The demand for human services is greater than ever. The pandemic coupled with past cuts to social programs have stretched the nonprofit sector to its limit. Now, as lawmakers debate Governor Stitt’s $8.3 billion budget plan, it is imperative that legislators come to an agreement that does not include reduced funding to critical programs.

Oklahoma’s philanthropic community stands ready and eager to assist our communities. During the pandemic, the nonprofit sector took the place of the state’s grocery stores, mental health providers, child care agencies and employment advocates. Yes, private charities are positioned to be more nimble and less bureaucratic than government programs. However, they need government funding to effectively and efficiently address today’s societal issues. Nearly 32% of nonprofits’ revenue comes from the government through grants and contracts. Without those dollars, the sector cannot continue to lift up communities.

Government funding for programs is essential. No other sector or organization can provide the amount of support our state does. Oklahoma’s funding stretches across economic segments then trickles down to various areas. Charitable entities are not equipped to handle such a wide array of need. There is no denying that the 6,676 Oklahoma nonprofits that reported income with the IRS are financially powerful – collectively they have more than $13 billion in revenue – but those funds are far better when they can be used for innovative programs and strategies aimed at preventing and eliminating systemic issues negatively impacting Oklahomans.

Charitable organizations are victims of the same economic cycles as the rest of society. Giving falls when it’s most needed. During the pandemic, nearly half of Oklahoma nonprofits received less grant funding than they expected. Some 54% have “low or very low” confidence that revenue goals will be met in this fiscal year. These budgetary concerns are magnified by the fact that 60% of organizations had to cancel or postpone fundraisers – a major source of nonprofit dollars.

It is also of note that taxation does not greatly affect giving. National research shows that while lower taxes might result in a minimal rise in donations, the funds do not offset the reduction in tax revenue at the state level. A fair tax burden on all Oklahomans must be part of the budget process.

Philanthropic giving is not solely synonymous with helping those in need. There are, of course, many who give to organizations that fulfill basic needs – food bank, medical clinics and housing relief programs. There is a larger portion, however, who support organizations that serve the arts, higher education and animals – to name a few. According to Giving USA, most charitable dollars in America go to religion. Government funding helps Oklahomans put food on the table and a roof over their heads. Charities cannot replace those programs, but they can expand them.

Nonprofits’ goal is to create a world where they don’t have to exist. That is not our current reality. Oklahoma nonprofits work tirelessly to make our state better, but we cannot replace government. It is vital that lawmakers pass a balanced budget that funds the services so many rely on for their survival.