MAUW Member Policy Hub

Choose a button below for information & action alerts on public policy issues affecting ALICE and our work.

You can always click here for information on your state & federal elected officials, and for general advocacy tips & resources, click here.

211

211 Advocacy Opportunities

The Michigan United Way network leads the way in advocating for 211, including increased funding, with state government. See the drop-down menu for more resources that will help you join our state-wide effort for $6.6 million in state funding for Michigan 211.

  • Whenever you have a conversation with a state legislator, please follow up by sharing our two-page budget brief with them.

  • Use these scripts to send a series of communications to your state reps and state senators between now and mid-April about the need for $6.6 million in funding for 211.

  • Scroll to the bottom of MI211’s Legislators webpage to see 211’s call data from citizens in your State Senator or State Representative’s district.

  • Prior to each February, consider asking local government bodies like a county board or city council to sponsor their own 211 Resolution, recognizing February 11 as 211 Day, or the week or month as 211 Week or Month.

    Click here to access a template resolution made for you to amend and use.

Child Care

Child Care Advocacy Opportunities

MAUW Child Care Bill Tracker

Follow bills that would impact child care access and affordability for ALICE.

Follow this Early Childhood Budget Tracker from ECIC for early childhood budget updates across the Governor, House, & Senate

Child care is a critical window of opportunity to incubate human capital, and an essential support for ALICE families. There is no period of time that comes even close to the amount of growth and development and transformation that happens from the day you're born to the day you turn 5. It's an unimaginable amount of change and development for children and it's an opportunity to foster the most development for children because you cannot replace this time. It’s also the time of a child’s life when their parents have the greatest need to arrange for child care while they work.

But the child care market is breaking. Child care has risen faster than prescription drug costs over the last 10 years, yet nationwide 98% of our workforce earns more than the child care workforce. Providers can’t afford to pay teachers more without raising tuition above what families afford, and teachers can’t afford to stay. As a result, a Michigan State University study concluded two-thirds of the state are in “child care deserts,” where there are three or more children for every available spot in child care centers and licensed in-home care facilities

It's unaffordable for families and as a profession for workers themselves. It's a market that does not work along normal rules. It is a bedrock of our economy. The child care crisis costs the state an estimated $2.9 billion annually in employee turnover, absenteeism and taxes, according to the Michigan Chamber of Commerce.

There is no traditional market solution that is going to come. There is no technological solution - this is human care for young children. There is no innovation or automation that could change the basic fundamentals of child care.

One study in Michigan calculated that the state would need to spend $3.2 billion more per year to solve the child care crisis, above the $1 billion already going to early education.

  • All early childhood educators in Michigan would be automatically eligible for the state’s child care scholarship. This has been implemented in Tennessee.

    Risk: Low, competition for resources. There is some debate over whether this is the best way to support the profession - it’s not a bad way to subsidize incomes of providers with children, but many providers are not parents.

    Landscape: Governor Whitmer has proposed this in her FY25 budget proposal in 2024. Think Babies Michigan also supports this priority.

  • The state pays child care providers by reimbursing them for the care they provide by the day for children. Advocates for contracts argue that reimbursement underpays providers, who need to be at work whether they have 4 or 5 children attending that day. Contracting providers for slots would move our state more towards paying for child care like we pay for schools - essentially by enrollment, instead of by attendance.

    Risk: Low, but Higher when you scale up. total funding need for 0-3 care is estimated over $2 billion. Growing consensus in ECE field that new revenue streams are needed.

    Landscape: Think Babies Michigan leads the coalition for this priority. The entire field of early childhood orgs & advocates are coalescing behind the idea of contracts instead of “reimbursement” for services - but they need voices from “outside”.

  • Advocates in Michigan are pushing for the state to supplement early childhood educators’ wages with a tax credit.

    See Michigan’s Children’s one-pager on the case for an early childhood educator tax credit

  • Current eligibility for the child care scholarship (formerly called subsidy) is 200% of the Federal Poverty Line. Michigan has steadily increased eligibility in recent years. Only a small percentage of currently eligible families actually enroll in the child care scholarship.

