Strengthening our nonprofit sector to improve our communities

Last week the Vegas Chamber and its Leadership Foundation hosted a community symposium focused on the state of nonprofits in Southern Nevada. After remarks by former nonprofit leader Congresswoman Susie Lee, three panels featuring public policy experts, nonprofit leaders, and elected officials considered the challenges facing the region’s nonprofit sector. These include antiquated state government processes for accessing and administering federal grants, the impact of current and future federal spending cuts, and the lack of coordination between government agencies, nonprofits, and the business community

The participants highlighted several factors that limit the ability of Southern Nevada nonprofits to deliver services to the region. Nevada GrantLab CEO and president Miles Dickson noted that Nevada trails all 50 states, Washington DC, and U.S. territories in obtaining federal grant dollars on a per capita basis. At the same time, federal dollars provide over 30 percent of state revenue, but because of our narrow tax base, Nevada ranks 47th in state expenditures per capita despite glaring deficiencies in its social service, public health, and education systems. Our nonprofits are further hindered by the fact that Nevada trails every state besides New Mexico in charitable giving and volunteering.

Some of the changes to support our nonprofit sector require legislative action, such as prompt and advanced payment of grant funding. Several reforms that would reduce the friction between nonprofits and the state government can be accomplished through administrative actions such as centralizing information about funding opportunities, streamlining reporting and eligibility requirements, and stabilizing the state grant administration workforce including recruiting and compensating grant writers. Like those who work at nonprofits, state employees care deeply about improving Nevada and its communities, but do not have the resources to perform their jobs effectively. 

Former speaker of the Nevada Assembly and executive director of Legal Aid Center of Southern Nevada Barbara Buckley noted that because nonprofits are nimbler and operate with lower overhead than state and local government agencies, they are uniquely positioned to deliver services. However, due to decreased funding from foundations and the federal government in the face of increased demands for their services, nonprofits in Nevada and across the nation are struggling to maintain their employees and keep their doors open. Because many of our nonprofits exist to compensate for policy failures, the loss of our nonprofit workforce talent means that an already strained sector operating in a difficult environment will be expected to do more with even less. 

To meet these challenges requires a new model of collaboration between state and local governments, philanthropy, and nonprofits backed by policy interventions that recognize the importance of nonprofits to our community. As was suggested at the symposium, these should include engaging with wealthy residents who move here to take advantage of our low taxes but do not give to our nonprofits; obligating companies that receive tax abatements to support our communities through nonprofit giving and volunteering; and ensuring that state agencies that administer grants have the systems, staffing, and resources to succeed.  

For decades our underperformance in supporting nonprofits, accessing federal dollars, and modernizing administrative processes has been justified by the feckless rejoinder that “Nevada is different.” When you are different and succeeding, you are a model for the rest of the nation, but when you different and failing, it is time for change. We hope during the 2027 legislative session that policymakers recognize that business as usual is not going to cut it and that we need meaningful reforms to help nonprofits serve the needs of our communities in these uncertain times.