The Joint Finance Committee will meet to begin bill drafting sessions on the F.Y. 2016 Operating Budget on Monday, June 22 - 10:00 am in the JFC Meeting Room in Legislative Hall, Dover. This is a bit later than in recent years, but with the budget gap, it was critical to wait for the DEFAC forecast numbers that came out yesterday, Monday, June 15th. The forecast went in the right direction, but still leaves JFC with an approximate $30 million gap to fill.
I hope you took the opportunity during DANA’s Virtual Nonprofit Advocacy Days, June 1-7, to connect with your legislators.
For those of you who have Grant-In-Aid applications submitted, I am continuing to hear that there may be a 10% across the board Grant-In-Aid cut this year, so please take the time and contact your Joint Finance Committee members, as well as you General Assembly members, and express your concern about this possible cut. I have been expressing our disappointment since I first heard about this possible cut. The most current assignments are below.
Thanks for reading this blog! As always, feel free to reach out to me with any questions or comments.
Ask of the Joint Finance Committee (JFC) Members and/or your members of the General Assembly (they can relate your message to JFC):
· We are asking JFC to preserve the current level of Grant-In-Aid funding.
· But, if they must make a cut, limit it to 5% not the 10% that’s been mentioned.
(History – In the past when DANA and the nonprofit community convened about proposed GIA cuts of 10%, the feeling was that if JFC had to cut, this was more manageable for recipients and their budgets).
Note: This “Ask” is in the absence of a true merit-based system, that the JFC has been working on developing, on which many nonprofit leaders have presented their experience and thoughts, to JFC at their request.
Current JFC Challenge:
- The Joint Finance Committee is faced with drafting a budget that closes a $30+million revenue gap.
- They just received the final Delaware Economic and Financial Advisory Council (DEFAC) forecasts on Monday, June 15th. So just know that they will probably say this.
- Monday’s DEFAC report leaves them with a $30+ million gap to fill.
Some Supporting Points:
The nonprofit sector in Delaware, and the nation, has grown to meet the needs of our citizens. Services historically provided by government have been contracted to nonprofits that have been acknowledged as providing services more cost-effectively. As many nonprofit leaders have highlighted; the State made a “Business Decision” and a commitment to the Nonprofit Sector. Nonprofits have become important government partners.
Nonprofits are the State’s partners in providing Direct Services to Delawareans. When you make cuts to NP Funding you make cuts to Delawareans who count on the services of NPs for Health, Education, Hunger-Relief, and so much more.
Any additional cuts will further weaken our safety net and the services to our most vulnerable – our youth our poor and our ill.
Delaware Nonprofits employ over 63,000 people, and are supported by even more volunteers. However, the economic challenges and funding cuts have resulted in 38% of Delaware nonprofits being forced to operate in the red over the past several years (according to Urban Institute and Nonprofit Finance Fund reports). Meanwhile, Delaware’s nonprofits continue to meet the call of serving evermore Delawareans.
Grant-In-Aid for “One-Time and Community Agencies” in the Delaware State Fiscal Year 2015 (ending June 30, 2015) was $16,540,724, of a total GIA Bill of $45,379,100 (SB266). The total FY 2015 Delaware State Budget (SB255) was $3.8095 Billion, the Governor’s proposed FY 2016 Delaware State Budget was balanced at $3.9000 Billion. Since the Governor proposed his budget in January, revenue projections have fallen.
GRANT-IN-AID COMMITTEE ASSIGNMENTS for the 148th GENERAL ASSEMBLY, FISCAL YEAR 2016