    Risk: Low, competition for resources.

    Landscape: Many natural supporters especially among business community and centrist & business-minded legislators. There is a sense among many advocates that investment in the system must now catch up with eligibility expansion.

  • A 2025 Upjohn Institute study found that GSRP returns $1.72 in economic value for every $1 invested. Here is an Infographic of the ROI of GSRP.

    The ceiling for income eligibility for the state’s publicly-funded Great Start Readiness Program to children is currently 400% of the Federal Poverty Line. Recent proposals to increase eligibility to something short of universal have suggested raising to 450% or 500%.

    NOTE THE UNIVERSAL PREK ITEM TOO.

    Risk: Moderate. GSRP expansion is causing heartache in early childhood community, and political fight may be re-emerging over how many GSRP seats should be in public schools vs CBOs.

    Landscape: Will be a difficult fight given recent expansion and divided government for an increasingly small ALICE population.

  • Only 6% of kids who are income-eligible receive a child care scholarship in Michigan. One reason is that many providers refuse to participate due to low reimbursement rates paid out by the system. Raising payments to child care providers who participate in the state’s child care scholarship program - whether through biweekly reimbursement rates or other structures like yearlong contracts - is a commonly-recommended strategy for improving child care access.

    Risk: Low, but Moderate when you get into larger-scale solutions. total funding need for 0-3 care is estimated over $2 billion. Growing consensus in ECE field that new revenue streams are needed.

    Landscape: Think Babies Michigan leads the coalition for this priority. The entire field of early childhood orgs & advocates are coalescing behind raising provider payments & worker wages - but they need voices from “outside”.

  • Michigan has lost many child care professionals in recent years to better-paying and/or lower-stress jobs. But providers cannot charge more from families to pay higher wages. The state could respond by dedicating funds to increase the pay or benefits of early childhood professionals and open up pathways to an early childhood credentials and careers, as has been done for other care professionals in recent years.

    See Michigan’s Children’s one-pager on the impact of the early childhood workforce.

    Risk: Low, but Moderate when you get into larger-scale solutions. total funding need for 0-3 care is estimated over $2 billion, much of which would be directed towards increased wages.

    Landscape: Divided government makes small movement possible but not guaranteed due to the expense that comes with raising payments at any rate. The entire field of early childhood orgs & advocates are coalescing behind raising provider payments & worker wages - but they need voices from “outside”.

  • Expanding income eligibility for tri-share and providing increased funding would enable expanded access.

    Risk: Low for policy reforms, Moderate for a significant funding increase. The future of this program is a primary source of tension between early childhood “advocates” and the business community.

    Landscape: Strong support for expansion from the state’s chambers of commerce and many business leaders who advocate for early childhood. United Way of Northwest MI provides backbone services.

Housing

Housing Advocacy Opportunities

MAUW Housing Bill Tracker

Follow bills that would impact housing access and affordability for ALICE.

In Michigan, ALICE is facing dual, and related crises of housing shortage and homelessness.

Housing Shortage

Half of vacant units are second homes or short-term rentals. We have an aging and shrinking housing workforce and rising costs of construction. Local efforts to build housing can run into vocal opposition. As a result, home prices have shot up by 50 percent over four years. In 2023, just one quarter of homes were bought by first-time homebuyers, an all-time low, and that the median age of a homebuyer was age 56, which was an all-time high.

Homelessness

About 33,226 Michiganders experienced homelessness in 2023, the most recent year for which statewide data is available. That was an increase of about 2%, or 521 individuals from 2022 and an even larger jump from 2020, when the state reported 30,746 people experiencing homelessness. When a young person does not have a consistent place to stay, their health and education suffer.

United Way brings together businesses, labor partnerships, and other community leaders and ALICE needs with the knowledge of the UW network to build out solutions for ALICE & housing. We can lend our voice to housing needs across the housing continuum, from people in homes but struggling with the basic costs of housing to low-income & acute homeless housing issues.

