ACTION Blog

EA alliance of nonprofits sent a powerful message to legislators, calling attention to the effect that budget cuts will have on the nonprofit sector and the people we serve. We showed our support for raising revenue. Below is the letter EA alliance of nonprofits sent to electeds in Olympia:

As the Washington State legislature makes critical budget decisions that will have repercussions for our sector for years to come, it is essential that EA alliance of nonprofits assert its voice. Even as there is increasing need throughout the state, there are diminishing resources to meet that need. Unfortunately, proposed budget cuts disproportionately fall on the nonprofit sector and people we serve. Proposed cuts will affect health centers, food assistance, dental services, arts organizations, higher education, elementary education class sizes, medical assistance to the disabled and low-income families, mental health care, and air and water clean up.  We believe it is essential that the legislature balance budget cuts with revenue enhancements in order to preserve the essential services that add to the quality of life in Washington State. Thus, EA alliance of nonprofits supports both houses in their efforts to raise revenue. 

What are your thoughts on the budget? Should the legislature increase taxes? What type of tax increases do you think are necessary?

The Washington State Senate has proposed SB 6878 which singles out nonprofits to pay fees for background checks. The bill states, "Nonprofit organizations requesting fifty or more record checks per fiscal year shall be charged one dollar. Nonprofit organizations requesting fifty or fewer record checks per fiscal year shall be charged five dollars."

Many nonprofits rely on background checks to ensure the safety of the vulnerable populations they serve. This bill creates a disincentive to conduct background checks and puts our beneficiaries in danger. Also, this bill targets nonprofits who are already seeing a drastic decrease in state funding and an overwhelming increase in demand.

Does your organization conduct background checks? How would SB 6878 affect you?

As President Obama addressed the nation on health care reform, EA convened a panel discussion about the future of our health care system and how it will affect the nonprofit sector.

Almost all sides agree that the current health care system is broken, however deep political divisions and looming mid-term elections continue to stall progress. Whatever the outcome, nonprofits will be greatly affected.

A few ways nonprofits will be impacted if reform fails:

- As employers, out-of-control health care costs will burden our financial stability

- Growing problems of lack of access to health care will increase demand for nonprofits that provide human services

A few ways nonprofits will be impacted by proposed reforms:

- Nonprofits with 10 or fewer employees will receive incentives up to 25% of the employer's contribution toward the employee's health insurance premium. This is in contrast to a 35% tax credit that for profit businesses would receive. (Under Senate Bill and President's Proposal)

- Through a temporary reinsurance program, employers will be reimbursed for 80% of retiree claims. The retiree must be over 55 and not eligible for Medicare. Payments from the reinsurance program will be used to lower the cost for enrolles in the employer plan. (Under Senate Bill, House BIll, and President's Proposal) 

- Employers with 50 or more employees will be fined if they fail to offer health care coverage (Under Senate Bill and President's Proposal)

- Employers will receive grants for implementing wellness programs. (Under Senate Bill, House Bill and President's Proposal)

- Medicaid will be expanded to adult males without children. This would change the demographics of demand that many human service nonprofits face. (Under Senate Bill, House Bill and President's Proposal) 

- If successful, reform could lower overall healthcare costs to employers

What do you think?

Let us know if there are other ways that you think health care reform (or lack thereof) will affect the nonprofit sector.

 

For all of you following HB 3046: it is being presented to the Senate Judiciary Committee today, February 23rd. 

HB 3046 passed the House on February 10th and will now be reviewed by the Senate. The companion bill SB 6788 has passed the Senate, but the House version seems to be gaining more traction. EA has been in contact with our legislators in Olympia and has presented its position on the bill. We have received responses from a number of them and are continuing to dialogue about how HB 3046 will affect the nonprofit sector.  

On February 4th, I had the great opportunity to participate in the first Nonprofit Lobby Day in Olympia. Organized by EA alliance for nonprofits (of which HSDC is a member), over 50 nonprofit leaders met with 47 legislators and dropped off information to another 95. The messages were two-fold:

1. The nonprofit sector in Washington State is composed of significant businesses and employers – please remember us when you are looking at legislation that could impact the sector and our ability to deliver services, and

2. Remember that we are a resource and a strong partner in serving the citizens and communities of Washington State.

The reception from legislators was very good and I’m already looking forward to next year! Watch our Connect ENews for the date and join us! In preparation for this day, I learned some amazing statistics. Here are just a few:

• Nonprofits lead the way in financial efficiency through collaboration. Over 74% of nonprofits report collaborating with one or more other nonprofits.

