Worcester Business Journal

September 22, 2025

Issue link: https://nebusinessmedia.uberflip.com/i/1539617

Contents of this Issue

Navigation

Page 17 of 27

18 Worcester Business Journal | September 22, 2025 | wbjournal.com services, with less resources, which is a recipe for burnout." Realizing all these federal cuts will impede non- profits' ability to respond in time of crisis, the United Way of Central Massachusetts launched the United Response Fund in August. e fund, started with a balance of $500,000, aims to support the organization's four impact pillars of youth opportu- nities, financial security, healthy community, and community resil- ience. Its purpose is to support nonprofits doing work in times of crisis, with funding to be issued on an as-needed basis when the time arises. "ere is so much happening with executive orders, rescinding of orders, reductions, cuts, and budgets," said Tim Garvin, president & CEO of the UWCM. "We within the United Way and other United Ways began to look at what were the essentials of life. Working with our board of directors, our staff, and our agency partners, we began to say, 'What can we do to put something together, a fiscal safety net for the next disaster, emergency, or crisis?'" e United Response Fund mirrors other UWCM efforts in helping the community recover, including the 2022 roof collapse at an apartment building on Worcester's Mill Street to helping Puerto Rican families impacted by Hurricane Maria in 2017. During the first Trump Administration, UWCM partnered with the Greater Worcester Community Foundation and the City of Worcester in 2020 to provide $10 million in support for local nonprofits in the initial phase of the coronavirus pandemic. Nonprofits struggle to find funding Speaking at an August gathering of anti-poverty advocates, Congresswoman Lori Trahan (D-Lowell) said Massa- chusetts received $75 million in CSBG funding in 2024. "Anyone who has spent a February here in Massachusetts knows just how critical that is and how dangerous it would be to take it away, but that's what Republican politicians in Washington are trying to do," Trahan said at the event, according to State House News Service. "ey're defunding these programs, and it's not just cruel. It's short-sighted, because when families can't afford their heat or their food or stable housing, the ripple effects hit our schools. It hits our hospitals, our local economies, our entire community." In addition to proposed cuts to CSBG, the Trump Administration has terminat- ed more than half of all federal funding for gun violence prevention programs first implemented as part of the 2022 Bipartisan Safer Communities Act. More than $300 million in community violence intervention grants were abruptly termi- nated in April, according to Reuters. Preparing for disaster F O C U S DIVERSITY, EQUITY & INCLUSION Tim Garvin, president & CEO of United Way of Central Massa- chusetts Ronald Waddell, executive director and co-founder of Legendary Legacies With nonprofits teetering following federal cuts, the United Way has set aside $500K for the next crisis BY ERIC CASEY WBJ Managing Editor T he inauguration of President Donald Trump in January has forced local nonprofits into a period of deep reflec- tion on their own operations, as both proposed and realized slashes to federal spending on programs designed to help low-income residents are creating havoc on their budgets. e cuts are being done in an effort to target programs the Trump Administra- tion argues poison the minds of Amer- icans with cultural Marxism, according to a May fact sheet released by the White House outlining cuts being made, which include preschool development grants and the Minority Business Development Agency. Trump's fiscal 2026 budget proposal calls for the elimination of $770 million in Community Services Block Grants, programs which seek to tackle poverty and revitalize low-income communities, and the Big Beautiful Bill Act passed in July cuts $186 billion from the Supplemental Nutrition Assistance Program through 2034. "One of our partners is the Worces- ter County Food Bank. ey're part of our workforce development program," said Ronald Waddell executive director and co-founder of Worcester nonprofit Legendary Legacies. "We have heard directly from them, with the looming suspension of SNAP, there's just not even enough food here to support those that are experiencing food insecurity. is puts additional stress on your workforce to provide the same amount, if not more Nonprofits' most pressing concerns When asked about their most pressing concerns related to the 2025 political climate, 66% of 572 nonprofit leaders across the U.S. survey cited concerns about funding levels. Concern Percent answered Decrease in or uncertainty about funding levels 66% Changing priorities of funders 54% Well-being and safety of our staff or those organization is trying to help 40% Increased demand for services 25% Backlash or opposition to organization's mission 24% Legal concerns about nonprofits or related to the people/issues affected by our work 24% Other financial concerns (e.g., rising costs) 15% Other non-financial concerns 3% No pressing concerns related to current political climate 2% Source: The Center for Effective Philanthropy March 2025 survey United Way of Central Massachusetts held its annual Day of Action on Sept. 12, as area nonprofits deal with the economic challenges created by federal cuts. PHOTO | COURTESY OF UNITED WAY OF CENTRAL MASSACHUSETTS

Articles in this issue

Links on this page

Archives of this issue

view archives of Worcester Business Journal - September 22, 2025