We can advocate for state policies that build capacity to expand, preserve, and improve housing for ALICE.

  • Support for any housing protections for renters or homeowners.

    Current bills that would create protections for renters or homeowners include the following (see tracker below for links to bills):

    • Tenant’s Right to Repair (SB 19)

    • Allow for return of a tenant’s security deposit by electronic transfer (SB 22)

    • Removal of prohibition on a tenant’s right to form a Tenant Union (SB 21)

    Risk: Low to High depending on the mandate of any particular proposal and who is targeted.

    Landscape: Many of these bills are driven by the Michigan Coalition Against Homelessness. The Michigan Rental Property Owners Association, developers, and MSHDA are key stakeholders in the passage of any legislation, especially in divided government.

  • Continue or increase dedicated state funding for building affordable housing through the Michigan Housing and Community Development Fund (HCDF). Michigan recently passed a law providing $50 million annually into the HCDF, and advocates argue that at least $100 million of need annually exists.

    Proposals introduced by Republican lawmakers and a Democrat state rep would divert a one-time $50 million allocation to the HCDF to road funding.

    Risk: Moderate, competition for resources & revenue streams. Would likely be a party-line vote, and would affect funding for economic development incentives that benefit some large UW donors.

    Landscape: Democrats are considering a proposal to divert future corporate income tax revenues (that currently are spent on economic development incentives but will that plan expires in 2025) into the HCDF.

  • Balance of State Continuum of Care 211 Dashboard

Income & Tax

More information to come here!

Estate tax would benefit just 56 tax filers in Michigan

  • Eligibility

    Under current law, families need to earn upward of $30,000 a year to receive the full tax credit amount. Up to $1,600 of the CTC may be refundable per child. This refundable portion is known as the Additional Child Tax Credit (ACTC). To be eligible for the ACTC, you must have earned income of more than $2,500. The refund is generally 15% of your earned income over $2,500, up to that $1,600 per-child cap.

    This math winds up delivering a less-than-maximum CTC to about 20M kids in working households nationwide. These families’ median income is about $23,000. In Michigan, this affects 637,000 children (CBPP, 2025), including 35% of kids in rural areas and 31% of kids in metro areas. Estimates also conclude that roughly 19,000 children of veterans are affected by this cap.

    Debates continue over who should be eligible for the full CTC.

  • More info to come

  • Proposals in the Michigan House and Senate would cut the state’s income tax from 4.25% to 4.05%.

    The proposal would represent a less than 5% decrease in the overall tax bill for most Michiganders and could save the median Michigan household — which earned $71,149 in 2023 — about $131 a year. The nonpartisan House Fiscal Agency estimates the cut would reduce state revenue by more than $700 million a year, a decline that some lawmakers warned could be too steep.

    MAUW supports more targeted income tax relief that provides a greater benefit to ALICE households.

    Risk: Very High to support, Moderate to Oppose. This is seen as a highly partisan effort. We cannot publicly comment on this without a viable alternative.

    Landscape: The traditional pro- and anti- coalitions along liberal and conservative lines.

  • Current state funding: $3.3 million.

    CEDAM runs the Michigan Economic Impact Coalition which leads advocacy efforts for VITA funding.

    You can join the MEIC and subscribe for email updates at the link above.

  • Currently, children must have a valid SSN issued by the Social Security Administration before the due date of the tax return (including extensions) in order to be eligible for the CTC, and each of their parents on the tax return must have a valid SSN or ITIN. Current tax proposals in Congress would change this to also require each parent on a tax filing to have a SSN only.

    Status Lives in U.S.? Has SSN? Pays U.S. Taxes? CTC-Eligible? EITC-Eligible?

