SAN ANTONIO – Nonprofits exist to keep the community afloat, but many are sinking right now.
Cuts in federal funding starting in January added onto previous grant cuts, and it has dried up programs for organizations nationwide and locally.
It’s forcing some critical nonprofits to make tough decisions so they can remain open.
“There’s only so much to go around,” said Scott McAninch, CEO of The Nonprofit Council in San Antonio. “The support for a lot of nonprofits federally trickles down to state and local city government, so it’s affecting city government over the next few years.”
The Nonprofit Council in San Antonio represents 250 local organizations, which McAninch said are being more transparent about their situations.
That honesty was reflected when the council’s nonprofit members recently requested trainings on very specific and tough topics:
- How to reduce staff during financial difficulties
- How to merge with another nonprofit, or even be acquired by a larger one
- How to have difficult conversations with staff, boards and other nonprofits
McAninch said these trainings are so important to the community, it’s being funded by an investor group called Beyond Giving. The group includes the Kronkowski Foundation, United Way, and Area Foundation, as well as Silver Ventures.
Nonprofit leader Liza Jensen will be speaking at the August meeting on how to merge with other nonprofits. She has firsthand experience.
She was previously the CEO of Alpha Home, a women’s addiction recovery center that has been in San Antonio for 60 years. A couple years ago, it became clear the center couldn’t afford to stay open much longer.
“Fall of last year we lost about $400,000 in funding,” Jensen said. “We also lost two critical contracts. I had to downsize like many other nonprofits.”
Alpha Home decided to partner with the larger recovery nonprofit Cenikor, which has recovery centers throughout Texas and New Mexico.
As of March 1, Alpha Home is now called Cenikor San Antonio. Jensen works there in a management role.
“We ensure that those services not only be maintained, but we would grow and enhance them by doubling the size of the facility so we can double the number of people we serve,” said Cenikor CEO Bill Bailey.
The new co-ed Cenikor San Antonio facility will be north of downtown and is set to open in fiscal year 2026.
Bailey said adding space and programs means Alpha Home staff gets to stay put. One member of that staff is Sarah Classen, who was originally an Alpha Home client.
“In 2016 I found myself with a handful of charges,” Classen said. “I was physically deteriorating from alcohol use and drug use, so I checked myself into Alpha Home.”
Years later, she became an employee, helping coach clients through the program and into their recovery.
While the merger with Cenikor was tough to accept at first, Classen now is thrilled to have better benefits and to be serving more clients.
“I believe this is the best way forward for Alpha Home in order to continue to help people, which is what our primary purpose is,” Classen said.
McAninch echoes that, saying an open mind is necessary with the current nonprofit landscape.
“It’s not an ego thing, I mean, we have to put that aside,” McAninch said. “It’s about what’s in the best interest of keeping the missions going and supporting the community.”
He does not suggest nonprofits gutting their programs before they need to, but instead having alternate plans available if things should take a downward turn.
“It’s yet to be seen on what kind of funding in 2026 and 2027 will be off the table, but I think planning is the best avenue,” McAninch said.
As nonprofits begin to plan ahead, they have a plea to the community.
“Support from our community, it’s always been strong, but we hope it continues, and people can give a little bit more this year,” McAninch said.
Any nonprofit interested in joining the Nonprofit Council or attending its trainings can call 210-229-0333 or email info@tncouncil.org.
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