The number of nonprofit organizations and jobs has declined in New York while growing nationally, according to a report by New York state Comptroller Tom DiNapoli. The comptroller attributes that decline to a number of things – delays in government funding from late contracts, the devastating impacts of the pandemic, and economic uncertainty affecting donations
It’s a problem, the report highlights, because of the vital role nonprofits play in the state’s economy and the critical services they provide New Yorkers in areas like healthcare, food assistance, public safety, and childcare.
At YWCA of Ulster County, for example, early childhood education is the primary focus in their mission to empower women – particularly working mothers.
“Women who want to be in the workforce and want to build wealth or financial independence – without childcare – her chances are less than average,” said YWCA of Ulster County CEO Athena Fliakos.
Fliakos and her team of educators serve about 90 students a day. She says it’s meaningful but difficult work, due in part to low compensation rates for early childhood educators and the cost of upkeep on an aging building.
DiNapoli says staff retention and maintaining a base of economic support is a challenge across the nonprofit sector. According to his report, there were more than 33,500 nonprofits operating in New York in 2022 – providing more than 1.3 million jobs and $96.8 billion in total wages. But since 2017, the number of nonprofit establishments and jobs in New York has been declining, while growing across the nation.
In an interview with Spectrum News 1, DiNapoli said there’s concern about the long-term impact this decline could have on the accessibility of services for vulnerable New Yorkers.
“I think already there are some cracks in terms of delivery of services. And again, given the stress and challenges that governments have – governments can’t step in and pick up the slack. So, we really need to be working to make sure that when our nonprofits are entitled to, let’s say a state grant or a state payment, that the contract is processed in a timely fashion,” said DiNapoli.
The Comptroller says many nonprofits have benefited from the generosity of donations – money that’s been harder to come by due to inflation and rising costs.
But even a little spare change can go a long way. The High Falls Food Co-Op runs a charitable round-up at no cost to the business, supporting the YWCA and other organizations in the region.
“For one month we ask customers to round up their change at the register. It’s really easy, they just have to say yes, we press a button, some people add additional money on, and at the end of the month we cut a check to the YWCA,” said General Manager Lucy Georgeff.
Fliakos says it’s community partnerships like this that keep them going.
“While there’s not long-term sustainability models that I can refer to for not-for-profits of our size and of our budget – I have to believe that the power of the human heart ultimately will keep our coffers full enough to run it,” said Fliakos.