1.

United Way Executive Director Philip N. Hayne said the agency has encouraged organizations receiving money from United Way to get rid of duplication and seek ways to economize and partner with other groups in the community if possible.

With nonprofit fundraising efforts increasingly competing with each other and funders across the nation projecting future reductions in grants, nonprofits need to give serious consideration to new ways of doing business and supporting their mission. Now is the time to look at increasing capacity with new partnerships. For example, is there an opportunity for organizations to share backroom operations? Could organizations implement joint fundraisers? Should some nonprofits consider collaborating more closely or even merging with another organization?

There is no easy solution, but with any challenge comes an opportunity to rethink the nonprofit's usual reaction.