    Citizen ✅ Yes ✅ Yes ✅ Yes ✅ Yes ✅ Yes

    Resident Alien ✅ Yes ✅ Often ✅ Yes ✅ Yes (with SSN) ✅ Yes (with SSN)

    Nonresident Alien ❌ or Partial ❌ no ITIN ✅ U.S. income ❌ No ❌ No

    Undocumented Immigrant ✅ Yes ❌ (ITIN) ✅ U.S. income ❌ (unless child has SSN) ❌ No

    An ITIN is issued to people who are:

    • undocumented workers for the purpose of collecting taxes from their income,

    • Noncitizen spouses, if a U.S. citizen files a tax return with a noncitizen spouse

    • Noncitizens claimed as dependents on a U.S. tax return,

    • Are students, professors, or researchers under certain visas

    Tax law currently provides a $500 dependent credit available to undocumented children and others ineligible for the CTC, but most low-and moderate-income families earn too little to access this benefit since it is nonrefundable.

    As of 2018, roughly 15,000 children do not have a SSN.

MAUW Income & Tax Bill Tracker

Follow bills that would directly affect ALICE incomes and major sources of tax revenue for investments into supports for ALICE.

Income & Tax Advocacy Opportunities

Health & Nutrition

Medicaid & ALICE

Medicaid is a backbone of healthcare for ALICE. As of February 2025, more than 2.6 million residents, 26% of the population, were enrolled in Medicaid — about 1.9 million in the traditional program and roughly 740,000 in the expansion program known as Healthy Michigan. Approximately 1.4 million were getting food assistance, according to state data.

Medicaid covers one in five Michigan adults age 19 to 64, three in five nursing home residents and 38% of live births, according to the Kaiser Family Foundation. The Michigan League for Public Policy estimates that the U.S. government paid for 76% of total Medicaid spending in Michigan in 2024.

  • Over 1 million children, or 2 in 5 statewide, receive health coverage through Medicaid;

  • ALICE Seniors depend on Medicaid for long-term services and supports, including nursing home care and home-based assistance;

  • ALICE Michiganders who otherwise would not receive Medicaid/ACA health care can receive inpatient and outpatient care and medications through the Medicaid-funded Breast & Cervical Cancer Control Navigation Program (BC3NP) (which 211 supports with a special resource directory)

  • People with disabilities who use Medicaid to access services that help them live and work in their communities;

In 2024, 45% of all babies born in Michigan were covered by Medicaid, and nearly half of all children in the state are insured through the program. In rural Michigan, the percentage is even greater, as the majority of births in most rural counties are covered by Medicaid. Medicaid also plays a critical role in behavioral health and substance use treatment, especially in rural and underserved areas.

Beyond its importance to ALICE, Medicaid is a major economic driver for Michigan. The program supports more than $24 billion in annual healthcare services, with over 65% of funding provided by the federal government. Medicaid expansion alone has brought over $1 billion in federal funds into Michigan and supported more than 10,000 jobs.

  • State-level data on debt in excess of $250 owed specifically to providers or collection agencies (i.e., excluding debts accumulated using general borrowing tools like credit cards and personal loans, debt owed to family and friends, and any medical debts below $250) shows that the percent of adults with this kind of medical debt in Michigan (9 percent) is above the national average (8 percent), which is similar to Ohio and Wisconsin, but lower than Illinois and Indiana. 

    Michigan included $4.5 million in the FY2024 budget for a grant program “to eliminate medical debt to patients with an income below the federal poverty level with a financial need or who face insolvency.” There is some effort to build on this funding in this year’s budget.

    RIsk: Low, Competition for resources. This has been a particular priority of Senate DHHS Budget Chair Sylvia Santana and was mentioned in Governor Whitmer’s 2025 State of the State Address.

    Landscape: Supported more on the progressive side, not many institutional stakeholders active on this issue, mostly just competition for DHHS funds.

    The Citizens Research Council of Michigan published a report following these developments on the current state of medical debt regulation, with policy recommendations.

  • Provide continued funding to support Medicaid reimbursement for the full continuum of perinatal care, including reimbursements for doulas, birthing centers, group-based prenatal care, & lactation support.

