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1 in 3 US nonprofits that serve communities lost government funding in early 2025
Lewis Faulk, American University and Mirae Kim, George Mason University
About one-third of U.S. nonprofit service providers experienced a disruption in their government funding in the first half of 2025.
That’s what we found when we teamed up with Urban Institute researchers to collect nationally representative survey data from 2,737 nonprofits across the country.
These organizations run food pantries, deliver job training and offer mental health services. They provide independent living assistance, disaster relief and emergency shelter, among other services.
Our team found that 21% lost a grant or contract, 27% faced delays or funding freezes and 6% were hit with stop-work orders. Some of the nonprofits had experienced more than one of these funding problems, which affected nonprofits of all kinds. But they were especially disruptive to larger ones that employ more people and provide key services, such as large social service agencies, food banks and organizations serving people enrolled in Medicaid.
These findings came from the most recent Nonprofit Trends and Impacts survey, which we conducted from April to June 2025 with colleagues at the Urban Institute, including Laura Tomasko, Hannah Martin, Katie Fallon and Elizabeth T. Boris. They follow findings from a prior survey that the project fielded between October 2024 and January 2025.
When funding dries up, nonprofits tend to shrink and scale back their services. About 21% of those hit by funding cuts in the first half of 2025 were already serving fewer people by the time they completed the survey in April, May and June 2025, and 29% had reduced their staff. Many of these nonprofit leaders also told us they expect to have to lay off more of their employees by the end of 2025.
Nonprofits had already been facing financial pressure.
In the prior round of the survey that our team conducted in the fall of 2024, more than half of nonprofit leaders said they were worried about their organization’s finances. Many of them said they had received less money through donations and were facing tougher competition when they applied for grants, largely due to a tougher economic climate and the end of federal funding that had been disbursed during the COVID-19 pandemic.
Why it matters
Nonprofits often partner with the government to deliver essential services. This government support is vital – it makes up about 20% of the revenue that most nonprofits rely on. What’s more, government funding provided more than half of total revenue for about 1 in 5 service-oriented nonprofits in 2023, which is the most recent data available.
That same year, about 2 in 3 nonprofits received at least one federal, state or local government grant or contract.
Government funding made up 42% of total revenue for service-providing nonprofits that experienced government funding disruptions in our 2025 survey. The rest of their funding came from donations, foundation grants and service fees.
Nonprofits get less than half of their total revenue from foundations and individual donations, and total government funding for nonprofits amounts to around three times total foundation funding. That makes it unlikely that philanthropy will replace the government funding that’s being lost.
What still isn’t known
Nonprofits from California to Florida are seeing their funding withheld, and the government shutdown that began Oct. 1, 2025, is compounding the effects of the Trump administration’s longer-term spending cuts. The full extent of the impacts of these federal disruptions on nonprofits’ budgets won’t be known until 2026 or later.
In addition, our survey doesn’t include the leaders of very small nonprofits, or several kinds of nonprofits – including hospitals, colleges, universities, churches and foundations.
What’s next
Our upcoming Nonprofit Trends and Impacts surveys in early 2026 will convey more of the effects of government funding cuts on nonprofits’ budgets and programs.
A more complete picture will not be possible until the Internal Revenue Service publishes data that it collects from the 990 form that most charitable nonprofits must file on an annual basis. Historically, The IRS has taken years to release comprehensive nonprofit financial data, requiring additional research beyond the 990 form.
Lewis Faulk, Associate Professor of Public Administration and Policy, American University and Mirae Kim, Associate Professor of Nonprofit Studies, George Mason University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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The Dodger Gondola Project: A High-Flying Transit Idea Facing Heavy Headwinds
The Dodger Gondola Project, a proposed aerial transit line between Union Station and Dodger Stadium, faces major political, legal, and community opposition in 2025. Here’s where the controversial project stands now.
Dodger Gondola Project Faces Major Setbacks as L.A. Leaders and Residents Push Back
For years, the Los Angeles Aerial Rapid Transit (LA ART) — better known as the Dodger Gondola Project — has been pitched as a bold, futuristic connection between Union Station and Dodger Stadium, whisking riders above traffic in a six-minute aerial trip. Supporters call it L.A.’s chance to build a cleaner, faster, iconic transit link. But as 2025 winds toward its close, the project faces more turbulence than ever.
A Quick Refresher: What the Gondola Would Be
The proposed gondola line would travel about 1.2 miles, with stations at Union Station, a stop near L.A. State Historic Park, and Dodger Stadium. Private backers connected to former Dodgers owner Frank McCourt have promoted it as a zero-emission way to move more than 5,000 passengers per hour on game days — and potentially daily for tourists, residents, and park visitors.
Why the Dream Is Stalling
In November 2025, the Los Angeles City Council voted 12–1 to formally oppose the project, urging Metro to abandon it. While the vote isn’t legally binding, it signaled a major political shift. Councilmember Eunisses Hernandez, who introduced the resolution, cited environmental and community concerns — especially the impact on Chinatown, Solano Canyon, and L.A. State Historic Park.
A California Court of Appeals ruling earlier in the year also struck down Metro’s original environmental review, forcing a supplemental EIR that reopened debates about tree removal, tower placement, noise, and neighborhood impacts. The city has additionally ordered a comprehensive traffic study, pausing key permits until it’s complete.
