How Governments Can Leverage Federal Funds to Partner With Local Nonprofits.

The American Rescue Plan allows states and localities to funnel federal relief dollars to nonprofit organizations, which the National Council of Nonprofits says could be key to local economic recovery.

State and local governments can use federal coronavirus relief funds to partner with nonprofit organizations in their communities, aiding local recovery efforts by expanding existing programs or creating new ones, the National Council of Nonprofits advises in a new report.

“Nonprofits and governments are natural partners, serving the same constituents in the same communities,” the document says. “Partnerships between the sectors allow for leveraging of resources, relationships, and strengths to serve those communities even better.”

The report seeks to serve as a resource for government officials who may not know that the guidelines for relief funds distributed through the American Rescue Plan Act specifically allow for assistance to nonprofit organizations. That funding is desperately needed, as most nonprofits have seen increased need from constituents while also facing layoffs and reduced donations during the pandemic, said Tiffany Carter, policy counsel at the National Council of Nonprofits and the report’s lead author.

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Route Fifty

By Kate Elizabeth Queram

JULY 2, 2021



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