    Risk: Low, competition for resources. Though it could become Moderate if/when work requirements return as a policy issue in Michigan.

    Landscape: Michigan League for Public Policy leads advocacy efforts for this with Think Babies Michigan.

  • Federally, the topic of “Community Eligibility” is the center of school lunch policy. Congress is considering raising the threshold.

    See which school districts are currently “Community Eligible”

  • The current House reconciliation bill would extend SNAP work requirements to households with school-age children, raise the maximum age when work requirements apply from 54 to 64, and limit states’ ability to request work requirement waivers for areas with high unemployment. People subject to the policy would be limited to three months of SNAP benefits within a 36-month period unless they meet the work requirement by working or participating in a qualifying work program.

    Another proposal would aim to save money by rolling back changes made to the “Thrifty Food Plan”, which estimates food costs across US regions to set SNAP monthly benefits. The Thrifty Food Plan was updated under the previous administration to respond to the higher cost of food.

    Urban Institute has calculated the gap between a moderately-priced meal in your county and the maximum SNAP benefit after proposed rollbacks to the Thrifty Food Plan. See your county stats here.

  • MAUW is part of the Protect MI Care Coalition supporting Medicaid advocacy with Congress. See the Protect MI Care Launch Toolkit

    Proposals to cut Medicaid by $880 billion over the next decade, as outlined in the House Budget Resolution, would be devastating for Michigan. In 2026 alone, our state would experience:

    • $2.2 billion in lost federal funding

    • $4.9 billion in lost economic output

    • $2.9 billion in reduced state GDP

    Cuts of this magnitude would force impossible choices—shrinking access to care, shifting costs onto state budgets and local providers, and threatening coverage for seniors in nursing homes, those receiving cancer care, veterans, people with disabilities who need daily support, and working families who can’t afford private insurance.

    Worse still, the damage wouldn’t stop with those who rely on Medicaid. These cuts would destabilize the entire healthcare system. Hospitals, birthing centers, mental health clinics, and nursing homes across Michigan depend on Medicaid to keep their doors open. If that funding disappears, many of these facilities will be forced to shut down, leaving entire communities without essential services. And when a hospital or clinic closes, it doesn’t just close for Medicaid patients but for everyone. Whether someone has Medicaid, private insurance, or Medicare, it won’t matter if there’s nowhere to go for care. These closures would create healthcare deserts across our state, straining the remaining providers and putting all residents at greater risk with fewer options, longer wait times, and reduced access during emergencies.

    The Medicaid expansion halved hospitals' uncompensated care costs, and the state government does not have revenue to offset possible federal cuts.

    Source: Crains (paywall)

    In addition to potential Medicaid cuts, additional cuts have been made to federal funding for public health programming in MI, including lab capacity to prevent infections diseases and substance use services.

    Increasing the frequency of mandatory eligibility checks for expansion enrollees to every six months would increase administrative burdens and reduce access to care. Many Medicaid coverage losses at redetermination are due to procedural challenges, not a change in eligibility. Therefore, increased redeterminations would create more opportunities for missing mail, higher burdens of completing paperwork, and a greater chance for losing coverage despite remaining eligible.

  • Early On is a statewide system of free early diagnosis and intervention services for developmental delays and disabilities for infants and toddlers. All families in Michigan are eligible for Early On. The system is funded with some state funds and IDEA Part C funds, but primarily through county-based special education millages.

    Over the past three fiscal years, Early On Michigan’s state and federal funding ranged between $32 million and $35.2 million, with approximately $18.7 million in Medicaid reimbursements (2023) and additional local funding. Based on FY 2025 state and federal funding ($32m) and estimated Medicaid reimbursements ($18.7M):

    • An additional $205 million is needed to cover the cost of current services.

    • An additional $280 million is required to fund target service levels.

    While exact gaps are difficult to determine based on the lack of available information on county special education millage funds used towards Early On in each area, for the first time we have a “true cost of care” for early intervention services. Read the full report.