Communities Speak Out
Local opposition has been strong and well-organized. Residents warn the gondola would remove mature trees, alter the character of the State Historic Park, and intrude over communities that have already shouldered decades of infrastructure burdens. Advocacy groups say the project favors private interests over public need, pointing to the lack of a clear long-term funding or maintenance plan.
Not Dead — But Deeply Uncertain
Despite mounting challenges, the gondola isn’t entirely grounded. Metro is still reviewing public comments on the supplemental environmental report, and state lawmakers are debating legislation that could streamline some project requirements. Whether those efforts succeed — or whether political pressure ultimately stalls the gondola indefinitely — remains to be seen.
The Big Picture
The Dodger Gondola Project sits at the intersection of transit innovation, environmental justice, and the future of Los Angeles mobility. For supporters, it represents a chance to modernize travel to one of the nation’s most visited stadiums. For opponents, it’s an unnecessary experiment that risks community space and public resources.
Either way, the next year will be pivotal — and L.A.’s debate over the gondola is far from over.
Sources and links for further information
Associated Press: “Los Angeles officials seek to halt proposed Dodger Stadium gondola” — apnews.com
Los Angeles Times: “Los Angeles City Council votes 12-1 to urge Metro to halt Dodgers gondola project” — latimes.com
NBC Los Angeles: “Dodger Stadium gondola should be a no-go, LA City Council says” — nbclosangeles.com
PR Newswire (project press release): “LA ART Gondola Project Takes Next Step Forward … with Release of Draft Supplemental Environmental Report” — prnewswire.com
LAist: “Controversial Dodger Stadium gondola project gets new environmental report. Here’s how you can weigh in” — laist.com
Official Metro page: “Los Angeles Aerial Rapid Transit (LA ART)” — metro.net
Site for public comment: “Stop The Gondola – Public Comment” — stopthegondola.org
CEQA Notice of Availability: “Draft Supplemental Environmental Impact Report – LA ART Project” — ceqanet.lci.ca.gov
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National Pickle Day: Celebrating the Tangy Delights of Pickles
Celebrate National Pickle Day on November 14th, indulging in the tangy delights of pickles. Discover fascinating pickle facts and try different varieties! #NationalPickleDay
Last Updated on November 14, 2025 by Daily News Staff
Why did the pickle take up Pickleball? Because it wanted to be a “dill-lightful” athlete on the court! Just like the versatile and pickle-icious sport of Pickleball, pickles themselves bring a tangy twist to any dish they’re added to. So, whether you’re smashing shots on the Pickleball court or enjoying a pickle-infused snack, let’s pickle our way to fun and laughter! Happy National Pickle Day and may your Pickleball skills be as sharp as a perfectly brined gherkin!
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3 Ways You Can Help Tackle Hunger and Strengthen Communities This Holiday Season
(Family Features) The holiday season is often a time of joy, connection and celebration. For millions of families across the country, however, it is also a season of uncertainty, wondering how to put food on the table or meet other essential needs. According to the USDA, more than 47.4 million people in the United States experience food insecurity each year. That’s why, each holiday season, thousands of Charles Schwab employees come together to fight hunger and strengthen the communities where they live and work. Through employee meal-packing events and nonprofit grants, volunteers and partners help families access nutritious meals and vital support during the holidays and beyond. “As we gather with loved ones this season, it’s important to remember that not all of our neighbors have that security,” said Kristine Dixon, managing director of Charles Schwab Community Affairs. “By working side-by-side with local hunger relief organizations, we’re helping ensure more families can share in the joy of a holiday meal and the peace of knowing they are supported.” As you prepare for the holidays, here are a few ways you can help address hunger relief and support your neighbors. Donate to a Local Food Bank Food banks and pantries are at the heart of efforts to make nutritious food accessible for all. Inflation and rising costs of living have stretched budgets thin, making it harder for families to afford groceries. Nonperishable donations such as canned goods, pasta and rice are always in high demand. Monetary donations often go even further, giving food banks the ability to purchase exactly what is needed most. Volunteer Your Time The gift of time is just as valuable as food donations. Food banks and hunger relief nonprofits rely on volunteers to sort, pack and distribute meals. Even a few hours can make a meaningful difference, adding up to thousands of volunteer hours to help nonprofits meet urgent needs during the holiday season and year-round. Support Community Partnerships No single organization can solve hunger alone. Collective action from neighbors, companies, nonprofits and others is what creates lasting impact. This year, Schwab employees will join forces with partners like Harvest Pack to pack more than 1 million nutritious meals for families across the country. Supporting these types of efforts, whether through donations, volunteering or spreading awareness, can expand the impact. Hunger is about more than food; it’s about stability and opportunity. By giving, volunteering and partnering with organizations that serve families in need, you can make the holiday season brighter for millions of Americans. Learn more at aboutschwab.com/season-of-giving. Photo courtesy of ShutterstockStories of Change: People Making a Difference
Discover inspiring stories of changemakers making a positive impact. Explore videos and articles of people tackling today’s biggest challenges with action and hope. Visit: https://stmdailynews.com/stories-of-change/
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