Financial Leadership Network Call

Recap of the 2.6.2025 Call
Michael shared out what we know vs what we don’t know following the chaos of the Executive Orders, Federal Funding Freeze/Unfreeze, and shuttering of USAID funding.
Adam shared: “While last week’s OMB memo created confusion and uncertainty, it is most likely more clear and certain than what comes next. It appears that Musk and his DOGE group (unelected, un-appointed, unfunded), now have full access to the federal payment system and can analyze all federal funding. This will most likely result in programs being targeted, which includes both attempts to block funding, and perhaps more malignantly, spreading misinformation about those programs and the organizations within them. We are seeing this with USAID right now, which went from “normal” to fully shut down in a matter of days. We are also seeing individual organizations start to come under fire, such as Lutheran Family Services, which is apparently “money laundering” by using federal funds to provide services to refugee populations.”

So, we encourage our members to learn more from the National Council of Nonprofits who are litigating and advocating:
https://www.councilofnonprofits.org/impacts-recent-executive-orders-nonprofits
https://www.councilofnonprofits.org/files/media/documents/2025/chart-executive-orders.pdf

Other questions from the group included…
When is it appropriate to bond an employee vs having D&O or E&O insurance?
This was a helpful ChatGPT discussion of the differences.
(As always, this is intended as a basic overview and not advice, and the user should verify before acting on any information from AI chatbots.)
What are the policies that govern regranting (like when MNA offered travel scholarships for Nonprofit Day?)
Again, ChatGPT for the basics…
(As always, this is intended as a basic overview and not advice, and the user should verify before acting on any information from AI chatbots.)

Recap of the 3.6.2025 call:
We discussed many points around the ripple effects of Executive Orders/Funding Freezes/Thawing… you can keep up to date on what MNA knows by checking our info page. Please let us know if you are experiencing any delays in funding.

Have you done your Scenario Planning for any funding that is at risk? If not, MNA hosted a webinar that you can access for free with an Excel Workbook to help.
Need to Know: Budget and Scenario Planning in Times of Uncertainty

Lines of Credit: As part of your strategy to weather delayed payments, a line of credit may be worth establishing. Some sample finance policies that were shared include
this one from Mike with North Valley Food Bank and this one from MNA.

If your organization is considering layoffs or furloughs, Kim explained how the difference (furlough = “job attached” meaning they can keep their benefits because your org plans to rehire). MNA is hosting a FREE webinar with First Nonprofit on Navigating the Waters of Unemployment Liability on March 19th.

We are also hosting a webinar Thinking About Federal Grants? with Grant Station on April 2nd. With everything in the air, this may be helpful to tune into.
Additionally, if you need some help securing other funding from private foundations, we hope you will join us for Research, Write, Win: Maximize Your Grant Funding on April 16th.

We briefly touched on engaging with your board, especially in helping your finance committee present relevant information without overwhelming your board. I mentioned our condensed training for board members, but I don’t have a date for that yet. I think it will be offered in the Fall.