How funders can help nonprofits stay ready year-round

June marks the start of hurricane season and after three months, costs are already exponential. According to the United Nations Food and Agriculture Organization, natural disasters occur three times more often than 50 years ago.[*] When natural disasters like hurricanes strike, the public often hears about groups like the Federal Emergency Management Agency (FEMA), the most visible governmental group for emergency response in the United States. Yet, nongovernmental nonprofit organizations play a significant role in restoring lives and ameliorating costs in the wake of disasters.

According to the National Centers for Environmental Information, this year’s four biggest U.S. tropical cyclones cost $67 billion in insured losses so far, with final damages expected to exceed $100 billion.[?]

Statistics like this matter. When natural disasters strike under-resourced communities, residents are usually not ready. They require financial assistance and logistical, on-the-ground support during and after natural disasters.

Here’s an example of how this looks on a practical level. Hurricane Nicholas made landfall along Texas’ Matagorda Peninsula early on the morning of Sept. 14, 2021. It caused widespread power outages across Texas, leaving 500,000 people without power for around four days. The storm raged along the gulf coast of Texas toward Louisiana, bringing heavy rain and flooding to areas that had just been hit by Hurricane Ida one month weeks before. This further delayed repairs, and with people unable to return home without electricity, Louisiana shelters were at full capacity. According to RMA and the Center for Disaster Philanthropy, while there were no reported deaths from Hurricane Nicholas, insured losses alone were expected to be $1.1 billion to $2.2 billion.[?]

Nonprofit organizations (including faith-based organizations) are often the first responders to crises in their communities. In fact, nonprofits are frequently at a slightly more critical advantage than governmental organizations when it comes to responding effectively to natural disasters. Why? Nonprofits are already in touch with communities on the ground. Affected communities may already be part of a communications listserv or network that allows nonprofits to communicate faster with residents during an emergency. Moreover, nonprofits have access to a network of volunteers that can easily be mobilized and assist in the provision of essential resources. Their familiarity with the community also provides residents with a much-needed sense of security and support during a time of crisis.

Yet, in order for nonprofits to move more fluidly with the sense of urgency needed to face growing environmental crises, funders—be they institutional or individual—must think differently about supporting nonprofits before a natural disaster even happens.

Supporting a nonprofit looks different at every stage of an emergency. Before an emergency, during an emergency, and after an emergency, the needs of a nonprofit and the communities they serve vary. Here are four things nonprofit organizations will need in order to care for residents and uplift emergency response and preparedness in the ever-increasing climate for natural disasters.

1. ?What: Multi-year support.

Why: This is especially key for institutional funders. Nonprofits are constantly in the business of raising funds so that they can provide programs and services to the communities that they serve. One-time grants allow nonprofits to make headway on a lot of things that matter, but it doesn’t provide long-term sustainability for that progress. Imagine being a startup and receiving a $10k grant to help you get off the ground. This is great, but by month 6, the nonprofit might feel pressured to focus on securing more funding to achieve success. A multi-year grant gives nonprofits space to plan from a less reactive place, knowing that there is a consistent source of funding. Multi-year funding also acknowledges the fact that change in the social sector takes time. There is no hack for overnight change in the social sector, so why not be part of that journey?

?2. What: Investments in technology.

Why: In a disaster, the ability to respond quickly and effectively is based on the ability to communicate, and most of the time, having the right tools helps in this endeavor. As a nonprofit, following a flood or other natural disaster, how can nonprofits get crucial messages out to the community efficiently? For example, a text messaging tool can reach a large audience quickly, while a coordinated on-the-ground team provides more personalized support. In some cases, immediately after a disaster, there are nonprofits that exist to provide the technological infrastructure (e.g. WiFi or call centers) so that communities can connect with loved ones or complete online applications that will help them begin the process of salvaging what they may have lost. By investing in the internal technological infrastructure, nonprofits and their funders can position themselves to respond in real-time to best meet the needs of their community.

?3. What: Investments in overhead (also known as operations or capacity).

Why: The nonprofit sector is viewed as a 100 percent philanthropic endeavor, with all money going towards direct services. However, this view ignores the important role that investments in overhead play in supporting the work of nonprofits. Overhead costs, such as staff salaries and office rent, may not be glamorous, but they are essential to the functioning of nonprofits, especially those that provide aid for victims and survivors of natural disasters. While this is hard for many stakeholders to readily embrace, the fact is that wanting to do good work and wanting to get paid for doing good work are not mutually exclusive.

?4. What: Investments in training and convenings.

Why: In order to be prepared and responsive, it is essential that nonprofit staff have the skills and knowledge to respond effectively. This means investing in training and convenings that will help build best practices and keep staff up-to-date on new trends. The pursuit of knowledge is often taken for granted in the nonprofit sector. After all, when it comes to preparing for and responding to natural disasters, in the nonprofit sector, while there are certification programs, these credentials are not as standardized as other professions. Understanding trends and new ways to address social problems requires financial investment and increased support from funders.

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In the nonprofit sector, preparedness is a framework that can exist beyond the realm of climate change. Preparedness gives the sector room to respond and not react. It supports the capacity of organizations and offers a way of thinking about how to meet the needs of organizations in thoughtful and sustainable ways. And ultimately, preparedness starts with asking the organizations we want to support: what do you need internally to show up stronger for the communities you serve, no matter what challenges come your way??

[*] See https://news.un.org/en/story/2021/03/1087702

[?] See https://www.ncei.noaa.gov/access/billions/dcmi.pdf

?[?] See https://www.rms.com/newsroom/press-releases/press-detail/2021-09-23/rms-estimates-us11-22-billion-in-total-us-insured-losses-from-hurricane-nicholas and https://disasterphilanthropy.org/blog/disasters-by-the-numbers