NHSA’s Response to Federal Grants and Loans Deliberations
January 30, 2025NHSA Executive Director, Victor Valentine’s Statement Regarding Ongoing Federal Funding Freeze Developments.
As reports emerge regarding the January 28th proposed freeze on federal grants and loans being rescinded by the Trump Administration, the National Human Services Assembly praises this change of direction.
NHSA will continue to support any efforts to identify effective and efficient ways for the government to allocate its vast resources, absent from harming the millions of residents relying on these dollars for critical human needs. We do, however, oppose the freezing of any current and/or pending financial awards that have already been lawfully approved.
Acknowledging this issue is likely to be soon revisited, NHSA believes that unilateral mandates that could directly or indirectly financially penalize organizations, negatively affect communities, and/or dehumanize individuals will have sweeping and devastating consequences. NHSA affiliates are responsible for the provision of comprehensive human services in nearly every American community. As such, we are urging restraint from any implementation of radical shifts in funding policy accompanied by nonpartisan coordination with the affected sectors.
NHSA will continue to monitor these developments and as an ongoing service to our partners will attempt to offer some ways they might prepare for its return, including:
- Utilizing NHSA’s PurchasingPoint® program, that saves nonprofits valuable funds through access to group buying power.
- Quantifying how a freeze will negatively impact both operations and direct assistance to people being served.
- Building a cash-flow model and run scenarios for paused federal payments (for weeks, 1 month, and 2 months).
Connecting with your bank to see what type of cash flow options may be available for your organization, such as a line of credit or bridge loan.