COVINGTON, Ky. — Nonprofits across the country are facing uncertainty around federal funding continues. Northern Kentucky Community Action and FIESTA NKY, two organizations in northern Kentucky, are working to see how the cuts will affect programming offered to families in need.

What You Need To Know

  • The Kentucky Nonprofit Network released a report sharing the long-term effects of funding cuts

  • Private foundations contribute about $107 billion each year to U.S. nonprofits

  • To replace lost government funding, their giving would need to increase by 282%

Nonprofits can provide lifesaving services such as food, child care and housing to at-risk families. However, federal funding used to keep these programs afloat is now in question.

Northern Kentucky Community Action provides a variety of services, from connecting older adults with resources to pay their utility bills to helping parents receive post-secondary education.

Catrena Bowman, Executive Director of the organization, said she is concerned they will have to end some of their programming if funding is cut.

“We offer 22 different programs, and of those 22 programs, 20 of them will be impacted by the cuts at the federal level,” she said.

The organization is one of over 20,000 nonprofits that could lose funding across Kentucky.

FIESTA NKY is a smaller nonprofit in the region. The organization is a Hispanic outreach and emergency food pantry. 

Theresa Cruz, CEO and founder of the nonprofit, said while they never received federal funding because of the size of the organization, they are still being affected.

“We have a pantry and distribution, and the people that distribute the food to me, they’re not getting food,” Cruz said. “So, I don’t have a lot to give my families and it’s this ripple effect that people don’t realize is happening.”

Kentucky Nonprofit Network President Danielle Clore said she agrees with the sentiment.

When one nonprofit experiences cutbacks, it not only affects the organization but the economy, Clore said.

“There’s a ripple effect when those funds are threatened across the nonprofit sector, for certain and quite frankly, across our economy in general,” Clore said. “As you probably saw, one in 10 Kentuckians works for a charitable nonprofit. So, it is a significant part of Kentucky’s economy.”

The Kentucky Nonprofit Network released a report sharing the long-term effects of federal funding cuts. 

Private foundations currently contribute around $107 billion each year to U.S. nonprofits, which would have to increase by 282% to replace lost government funding, said the report.

The Kentucky Nonprofit Network said reaching that amount of growth is not feasible.

While the future of federal funding remains uncertain, Bowman and other nonprofit leaders are urging local leaders to protect families in need. 

“We’re asking for our legislators to really step up to say we need these programs and services in our community because we understand the economic impact of not having them,” Bowman said.

For now, both organizations agreed to continue doing all they can to serve families in need.

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