Charitable Sector Policy

Giving USA has found that individual giving declined by 13.4% in recent years. The Charitable Act (S. 566 / H.R. 3435) would create a universal charitable deduction or above-the-line tax deduction (i.e., a tax deduction that taxpayers can claim on their Forms 1040 regardless of whether they use the standard deduction or itemized deductions) for non-itemizers who make charitable contributions. The deduction would be capped at one-third of the standard deduction (about $4,600 for individuals and $9,200 for couples).

In January 2025, Sens. Lankford (R-OK) and Coons (D-DE) and Reps. Moore (R-UT), Davis (D-IL), Miller (R-WV), Pappas (D-NH), and Panetta (D-CA) reintroduced the Charitable Act (S.317/ H.R. 3435) to expand and extend the expired non-itemized (above-the-line) charitable deduction to roughly $4,500 for individuals and $9,000 for couples.

Last session, Sens. Peters and Stabenow and Reps. Scholten and Thanedar co-sponsored this act in their respective chambers.

This session so far, Sen. Peters and Reps. Scholten and Thanedar have so far co-sponsored these acts.

Independent Sector polling shows overwhelming public support for strengthening charitable giving. Eighty-eight percent of voters support permanently restoring the universal charitable deduction for all taxpayers. Support for expanding the deduction up to $5,000 has reached a four-year high of 83%, including at least 82% of both Trump and Harris voters. These numbers send a clear message: Americans believe in the power of nonprofits and want to see them thrive.

Charitable Sector Advocacy Opportunities

  • See the co-sponsors for the Charitable Act in each Congressional chamber, and if you don’t see your Congressperson, ask them to co-sponsor the Charitable Act.

    S.317 and H.R. 3435

General Federal Budget Resources

First Focus presents a pretty comprehensive description of the policy ideas under more serious consideration for federal budget cuts through budget reconciliation, and provides information about their impacts from a liberal perspective. This should be used for informational purposes but should likely not be looked to for messaging.

Click here for a comprehensive list of policy ideas under consideration by the US House Ways and Means Committee for reductions to “pay for” any budget reconciliation. This is quite a wonky document but shows what the House Majority are looking at and the cost/savings attached to each one.

  • 41% of funded grants are being terminated, a total of $400 million in grants and 1,031 grantees totaling 32,465 AmeriCorps and Senior Corps members. Most if not all contracts and vendors cancelled. An 85% staff reduction at the Americorps agency has been ordered.

    It is unclear yet if VISTA is included, what programs are in the cuts, and what this means for in the pipeline future FY25/26 programs etc.

    Action Opportunities:

    Please let MAUW know how your work is being affected by the Americorps cuts.

    A group that is considering litigation regarding AmeriCorps cuts has been in touch with the National Council of Nonprofits.  If you are aware of nonprofits that have been negatively affected by the cuts to AmeriCorps or have been yourselves, you can contact Rick Cohen at  rcohen@councilofnonprofits.org and he will link you up with this group.

  • The Emergency Food and Shelter Program (EFSP) is a cost-effective, community-driven initiative that provides emergency aid to ALICE households through local nonprofits, churches, and charities—not government bureaucracies. It supports faith-based organizations, reduces strain on law enforcement, and ensures temporary relief for neighbors with emergency needs. With low administrative overhead, EFSP maximizes resources for food and shelter while maintaining fiscal responsibility. By strengthening communities and stabilizing crises, it prevents greater government spending down the road. EFSP is a smart, locally controlled safety net that upholds nonpartisan values of efficiency, public-private partnership, and community resilience in times of hardship.

    Phase 42 EFSP funds have been frozen by the federal Administration, and some communities are experiencing clawbacks of funds. Use this script for emails and phone calls to your Congressperson in Michigan to encourage the disbursement of all committed EFSP funds so ALICE can benefit.

  • Here is an action page for Head Start federal budget advocacy. This is not United Way/ALICE messaging but contains an editable message.

