California News

Calif. Charities Sue State Over Spending Cuts (10-12-11)

California charities that serve people with developmental disabilities last week sued the state, challenging the legality of a series of budget cuts for their services, writes The Fresno Bee.The Arc of California and the United Cerebral Palsy Association of San Diego contend cuts in reimbursement for job training, daily living assistance, and other programs violate a state law guaranteeing the disabled sufficient support to live independently. The lawsuit also claims the state must get federal approval for the cuts because Medicaid covers some of the services. California froze reimbursement rates for providers in 2003 and cut them by 3 percent in 2009 and 4.25 percent in 2010. Nancy Lundgren, a Department of Developmental Services spokeswoman, would not comment on the lawsuit but said that in light of the state’s budget shortfall, “difficult decisions are needed.” She added, “California is the only state in the nation with an entitlement to services for persons with developmental disabilities. - Written By Andy Markowitz - October 6, 2011

California Benefit Corporation and Flexible Purpose Corporation (10-12-11)

California Governor Jerry Brown announced today that he signed into law AB 361 (Benefit corporations) and SB 201 (Flexible purpose corporations). These laws will provide social entrepreneurs with two additional forms of legal entities to consider when creating their social enterprises and represents a tremendous step forward for businesses looking to factor social good into their traditional bottom lines.

View our Handout on the California benefit corporation and flexible purpose corporation.

Additional Resources: Everything You Ever Wanted to Know About the Flexible Purpose Corporation (And Then Some) - Business for Good

Nationally Recognized Leader to Head California Association of Nonprofits (09-29-11)

Linda Davis, CEO of Center for Volunteer and Nonprofit Leadership and the new Board Chair of the California Association of Nonprofits, is very pleased to announce that Ms. Jan Masaoka has accepted the job of Chief Executive Officer for the California Association of Nonprofits (CAN). Ms. Masaoka has an extraordinary background and reputation as a nonprofit leader, and we are confident that this next period will be one where we grow the organization into an effective champion for California's nonprofit organizations. View Press Release

New Data Show That More Than 6 Million Californians ­- Over One-Third of Them Children - Lived in Poverty in 2010 (09-15-11)

Census Bureau data released today show that California's poverty rate rose to 16.3 percent in 2010 -- its highest point in 13 years -- and that children accounted for more than one out of three Californians living in poverty. More than 6 million Californians -- nearly one out of six -- had incomes below the federal poverty line, including 2.2 million children -- nearly one out of four. The Census data also indicate that the typical California household experienced a sharp drop in inflation-adjusted income last year. The state's median household income -- the income for the household at the middle of the distribution -- declined by $2,602 to $54,459 in 2010, the largest single-year drop on record.

Read the CBP's analysis here.

Bay Area Regional Partners Report on Public Policy and Advocacy in the Nonprofit Sector - JUST RELEASED (06-14-11)

The Bay Area Regional Partners is a coalition of coalitions across seven counties interested in public policy and advocacy for health and human service organizations.

Our key partners for this survey include:

  • Human Services Alliance of Contra Costa (HSACC)
  • Nonprofit Alliance of Monterey County (NAMC)
  • San Francisco Human Services Network (SFHSN)
  • San Benito Community Foundation (SBCF)
  • Santa Cruz Human Care Alliance (SCHCA)
  • Silicon Valley Council of Nonprofits (SVCN)
  • Thrive - The Alliance of Nonprofits (THRIVE) for San Mateo County
  • United Way Silicon Valley (UWSV)

Here are some of our key findings regarding nonprofits in our Region:

  • Most nonprofits feel they have greater impact in public policy as part of a coalition for their organizations and the clients they serve.
  • Nonprofits primarily participate in advocacy because it affects "clients," "nonprofits in general," or their "organization’s funding." Services will be cut, programs eliminated, and clients impacted by policy decisions.
  • We found board interest in policy an advocacy was rather small, which validates a need for board training in public policy and advocacy.
  • Nonprofits with larger budget sizes (over $2 million) are more likely to report being financially strong/stable, have seen deeper cuts in staff benefits, have had more stable fundraising with slight increases, and seem to eliminate whole programs and services instead of just downsizing.
  • Nonprofits with smaller budget sizes (under $2 million) are less financially strong/stable, seem to downsize or reduced programs instead of eliminating them, and are less able to secure new funding streams.
  • Nonprofits that are "financially strong/stable" are more likely to participate in advocacy.
  • Overall, individual, corporate, and foundation giving continues downward for 24% of the agencies over past years. Nearly 30% remain the same, 17% are seeing increases, and roughly 14% are uncertain. Over 1/3 of our nonprofits also reports being financially strong.
  • Many nonprofits biggest concern was that “government funding…will be reduced."

View Report

Building Advocacy from Within: Report on the West Coast Listening Post Project Roundtable on Nonprofit Advocacy and Lobbying

View Article (05/23/2011)

Hard Times: Impacts, Actions, Prospects: The State of the Nonprofit Sector in Los Angeles 2010

View Report (05/23/2011)

Defining Social Good: Nonprofits Worry About Calif. Bill

(04/27/2011) California nonprofits are urging lawmakers to slow down before approving changes that would offer special benefits to companies that pursue social goals. Read More...

Los Angeles Nonprofits Need Help to Boost Capacity, Report Finds

(12/27/2010) As Southern California continues to cope with the fallout from the economic downturn, many nonprofits in Los Angeles County are struggling to do more with less and could benefit from comprehensive, affordable, and culturally sensitive capacity-building services, a new report from the TCC Group and the Weingart Foundation finds.

Based in part on interviews with local nonprofit and philanthropic leaders, the report, Fortifying L.A.'s Nonprofit Organizations: Capacity-Building Needs and Services in Los Angeles County (120 pages, PDF), examined the organizational capacity of the region's nonprofits, the types of capacity building needed to enhance their effectiveness, the types and quality of services available, and the extent to which funders ‘activities strengthen nonprofit organizational performance. Among other things, it found that the ever-increasing demand for services in the region, coupled with declining resources, have put the governance, management, and sustainability of many nonprofits at risk. Moreover, with the number of nonprofits in the region growing even as aggregate revenues level off, organizations increasingly find themselves competing for funding and have fewer resources to invest in capacity-building measures.

New Data Show More Than One Out of Seven Californians Living in Poverty

(09/16/2010) SACRAMENTO - Census Bureau data released today show that the share of Californians with incomes below the federal poverty line rose in 2009 for the third straight year. The state's 2009 poverty rate jumped to 15.3 percent, the highest rate in 11 years. More than 5.6 million Californians - more than one out of seven - had incomes below the federal poverty line in 2009.

Click here to view the press release. & Click here to view charts illustrating this data.

Nonprofits nationwide say they are still reeling from the recession,
a recent survey suggests mental health and crisis-intervention groups are among the hardest hit. (8/18/10)

According to California Watch, “less money and more demand is a ‘fairly uniform’ issue among California mental health nonprofits, said Rusty Selix, executive director and legislative representative for the California Council of Community Mental Health Agencies.... Economic stress has created more demand for mental health services, but has also led to cuts in funding, primarily from the government, Selix said.” Visit California Watch for more information.

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