• Nonprofit organizations are a large sector of the economy, representing over $126 billion in assets and $36 billion in revenue.

• Nonprofits are the 6th largest employer, providing $2.1 billion in wages within the State of Washington.

• There are 52,000 nonprofits in Washington providing services that would otherwise need to be provided by the state and others.

• Over the last year, 1 in 4 Washington nonprofits have reported a decrease in state funding.

One interesting perspective was the thought “What if all the nonprofits were gone?” That would mean no more services like we offer at HSDC, no more theaters, no more zoos, no more food banks, no more youth centers, no more emergency shelters, no more arts, no more global health organizations, no more employment programs, no more health programs, no more higher education, etc., etc. What would our communities look like?

The nonprofit sector is a valuable part of our communities and our lives. Please take a moment to reflect on your favorite nonprofits, the difference they make in your life, and make a contribution to them if you can.

House Bill 3046 is a response to a complication in the dissolution of a nonprofit in Spokane. It stipulates measures for all nonprofits that are going out of business. The bill was passed through the House and is now headed of the Senate Judiciary Committee. EA opposes the bill in its current form because it is an excessive response to the isolated challenges of one nonprofit. 

 

We are concerned over the following details:

1.         EA believes it is inappropriate for the Legislature to respond to isolated legal disputes through wide-reaching legislation.

2.         The language of the bill is extremely vague and would be difficult to interpret for individual cases.

3.         The bill has currently no provision for mediation prior to being sent to the Superior Court. EA recommends that a provision is added under Sec. 1 (2)(a) to ensure that the nonprofit avails themselves to all avenues prior to moving into the already overcrowded civil court system.

4.         Under Sec 1 (2): “or by a director or member of a designated body” should be removed to eliminate unnecessary deferment to a Supreme Court proceeding at the request of a single dissenting director. The current language would give to much power to individual directors and could threaten to further tie up the courts.  

5.         Under Sec.1 (2)(b): the word ‘oppressive’ is too vague and subjective. EA recommends removing it.

6.         Under Sec. 1 (2)(d): the phrase ‘misapplied or wasted’ is too vague. EA recommends removing or clarifying this phrase.

 

Let us know what you think of HB 3046!

For too long the collective voice of the nonprofit sector has been silent in Olympia. On February 4th, EA set out to change that by sponoring the first-ever Nonprofit Day in Olympia.

In this high-stakes legislative session EA members asserted the nonprofit sector as an essential party to policy discussions. EA members met with 47 legislators and delivered information to another 95.

Their message was strong and united:

• Nonprofits are influencial business and significant employers
• Nonprofits lead the way for financial efficiency through collaboration. Over 74% of nonprofits report collaborating with another organzation to provide services
• Nonprofits represent $126 billion in assets and $36 billion in revenue
• Nonprofits are the 6th largest employer, providing $2.1 billion in wages in the State of Washington
• Nonprofits who receive government funding leverage those dollars by coupling them with individual, foundation, and corporate donations
• Washington's 52,000 nonprofits carry a large burden for the quality of life in the state, providing services that would otherwise need to be provided by the state

They asked legislators to support us by:

• Recognizing nonprofits as a viable partner in the State's economy and quality of life
• Considering the impact on nonprofits of legislation that involves businesses
• Incentivizing economic growth and job creation for nonprofits 

 

 

I'm sure you've heard. In case you haven't, it's okay. It's no secret, we'll proudly repeat it here:

EA alliance of nonprofits is celebrating 10 years as a voice for nonprofits!

As a birthday gift from us, we've launched a brand new site overflowing with new features just for YOU. Learn more about the several benefits this new online tool offers here.

First things first: You should take a quick second and subscribe to our blog. The content we're putting out here is fundamental to the Public Policy & Advocacy Center work we're aggressively engaged in. As it is one of the three Pillars of Focus, much of our day-to-day work is centered on this fundamental aspect of the nonprofit sector. Here at the ACTION Blog you can keep up with our Public Policy Analyst and have an inside look at how we're Advancing a Powerful Nonprofit Sector.

Secondly, GET INVOLVED! Comment, discuss, and most importantly, speak up. As a membership association it is very important that we hear from you.

Look forward to the regularly updated content here. And... Happy Birthday to EA alliance of nonprofits!

EA, alliance of nonprofits, will join with state-wide nonprofits across every sector to protect our interests and position. On February 4th, we will travel to the capitol together, united, and decided to show our collective resolve for policy that supports nonprofit organizations and those we serve. Learn more here.