  • Congress will soon begin negotiating a spending bill to fund HUD’s vital affordable housing and homelessness assistance programs in the coming fiscal year. The recently passed fiscal year (FY) 2025 spending bill underfunded HUD programs, providing insufficient funding for renewal needs for programs like the Housing Choice Voucher (HCV) and Homelessness Assistance Grants (HAG) programs. As a result, fewer households will receive needed rental and homelessness assistance.

    Urge federal lawmakers to expand - not cut - investments in HUD programs in the FY26 spending bill, including NLIHC's top priorities:

    • Full funding to renew all existing Housing Choice Voucher (HCV) contracts and funding to renew 60,000 Emergency Housing Vouchers (EHVs).  

    • Increased funding for public housing operations and public housing capital needs.  

    • $4.922 billion for HUD’s Homeless Assistance Grants (HAG) program.  

    • $20 million for the Eviction Protection Grant Program (EPGP).   

    • At least $1.3 billion for HUD’s Tribal housing programs and $150 million for competitive funds targeted to tribes with the greatest needs.  

  • On February 7, United Way Worldwide held a workshop on Applying for US Federal Earmarks in 2025: What you need to know virtual briefing.

    To view recording of webinar click the link here. Passcode: @7onFn.d (Password is case sensitive)

    Please see below for resources that were mentioned:

UWW Federal Advocacy Resources

View talking points and United Way Worldwide’s action resources for Congressional budget reconciliation advocacy in support of SNAP and Medicaid.

Federal Administration Updates

To help you and your partners navigate the high volume of potential changes being made within the federal administration, we have gathered some resources here for you. First, United Way Worldwide has created a great webpage on Navigating US Federal Policy Change at United Way Online.

This spreadsheet tracks all Executive Orders and their current status and next steps, including legal challenges. If you are interested in a particular legal challenge, this webpage may have additional details on the current status of the case.

Messaging Tips

Americans Against Government Censorship has conducted messaging research on responding to the current administrative actions that would encroach on the ability of nonprofits to accomplish their missions, such as expanding efforts to rescind the tax status of non-aligned nonprofits. As circumstances intensify, it is even more critical that we use these learnings as a grounding tool with both the press and the public.

See this excellent messaging guidance here.

EO Proposing Restrictions to PSLF

Last week, President Trump signed an executive order directing the Department of Education to propose changes to the Public Service Loan Forgiveness (PSLF) program to exclude organizations that “engage in activities that have a substantial illegal purpose,” including organizations that advance illegal immigration or support “terrorism”, “child abuse”, “illegal discrimination”, or “disorderly conduct”. PSLF, signed into law by President Bush in 2007, provides forgiveness for eligible borrowers, including those working at any 501(c)(3) charitable nonprofits regardless of service area, after making 120 eligible payments.

Michigan Nonprofit Association Advice for Nonprofits

Here is a legal brief on what the law says with regards to current threats to nonprofits’ tax status.

This is a good time to assess and prepare as best as possible for what’s next. In addition to participating in advocacy and learning calls with your various coalitions, here are some immediate actions you might consider taking right now, and that you can recommend to community partners: 

  1. Scenario plan. Funding is under threat with direct or pass-through federal funding. Model out different scenarios, assessing the risk level to different funding streams, and the implications and options should they cease. Nonprofit Finance Fund offers a free scenario planning tool here that can be helpful; it is part of a series of resources on building resilience during uncertain times. The National Council of Nonprofits also offers a Federal Funding Risk Assessment checklist for nonprofit leaders who currently receive federal funds.

  2. As we saw last week, we may experience fits and starts to funding. Cash flow planning is critical. NFF’s cash flow projection template (also free) is another valuable tool as organizations plan for uncertainty. 

  3. Access the many great resources that have been put out there by others supporting the field. Just a couple:

See “Myth vs Reality: Executive Branch Lacks Authority to Target Nonprofit Organizations”